Class position and Economic Behavior in a Tunisian Village: Selective Separability in a Multi-Factor Household Model
The purposes of this paper are twofold. First, we examine, using a unique dataset collected in the Tunisian village of El Oulja, what might be termed "all or nothing" separability (Benjamin, 1992) by testing, while controling for plot characteristics (Udry, 1996), the proposition that farm input use is independent of household characteristics. Second, we test for separability in the context of a model of class structure based on the seminal work of Eswaran and Kotwal (1986). In order to do so, we construct a model of class structure which offers an appealing representation of the typology of household types in the village when they are classified in terms of (i) their hiring in of wage labor, and (ii) their hiring out of family labor. We use a two-stage estimation technique in which we first estimate the probability of class membership as a function of household characteristics using discrete choice methods. In the second stage we estimate labor intensity per hectare using a Lee-Heckman procedure in which the inverse-Mill ratio from the first stage is included as an additional explanatory variable. As with the case of the test for "all or nothing" separability, the test for selective separability involves exclusion restrictions on household characteristics, although these are now conditional on class membership. Our empirical results strongly support the selective separability hypothesis as well as our theoretical model: most of the "action" in terms of non-separability stems, as one would expect from the model, from the class of "self-cultivators" who neither hire in wage labor nor hire out family labor. Our paper extends the work of DeJanvry, Sadoulet and Benjamin (1996) on Mexican ejidatarios to plot- as opposed to household-level estimation. Moreover, our paper provides an elaboration on and an empirical bridge to theoretical models, such as Roemer (1982), Eswaran and Kotwal (1986), and Carter and Zimmerman (1995) which examine how credit constraints and imperfections on factor markets shape the class structure of the agrarian economy. The implications and scope for government intervention in the context of market imperfections are also examined.
|Date of creation:||1999|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (33-4) 73 17 74 00
Fax: (33-4) 73 17 74 28
Web page: http://cerdi.org/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Benjamin, Dwayne, 1995. "Can unobserved land quality explain the inverse productivity relationship?," Journal of Development Economics, Elsevier, vol. 46(1), pages 51-84, February.
- Rosenzweig, Mark R, 1980. "Neoclassical Theory and the Optimizing Peasant: An Econometric Analysis of Market Family Labor Supply in a Developing Country," The Quarterly Journal of Economics, MIT Press, vol. 94(1), pages 31-55, February.
- Pant, Chandrashekar, 1983. "Tenancy and family resources : A model and some empirical analysis," Journal of Development Economics, Elsevier, vol. 12(1-2), pages 27-39.
- Jacoby, Hanan G, 1993.
"Shadow Wages and Peasant Family Labour Supply: An Econometric Application to the Peruvian Sierra,"
Review of Economic Studies,
Wiley Blackwell, vol. 60(4), pages 903-21, October.
- Jacoby, H.G., 1990. "Shadow Wages And Peasant Family Labor Supply; An Econometric Application To The Peruvian Sierra," Papers 73, World Bank - Living Standards Measurement.
- Frisvold, George B., 1994. "Does supervision matter? Some hypothesis tests using Indian farm-level data," Journal of Development Economics, Elsevier, vol. 43(2), pages 217-238, April.
- Rosenzweig, Mark R. & Pitt, Mark M., 1984. "Agricultural Prices, Food Consumption and the Health and Productivity of Farmers," Bulletins 7471, University of Minnesota, Economic Development Center.
- Al, C. & Arcand, J.L. & Ethier, F., 1996.
"Moral Hazard and Marshallian Inefficiency: Evidence from Tunisia,"
Cahiers de recherche
9605, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
- Arcand, Jean-Louis & Ai, Chunrong & Ethier, Francois, 2007. "Moral hazard and Marshallian inefficiency: Evidence from Tunisia," Journal of Development Economics, Elsevier, vol. 83(2), pages 411-445, July.
- Jean-Louis ARCAND & AI & ETHIER, 2005. "Moral Hazard and Marshallian Inefficiency:Evidence from Tunisia," Working Papers 200534, CERDI.
- Al, C. & Arcand, J.L. & Ethier, F., 1996. "Moral Hazard and Marshallian Inefficiency: Evidence from Tunisia," Cahiers de recherche 9605, Universite de Montreal, Departement de sciences economiques.
- Eswaran, Mukesh & Kotwal, Ashok, 1986. "Access to Capital and Agrarian Production Organisation," Economic Journal, Royal Economic Society, vol. 96(382), pages 482-98, June.
When requesting a correction, please mention this item's handle: RePEc:cdi:wpaper:110. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Vincent Mazenod)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.