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Efficiency of small‐scale farmers in Ethiopia: a case study in the Baso and Warana sub‐district

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  • Abenet Belete
  • John L. Dillon
  • Frank M. Anderson

Abstract

The objective of this study is to explore the possibilities of improving production and income on small farms through better allocation of resources. It pertains to the area that represents the low potential cereal crops zone (LPCZ) of Ethiopian highlands in the Shoa region. The basic primary data were drawn from 50 randomly selected farms in the area, and secondary data were obtained from ILCA. LP and MOTAD are used as analytical tools. The results of the study indicates a substantial potential for increasing net farm cash incomes by efficient allocation of available resources under current level of technology. The study further revealed that small‐scale farmers in the study area operate at a relatively higher risk under the existing situation than would be the case under an‐optimal situation. Thus, small‐scale farmers should allocate resources optimally not only to increase cash income but also to reduce risk.

Suggested Citation

  • Abenet Belete & John L. Dillon & Frank M. Anderson, 1993. "Efficiency of small‐scale farmers in Ethiopia: a case study in the Baso and Warana sub‐district," Agricultural Economics, International Association of Agricultural Economists, vol. 8(3), pages 199-209, March.
    • Handle: RePEc:bla:agecon:v:8:y:1993:i:3:p:199-209
    DOI: 10.1111/j.1574-0862.1993.tb00242.x
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    Cited by:

    1. Zenebe Gebreegziabher & Kooten, G. Cornelis van, 2016. "Single versus Multiple Objective(s) Decision Making: An Application to Subsistence Farms in Northern Ethiopia," Ethiopian Journal of Economics, Ethiopian Economics Association, vol. 24(2), August.
    2. Gebregziabher, Gebrehaweria & Namara, Regassa E. & Holden, Stein, 2012. "Technical Efficiency of Irrigated and Rain-Fed Smallholder Agriculture in Tigray, Ethiopia: A Comparative Stochastic Frontier Production Function Analysis," Quarterly Journal of International Agriculture, Humboldt-Universitaat zu Berlin, vol. 51(3), pages 1-24, August.
    3. Takada, Jun & Shuto, Hisato, 2023. "Causal linkages between land reform and factor demand under tenure insecurity: Evidence from Amhara Region, Ethiopia," Land Use Policy, Elsevier, vol. 128(C).
    4. Kehkha, Ahmad Ali & Mohammadi, Gholamreza Soltani & Villano, Renato A., 2005. "Agricultural Risk Analysis in the Fars Province of Iran: A Risk-Programming Approach," Working Papers 12897, University of New England, School of Economics.
    5. Bernard, Tanguy & Gabre-Madhin, Eleni Z. & Taffesse, Alemayehu Seyoum, 2008. "Heterogeneous Impacts Of Cooperatives On Smallholders’ Commercialization Behavior: Evidence From Ethiopia," 2007 Second International Conference, August 20-22, 2007, Accra, Ghana 52161, African Association of Agricultural Economists (AAAE).
    6. Nguyen Khac Minh & Giang Thanh Long & Bach Ngoc Thang, 2007. "Technical Efficiency of Small And Medium Manufacturing Firms in Vietnam: Parametric and Non-Parametric Approaches," Korean Economic Review, Korean Economic Association, vol. 23, pages 187-221.

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