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Do Differences in the Scale of Irrigation Projects Generate Different Impacts on Poverty and Production?

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  • Andrew Dillon

Abstract

This paper investigates differences in household production and consumption among small- and large-scale irrigators to assess whether the scale of an irrigation project increases household welfare in Mali. Much of the evidence of the impact of irrigation does not use counterfactual analysis to estimate such impact or distinguish between the scale of the irrigation projects to be evaluated. In the dataset collected by the author, both a large-scale irrigation project and small-scale projects are used to construct counterfactual groups. Propensity score matching is used to estimate the average treatment effect on the treated for small and large irrigators relative to nonirrigators on agricultural production, agricultural income, and consumption per capita. Small-scale irrigation has a larger effect on agricultural production and agricultural income than large-scale irrigation, but large-scale irrigation has a larger effect on consumption per capita. This suggests that market integration and nonfarm externalities are important in realizing gains in agricultural surplus from irrigation.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Agricultural Economics.

Volume (Year): 62 (2011)
Issue (Month): 2 (06)
Pages: 474-492

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Handle: RePEc:bla:jageco:v:62:y:2011:i:2:p:474-492

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References

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  1. James Heckman, 1997. "Instrumental Variables: A Study of Implicit Behavioral Assumptions Used in Making Program Evaluations," Journal of Human Resources, University of Wisconsin Press, vol. 32(3), pages 441-462.
  2. Angus Deaton, 2010. "Instruments, randomization, and learning about development," Working Papers 1224, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
  3. Ravallion, Martin & Chen, Shaohua, 2005. "Hidden impact? Household saving in response to a poor-area development project," Journal of Public Economics, Elsevier, vol. 89(11-12), pages 2183-2204, December.
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  5. Angus Deaton & Salman Zaidi, 2002. "Guidelines for Constructing Consumption Aggregates for Welfare Analysis," World Bank Publications, The World Bank, number 14101.
  6. Inocencio, Arlene & Kikuchi, Masao & Tonosaki, Manabu & Maruyama, Atsushi & Merrey, Douglas & Sally, Hilmy & de Jong, Ijsbrand, 2007. "Costs and performance of irrigation projects: A comparison of Sub-Saharan Africa and other developing regions," IWMI Research Reports H036214, International Water Management Institute.
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  8. Gilligan, Daniel O. & Hoddinott, John, 2007. "AJAE Appendix: Is There Persistence in the Impact of Emergency Food Aid? Evidence on Consumption, Food Security and Assets in Rural Ethiopia," American Journal of Agricultural Economics Appendices, Agricultural and Applied Economics Association, vol. 89(2), May.
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  10. Attwood, Donald W., 2005. "Big is ugly? How large-scale institutions prevent famines in Western India," World Development, Elsevier, vol. 33(12), pages 2067-2083, December.
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  14. Juan Jose Diaz & Sudhanshu Handa, 2006. "An Assessment of Propensity Score Matching as a Nonexperimental Impact Estimator: Evidence from Mexico’s PROGRESA Program," Journal of Human Resources, University of Wisconsin Press, vol. 41(2).
  15. Dehejia, Rajeev, 2005. "Practical propensity score matching: a reply to Smith and Todd," Journal of Econometrics, Elsevier, vol. 125(1-2), pages 355-364.
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  18. Dillon, Andrew, 2008. "Access to irrigation and the escape from poverty: Evidence from Northern Mali," IFPRI discussion papers 782, International Food Policy Research Institute (IFPRI).
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Citations

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Cited by:
  1. Boris Bravo-Ureta & William Greene & Daniel Solís, 2012. "Technical efficiency analysis correcting for biases from observed and unobserved variables: an application to a natural resource management project," Empirical Economics, Springer, vol. 43(1), pages 55-72, August.
  2. Giordano, Meredith & de Fraiture, Charlotte, 2014. "Small private irrigation: Enhancing benefits and managing trade-offs," Agricultural Water Management, Elsevier, vol. 131(C), pages 175-182.
  3. Peralta, Maria Alexandra & Swinton, Scott M. & Maredia, Mywish K., 2011. "Accounting for selection bias in impact analysis of a rural development program: An application using propensity score matching," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126398, International Association of Agricultural Economists.
  4. Pauw, Karl & Thurlow, James, 2013. "Prioritizing rural investments in Africa: A hybrid evaluation approach applied to Uganda," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  5. Kijima, Yoko & Ito, Yukinori & Otsuka, Keijiro, 2012. "Assessing the Impact of Training on Lowland Rice Productivity in an African Setting: Evidence from Uganda," World Development, Elsevier, vol. 40(8), pages 1610-1618.
  6. Takeshima, Hiroyuki & Edeh, Hyacinth, 2013. "Typology of farm households and irrigation systems: Some evidence from Nigeria," IFPRI discussion papers 1267, International Food Policy Research Institute (IFPRI).

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