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Greener Journal of Agricultural Sciences Vol. 9(1), pp. 76-85, 2019 ISSN: 2276-7770 Copyright ©2019, the copyright of this article is retained by the
author(s) DOI Link: http://doi.org/10.15580/GJAS.2019.1.122118180 http://gjournals.org/GJAS |
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Impact of Improved Wheat
Technology Package Adoption on Productivity in Ethiopia
Baye Belay, Fitsum Daniel* and Eyob Bezabeh
Ethiopian Institute
of Agricultural Research, Addis Ababa, Ethiopia.
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ARTICLE INFO |
ABSTRACT |
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Article
No.: 122118180 Type: Research DOI: 10.15580/GJAS.2019.1.122118180 |
This study examines the impact of adoption of improved wheat
technology package (including improved wheat varieties, information regarding
improved wheat management practices as well as artificial/chemical
fertilizer) on productivity using 1,611 sample farm households in four major administrative
regions of Ethiopia. Propensity
score matching (PSM) technique was employed since it is an increasingly
utilized standard approach for evaluating impacts using observational data of
a single period. It is found that full adoption
of improved wheat technology package appears to significantly increase
productivity growth on the average by 51 to 55% for farm households in the study area. Thus, the study
recommends that full adoption of improved wheat technology package could be
an effective strategy to enhance productivity and, thereby, production that
contributes a lot to the structural transformation of the Ethiopian economy. |
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Submitted: 21/12/2018 Accepted: 27/12/2018 Published: 06/03/2019 |
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*Corresponding
Author Fitsum
Daniel E-mail:
fitsum.daniel219 @gmail.com Phone:
251-0913 38 45 38 |
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Keywords: |
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INTRODUCTION
Like in many other sub-Saharan Africa
countries, agriculture in Ethiopia is a basis for the entire socioeconomic
structure of the country and has a major influence on all other economic
sectors and development processes and hence it plays a crucial role in poverty
reduction (Elias et al., 2013; GebreEyesus,
2015). Despite the marginal decline in its share of GDP in recent years, it is
still the single largest sector in terms of its contribution to GDP as
agricultural GDP constitutes 41% of total country's GDP (CSA, 2014/15).
As
to Gebru 2006 citing CSA 2003, out of the total
production of agriculture, about 70% comes from crop production. According to Abegaz
2011, cereal crops constitute the largest share of farming household’s
production and consumption activities. Accordingly citing Alemayehu
et al., 2009, only five major cereals (barley, maize, sorghum, teff and wheat) account for about 70% of area cultivated
and 65% of output produced. Fertilizer use is also concentrated on cereals
followed by pulses and oilseeds respectively according to Endale
2011 citing CSA 1995/96-2007/08. On the other hand, according to Endale 2011, data from the Ethiopian Seed Enterprise show
that improved seeds are mostly used in wheat and maize cultivation with an
average of 89 and 42 thousand quintal in the period 1994/95 to 2005/06, respectively.
Moreover, Abegaz 2011 citing the Household Income,
Consumption and Expenditure Survey of CSA indicated that the five major cereal
crops account for 46% of household’s total consumption. Therefore, a closer
look at what is happening in cereal production has an important welfare and
policy implication in Ethiopia (Abegaz, 2011).
According
to Ketema and Kassa 2016
citing Shiferaw et al. 2013, wheat contributes
about 20% of the total dietary calories and proteins worldwide. Ethiopia is the
second largest wheat producer in sub-Saharan Africa next to South Africa (Nigussie et al., 2015). Mann and Warner 2017 citing
Minot et al. 2015 indicated that there are approximately 4.7 million
farmers growing wheat on approximately 1.6 million hectares representing
between 15 and 18% of total crop area and less than 1% of all wheat production
takes place outside the four main regions of Ethiopia according to recent
estimates. Wheat is one of the major staple crops in the country in terms of
both production and consumption (Kelemu, 2017).
According to Kelemu 2017 citing FAO 2014, it is the
second most important food in the country behind maize in terms of caloric
intake.
The
Ethiopian agricultural sector, as to Gebru 2006
citing EEA 2004, is dominated by small-scale farmers cultivating about 96% of
the total area under crop, producing more than 90% of total agricultural output
and 97% of food crops. With these statistics, one can easily infer to what
extent the small-scale farmers are the key element in strengthening the effort
towards agricultural growth and consequently to the overall economic growth (Gebre-Selassie & Bekele).
