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The Impact of Agricultural Extension Services: The Case of Grape Production in Argentina

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  • Pedro Cerdán-Infantes

    ()
    (Office of Evaluation and Oversight at the Interamerican Development Bank.)

  • Alessandro Maffioli

    ()
    (Office of Evaluation and Oversight at the Interamerican Development Bank.)

  • Diego Ubfal

    ()
    (Department of Economics, University of California at Los Angeles.)

Abstract

In this paper we evaluate the impact of the provision of agricultural extension services to grape producers in Mendoza, Argentina, on yield and grape quality. Using fixed effects and matching techniques, we show that despite non-significant average treatment effects on yield, the program has large positive effects on productivity for producers who were in the bottom of the productivity distribution before launching of the program. There is also evidence of increased quality of their grapes, especially for large producers and those in the middle of the yield distribution ex-ante. However, large groups of producers did not see impact on yields or quality. Consistent with a previous qualitative evaluation of the program, these results point to the need to balance flexibility of the program with effective targeting mechanisms. Producers with different characteristics, such as land size, productivity or structure of production seek different objectives and have different needs, so that targeting these types of programs effectively to the different needs of producers would increase their effectiveness.

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Bibliographic Info

Paper provided by Inter-American Development Bank, Office of Evaluation and Oversight (OVE) in its series OVE Working Papers with number 0508.

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Length: 40 pages
Date of creation: Jun 2008
Date of revision:
Handle: RePEc:idb:ovewps:0508

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Keywords: Technology Adoption; Productivity; Agriculture Sector; Policy Evaluation;

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References

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  1. Akobundu, Eberechukwu & Alwang, Jeffrey Roger & Essel, Albert E. & Norton, George W. & Tegene, Abebayehu, 2003. "Does Extension Work? Impacts Of A Program To Assist Limited-Resource Farmers In Virginia," 2003 Annual meeting, July 27-30, Montreal, Canada 22091, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  2. Aigner, Dennis & Lovell, C. A. Knox & Schmidt, Peter, 1977. "Formulation and estimation of stochastic frontier production function models," Journal of Econometrics, Elsevier, vol. 6(1), pages 21-37, July.
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  4. Evenson, Robert E., 2001. "Economic impacts of agricultural research and extension," Handbook of Agricultural Economics, in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 1, chapter 11, pages 573-628 Elsevier.
  5. Birkhaeuser, Dean & Evenson, Robert E & Feder, Gershon, 1991. "The Economic Impact of Agricultural Extension: A Review," Economic Development and Cultural Change, University of Chicago Press, vol. 39(3), pages 607-50, April.
  6. Trudy Owens, 2001. "The impact of agricultural extension on farm production in resettlement areas of Zimbabwe," CSAE Working Paper Series 2001-06, Centre for the Study of African Economies, University of Oxford.
  7. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 31(3), pages 129-137.
  8. Ariel Dinar & Giannis Karagiannis & Vangelis Tzouvelekas, . "Evaluating the Impact of Public and Private Agricultural Extension on Farms Performance: A Non-neutral Stochastic Frontier Approach," Working Papers 0205, University of Crete, Department of Economics.
  9. Coase, R H, 1974. "The Lighthouse in Economics," Journal of Law and Economics, University of Chicago Press, vol. 17(2), pages 357-76, October.
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  11. James C. Hanson & Richard E. Just, 2001. "The Potential for Transition to Paid Extension: Some Guiding Economic Principles," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 777-784.
  12. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier.
  13. Anderson, Jock R. & Feder, Gershon, 2007. "Agricultural Extension," Handbook of Agricultural Economics, Elsevier.
  14. Roe, Brian E. & Haab, Timothy C. & Sohngen, Brent, 2002. "The Value Of Agricultural Economics Extension Programming: An Application Of Contingent Valuation," 2002 Annual meeting, July 28-31, Long Beach, CA 19861, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  15. Mattia Romani, 2004. "The impact of extension services in times of crisis: Côte d’Ivoire (1997-2000)," Development and Comp Systems 0409053, EconWPA.
  16. Ariel Dinar & Gabriel Keynan, 2001. "Economics of Paid Extension: Lessons from Experience in Nicaragua," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 769-776.
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  19. Bravo-Ureta, Boris E. & Evenson, Robert E., 1994. "Efficiency in agricultural production: The case of peasant farmers in eastern Paraguay," Agricultural Economics, Blackwell, vol. 10(1), pages 27-37, January.
  20. Gershon Feder & Rinku Murgai & Jaime B. Quizon, 2004. "Sending Farmers Back to School: The Impact of Farmer Field Schools in Indonesia," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 26(1), pages 45-62.
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Cited by:
  1. Mullally, Conner, 2011. "Development in the Midst of Drought: Evaluating an Agricultural Extension and Credit Program in Nicaragua," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 108723, Agricultural and Applied Economics Association.
  2. 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.
  3. Bravo-Ureta, Boris E. & de Almeida, Alexandre & Solis, Daniel & Inestroza, Aaron, 2010. "A Farm Level Analysis of the Economic Impact of the MARENA Program in Honduras," 2010 Annual Meeting, February 6-9, 2010, Orlando, Florida 55658, Southern Agricultural Economics Association.

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