To Specialize or Diversify: Agricultural Diversity and Poverty Dynamics in Ethiopia (2017) Jeffrey D. Michler, Anna L. Josephson/ World Development
: Chanmi YUN
2018. 09. 13. (Thu) - 11:30 ~ 13:00
Seminar room 406, Graduate School of International Agricultural Technology
6. Main contents
○ This paper analyses the impact of the diversity in crop cultivation on household poverty in Ethiopia and impact of crop diversity on the probability that a poor household will rise out of poverty or that a non-poor household will fall into poverty.
○ Using household panel data from Ethiopia this paper develops a diversity index to measure the effect of crop diversity on poverty status. To control for endogeneity and selection bias resulting from unobserved heterogeneity they utilize a recently developed parametric method for estimating dynamic binary response models with endogenous contemporaneous regressors.
○ control function approach, dynamic binary response models
○Households which grow a diverse set of crops are less likely to be poor than households that specialize in their crop production.
○ Crop diversity reduces the probability that a non-poor household will fall into poverty and the probability that a poor household will remain in poverty.