On
the other hand, most smallholder farmers (i.e. 59% of total cultivated area)
reside in the moisture reliable cereal-based highlands among the five
agro-ecological regions of Ethiopia distinguished by agricultural researchers (Taffesse et al., 2012). Accordingly, with farmers
using virtually no irrigation, reliable rainfall is an important condition to
achieve good agricultural productivity. In relation to this, as to the same
source document, the Meher rainfall season is
overwhelmingly important as it contributes about 96.9% of total crop production
and 95.5% of total cereal production in 2007/08.
With
respect to all these facts, it is not questionable that accelerated and
sustained growth in the country’s agriculture in general and in the crop
sub-sector in particular with special emphasis to the small-scale farmers will
greatly help to achieve the various goals of the country (Gebru,
2006; MoFED, 2003; Gebre-Selassie
& Bekele).
Moreover,
food needs as well as the industrial demand for agricultural products increase
due to population growth (Bor and Bayaner,
2009). All these needs, according to them, require an increase in the
agricultural production. The growth in agricultural production in sub-Saharan
Africa in the past was achieved by expanding the amount of land cultivated (Gebru, 2006). In relation with this, it is well known that
in our country there are regions where there are large populations but limited
land and vice versa (MoFED, 2003). Accordingly,
most of the lands available for settlement are found in the lowlands that lack
basic infrastructural facilities and pose serious health hazards. With little
suitable land available for expansion of crop cultivation, especially in the
highlands, future cereal production growth will need to come from increasing
land productivity mainly through the supply, duplication and diffusion of
continuously improving technology and information (Ayele
et al. 2006 citing Reardon et al 1996; Taffesse
et al. 2012; Elias et al. 2013; Matsumoto and Yamano,
2010).
Cognizant
of these as well as the fact that productivity is the major component of growth
and a fundamental requisite in many form of planning irrespective of the stage
of development and economic and social system as to Gebru
2006 citing Cheema 1978, the national wheat research
program has released and disseminated a number of bread and durum wheat
varieties since the 1950s and 1960s as to Ketema and Kassa 2016 citing Tesfaye et
al. 2001. According to the same source citing CSA 2015b, a closer look at
the proportion of the area covered by improved varieties of different crops
showed that wheat took the second rank (7.4%) next to maize (46.4%) among cereals.
Given the emphasis of increasing crop production through higher fertilizer use,
import of chemical fertilizer augmented from 246,722 MT in 1995 to 375,717 MT
in 2006 despite the removal of fertilizer subsidies since 1997/98 according to Endale 2011 citing MOARD 2007/08. In this regard, according
to Ketema and Kassa 2016
citing CSA 2015b, wheat is the most fertilized crop (82%) among all crops and
pesticide application is also most common on wheat as compared to that on other
cereal crops.
Even
though crop productivity and production remained low and variable in the 90s
for the most part, there have been clear signs of change over the past decade
(Abate et al., 2015). According
to Kelemu 2017, the average level of wheat
productivity for the period of 2000-2014 is about 1.73 ton/ha while the average
growth rate in productivity is about 5.93%. During the same period, total wheat
production has been increasing at 10.14% growth rate per annum (Kelemu, 2017).
As
to Tsusaka and Otsuka 2013
citing FAO 2011, although the production of staple food has been increasing in
sub-Saharan Africa, the rate of increase has not been high enough to outstrip
its high population growth rate as a result of which per-capita agricultural
production in the region has declined by about 10% since 1960. These all
obviously calls for a further and a better growth in agricultural productivity
as well as quality with minimum adverse impact on the environment. Kelemu 2017 citing Shiferaw and Okelo 2011 indicated that of the cereals whose production
is soon likely to exceed domestic demand requirements, wheat is the commodity
that will most easily find an export market to supply. In view of this
prospect, according to him, the need for increasing productivity of wheat is
very crucial.
