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Impact of Access to Credit on Farm Productivity of Fruit and Vegetable Growers in Chile

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  • Reyes, Alvaro
  • Lensink, Robert
  • Kuyvenhoven, Arie
  • Moll, Henk

Abstract

The objective of this paper is to analyze the factors that determine productivity of fruit and vegetable growers in central Chile, focusing especially on the effect of short-term credit on farm productivity for market-oriented farmers. We explicitly test for possible selection bias using a panel data set from a survey conducted in 2006 and 2008 with 177 farmers. Our results indicate that short-term credit does not have an impact on farm productivity, while other factors as education and the type of activity do. These results suggest that other providers of credit, such as informal credit institutions, may relax short-term credit constraints in rural financial markets in Chile.

Suggested Citation

  • Reyes, Alvaro & Lensink, Robert & Kuyvenhoven, Arie & Moll, Henk, 2012. "Impact of Access to Credit on Farm Productivity of Fruit and Vegetable Growers in Chile," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126217, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae12:126217
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    References listed on IDEAS

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    Cited by:

    1. Benjamin Tetteh Anang, 2017. "Effect of non-farm work on agricultural productivity: Empirical evidence from northern Ghana," WIDER Working Paper Series 038, World Institute for Development Economic Research (UNU-WIDER).

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    Keywords

    Productivity; credit constraint; medium-scale farmers; Chile; Agricultural and Food Policy; Financial Economics; Productivity Analysis;

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