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Old Problems in the New Solutions? Politically Motivated Allocation of Program Benefits and the "New" Fertilizer Subsidies

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  • Banful, Afua Branoah

Abstract

Summary Fertilizer subsidies have been reinstituted in many African countries with innovations seeking to avoid the downsides of past programs. The new subsidy paradigm however does not address how to curtail political manipulation which exacerbated inefficiencies of previous programs. This paper analyzes whether politics affected voucher allocations in Ghana's 2008 fertilizer subsidy program. We find that more vouchers were targeted to districts that the ruling party had lost in the previous presidential elections and more so in districts that had been lost by a higher percentage margin. This evidence shows that a significant threat to the efficiency of fertilizer subsidies remains.

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Bibliographic Info

Article provided by Elsevier in its journal World Development.

Volume (Year): 39 (2011)
Issue (Month): 7 (July)
Pages: 1166-1176

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Handle: RePEc:eee:wdevel:v:39:y:2011:i:7:p:1166-1176

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Web page: http://www.elsevier.com/locate/worlddev

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Keywords: Africa Ghana fertilizer subsidy politics;

References

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  1. Jayne, T. S. & Govereh, J. & Wanzala, M. & Demeke, M., 2003. "Fertilizer market development: a comparative analysis of Ethiopia, Kenya, and Zambia," Food Policy, Elsevier, vol. 28(4), pages 293-316, August.
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Citations

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Cited by:
  1. Mason, Nicole M. & Jayne, Thomas S., 2012. "Fertilizer Subsidies and Smallholder Commercial Fertilizer Purchases: Crowding Out, Leakage, and Policy Implications for Zambia," Food Security Collaborative Working Papers 146928, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  2. Mason, Nicole M. & Jayne, T.S. & Mofya-Mukuka, Rhoda, 2013. "A Review of Zambia’s Agricultural Input Subsidy Programs: Targeting, Impacts, and the Way Forward," Food Security Collaborative Working Papers 162438, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  3. Ricker-Gilbert, Jacob & Jayne, Thomas S., 2012. "Do Fertilizer Subsidies Boost Staple Crop Production and Reduce Poverty Across the Distribution of Smallholders in Africa? Quantile Regression Results from Malawi," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126742, International Association of Agricultural Economists.
  4. Liverpool-Tasie, Lenis Saweda, 2012. "Targeted Subsidies and Private Market Participation: An Assessment of Fertilizer Demand in Nigeria:," IFPRI discussion papers 1194, International Food Policy Research Institute (IFPRI).
  5. Smale, Melinda & Mason, Nicole M., 2013. "Hybrid Seed, Income, and Inequality among Smallholder Maize Farmers in Zambia," Food Security Collaborative Working Papers 146929, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  6. Liverpool-Tasie, Lenis Saweda, 2012. "Did using input vouchers improve the distribution of subsidized fertilizer in Nigeria?: The case of Kano and Taraba states," IFPRI discussion papers 1231, International Food Policy Research Institute (IFPRI).
  7. Renkow, Mitch, 2010. "Impacts of IFPRI's "priorities for pro-poor public investment" global research program:," Impact assessments 31, International Food Policy Research Institute (IFPRI).
  8. Mason, Nicole M. & Jayne, Thomas S. & Myers, Robert J., 2012. "Smallholder Behavioral Responses to Marketing Board Activities in a Dual Channel Marketing System: The Case of Maize in Zambia," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126927, International Association of Agricultural Economists.
  9. Chapoto, Antony & Ragasa, Catherine, 2013. "Moving in the right direction? Maize productivity and fertilizer use and use intensity in Ghana:," IFPRI discussion papers 1314, International Food Policy Research Institute (IFPRI).
  10. Mason, Nicole M. & Ricker-Gilbert, Jacob, 2012. "Disrupting Demand for Commercial Seed: Input Subsidies in Malawi and Zambia," Food Security Collaborative Working Papers 123554, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  11. Liverpool-Tasie, Lenis Saweda O., 2014. "Farmer groups and input access: When membership is not enough," Food Policy, Elsevier, vol. 46(C), pages 37-49.
  12. Larson, Donald F. & Gurara, Daniel Zerfu, 2013. "A conceptual model of incomplete markets and the consequences for technology adoption policies in Ethiopia," Policy Research Working Paper Series 6681, The World Bank.
  13. Pan, Lei & Christiaensen, Luc J.M., 2012. "Who is Vouching for the Input Voucher? Decentralized Targeting and Elite Capture in Tanzania," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 122905, International Association of Agricultural Economists.
  14. Paul Mosley, 2012. "The politics of what works for the poor in public expenditure and taxation: a review," Brooks World Poverty Institute Working Paper Series esid-011-12, BWPI, The University of Manchester.
  15. Smale, Melinda & Birol, Ekin, 2013. "Smallholder demand for maize hybrids and selective seed subsidies in Zambia," HarvestPlus Working Papers 9, International Food Policy Research Institute (IFPRI).
  16. Mason, Nicole M. & Jayne, T.S. & Walle, Nicolas van de, 2013. "Fertilizer Subsidies and Voting Patterns: Political Economy Dimensions of Input Subsidy Programs," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 149580, Agricultural and Applied Economics Association.
  17. Watson II, Derrill D., 2013. "Political economy synthesis: The food policy crisis," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).

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