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Impacts of Agricultural Rehabilitation Program in Bangladesh: A Propensity Score Matching Analysis

Author

Listed:
  • Begum, I.A.
  • Alam, M.J.
  • Akter, S.
  • Talukder, R.K.

Abstract

The objective of the study is to identify the productive outcomes of agricultural rehabilitation program (ARP) at household level in Bangladesh. The study used latest Household Income and Expenditure Survey, 2010 and have applied PSM approach to analyse the impacts. The study has chosen 4286 households to include in probit model as control group from the households other than the treated group of 446 households. Propensity scores ranged from approximately zero to one with a mean of 0.102. Various indicators such as labor allocation, income generating activities, investment and shock`s coping strategies etc. were chosen to identify the productive outcomes. The ATE on the treated was significant for income generating activities (farm and non-farm), labor allocation (farm and non-farm, self-employment) and investment (agricultural assets, inputs). The farm activities increased by 0.40 units but non-farm activities declined by 0.73 units per household due to agriculture rehabilitation program. One of the areas of reduction of labor unit is day laborer in non-farm sector - moved from non-farm to on-farm activities. The results suggest that ARP is a promising means of safety net for the marginal and small farmers in Bangladesh. This type of safety net could contribute more to productive outcomes. Acknowledgement : Acknowledgement: The research was financed under the Research Grants Scheme of the National Food Policy Capacity Strengthening Programme (NFPCSP). The NFPCSP is being implemented by the FAO of the United Nations and the Food Planning and Monitoring Unit, Ministry of Food with the financial support of EU and USAID. Disclaimer: The findings and presentation of material in this paper are those of the author(s). They do not necessarily reflect the views of FAO, nor do they imply the expression of any opinion whatsoever on the part of FAO or of the NFPCSP, Government of Bangladesh, EU or USAID.

Suggested Citation

  • Begum, I.A. & Alam, M.J. & Akter, S. & Talukder, R.K., 2018. "Impacts of Agricultural Rehabilitation Program in Bangladesh: A Propensity Score Matching Analysis," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277428, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae18:277428
    DOI: 10.22004/ag.econ.277428
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    References listed on IDEAS

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    1. Rajeev H. Dehejia & Sadek Wahba, 2002. "Propensity Score-Matching Methods For Nonexperimental Causal Studies," The Review of Economics and Statistics, MIT Press, vol. 84(1), pages 151-161, February.
    2. Marco Caliendo & Sabine Kopeinig, 2008. "Some Practical Guidance For The Implementation Of Propensity Score Matching," Journal of Economic Surveys, Wiley Blackwell, vol. 22(1), pages 31-72, February.
    3. Daniel Gilligan & John Hoddinott & Alemayehu Seyoum Taffesse, 2009. "The Impact of Ethiopia's Productive Safety Net Programme and its Linkages," Journal of Development Studies, Taylor & Francis Journals, vol. 45(10), pages 1684-1706.
    4. Alberto Abadie & Guido W. Imbens, 2006. "Large Sample Properties of Matching Estimators for Average Treatment Effects," Econometrica, Econometric Society, vol. 74(1), pages 235-267, January.
    5. Ravallion, Martin, 2008. "Evaluating Anti-Poverty Programs," Handbook of Development Economics, in: T. Paul Schultz & John A. Strauss (ed.), Handbook of Development Economics, edition 1, volume 4, chapter 59, pages 3787-3846, Elsevier.
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