Property Rights, Origins of

Property rights are one of the most important concepts in social economics. The right of private individuals to own property is a fundamental [Page 1340]requirement for capitalist activities to function. Well-defined property rights are an essential assumption for primary economic models to ­operate as predicted. One individual’s acknowledgment and acceptance of another’s excusive ownership of property is necessary for the rule of law to hold sway in a society. Property rights include the idea that not only can a person own and hold property but also that the owner, having a right to the property, may do to it or with it what he or she wishes, for example, sell it. An owner, however, cannot do absolutely anything with the property he or she owns. ...