IDEAS home Printed from https://ideas.repec.org/a/taf/jdevst/v52y2016i9p1335-1356.html
   My bibliography  Save this article

Economic Benefits of Rural Feeder Roads: Evidence from Ethiopia

Author

Listed:
  • David Stifel
  • Bart Minten
  • Bethlehem Koru

Abstract

We estimate households’ willingness-to-pay for rural feeder roads in Ethiopia. Using purposefully collected data, we compare the economic behaviour of households by remoteness to estimate the benefits of access to feeder roads. Although we cannot definitively assert a causal relationship, we cautiously estimate that gravel roads have internal rates of return of 12–35 per cent. These results suggest that rural feeder roads may have relatively high rates of return even in unfavourable settings where (a) small-scale farmers have low levels of marketed agricultural surplus, (b) non-farm earning opportunities are negligible, and (c) motorised transport services are not guaranteed.

Suggested Citation

  • David Stifel & Bart Minten & Bethlehem Koru, 2016. "Economic Benefits of Rural Feeder Roads: Evidence from Ethiopia," Journal of Development Studies, Taylor & Francis Journals, vol. 52(9), pages 1335-1356, September.
    • Handle: RePEc:taf:jdevst:v:52:y:2016:i:9:p:1335-1356
    DOI: 10.1080/00220388.2016.1175555
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00220388.2016.1175555
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00220388.2016.1175555?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. repec:fpr:esspwp:3 is not listed on IDEAS
    2. Yu, Bingxin & Nin-Pratt, Alejandro & Funes, José & Gemessa, Sinafikeh Asrat, 2011. "Cereal production and technology adoption in Ethiopia:," IFPRI discussion papers 1131, International Food Policy Research Institute (IFPRI).
    3. Remi Jedwab & Alexander Moradi, 2013. "Transportation Technology and Economic Change: The Impact of Colonial Railroads on City Growth in Africa," CSAE Working Paper Series 2013-17, Centre for the Study of African Economies, University of Oxford.
    4. Zewdu, Getnet Alemu & Malek, Mehrab, 2010. "Implications of land policies for rural-urban linkages and rural transformation in Ethiopia," ESSP working papers 15, International Food Policy Research Institute (IFPRI).
    5. Schmidt, Emily & Kedir, Mekamu, 2009. "Urbanization and spatial connectivity in Ethiopia: Urban growth analysis using GIS," ESSP discussion papers 3, International Food Policy Research Institute (IFPRI).
    6. Jerry Lebo & Dieter Schelling, 2001. "Design and Appraisal of Rural Transport Infrastructure : Ensuring Basic Access for Rural Communities," World Bank Publications - Books, The World Bank Group, number 13911.
    7. Gachassin, Marie & Najman, Boris & Raballand, Gael, 2010. "The impact of roads on poverty reduction : a case study of Cameroon," Policy Research Working Paper Series 5209, The World Bank.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Derek Headey & David Stifel & Liangzhi You & Zhe Guo, 2018. "Remoteness, urbanization, and child nutrition in sub‐Saharan Africa," Agricultural Economics, International Association of Agricultural Economists, vol. 49(6), pages 765-775, November.
    2. Krishnan, Pramila & Zhang, Peng, 2020. "Restricting trade and reducing variety: Evidence from Ethiopia," World Development, Elsevier, vol. 126(C).
    3. Abate, Gashaw T. & Dereje, Mekdim & Hirvonen, Kalle & Minten, Bart, 2020. "Geography of public service delivery in rural Ethiopia," World Development, Elsevier, vol. 136(C).
    4. Yalew, Amsalu W. & Hirte, Georg & Lotze-Campen, Hermann & Tscharaktschiew, Stefan, 2017. "General equilibrium effects of public adaptation in agriculture in LDCs: Evidence from Ethiopia," CEPIE Working Papers 11/17, Technische Universität Dresden, Center of Public and International Economics (CEPIE).
    5. Stifel, David & Minten, Bart, 2017. "Market Access, Well-being, and Nutrition: Evidence from Ethiopia," World Development, Elsevier, vol. 90(C), pages 229-241.
