Incompatibility of laws and natural resources: A case study of land revenue laws and their implications in federal areas of Pakistan

Abstract

Direct and indirect implications of incompatible land laws are studied for Islamabad district. It is observed that incompatible revenue laws directly affect civil litigation, crime rate, and transaction cost in the society. Inconsistent laws increase workload for the governance institutions. Workload of civil and criminal courts also increases due to incompatible laws. The quality of service delivery and dispensation of justice are adversely affected by incompatible laws. Risk-averse investors normally avoid making investment in such an ambiguous property rights regime. With ambiguous laws, the transaction cost to individuals and the society increases. © The Pakistan Development Review.