The returns to empowerment in diversified rural household: Evidence from Niger


Book Description

Niger is a landlocked Sahelian country, two-thirds of which is in the Sahara Desert. Although only one-eighth of the land considered arable, the overwhelming majority of Niger’s households is involved in rain-fed agriculture largely for subsistence. Given erratic rainfall and low soil fertility, most smallholders fail to produce enough food to meet household requirements. Income diversification is thus the norm among these rural households and different income-generating activities offer alternative pathways out of poverty for households as well as a mechanism for managing risk in an uncertain environment. Empowerment is likely to be an important factor affecting the ability of households to diversity their activity portfolio and may also affect activity-incomes and thereby household welfare. In this study, I use new household- and individual-level empowerment data from the Tahoua region of Niger and regression analysis to quantify the effects of a range of human capital measures including empowerment on the activity portfolio and activity incomes of rural households. My findings reveal that empowerment in particular plays an important role in enabling households to engage in mixed diversification strategy, which combines staple cropping with nonfarm activities and migration. This is a “last resort” strategy for households in lower landholding quintiles to ensure food security and complement an inadequate resource base. Controlling for activity choice, three empowerment indicators in particular—confidence, group membership, and tenure security—strongly and positively affect income from staple and cash cropping, which on average makes up about 90 percent of household income. In fact, empowerment is the only human capital variable that strongly and positively affects total household income, opening up interesting avenues for policy interventions aimed at augmenting a household’s noncognitive ability through, for example, leadership training or encouraging producer group membership—to increase incomes of the rural poor.




Empowerment in agricultural value chains: Mixed methods evidence from the Philippines


Book Description

Women’s participation and empowerment in value chains are goals that concern many development organizations, but there has been limited systematic, rigorous research to track these goals between and within value chains (VCs). We use the survey-based project-level Women’s Empowerment in Agriculture Index (pro-WEAI) to measure women’s and men’s empowerment in the abaca, coconut, seaweed, and swine VCs in the Philippines. Results show that most women and men in all four VCs are disempowered, but unlike in many other countries, Filipino women in this sample are generally as empowered as men. Pro-WEAI results suggest that respect within the household and attitudes about gender-based violence (GBV) are the largest sources of disempowerment for both women and men, followed by control over use of income and autonomy in income-related decisions. Excessive workload and lack of group membership are other important sources of disempowerment, with some variation across VCs and nodes along VCs. Across all four VCs, access to community programs is associated with higher women’s empowerment, and access to extension services and education are associated with higher men’s empowerment. Our results show that, despite the egalitarian gender norms in the Philippines, persistent gender stereotypes influence men’s and women’s empowerment and VC participation.




Institutional versus noninstitutional credit to agricultural households in India: Evidence on impact from a national farmers’ survey


Book Description

A goal of agricultural policy in India has been to reduce farmers’ dependence on informal credit. To that end, recent initiatives have been focused explicitly on rural areas and have had a positive impact on the flow of agricultural credit. But despite the significance of these initiatives in enhancing the flow of institutional credit to agriculture, the links between institutional credit and net farm income and consumption expenditures in India are not very well documented. Using a large national farm household–level dataset and instrumental variables two-stage least squares estimation methods, we investigate the impact of institutional farm credit on farm income and farm household consumption expenditures. Our findings show that in India, formal credit is indeed playing a critical role in increasing both the net farm income and per capita monthly household expenditures of Indian farm families. We also find that, in the presence of formal credit, social safety net programs such as the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) may have unintended consequences. In particular, MGNREGA reduces both net farm income and per capita monthly household consumption expenditures. In contrast, in the presence of formal credit, the Public Distribution System may increase both net farm income and per capita monthly household consumption expenditures.







Forced gifts: The burden of being a friend


Book Description

In many developing countries, gift expenses account for a substantial share of total household expenditures. As incomes rise, gift expenses are escalating in several developing countries. We develop a theoretical model to demonstrate how (unequal) income growth may trigger “gift competition” and drive up the financial burden associated with gift exchange. We use unique census-type panel data from rural China to test our model predictions and demonstrate that (1) the value of gifts responds to the average gift in the community, (2) the escalation of gift giving may have adverse welfare implications (especially for the poor), and (3) escalating gift expenses crowd out expenditures on other consumption items.




Empowerment, adaptation, and agricultural production


Book Description

Located at the heart of West Africa, Niger is a landlocked country with three-quarters of its territory covered by the Sahara Desert. Niger’s climate is mostly arid, and it is one of the least developed countries in the world. The vast majority of its population lives in rural areas, and the country is strongly dependent on agriculture. Agriculture is predominantly rainfed and yields rely on one rainy season. Although productivity in Niger has shown a positive trend, agriculture has been strongly affected in recent decades by several crises partly or entirely due to extreme weather events. Farmers pursue a number of strategies in the face of climatic (and nonclimatic) stressors including soil and water conservation methods such as barriers, terracing, and planting pits, and their adaptive capacity is deemed critical for estimating the economic impact of climate change. An understanding of climate change adaptation processes at the farm household level is therefore crucial to the development of well-designed and targeted mitigation policies. In this study, we use new data from Niger and regression analysis to study climate change adaptation through the digging of zaї pits and food production and the role of human capital measures therein. We find that adaptation is influenced by the perception that the frequency of droughts has increased and by the availability of financial resources and household labor. Adaptation is also influenced by educational attainment—both formal and Koranic school education. Adaptation of zaї pits is found to play an important role in food productivity. Our counterfactual analysis reveals that even though all households would benefit from adaptation, the effect is found to be significantly larger for households that actually did adapt relative to those that did not, indicating that the prospects of closing the productivity gap through encouraging adaptation in less well-endowed households are limited.




