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An important goal of regional development in the Brazilian Amazon was to enhance social welfare and alleviate dire poverty in other parts of the country by providing land to the poor. Nevertheless, both poverty and landlessness have persisted despite development policies that distributed billions of dollars on highway construction, loans, and outright subsidies. Inequitable land distribution has been held as a prime factor in land conflict across the country. Although episodes of conflict over land are common in Brazilian history, this paper focuses on agrarian issues that arose with the opening of the Amazon frontier in the 1970s. The paper presents a political economy approach that considers the role of hierarchical forces interacting across spatial scales, in creating conditions ripe for land conflict at the local level. The premise is that the Brazilian government, intending to bring about economic and social development, promoted contradictory strategies creating land scarcity. These strategies led to expansion of large ranching operations, creation of conservation units, and demarcation of indigenous reserves, which constrained the pool of land available for small farmer settlement. Empirical analysis employing regression and spatial statistics is used to test the proposed model, advancing previous efforts by applying spatial regression, incorporating improved indicators of conflict and explanatory variables generated by a Geographic Information System (GIS). The findings provide support for some elements of the argument, demonstrating statistically significant relationships between land conflict and land concentration, cattle ranching, and road construction. Finally, a case study analysis of a county in the heart of the land conflict zone is provided, illustrating the interaction of scalar forces, and the articulation of land conflict at the local level. [ABSTRACT FROM AUTHOR]