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Property rights hold back economic growth

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Reference no: EM131372701

Many underdeveloped economies have a large number of squatters-people who occupy a plot of land without any deed existing to give anyone formal ownership. Therefore, they use the land and its resources, but they do not officially own the land.

How might the lack of well-defined property rights hold back economic growth? Check all that apply.

1. Squatters can legally sell the land they occupy.

2. Squatters cannot mortgage, or borrow against, the land.

3. The land squatters occupy is not protected against seizure by someone else.

Reference no: EM131372701

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