Holistic
and appropriate evaluation of the efforts and corresponding results as well as
reasons/strengths and weaknesses/ of the past few decades in general and of the
past recent years in particular is necessary in order to create a more fertile
ground for the fast achievement of the aforementioned goal. In this regard, the
role of historical data collected by different agencies like CSA as well as of
different socio-economic studies carried out to provide vital policy and
related recommendations is indispensable. Studies that assess the contribution
of improved crop management practices information and technologies like
improved crop varieties for the productivity growth of such important and
widely cultivated cereals like wheat in Ethiopia in the past recent years are
among studies that can be cited in relation to this. However, studies carried
out in the country on this issue are not only few but also restricted to piece
meal or location specific approach. Besides, most studies were biased towards
those locations that had high/better suitability and/or preference for the
production of the specific crop considered. Thus, a nationally or regionally
representative data could not be collected for the studies and the conclusions
drawn so far would have low probability of influencing national and regional
policies. Moreover, the focus of most studies was measuring the impact of a
single improved agricultural technology or information rather than of a package
of agricultural technologies and information. Thus, the objective of this study
is to identify the impact of adoption of improved wheat technology package
(including improved wheat varieties, information regarding improved wheat
management practices as well as artificial/chemical fertilizer) on wheat
productivity per unit of land cropped in the four major administrative regions
of Ethiopia which are also known to be the major wheat producing regions in the
country.
MATERIALS
AND METHODS
Analytical
Framework for Evaluation of Adoption of Wheat Technology Package Impact on
Productivity
The correct evaluation of the impact of a
treatment like adoption of a technology package will require identifying the
“average treatment effect on the treated” defined as the difference in the
outcome variables between the treated objects like farmers and their
counterfactual. A counterfactual is defined as “knowledge of what would have
happened to those same people if they simultaneously had not received treatment”
(Olmos A., 2015 citing Shadish et al., 2002).
In this context, as to González et al. 2009, if Y represents the
outcome variable and if D is a dummy variable that takes the value of 1
if the individual was treated and 0 otherwise, the “average treatment effect on
the treated” will be given by:
(1)
TATT= E[Y (1)
/ D =1]− E[Y (0) / D =1]
However, accordingly, given that the
counterfactual (E[Y (0) / D = 1]) is not observed, a proper substitute has to
be chosen to estimate TATT. Using the mean outcome of
non-beneficiaries-which is more likely observed in most of the cases-do not
solve the problem given that there is a possibility that the variables that
determine the treatment decision also affect the outcome variables. In this
case, the outcome of treated and non-treated individuals might differ leading
to selection bias (González et al., 2009). To clarify this idea, the
mean outcome of untreated individuals has to be added to (1) from which the
following expression can be easily derived:
(2) TATT={E[Y (1) / D =1]− E[Y (0)
/ D =0]}−{E[Y (0) / D =1]− E[Y
(0) / D =0]}
Here E[Y (0) / D=
1]−E[Y (0) / D= 0] represents the selection bias
which will be equal to zero if treatment was given randomly which can be
achieved through the use of experimental approach.
The experimental
approach, according to Olmos A. 2015, has two characteristics: (1) it
manipulates the independent variable, that is, whether an individual receives
(or not) the intervention under scrutiny and (2) individuals are randomly
assigned to the independent variable. The first characteristic does not define
the experimental approach: most of the so-called quasi-experiments also
manipulate the independent variable. What defines the experimental method is
the use of random assignment (Olmos A., 2015). However, due to ethical or
logistical reasons, random assignment is not possible as to Olmos A. 2015
citing Bonell et al. 2009. Moreover,
accordingly, equivalent groups are not achieved despite the use of random
assignment which is known as randomization failure. Usual reasons why
randomization can fail are associated with missing data which happened in a
systematic way and sometimes can go undetected (Olmos A., 2015).
As a consequence of
randomization failure, or because of ethical or logistical reasons, in a very
large number of real-world interventions, experimental approaches are
impossible or very difficult to implement. However, if we are still interested
in demonstrating the causal link between our intervention and the observed
change, our options become limited. Some options include regression
discontinuity designs which can strengthen our confidence about causality by
selecting individuals to either the control or treatment condition based on a
cutoff score. Another alternative is propensity scores matching technique.
Propensity scores matching is a statistical technique that has proven useful to
evaluate treatment effects when using quasi-experimental or observational data
(Olmos A., 2015 citing Austin, 2011 and Rubin, 1983). Some of the benefits
associated with this technique, accordingly, are: (a) Creating adequate counterfactuals
when random assignment is infeasible or unethical, or when we are interested in
assessing treatment effects from survey, census administrative, or other types
of data, where we cannot assign individuals to treatment conditions. (b) The
development and use of propensity scores reduces the number of covariates
needed to control for external variables (thus reducing its dimensionality) and
increasing the chances of a match for every individual in the treatment group.
