Since the privatization of livestock in 1992, rates of absentee ownership o
f livestock have increased sharply in Mongolia. Unlike other documented ins
tances of absentee herding in pastoral societies, absentee herd ownership h
as few detrimental ecological or social impacts in Mongo[ia. Rather, the re
lationship between absentee herd owners and herders may be viewed as a revi
talized institution, with links to customary patterns of urban-rural exchan
ge, emerging to meet the needs of both herders and town-dwellers during the
transition from a socialist planned economy to a free market economy. Abse
ntee herding in Mongolia differs from absentee and contract herding account
s from Africa and the Middle East in its continuing emphasis on subsistence
rather than speculative investment anti accumulation. Other important dist
inctions include: (1) absentee owners and herders ape usually kin or friend
s; (2) herders tend their own private herds in addition to absentee-owned a
nimals; (3) few ethnic, caste, or class differences exist between herders a
nd absentee herd owners; and (4) herders from all wealth strata tend absent
ee-owned animals. Policies to restrict or regulate absentee livestock owner
ship must be carefully considered in the Mongolian context, making clear di
stinctions between informal, mutually beneficial subsistence-driven arrange
ments among kin and friends, and more formal investment-driven contracts be
tween businesses or investors and herders.