Does Subsidizing Fertilizer Increase Yields Evidence from Malawi Reportar como inadecuado




Does Subsidizing Fertilizer Increase Yields Evidence from Malawi - Descarga este documento en PDF. Documentación en PDF para descargar gratis. Disponible también para leer online.

Despite their strain on government and donor budgets, fertilizer subsidies have once againbecome popular policy tools in several Sub-Saharan Africa countries as a potential way to increase yields in staple crops like maize. Policy makers often assume that farmers who receive the subsidy will achieve yield responses that are similar to those obtained by farmers who pay commercial prices for the input. This notion has not been verified empirically. Our study usespanel data from Malawi, a country that recently implemented a fertilizer subsidy program, to compare maize yield response to fertilizer from farmers who received subsidized fertilizer with yield responses from those who paid commercial prices for the input. Descriptive results indicate that maize plots using commercial fertilizer obtain higher yields per kilogram offertilizer than maize plots that used subsidized fertilizer. Conversely, the results obtained using a fixed-effects estimator indicate that when other factors are controlled for, maize plots thatuse subsidized fertilizer obtain a higher yield response than other plots. The results seems to be influenced by a group of farmers who used no fertilizer before the subsidy program began, but used subsidized fertilizer after the program was implemented. This group of farmersobtained significantly higher yields in the year when they receive the subsidy than did the rest of the farmers in the sample during that year. These findings indicate that in order to be effective, government officials should specifically target fertilizer subsidies to farmers who lack access to commercial markets or would not otherwise find it profitable to purchase the input.

Keywords: Malawi ; Fertilizer Subsidies ; Production Function

Subject(s): Crop Production/Industries

Issue Date: 2009

Publication Type: Conference Paper/ Presentation

PURL Identifier: http://purl.umn.edu/49532

Total Pages: 18

Series Statement: Selected Paper

613570

Record appears in: Agricultural and Applied Economics Association (AAEA) > 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin





Autor: Ricker-Gilbert, Jacob ; Jayne, Thomas S. ; Black, J. Roy

Fuente: http://ageconsearch.umn.edu/record/49532?ln=en







Documentos relacionados