(c) The development of a propensity score is associated with the selection
model, not with the outcomes model, therefore the
adjustments are independent of the outcome. According to Olmos A. 2015,
propensity scores are defined as the conditional probability of assigning a
unit to a particular treatment condition (i.e., likelihood of receiving
treatment), given a set of observed covariates:
(z = i |X)
where z =
treatment, i = treatment condition, and X = covariates. In a two-group
(treatment, control) experiment with random assignment, the probability of each
individual in the sample to be assigned to the treatment condition is: (z = i│X)=0.5.
In a quasi-experiment, the probability (z = i│X) is unknown, but it can be
estimated from the data using a logistic regression model, where treatment
assignment is regressed on the set of observed covariates (the so-called selection
model). The propensity score then allows matching of individuals in the
control and treatment conditions with the same likelihood of receiving
treatment. Thus, a pair of participants (one in the treatment, one in the
control group) sharing a similar propensity score are seen as equal, even
though they may differ on the specific values of the covariates (Olmos A. 2015
citing Holmes 2014).
Data and Variables
The data utilized for this study is acquired
from farm household survey undertaken during 2015/16 by Ethiopian Institute of
Agricultural Research (EIAR) in collaboration with the International Maize and
Wheat Improvement Center (CIMMYT). The sampling frame covered seven major wheat
growing agro-ecological zones that accounted for over 85% of the national wheat
area and production distributed in the four major administrative regions of
Ethiopia- Amhara, Oromia, Tigray as well as South Nations, Nationalities and
Peoples (SNNP). A multi-stage stratified sampling procedure was used to select
villages from each agro-ecology, and households from each “kebele”/village.
First, agro-ecological zones that account for at least 3% of the national wheat
area each were selected from all the major wheat growing regional states of the
country mentioned above. Second, based on proportionate random sampling, up to
21 villages in each agro-ecology, and 15 to 18 farm households in each village
were randomly selected. The data was collected using a pre-tested interview
schedule by trained and experienced enumerators who speak the local language
and have good knowledge of the farming systems. Moreover, the data collection
process was supervised by experienced researchers to ensure the quality of the
data.
Productivity
stands for the productivity of wheat per unit of land cropped measured in kilogram
per hectare.
LnProductivity stands
for the natural logarithmic transformation of Productivity.
HHAGE stands for the age of a household head.
HHSEX is a dummy variable indicating the sex
of a household head where HHSEX = 1 if the head is male and 0 if otherwise.
FAMILY_SIZE stands for size of a household.
HHEDU is a dummy variable indicating whether
a household head is literate where HHEDU = 1 if the head is literate/able to
read and write/ and 0 if otherwise.
CREDIT is a dummy variable indicating
household's access to credit where CREDIT = 1 if the household has got the
credit it needed in 2013 and 0 if otherwise.
LANDHOLDING_SIZE stands for size of the land
holding of a household measured in hectare.
DSTMNMKT stands for distance to the nearest
main market from residence measured in kilometer.
OXEN stands for the
total number of oxen owned by a household.
TNOTRAREDS stands for the total number of
traders known by a household who could buy the produced grain.
EXCONTACT is a dummy variable indicating
whether a household had contact with government extension workers where
EXCONTACT = 1 if the household had got contact with government extension
workers and 0 if otherwise.
RESULTS AND
DISCUSSIONS
Descriptive
Statistics
Various variables that were included in the propensity
score matching model that describe the major observed characteristics of the
sample respondents are presented in in table 1. While the average productivity
of full and partial adopters of modern
technologies & information is 1.76 and 1.34 ton per hectare respectively, that of non-adopters of modern technologies & information is only 0.93 ton per
hectare. Thus, it tentatively shows
that there is significant difference in productivity level between these two pairs
of groups of households. Some
of the most important demographic determinants that influence adoption of a
technology include family size, level of education and age. There exists a significant difference
between adopters and non-adopters of wheat technology and information in terms
of these demographic factors as depicted by the descriptive statistics. Male-headed households were found to be more probable
in adopting improved wheat technology package fully and partially which is in line with the fact
that female-headed households
are endowed with less resource and are less exposed to new information and ideas according to Admassie and Ayele 2004. Besides, the descriptive statistics show that literate-headed household are more probable in adopting
improved wheat technology package fully. This might be because education may
make farmers more receptive to advice from an extension agent or more able to
deal with technical recommendations that require a certain level of numeracy or
literacy (Admassie and Ayele,
2004). On the other hand, households
with relatively larger family size are less likely to adopt improved wheat
technology package fully and partially which is a bit contradictory to the fact
that such households, on one hand, do not face labor shortage that may be needed
to manage the increased output which resulted from technology and information
adoption and, on the other hand, higher family size necessitates increased
productivity to feed the family. Farmers
with relatively smaller land holding size tend to adopt improved wheat
technology package fully and partially which is in line with the fact that certain technologies may be appropriate for the intensive management
characteristic of smaller farms as to Admassie and Ayele 2004. Moreover, those farmers who had contact with
government extension workers are more likely to adopt improved wheat technology
package fully and partially than those that had not.
