Pathways to Prosperity in Rural Malawi

Dabalen, Andrew; Fuente, Alejandro de la; Goyal, Aparajita; Karamba, R. Wendy; Nguyen, Nga Thi Viet; Tanaka, Tomomi

doi:10.1596/978-1-4648-0997-2

Cited by 9 publications

(6 citation statements)

References 30 publications

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“…However, the number of jobs generated by foreign direct investment is likely to be relatively limited. Efforts to upgrade energy and transport infrastructure are also needed, as most new jobs will require reliable power and better connections to regional and global markets (Dabalen et al 2017).…”

Section: Discussionmentioning

confidence: 99%

“…Building on the broad model of economic development in countries with a large subsistence agricultural sector and relatively large populations initially proposed by Lewis (1954), it is now widely accepted, if not unchallenged, that the typical pattern of development will involve a significant share of workers moving out of agriculture (Gollin 2014). As more workers find remunerative employment outside of agriculture in the manufacturing or service sectors, underemployment in the sector declines and prospects for more profitable agricultural production that fosters increased productivity rise for those remaining on-farm (Ranis and Fei 1961;Dabalen et al 2017). In this paper, we investigate what indications there are of such a process of structural transformation being underway in Malawi.…”

Section: Introductionmentioning

confidence: 99%

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Malawi's challenging employment landscape

Institute¹

2019

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Section: Discussionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Malawi's challenging employment landscape

Institute¹

2019

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“…The lack of impact from agricultural input subsidies gets magnified when they crowd out other investments in the sector that could raise productivity. Cash transfers seem more effective and efficient than subsidies where evidence exists (Dabalen et al 2017 ). But more research is needed to compare their performance relative to other competing needs like spending on education, health, WASH, public goods in agriculture (such as research and irrigation), rural infrastructure, and security.…”

Section: Making Public Spending Go Further For the Poormentioning

confidence: 99%

“…In contrast, the cost of subsidized fertilizer far exceeded the benefits to farmers across the board, with a benefit-cost ratio for subsidized fertilizer of 0.42. By comparison, spending on public goods such as agricultural research and development (R&D), improved connectivity of rural areas, modernized and smart extension systems, and irrigation are associated with high returns (Dabalen et al 2017;.…”

Section: Overspending On Subsidiesmentioning

confidence: 99%

Accelerating Poverty Reduction in Africa

Beegle¹,

Christiaensen²

2019

121

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This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries.Nothing herein shall constitute or be considered to be a limitation upon or waiver of the privileges and immunities of The World Bank, all of which are specifically reserved.

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“…Malawi's economy largely depends on agriculture, which contributes 30 percent of the GDP and about 80 percent of national export earnings (World Bank 2019). More than 84 percent of Malawi's population lives in rural areas and largely relies on agriculture as the main source of livelihood (Dabalen et al 2017). About 88 percent of the population is employed in agriculture (World Bank 2019).…”

Section: Study Areamentioning

confidence: 99%

Market information and access to structured markets by small farmers and traders: Evidence from an action research experiment in Central Malawi

Abay¹,

Jensen²

2020

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Small farmers and traders often lack the market information they need to earn the most from their crop sales. This paper analyzes the effects of an action research experiment in central Malawi, in which four groups of smallholder farmers were provided with maize and soybean price information from a local commodity exchange during the 2019 marketing season, while four other groups of smallholder farmers did not receive this information. Using data from a panel survey of 399 farmers and 78 traders conducted before and after the main marketing season and using kernel propensity score matching approach to account for possible differences between the treated and non-treated farmers, we estimate the effects of the intervention on a number of outcome indicators. A before versus after analysis was also employed to evaluate changes in traders' marketing outcomes. We find positive but statistically insignificant effects on maize and soybean selling prices, sales through structured markets and levels of commercialization after the intervention. We also find a negative and statistically significant effect on the quantity of maize sold by farmers, suggesting paradoxically that providing farmers with price information reduced their sales volumes. The proportion of traders aware of structured markets and their share of sales through structured markets also increased significantly after the intervention. The quantity of maize sold by traders as well as the selling prices for maize and soybean also increased significantly, although this may be due to factors other than the intervention. The study concludes that provision of price information alone is not enough to facilitate small farmers' and traders' use of structured markets. Greater effort is needed to sensitize farmers and traders on the quality and quantity requirements as well as the operations of structured markets.

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Pathways to Prosperity in Rural Malawi

Cited by 9 publications

References 30 publications

Malawi's challenging employment landscape

Malawi's challenging employment landscape

Accelerating Poverty Reduction in Africa

Market information and access to structured markets by small farmers and traders: Evidence from an action research experiment in Central Malawi

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