Estimating Returns to Soil and Water Conservation Investments - An Application to Crop Yield in Kenya
AbstractProductivity gains from soil and water conservation (SWC) have empirical support in research stations. Previous empirical results from on-farm adoption of SWC are, however, varied. This study investigated the impact of soil conservation investment on farm productivity in three regions in Kenya. Using plot-level survey data, we focused on land productivity on plots with and without SWC. We tested the overall soil conservation hypothesis that increased SWC is beneficial for yield, as well as more specific hypotheses that SWC affects levels of inputs, returns from these inputs, and crop characteristics. The results showed a mixed picture where plots without SWC generally have higher yield values per hectare. However, plots with SWC are significantly steeper and more eroded than plots without SWC. A more careful analysis of a two-stage random effects–switching regression estimation comparing three SWC technologies to plots without SWC indicated that SWC increased the returns from degraded plots and sometimes from other inputs. A simulation exercise based on these estimations also showed that, in most cases, adoption has been beneficial for those who have done it and would be beneficial for those who have not.
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Bibliographic InfoPaper provided by University of Gothenburg, Department of Economics in its series Working Papers in Economics with number 402.
Length: 36 pages
Date of creation: 30 Nov 2009
Date of revision:
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Postal: Department of Economics, School of Business, Economics and Law, University of Gothenburg, Box 640, SE 405 30 GÖTEBORG, Sweden
Phone: 031-773 10 00
Web page: http://www.handels.gu.se/econ/
More information through EDIRC
Kenya; soil conservation; switching regression; rural households; yields;
Other versions of this item:
- Nyangena, Wilfred & Köhlin, Gunnar, 2008. "Estimating Returns to Soil and Water Conservation Investments: An Application to Crop Yield in Kenya," Discussion Papers dp-08-32-efd, Resources For the Future.
- D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
- Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
- Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services
This paper has been announced in the following NEP Reports:
- NEP-AFR-2009-12-11 (Africa)
- NEP-AGR-2009-12-11 (Agricultural Economics)
- NEP-ALL-2009-12-11 (All new papers)
- NEP-EFF-2009-12-11 (Efficiency & Productivity)
- NEP-RES-2009-12-11 (Resource Economics)
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.:
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