    6. Amsalu Woldie Yalew & Georg Hirte & Hermann Lotze-Campen & Stefan Tscharaktschiew, 2018. "Climate Change, Agriculture, and Economic Development in Ethiopia," Sustainability, MDPI, vol. 10(10), pages 1-23, September.
    7. Hirvonen, Kalle & Sohnesen, Thomas Pave & Bundervoet, Tom, 2020. "Impact of Ethiopia’s 2015 drought on child undernutrition," World Development, Elsevier, vol. 131(C).
    8. Banick, Robert & Heyns, Andries M. & Regmi, Suraj, 2021. "Evaluation of rural roads construction alternatives according to seasonal service accessibility improvement using a novel multi-modal cost-time model: A study in Nepal's remote and mountainous Karnali," Journal of Transport Geography, Elsevier, vol. 93(C).
    9. Noah Kaiser & Christina K. Barstow, 2022. "Rural Transportation Infrastructure in Low- and Middle-Income Countries: A Review of Impacts, Implications, and Interventions," Sustainability, MDPI, vol. 14(4), pages 1-48, February.
    10. Bell, Clive, 2023. "Rural Roads and National Welfare: Are 'Local' Methods of Evaluation Satisfactory?," Working Papers 0740, University of Heidelberg, Department of Economics.
    11. Barnaba Trinca, 2022. "Disuguaglianza E Microfinanza Ai Tempi Del Covid," Working Papers - Economics wp2022_01.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
    12. Yalew, Amsalu W. & Hirte, Georg & Lotze-Campen, Hermann & Tscharaktschiew, Stefan, 2017. "Economic effects of climate change in developing countries: Economy-wide and regional analysis for Ethiopia," CEPIE Working Papers 10/17, Technische Universität Dresden, Center of Public and International Economics (CEPIE).
    13. Gebresilasse, Mesay, 2023. "Rural roads, agricultural extension, and productivity," Journal of Development Economics, Elsevier, vol. 162(C).
    14. Ben Brunckhorst, 2020. "Rural Mobility and Climate Vulnerability: Evidence from the 2015 Drought in Ethiopia," CSAE Working Paper Series 2020-17, Centre for the Study of African Economies, University of Oxford.
    15. Clive Bell, 2022. "The social profitability of rural roads in a small open economy: Do urban agglomeration economies matter?," Papers in Regional Science, Wiley Blackwell, vol. 101(2), pages 373-397, April.
    16. Benevenuto, Rodolfo & Caulfield, Brian, 2022. "Examining the socioeconomic outcomes of transport interventions in the Global South," Transport Policy, Elsevier, vol. 119(C), pages 56-66.
    17. Dylan Fitz & Shyam Gouri Suresh, 2021. "Poverty traps across levels of aggregation," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 16(4), pages 909-953, October.
    18. Pieter Rutsaert & Jordan Chamberlin & Kevin Ong’are Oluoch & Victor Ochieng Kitoto & Jason Donovan, 2021. "The geography of agricultural input markets in rural Tanzania," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 13(6), pages 1379-1391, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Akpan, Uduak & Morimoto, Risako, 2022. "An application of Multi-Attribute Utility Theory (MAUT) to the prioritization of rural roads to improve rural accessibility in Nigeria," Socio-Economic Planning Sciences, Elsevier, vol. 82(PB).
    2. Chamberlin, Jordan & Schmidt, Emily, 2012. "Ethiopian Agriculture: A dynamic geographic perspective," IFPRI book chapters, in: Dorosh, Paul A. & Rashid, Shahidur (ed.), Food and agriculture in Ethiopia: Progress and policy challenges, chapter 2, International Food Policy Research Institute (IFPRI).
    3. Banick, Robert & Heyns, Andries M. & Regmi, Suraj, 2021. "Evaluation of rural roads construction alternatives according to seasonal service accessibility improvement using a novel multi-modal cost-time model: A study in Nepal's remote and mountainous Karnali," Journal of Transport Geography, Elsevier, vol. 93(C).
    4. Minten, Bart & Koro, Bethlehem & Stifel, David, 2013. "The last mile(s) in modern input distribution: Evidence from northwestern Ethiopia," ESSP research notes 24, International Food Policy Research Institute (IFPRI).
    5. Rosenthal, Stuart S. & Ross, Stephen L., 2015. "Change and Persistence in the Economic Status of Neighborhoods and Cities," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 1047-1120, Elsevier.
