This paper examines the impacts of access to extension services and cooperative membership on technology adoption, asset ownership and poverty using household-level data from rural Nigeria. Using different matching techniques and endogenous switching regression approach, we find that both extension access and cooperative membership have a positive and statistically significant effect on technology adoption and household welfare. Moreover, we find that both extension access and cooperative membership have heterogeneous impacts. In particular, we find evidence of a positive selection as the average treatment effects of extension access and cooperative membership are higher for farmers with the highest propensity to access extension and cooperative services. The impact of extension services on poverty reduction and of cooperatives on technology adoption is significantly stronger for smallholders with access to formal credit than for those without access. This implies that expanding rural financial markets can maximize the potential positive impacts of extension and cooperative services on farmers’ productivity and welfare.
This paper uses a multinomial endogenous treatment effects model and data from a sample of over 800 households and 3,000 plots to assess the determinants and impacts of adoption of sustainable agricultural practices (SAPs) on maize yields and household incomes in rural Zambia. Results show that adoption decisions are driven by household and plot level characteristics and that the adoption of a combination of SAPs raises both maize yields and incomes of smallholder farmers. Adoption of improved maize alone has greater impacts on maize yields, but given the high cost of inorganic fertiliser that limits the profitability of adoption of improved maize, greater household incomes are associated rather with a package involving SAPs such as maize-legume rotation and residue retention.
Using plot level panel data and multinomial endogenous switching regression, this article analyzes the adoption and welfare impacts of multiple agricultural technologies in eastern Zambia. We adapt a multinomial endogenous switching/treatment effect regression framework to correct for selection bias and endogeneity originating from both observed and unobserved heterogeneity. Results indicate that joint adoption of multiple agricultural technologies had greater impacts on crop yields, household incomes, and poverty than the adoption of individual components of the technology package. Our findings suggest that efforts aimed at raising household incomes and reducing poverty should focus on promoting the adoption of multiple agricultural technologies through provision of improved support services such as extension and input supply.JEL classifications: C34, O12, O33, Q12, Q16, Q18
HighlightsThe productivity and welfare effects of an e-voucher subsidy program are evaluated.Instrumental variable regression employed to control for endogeneity.The program is effective in improving productivity and welfare outcomes.No heterogeneity effects based on gender and farm land size.The program has a modest benefit–cost ratio.
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