Poverty as subsistence: The World Bank and pro‐poor land reform in Eurasia By MihaiVarga, Redwood City: Stanford University Press. 2023. pp. 218. $70.00 (hardcover). ISBN: 9781503633049

In Poverty as Subsistence: The World Bank and Pro-Poor Land Reform in Eurasia, Mihai Varga addresses a critical issue in today's global context: the impact of land reform policies on rural poverty. With growing concerns over global inequality and the sustainability of agricultural practices, Varga's empirical study provides valuable insights into how these policies have reshaped rural economies in postcommunist Eurasia. The book simplifies the gap between policy intentions and the realities faced by rural communities. The work emphasizes the need for personalized and context-sensitive approaches to land reform. Varga's work offers important lessons for scholars, policymakers, and development practitioners aiming to create equitable and sustainable agricultural systems in light of global challenges such as food security, climate change, and rural development. The first part of the book scrutinizes the World Bank's discourse on land reform. It emphasizes the ideological compromises made with neoliberalism. Varga begins by analyzing key publications from the 1990s that encapsulate the World Bank's approach to land reform. He argues that these reforms represent a compromise between neoliberal structural adjustment policies and critical response of the World Bank policies post-Green Revolution. The core of Varga's argument is that the emphasis on markets was narrowed to a focus on private property, leading to a limited set of institutional reforms. These reforms were subsequently adopted as a model for agricultural transformation in postcommunist nations, using China's reforms from the early 1980s as a benchmark. Varga's critique calls for a deeper understanding of local socioeconomic contexts. It challenges the assumption that market mechanisms alone can alleviate rural poverty. A comprehensive evaluation of the World Bank's publications, along with oral history interviews, provides a robust framework for understanding the ideological motivations underpinning the World Bank's land reform policies. Chapter 2 extends the analysis to the World Bank's selective interpretation of China's market-oriented reforms. The chapter highlights that while the World Bank initially viewed land reform as a means to reduce rural poverty, its policies over time prioritized commercialization, often overlooking the nuanced realities and capacities of the countries involved. This view was then applied to postcommunist countries such as Moldova, Romania, Tajikistan, and Ukraine, often leading to suboptimal outcomes. According to the World Bank, these countries differ in their governments' ability to carry out these reforms. While Moldova and Tajikistan were considered relatively successful due to their ability to sustain smallholder transformations, Romania and Ukraine faced critiques for maintaining high levels of subsistence agriculture. Furthermore, Vargas highlights a shift of World Bank's policies towards prioritizing land commercialization over poverty reduction by the end of the 2000s. Chapter 3 compares the outcomes of land reforms in postcommunist countries with those in China and Vietnam, offering a comprehensive evaluation of the impact of these reforms on rural poverty and agricultural productivity. Varga points out several issues, such as the reduction of complex reforms to simple property rights and the oversight of subsistence farming in official productivity measures. His detailed approach reveals the particulars of rural economies. Varga's findings advocate for a more adaptable and context-sensitive approach to land reform. An approach is needed that recognizes the diversity of rural livelihoods and the limitations of market-based solutions. Contrary to the World Bank's expectations, Varga discovers that land reforms rarely lead to the expected commercialization and productivity improvements. Instead, many smallholders remained engaged in subsistence farming, which was perceived as a failure by policymakers. However, it actually represented a rational response to insufficient market opportunities and state support. The second part of the book shifts to a detailed fieldwork study in the Ukrainian-Romanian border region of Bukovina. Here, Varga explores the resilience and resistance of smallholders, who continued to practice subsistence farming despite the push for commercialization. He emphasizes how these smallholders adapted to local conditions by engaging in informal economic activities and maintaining mixed-income households, combining agriculture with other forms of income. Varga provides rich empirical evidence that challenges the simplistic view of smallholders as mere subsistence farmers. His exploration of their adaptive strategies and economic contributions offers a nuanced understanding on rural livelihoods. This chapter is a testament to the resilience and ingenuity of rural communities. It highlights the need for policies that support rather than undermine smallholders' economic activities. Chapter 5 delves deeper into the role of smallholders in postcommunist agriculture. Despite limited access to credit markets and formal investment, these smallholders managed to increase production and expand their landholdings. The chapter focuses on the practical strategies smallholders employ to navigate market and policy constraints. It offers valuable insights for designing more effective and inclusive development interventions. In this chapter, Varga introduces the concept of “self-provisioning,” where smallholders internalize production steps and minimize costs, thereby controlling their value chains. He also emphasizes the importance of mixed-income households in sustaining smallholder production through agriculture incomes, welfare transfers, and wage work. Chapter 6 discusses the “resistance” of smallholder agriculture, a term authorities, including the World Bank, attribute to the economic practices and mentalities viewed as obstacles to commercialization. This resistance is rooted in smallholders' reliance on informal economies and subsistence practices that diverge from market-driven frameworks. The authorities attempt to commercialize smallholder farming by increasing farmers' monetary needs rather than genuinely facilitating their market access. Varga argues that these policies frequently overlook the realities of smallholder life and the significance of informal economic activities. He contends that, rather than facilitating commercialization, state actions frequently marginalize the involvement of smallholders in the informal economy and reinforce their reliance on subsistence farming. In the concluding chapter, Varga critiques international organizations and governments for promoting commercialization and pro-market institutions to alleviate rural poverty, as typified by the World Bank's approach. He argues although land reforms in postcommunist Eurasia did not establish formal land markets, they fostered differentiation among smallholders and commercializing actors, challenging the notion that poverty reduction and entrepreneurship can be achieved solely through the transfer of productive assets. Overall, Mihai Varga's book is an important contribution to the discourse on land reform and poverty alleviation. The book's strength lies in its detailed fieldwork and the comprehensive portrayal of smallholders' resilience and resistance. The book is an essential read for anyone involved in rural development, land reform, and poverty alleviation. Mihai Varga's detailed research and critical analysis present a compelling argument for rethinking traditional land reform policies. Varga emphasizes the resilience and adaptability of small-scale farmers, providing valuable information for more effective and equitable development strategies. This book is highly beneficial for academics, policymakers, and practitioners interested in understanding the complex realities of land reform and rural poverty in Eurasia. The authors would like to express their gratitude to Lembaga Pengelola Dana Pendidikan (LPDP) which supported the publishing process in this review.