Table 1(a): Descriptive statistics of important variables
used in the probit
model-Propensity score matching
|
Variables |
Unit |
Full Adopters of
Modern Technologies & Information Mean(se) |
Non-Adopters of
Modern Technologies & Information Mean(se) |
Aggregate Mean(se) |
t-stat. |
|
Outcome variable |
|
|
|
|
|
|
Productivity |
# |
1756.79(30.70) |
931.48(214.35) |
1750.74(30.58) |
-2.305** |
|
LnProductivity |
% |
7.29(0.019) |
6.60(0.248) |
7.28(0.019) |
-3.16*** |
|
Variables that affect probability of
adoption |
|
|
|
|
|
|
HHAGE |
# |
45.50(0.35) |
49.89(6.25) |
45.53(0.35) |
1.06 |
|
HHSEX
(Male=1) |
1=Yes |
0.912(0.008) |
0.78(0.15) |
0.911(0.008) |
-1.41* |
|
FAMILY_SIZE |
# |
6.64(0.064) |
8.33(0.93) |
6.65(0.064) |
2.25** |
|
HHEDU (Read & write=1) |
1=yes |
0.66(0.014) |
0.33(0.17) |
0.65(0.014) |
-2.03** |
|
CREDIT |
1=yes |
0.079(0.008) |
0(0) |
0.078(0.008) |
-0.88 |
|
LANDHOLDING_SIZE |
ha |
1.56(0.037) |
2.7(0.903) |
1.56(0.037) |
2.65*** |
|
DSTMNMKT |
km |
9.09(0.172) |
9.78(0.662) |
9.09(0.171) |
0.35 |
|
OXEN |
# |
2.19(0.048) |
1.67(0.24) |
2.18(0.047) |
-0.94 |
|
TNOTRAREDS |
# |
4.45(0.161) |
3.33(1.01) |
4.44(0.16) |
-0.59 |
|
EXCONTACT |
1=yes |
0.89(0.009) |
0(0) |
0.884(0.0092) |
-8.53*** |
***,
**, * indicate significance at 1 percent, 5 percent and 10 percent level respectively.
Source: Own
computation, 2018
Table 1(b): Descriptive statistics of important variables
used in the probit
model-Propensity score matching
|
Variables |
Unit |
Partial Adopters of
Modern Technologies & Information Mean(se) |
Non-Adopters of
Modern Technologies & Information Mean(se) |
Aggregate Mean(se) |
t-stat. |
|
Outcome variable |
|
|
|
|
|
|
Productivity |
# |
1341.69(42.48) |
931.48(214.35) |
1332.25(41.88) |
-1.47* |
|
LnProductivity |
% |
7.01(0.034) |
6.605(0.248) |
6.997(0.034) |
-1.77** |
|
Variables that affect probability of adoption |
|
|
|
|
|
|
HHAGE |
# |
47.24(0.698) |
49.89(6.25) |
47.30(0.695) |
0.57 |
|
HHSEX
(Male=1) |
1=Yes |
0.929(0.0131) |
0.78(0.147) |
0.9258(0.0133) |
-1.72** |
|
FAMILY_SIZE |
# |
6.33(0.108) |
8.33(0.93) |
6.38(0.108) |
2.79*** |
|
HHEDU (Read & write=1) |
1=yes |
0.542(0.0255) |
0.33(0.167) |
0.537(0.0252) |
-1.24 |
|
CREDIT |
1=yes |
0.039(0.00995) |
0(0) |
0.038(0.0097) |
-0.605 |
|
LANDHOLDING_SIZE |
ha |
1.475(0.066) |
2.7(0.903) |
1.503(0.0685) |
2.70*** |
|
DSTMNMKT |
km |
8.94(0.283) |
9.78(0.662) |
8.96(0.277) |
0.455 |
|
OXEN |
# |
1.79(0.091) |
1.67(0.236) |
1.78(0.089) |
-0.2 |
|
TNOTRAREDS |
# |
3.91(0.248) |
3.33(1.014) |
3.9(0.243) |
-0.36 |
|
EXCONTACT |
1=yes |
0.675(0.024) |
0(0) |
0.6598(0.024) |
-4.32*** |
***,
**, * indicate significance at 1 percent, 5 percent and 10 percent level
respectively.
