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Farm output, non-farm income and commercialization in rural Georgia

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Author Info
Iddo Kan () (Haifa University)
Ayal Kimhi () (The Hebrew University)
Zvi Lerman () (The Hebrew University)

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Abstract

This article examines the decision of farmers to sell part of their farm output on the market, using data from the Republic of Georgia. A two-level empirical model is used, in which endowments and resource allocation decisions determine farm output and non-farm income, and these in turn determine market participation. We found, as expected, that farm output affects market participation positively, while non-farm income affects it negatively. Landholdings have an indirect positive effect on market participation, through its positive effect on farm output. Education has a negative effect on market participation, mainly through its positive effect on non-farm income.

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Publisher Info
Article provided by Food and Agriculture Organization of the United Nations in its journal The Electronic Journal of Agricultural and Development Economics.

Volume (Year): 3 (2006)
Issue (Month): 2 ()
Pages: 276-286
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Handle: RePEc:fao:tejade:v:3:y:2006:i:2:p:276-286

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Related research
Keywords: commercialization; market participation; farm output; non-farm income; resource allocation.;

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Find related papers by JEL classification:
Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Marc F. Bellemare & Christopher B. Barrett, 2006. "An Ordered Tobit Model of Market Participation: Evidence from Kenya and Ethiopia," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 88(2), pages 324-337, 05. [Downloadable!] (restricted)
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  2. Borbala Balint & Peter Wobst, 2006. "Institutional Factors and Market Participation by Individual Farmers: The Case of Romania," Post-Communist Economies, Taylor and Francis Journals, vol. 18(1), pages 101-121, March. [Downloadable!] (restricted)
  3. Lerman, Zvi, 2005. "The Impact Of Land Reform On Rural Household Income In Transcaucasia And Central Asia," Discussion Papers 7169, Hebrew University of Jerusalem, Department of Agricultural Economics and Management. [Downloadable!]
  4. Gogodze, Joseph & Kan, Iddo & Kimhi, Ayal, 2005. "Development of Individual Farming in Georgia: Descriptive Analysis and Comparisons," MPRA Paper 11721, University Library of Munich, Germany. [Downloadable!]
  5. Philip Kostov & John Lingard, 2004. "Subsistence Agriculture in Transition Economies: Its Roles and Determinants," Journal of Agricultural Economics, Blackwell Publishing, vol. 55(3), pages 565-579. [Downloadable!] (restricted)
    Other versions:
  6. Key, Nigel & Sadoulet, Elisabeth & de Janvry, Alain, 2000. " Transactions Costs and Agricultural Household Supply Response," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 82(2), pages 245-59, May. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Gogodze, Joseph & Kan, Iddo & Kimhi, Ayal, 2007. "Land Reform And Rural Well Being In The Republic Of Georgia: 1996-2003," Discussion Papers 7168, Hebrew University of Jerusalem, Department of Agricultural Economics and Management. [Downloadable!]
  2. Kimhi, Ayal, 2007. "Does Land Reform In Transition Countries Increase Child Labor? Evidence From The Republic Of Georgia," Discussion Papers 7147, Hebrew University of Jerusalem, Department of Agricultural Economics and Management. [Downloadable!]
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This page was last updated on 2009-11-11.

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