For the past decade, the corn farmers of this village in southern Guatemala managed to scratch out two harvests of maize a year from the 10 hectares (24.7 acres) of land they rent. But the crop they planted in May will be their last.
\”We no longer have land to grow on because the owners of the land told us that this will be our last harvest there,\” says Moisés Morales, president of the Amanecer farmers\’ association. Sugar cane growers, they were told, had offered double the rent that the corn growers paid. The corn farmers couldn\’t match the price.
Being able to pay more rent is a signla that plam or cane farming is more profitable than corn farming. Thus the land is being moved from a lower value use to a higher. This is the very definition of wealth creation.
The problem is what?