THE ECONOMIC EFFICIENCY TRADE-OFF IN COMPULSORY LAND ACQUISITION: EXPERIENCE FROM TANZANIAN LEGAL REGIME
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Abstract
Compulsory Land Acquisition (CLA) is an aspect of land proprietary rights allocation and; it is all about government land re-acquisition against person(s) occupying it. It is a legal move that cannot be resorted to, unless public interest so compels. It is a legal phenomenon therefore, that can only be done in compliance with prescribed legal requirements and procedures. Payment of compensation is one of legal requirement that should be considered when effecting CLA; and When these two requirements i.e. existence of public interest and payment of compensation are met, the process surrounding it (CLA) needs also be done by following legally prescribed procedures as laid down in the relevant laws. These legal compliances however are held within the orthodox paradigm other than Law and Economics perspectives. In a new legal paradigm, legal analysis and articulation take into account economic efficiency surrounding each aspect under such analysing. The modern legal paradigm as held in law and economics has its different way of assessing and analysing various legal aspects. Its departure from the orthodox paradigm is its inclusion of economic precepts within legal discussion and articulation, a consideration of economic efficiency in a particular. CLA in this modern thinking is assessed in way judging it to be or not of economic efficiency. There are three precepts applied in law and economics to establish economic efficiency surrounding CLA as an aspect of proprietary rights allocation in this modern paradigm. These three precepts are the property most value. Interactive bargaining between the parties to proprietary rights allocation; and the desirable end results of proprietary rights allocation.
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