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Estimating Returns to Soil and Water Conservation Investments: An Application to Crop Yield in Kenya

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  • Nyangena, Wilfred
  • Köhlin, Gunnar

Abstract

Productivity gains from soil and water conservation (SWC) have empirical support in research stations. Previous empirical results from on-farm adoption of SWC are, however, varied. This study investigated the impact of soil conservation investment on farm productivity in three regions in Kenya. Using plot-level survey data, we focused on land productivity on plots with and without SWC. We tested the overall soil conservation hypothesis that increased SWC is beneficial for yield, as well as more specific hypotheses that SWC affects levels of inputs, returns from these inputs, and crop characteristics. The results showed a mixed picture where plots without SWC generally have higher yield values per hectare. However, plots with SWC are significantly steeper and more eroded than plots without SWC. A more careful analysis of a two-stage random effects–switching regression estimation comparing three SWC technologies to plots without SWC indicated that SWC increased the returns from degraded plots and sometimes from other inputs. A simulation exercise based on these estimations also showed that, in most cases, adoption has been beneficial for those who have done it and would be beneficial for those who have not.

Suggested Citation

  • Nyangena, Wilfred & Köhlin, Gunnar, 2008. "Estimating Returns to Soil and Water Conservation Investments: An Application to Crop Yield in Kenya," RFF Working Paper Series dp-08-32-efd, Resources for the Future.
    • Handle: RePEc:rff:dpaper:dp-08-32-efd
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    Cited by:

    1. Maseko, Sulinkhundla, 2021. "The impact of climate-smart technology adoption on farmers’ welfare in Northern Zambia," Research Theses 334765, Collaborative Masters Program in Agricultural and Applied Economics.
    2. Million Sileshi & Reuben Kadigi & Khamaldin Mutabazi & Stefan Sieber, 2019. "Impact of soil and water conservation practices on household vulnerability to food insecurity in eastern Ethiopia: endogenous switching regression and propensity score matching approach," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 11(4), pages 797-815, August.
    3. T. O Ojo & L.J. S Baiyegunhi & A. O Salami, 2019. "Impact of Credit Demand on the Productivity of Rice Farmers in South West Nigeria," Journal of Economics and Behavioral Studies, AMH International, vol. 11(1), pages 166-180.
    4. Ojo, Temitope O. & Baiyegunhi, Lloyd J.S & Adetoro, Adetoso A. & Ogundeji, Abiodun A., 2021. "Adoption of Soil and Water Conservation Technology and Its Impact on the Productivity of Smallholder Rice Farmers in Southwest, Nigeria," 2021 Conference, August 17-31, 2021, Virtual 314981, International Association of Agricultural Economists.
    5. George Atisa & Mahadev Bhat & Michael McClain, 2014. "Economic Assessment of Best Management Practices in the Mara River Basin: Toward Implementing Payment for Watershed Services," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 28(6), pages 1751-1766, April.
    6. Awotide, B.A. & Abdoulaye, Tahirou & Alene, Arega & Manyong, Victor M., 2015. "Impact of Access to Credit on Agricultural Productivity: Evidence from Smallholder Cassava Farmers in Nigeria," 2015 Conference, August 9-14, 2015, Milan, Italy 210969, International Association of Agricultural Economists.
    7. Anwasia Anthonia Ifeoma & Anselm Anibueze Enete & Ezeibe Adaku Bridget, 2023. "Determinant and Impact of Renewable Energy Utilization on Farm Productivity in South-South Nigeria," Journal of Agriculture and Crops, Academic Research Publishing Group, vol. 9(1), pages 105-113, 01-2023.
    8. Kehinde, Ayodeji Damilola, 2021. "Impact of Credit Access and Cooperative Membership on Cocoa Productivity in Southwestern Nigeria," 2021 Conference, August 17-31, 2021, Virtual 315855, International Association of Agricultural Economists.
    9. Zhunusova, Eliza & Kyalo Willy, Daniel & Holm-Müller, Karin, 2013. "An Analysis of Returns to Integrated Soil Conservation Practices in the Lake Naivasha Basin, Kenya," 2013 Fourth International Conference, September 22-25, 2013, Hammamet, Tunisia 160676, African Association of Agricultural Economists (AAAE).
    10. Menale Kassie & Gunnar Köhlin & Randy Bluffstone & Stein Holden, 2011. "Are soil conservation technologies “win‐win?” A case study of Anjeni in the north‐western Ethiopian highlands," Natural Resources Forum, Blackwell Publishing, vol. 35(2), pages 89-99, May.

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    More about this item

    Keywords

    Kenya; soil conservation; switching regression; rural households; yields;
    All these keywords.

    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis

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