Source: Own computation, 2018
Propensity Scores
Estimation using Probit Model
The descriptive statistics
of the key variables affecting adoption of improved wheat technology
package has shown a tentative impact of
improved wheat technology package
adoption on increasing productivity. Nevertheless, a mere comparison of
productivity has no causal meaning since improved wheat technology
package adoption is endogenous. And it
is difficult to attribute the change to adoption of improved wheat technology
package since the difference in
productivity might be owing to other determinants. To this end, a rigorous
impact evaluation method; namely, Propensity Score Matching has to be employed
to control for observed characteristics and determine the actual attributable
impact of improved wheat technology package adoption on productivity in wheat producing areas of Ethiopia.
Propensity scores for full adopters and non-adopters as well as for partial
adopters and non-adopters were estimated using a probit
model to compare the treatment group with the control group. In this regard, only
those variables that significantly affect probability of full and partial improved
wheat technology package adoption were used in
estimating the propensity scores. The test for ‘balancing condition’ across the
treatment and control groups was done and the result as indicated on figure 1
proved that the balancing condition is satisfied.
Each observation’s
propensity scores are calculated using a probit
model. The propensity score for full adopters ranges between 0.591009 and
0.9997821 while it ranges between 0.58267 and 0.978982 for non-adopters. And
the region of common support for the distribution of estimated propensity
scores of full adopters and non-adopters ranges between 0.59100901 and
0.99978208. When matching techniques are employed, observations whose
propensity score lies outside this range were discarded. The visual
presentation of the distributions of the propensity scores is plotted in figure
1(a). The common support condition is satisfied as indicated by the density
distributions of the estimated propensity scores for the treatment and control
groups as there is substantial overlap in the distribution of the propensity
scores of both full adopters and non-adopters. On the other hand, the
propensity score for partial adopters ranges between 0.5600793 and 0.9945421
while it ranges between 0.8195451 and 0.9729395 for non-adopters. And the
region of common support for the distribution of estimated propensity scores of
partial adopters and non-adopters ranges between 0.56007927 and 0.99454209. When
matching techniques are employed, observations whose propensity score lies
outside this range were discarded. The visual presentation of the distributions
of the propensity scores is plotted in figure 1(b). The common support
condition is satisfied as indicated by the density distributions of the
estimated propensity scores for the treatment and control groups as there is
substantial overlap in the distribution of the propensity scores of both
partial adopters and non-adopters.

Figure 1(a):
Distribution of propensity scores of full adopters and non-adopters

Figure 1(b):
Distribution of propensity scores of partial adopters and non-adopters
Assessing Matching Quality
Ensuring good balance between treated and control group is the most
important step in using any propensity score
method. The before
and after matching covariate balancing tests presented on table 2 suggested
that the proposed specification of the propensity score is fairly successful in
balancing the distribution of covariates between the two groups as indicated by decreasing pseudo R2 for
the partial adopters vs. non-adopters case, decreasing mean standardized bias and the
insignificant p-values of the likelihood ratio test.
