Inheritance Practices, Investment Incentives and Women’s Control Over Land in Rural Kenya

Land related investment decisions are shaped by both the formal and informal institutions governing land tenure and acquisition. We model customary inheritance practices of agricultural Kikuyu households in Kenya, and show theoretically and empirically that the uncertainty embedded in customary inheritance practices reduces long-term investments in land among potential heirs. Moreover, these effects are only observed in the case of male testators and potential heirs. The results provide evidence that despite legislation formalising women’s rights to property, control over land continues to follow the informal traditional patrilineal system in important ways.