Does size of operated area matter? Evidence from Malawi's agricultural production
AbstractThe objective of this paper was to examine the relationship between farm size and agricultural productivity using data from Malawi. This paper has examined the relationship using ordinary least squares regression with heteroskedasticity consistent covariance matrix (HC3) standard errors having confirmed absence of endogeneity of farm size. The major finding is that, contrary to the findings of earlier studies which reported a positive relationship, there is strong evidence that probably the post market liberalization period (1990s) became characterized by an inverse farm size productivity relationship. This finding suggests that well-thought-after land and credit market interventions or land redistribution from the rich to the land poor households would possibly raise total output thorough productivity gains.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 11948.
Date of creation: 04 Dec 2007
Date of revision:
Publication status: Published in International Journal of Agriculture and Rural Development (IJARD) 2.10(2007): pp. 114-125
Farm size; Productivity; Inverse Relationship; Malawi;
Find related papers by JEL classification:
- D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
- Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
- Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
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