Table
2(a): Propensity score matching quality test
|
Sample |
Ps R2 |
LR chi2 |
p>chi2 |
Meanbias |
Medbias |
R |
%Var |
|
Unmatched |
0.163 |
10.94 |
0.027 |
122.4 |
66.3 |
1.37 |
100 |
|
Matched |
0.203 |
75.47 |
0.000 |
49.2 |
51.4 |
2.36* |
100 |
*
if B>25%, R outside [0.5; 2]
Table
2(b): Propensity score matching quality test
|
Sample |
Ps R2 |
LR chi2 |
p>chi2 |
Meanbias |
Medbias |
R |
%Var |
|
Unmatched |
0.097 |
6.41 |
0.093 |
93.3 |
63.6 |
1.19 |
100 |
|
Matched |
0.080 |
27.50 |
0.000 |
19.5 |
21.1 |
2.51* |
50 |
*
if B>25%, R outside [0.5; 2]
Average treatment effects estimation
Different impact
estimators were employed to get estimated treatment effect that disclosed full
as well as partial adoption of improved wheat technology package has a positive and significant impact on
productivity growth. Table 3 depicts the average impact of improved
wheat technology package adoption on
productivity growth following nearest neighbor matching (NNM), Stratification
Matching, Radius (Caliper) Matching and Kernel Matching
(KM) techniques. Accordingly, most of the matching techniques revealed that on
the average full adopters of improved wheat technology package get a significantly higher rate of growth in
productivity, ranging from 51 to 55%, than their counterparts, the
non-adopters. Moreover, half of the matching techniques revealed that on the
average partial adopters of improved wheat technology package get a significantly higher rate of growth in
productivity, ranging from 38 to 51%, than their counterparts, the non-adopters. However, the growth rate of full package
adopters that includes improved wheat varieties, information regarding
improved wheat management practices as well as artificial/chemical fertilizer is clearly higher than that of the partial
package adopters.
Table
3(a): Average treatment effects estimation using different propensity score
matching estimators
|
Outcome variable |
Matching algorithm |
Mean of outcome variable based on matched observations |
ATT |
t-stat. |
|
|
Full
Adopters |
Non-Adopters |
||||
|
LnProductivity |
Nearest neighbor matching |
7.17 |
6.62 |
0.548 |
1.439* |
|
Stratification
matching |
|
|
0.394 |
. |
|
|
Caliper matching |
6.92 |
6.53 |
0.388 |
1.035 |
|
|
Kernel matching |
7.17 |
6.66 |
0.508 |
2.181** |
|
**, * indicate significance at 5 percent and
10 percent level respectively.
Bootstrapped standard errors are based on 100
replications.
Source:
Own computation, 2018
Table
3(b): Average treatment effects estimation using different propensity score
matching estimators
|
Outcome variable |
Matching algorithm |
Mean of outcome variable based on matched observations |
ATT |
t-stat. |
|
|
Partial Adopters |
Non-Adopters |
||||
|
LnProductivity |
Nearest neighbor matching |
7.01 |
6.59 |
0.428 |
1.209 |
|
Stratification
matching |
|
|
0.226 |
0.858 |
|
|
Caliper matching |
7.36 |
6.84 |
0.514 |
1.605* |
|
|
Kernel matching |
7.01 |
6.63 |
0.383 |
1.836** |
|
**, * indicate significance at 5 percent and
10 percent level respectively.
Bootstrapped standard errors are based on 100
replications.
Source:
Own computation, 2018
CONCLUSION AND RECOMMENDATION
This study is undertaken to identify the
impact of adoption of improved wheat technology package that includes improved wheat varieties,
information regarding improved wheat management practices as well as
artificial/chemical fertilizer on wheat productivity in Ethiopia. It used
propensity score matching technique which is a robust impact evaluation
technique that identifies the impact which can be attributed to improved wheat
technology package adoption. The study also employed and compared various
matching algorithms to ensure robustness of the impact estimates. Finally, the
study concludes that adoption of improved wheat technology package enabled farm
households that adopted it fully to enjoy a relatively higher and significantly
positive productivity than their counterparts, the non-adopters as well as the partial adopters. This
indicates that full adoption of improved wheat technology package has a huge
potential in strengthening the country’s agricultural extension system that
targets increasing production and productivity. Therefore, this study
recommends to widely scale-up full package of improved wheat varieties and
information as well as other appropriate modern agricultural technologies and
information to all wheat producing farm households, and this should be
accompanied by increasing availability of affordable improved wheat
agricultural technologies and information for the smallholder farmers to
enhance their livelihood which obviously calls for the well-coordinated,
effective as well as efficient effort of all of the relevant stakeholders of
the agricultural sector of the country.
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Cite this Article: Baye B; Fitsum D; Eyob B (2019). Impact
of Improved Wheat Technology Package Adoption on Productivity in Ethiopia.
Greener Journal of Agricultural Sciences 9(1): 76-85, http://doi.org/10.15580/GJAS.2019.1.122118180. |