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Freely to alienate them. Clearly that for absence of the good law first of all
It is necessary to pay in absence of the guaranteed, reliable property rights.
Hence, we should explain three basic conclusions to which could
To come and which have allowed us to define the costs arising at more accurately
- in the absence of these rights.
Our first conclusion consists that it use and save the accessible
It resources not so effectively, as those who is assured of the rights. If they not
Can protect the rights to the earth, habitation and the equipment, they not too
Are interested to put here means. People build less, if there is a risk,
What is will be withdrawn by the state or the private person; and it is exact also
Nobody begins to be spent for expensive innovations, if then someone
Another can appropriate results without any indemnification. Result
There is a reduction of cumulative investments.
The parties, induces owners to put means in the property. With strict
The economic point of view, hence, true function of the property rights
-- Not maintenance of benefit for private persons or the groups possessing these rights,
And investment with their stimulus to increase value of the property by
Investments, upgrade or a reasonable combination of the means with
Resources of others that finally is favourable to all society.
All it proves to be true statistical researches of Institute in
Extralegal settlements of Lima. As we have seen in the chapter devoted
To extralegal housing construction, at comparison of settlements Mariskal
- and Daniel Alsides Karrion, having similar social and economic
Characteristics, thanks to presence of legal security value of habitation in
The first of the mentioned settlements was in 41 times above, than in the last. Later,
Surveying sample in 37 settlements, we have found out that in the presence of the lawful
The property rights value of structures was in 9 times above, than at it
Absence. All says that presence or absence of the property rights
Directly influences level of investments.
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