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Determinants of Group Participation: Option and Impact of Farmers’ Participation in Groups in Mbozi District

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  • Lwezaura, Deogratias
  • Ngaruko, Deus

Abstract

This paper explores factors that determine farmers’ participation in groups in Mbozi district, Tanzania. Cross-section data used were obtained from face-to-face interviews from a sample of 310 households and 21 farmer groups. Analysis was done by using non-linear logit model and Instrumental Variable. The findings show that type of group, trustworthiness, transaction cost, marital status and the kind of institution initiating group formation are significant determinants of farmers’ participation in groups. The results further show that the average expected income accrued from group participation is Tanzanian Shillings 87,768 more than that obtained by nonparticipants.

Suggested Citation

  • Lwezaura, Deogratias & Ngaruko, Deus, 2013. "Determinants of Group Participation: Option and Impact of Farmers’ Participation in Groups in Mbozi District," African Journal of Economic Review, African Journal of Economic Review, vol. 1(2), July.
    • Handle: RePEc:ags:afjecr:264290
    DOI: 10.22004/ag.econ.264290
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    References listed on IDEAS

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    1. Fischer, Elisabeth & Qaim, Matin, 2011. "Smallholder Farmers and Collective Action: What Determines the Intensity of Participation?," GlobalFood Discussion Papers 108551, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    2. Anirban Basu & James J. Heckman & Salvador Navarro-Lozano & Sergio Urzua, 2007. "Use of instrumental variables in the presence of heterogeneity and self-selection: An application in breast cancer patients," Health, Econometrics and Data Group (HEDG) Working Papers 07/07, HEDG, c/o Department of Economics, University of York.
    3. Barham, James & Chitemi, Clarence, 2008. "Collective action initiatives to improve marketing performance: Lessons from farmer groups in Tanzania," CAPRi working papers 74, International Food Policy Research Institute (IFPRI).
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