Misreporting month of birth: Implications for nutrition research


Book Description

Height-for-age z-scores (HAZs) and stunting status (HAZ<−2) are widely used to measure child nutrition and population health. However, accurate measurement of age is nontrivial in populations with low levels of literacy and numeracy, limited use of formal birth records, and weak cultural norms surrounding birthdays and calendar use. In this paper we use Demographic and Health Surveys data from 62 countries over the period 1990–2014 to describe two statistical artifacts indicative of misreporting of age. The first artifact consists of lower HAZs for children reported to be born earlier in each calendar year (resulting in implausibly large HAZ gaps between January- and December-born children), which is consistent with some degree of randomness in month of birth reporting. The second artifact consists of lower HAZs for children with a reported age just below a round age (and hence implausibly large HAZ gaps between children with reported ages just below and just above round ages), which is consistent with survey respondents rounding ages down more than they round ages up. Using simulations, we show how these forms of misreporting child age can replicate observed patterns in the data, and that they have small impacts on estimated rates of stunting but important implications for research that relies on birth timing to identify exposure to various risks, particularly seasonal shocks. Moreover, the misreporting we identify differs from conventional age-heaping concerns, implying that the metrics described above could constitute useful markers of measurement error in nutrition surveys. Future research should also investigate ways to reduce these errors.




Changing gender roles in agriculture? Evidence from 20 years of data in Ghana


Book Description

At a time when donors and governments are increasing efforts to mainstream gender in agriculture, it is critical to revisit long-standing wisdom about gender inequalities in agriculture to be able to more efficiently design and evaluate policy interventions. Many stylized facts about women in agriculture have been repeated for decades. Did nothing really change? Is some of this conventional wisdom simply maintained over time, or has it always been inaccurate? We use longitudinal data from Ghana to assess some of the facts and to evaluate whether gender patterns have changed over time. We focus on five main themes: land, cropping patterns, market participation, agricultural inputs, and employment. We add to the literature by showing new facts and evidence from more than 20 years. Results are varied and highlight the difficulty of making general statements about gender in agriculture.




Limitations of contract farming as a pro-poor strategy: The case of maize outgrower schemes in upper West Ghana


Book Description

The focus in this paper is on two relatively large maize-based contract farming (CF) schemes with fixed input packages (Masara and Akate) and a number of smaller and more flexible CF schemes in a remote region in Ghana (Upper West). Results show that these schemes led to improved technology adoption and yield increases. In addition, a subset of maize farmers with high yield improvements due to CF participation had high gross margins. However, on average, yields were not high enough to compensate for higher input requirements and cost of capital. On average, households harvest 29–30 bags (100 kg each), or 2.9–3.0 metric tons, of maize per hectare, and the required repayment for fertilizer, seed, herbicide, and materials provided under the average CF scheme is 21–25 bags (50 kg each) per acre, or 2.6–3.0 tons per hectare, which leaves almost none for home consumption or for sale. Despite higher yields, the costs to produce 1 ton of maize under CF schemes remain high on average—higher than on maize farms without CF schemes, more than twice that of several countries in Africa, and more than seven times higher than that of major maize-exporting countries (the United States, Brazil, and Argentina). Sustainability of these CF schemes will depend on, from the firms’ perspective, minimizing the costs to run and monitor them, and from the farmers’ perspective, developing and promoting much-improved varieties and technologies that may lead to a jump in yields and gross margins to compensate for the high cost of credit.




Farmers’ quality assessment of their crops and its impact on commercialization behavior: A field experiment in Ethiopia


Book Description

Adoption of quality-enhancing technologies is often driven largely by farmers’ expected returns from these technologies. Without proper grades, standards, and certification systems, however, farmers may remain uncertain about the actual financial return associated with their quality-enhancing investments. This report summarizes the outcomes of a short video-based randomized training intervention on wheat quality measurement and collective marketing among 15,000 wheat farmers in Ethiopia. Our results suggest that the intervention led to significant changes in farmers’ commercialization behaviors—namely, it prompted farmers to adopt behaviors geared toward assessing their wheat’s quality using easily implementable test-weight measures, assessing the accuracy of the equipment used by buyers in their kebeles (scales, in particular), and contacting more than one buyer before concluding a sale. The training also led to improvements in share of output sold, price received, and collective marketing, albeit with important limitations. First, farmers who measured their wheat quality received a higher price, but only if their wheat was of higher quality. Second, farmers who found that their wheat was of higher quality were more reluctant to aggregate their wheat (that is, sell their products through local cooperatives) than those who found that their wheat was of lower quality. Lastly, the training intervention led to better use of fertilizer in the following season. Our discovery that a short training intervention can significantly change farmers’ marketing and production behavior should encourage the development of further interventions aimed at enhancing farmers’ adoption of improved technologies and commercialization.