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Can agricultural cooperatives reduce poverty? Heterogeneous impact of cooperative membership on farmers’ welfare in Rwanda

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  • Verhofstadt, Ellen
  • Maertens, Miet

Abstract

We analyze the inclusiveness and effectiveness of agricultural cooperatives in Rwanda. We estimate mean income and poverty effects of cooperative membership using propensity score matching techniques. We analyze heterogeneous treatment effects across farmers by analyzing how estimated treatment effects vary over farm and farmer characteristics and over the estimated propensity score. We find that cooperative membership in general increases income and reduces poverty and that these effects are largest for larger farms and in more remote areas. We find evidence of a negative selection as impact is largest for farmers with the lowest propensity to be a cooperative member.

Suggested Citation

  • Verhofstadt, Ellen & Maertens, Miet, 2014. "Can agricultural cooperatives reduce poverty? Heterogeneous impact of cooperative membership on farmers’ welfare in Rwanda," Working Papers 164803, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    • Handle: RePEc:ags:kucawp:164803
    DOI: 10.22004/ag.econ.164803
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    Keywords

    Agricultural and Food Policy; Community/Rural/Urban Development; Food Security and Poverty;
    All these keywords.

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