    6. Stifel, David & Minten, Bart & Koro, Bethlehem, 2012. "Economic Benefits and Returns to Rural Feeder Roads: Evidence from a Quasi-Experimental Setting in Ethiopia:," ESSP working papers 40, International Food Policy Research Institute (IFPRI).
    7. Kedir Jemal, Mekamu & Schmidt, Emily & Tilahun, Helina, 2018. "Market access, teff production, and fertilizer use over time," IFPRI book chapters, in: The economics of teff: Exploring Ethiopia’s biggest cash crop, chapter 6, pages 131-148, International Food Policy Research Institute (IFPRI).
    8. Mekonnen, Daniel Ayalew & Gerber, Nicolas & Matz, Julia Anna, 2018. "Gendered Social Networks, Agricultural Innovations, and Farm Productivity in Ethiopia," World Development, Elsevier, vol. 105(C), pages 321-335.
    9. Tabe-Ojong, M.P.J. & Mausch, K. & Woldeyohanes, T. & Heckelei, T., 2018. "A Triple-Hurdle Model of the Impacts of Improved Chickpea Adoption on Smallholder Production and Commercialization in Ethiopia," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277287, International Association of Agricultural Economists.
    10. Neupane, Deependra & Kafle, Sagar & Karki, Kaji Ram & Kim, Dae Hyun & Pradhan, Prajal, 2022. "Solar and wind energy potential assessment at provincial level in Nepal: Geospatial and economic analysis," Renewable Energy, Elsevier, vol. 181(C), pages 278-291.
    11. Samuel Sebsibie & Workineh Asmare & Tessema Endalkachew, 2015. "Agricultural Technology Adoption and Rural Poverty: a Study on Smallholders in Amhara Regional State, Ethiopia," Ethiopian Journal of Economics, Ethiopian Economics Association, vol. 23(2), December.
    12. Wouter Zant, 2018. "Trains, Trade, and Transaction Costs: How Does Domestic Trade by Rail Affect Market Prices of Malawi Agricultural Commodities?," The World Bank Economic Review, World Bank, vol. 32(2), pages 334-356.
    13. Venter, Christoffel J. & Molomo, Malesela & Mashiri, Mac, 2014. "Supply and pricing strategies of informal rural transport providers," Journal of Transport Geography, Elsevier, vol. 41(C), pages 239-248.
    14. Pave Sohnesen,Thomas & Ambel,Alemayehu A. & Fisker,Peter Simonsen & Andrews,Colin & Khan,Qaiser M., 2016. "Small area estimation of child malnutrition in Ethiopian woredas," Policy Research Working Paper Series 7581, The World Bank.
    15. Berhane, Guush & Dereje, Mekdim & Minten, Bart & Tamru, Seneshaw, 2020. "The rapid-but from a low base-uptake of agricultural mechanization in Ethiopia: Patterns, implications, and challenges," IFPRI book chapters, in: An evolving paradigm of agricultural mechanization development: How much can Africa learn from Asia?, chapter 10, pages 329-375, International Food Policy Research Institute (IFPRI).
    16. Jean-François Maystadt & Gilles Duranton, 2019. "The development push of refugees: evidence from Tanzania," Journal of Economic Geography, Oxford University Press, vol. 19(2), pages 299-334.
    17. Wong, Ho Lun & Luo, Renfu & Zhang, Linxiu & Rozelle, Scott, 2013. "Providing quality infrastructure in rural villages: The case of rural roads in China," Journal of Development Economics, Elsevier, vol. 103(C), pages 262-274.
    18. Jeyapraba Suresh, 2023. "Poverty is Lack of Capabilities: A Literature Review," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(3), pages 462-476, March.
    19. Mekonnen, Tigist, 2017. "Financing rural households and its impact: Evidence from randomized field experiment data," MERIT Working Papers 2017-009, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    20. repec:lic:licosd:37416 is not listed on IDEAS
    21. Woldu, Thomas & Abebe, Girum & Lamoot, Indra & Minten, Bart, 2013. "Urban food retail in Africa: The case of Addis Ababa, Ethiopia," ESSP working papers 50, International Food Policy Research Institute (IFPRI).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jdevst:v:52:y:2016:i:9:p:1335-1356. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/FJDS20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.