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  • 1.
    Andersson, Camilla
    Umeå University, Faculty of Social Sciences, Department of Economics.
    Can a social safety net affect farmers crop portfolios? A study of the productive safety net programme in Ethiopia.2010Report (Other academic)
    Abstract [en]

    In this paper, we examine whether a minimum level of ensured consumption from a social safety net has the potential of breaking the vicious circle of risk avoidance and low return in African agriculture. We study how the implementation of a social safety net programme in Ethiopia has affected the value, risk and composition of farmers’ crop portfolios. The effects of programme participation on the value and risk of the crop portfolio are examined in a Just-Pope production function, and the effects of programme participation on composition of the crop portfolio are tested in a set of acreage response models. The empirical analysis is based on unique household panel data that allow us to control for unobserved heterogeneity. No significant effect on the value and risk of the crop portfolio could be found. However, the programme seems to have brought about some changes in the land allocated to different crops. The greatest effect is towards increased cultivation of perennials, which are high-value, high-risk crops in this part of Ethiopia.

  • 2.
    Andersson, Camilla
    Umeå University, Faculty of Social Sciences, Department of Economics.
    Changing the risk at the margin: Smallholder farming and public policy in developing countries2010Doctoral thesis, comprehensive summary (Other academic)
    Abstract [en]

    This thesis consists of a summary and four self-contained papers.

    Paper [I] examines whether the implementation of a social safety net programme in Ethiopia has affected the value, risk and composition of farmers‟ crop portfolios. The empirical analysis suggests that the value and risk of the crop portfolio have not been altered due to the programme. However, the programme seems to have brought about some changes in the land allocated to different crops.

    Paper [II] studies how a social safety net affects farmers‟ (dis)investments in productive assets. More specifically, it studies how the Productive Safety Net Programme in Ethiopia has changed livestock and tree holdings. The results indicate no significant effect on livestock holdings, but a significant increase in tree holdings.

    Paper [III] investigates if there is a problem of adverse selection in formal microlending in rural Bangladesh. The results indicate that farmers who only borrow formally have a shadow price of capital that is substantially higher than the average informal interest rate. This suggests that farmers that only borrow formally are perceived as poor credit risks by informal lenders.

    Paper [IV] explores the economic incentives surrounding the cultivation of opium poppy in Afghanistan. Specifically, it examines the impact of eradication policies when opium is used as a means of obtaining credit, and when the crops are produced in sharecropping arrangements. The results indicate that both these features are likely to affect the outcome of eradication policies.

  • 3.
    Andersson, Camilla
    et al.
    Umeå University, Faculty of Social Sciences, Department of Economics.
    Dalin, Torbjörn
    Umeå University, Faculty of Social Sciences, Department of Economics.
    Stage, Jesper
    Umeå University, Faculty of Social Sciences, Department of Economics.
    MacGregor, James
    The socio-economic impacts of opium eradication in South-East Asia2006In: Impact assessment of crop eradication in Afghanistan and lessons learned from Latin America and South East Asia, London: The Senlis Council , 2006, p. 85-110Chapter in book (Other (popular science, discussion, etc.))
  • 4.
    Andersson, Camilla
    et al.
    Umeå University, Faculty of Social Sciences, Department of Economics.
    Mekonnen, Alemu
    Department of Economics, Addis Ababa University.
    Stage, Jesper
    Department of Economics, University of Gothenburg.
    Impacts of the productive safety net program in Ethiopia on livestock and tree holdings of rural households2011In: Journal of Development Economics, ISSN 0304-3878, E-ISSN 1872-6089, Vol. 94, no 1, p. 119-126Article in journal (Refereed)
    Abstract [en]

    We evaluated the impacts of the Ethiopian Productive Safety Net Program (PSNP) on rural households' holdings of livestock and forest assets/trees. We found no indication that participation in PSNP induces households to disinvest in livestock or trees. In fact, households that participated in the program increased the number of trees planted, but there was no increase in their livestock holdings. We found no strong evidence that the PSNP protects livestock in times of shock. Shocks appear to lead households to disinvest in livestock, but not in trees. Our results suggest that there is increased forestry activity as a result of PSNP, and that improved credit access encourages households to increase their livestock holdings.

  • 5.
    Andersson, Camilla
    et al.
    Umeå University, Faculty of Social Sciences, Department of Economics.
    Stage, Jesper
    Institutionen för nationalekonomi med statistik, Göteborgs universitet.
    Holmgren, Erik
    Umeå University, Faculty of Social Sciences, Department of Economics.
    MacGregor, James
    International Institute for Environment and Development, United Kingdom.
    Formal microlending and adverse (or non-existent) selection a case study of shrimp farmers in Bangladesh2011In: Applied Economics, ISSN 0003-6846, E-ISSN 1466-4283, Vol. 43, no 28, p. 4203-4213Article in journal (Refereed)
    Abstract [en]

    Microcredit schemes have become a popular means of improving smallholders' access to credit and making long term investment possible. However, it remains to be explored whether the current microcredit schemes are more successful than earlier formal small scale lending in identifying successful borrowers. We studied shrimp farming in a rural region in Bangladesh where formal microlending is well established, but where more expensive informal microlending coexists with the formal schemes. Farmers - both those who exclusively use formal loans and those who also use informal loans - remain credit-constrained; both types overutilize labour in order to reduce the need for working capital. However, the credit constraint is actually milder for the informal borrowers: the implicit shadow price of working capital is substantially higher in the group that only takes formal loans than in the group that also uses informal loans. These results suggest that informal lenders - with their closer ties to the individual farmers - remain more successful in identifying those smallholder farmers that are most likely to use the borrowed funds successfully. Informal lenders have an information advantage that formal microlenders lack: the latter need to find routes to access this information in order for formal microcredit schemes to succeed.

  • 6. Hultkrantz, Lars
    et al.
    Lindberg, Gunnar
    Andersson, Camilla
    Umeå University, Faculty of Social Sciences, Department of Economics.
    The value of improved road safety2006In: Journal of Risk and Uncertainty, ISSN 0895-5646, E-ISSN 1573-0476, Vol. 32, no 2, p. 151-170Article in journal (Refereed)
    Abstract [en]

    We report the results of a contingent valuation study for finding a conservative estimate of the value-of-statistical-life in an urban road safety context in Sweden. We estimate the value of both a private-good device and a public-good safety program. The reduction of risk is communicated with a "community analogy" representation of the "Vision Zero" target of the national traffic-safety policy. According to this target, the road-traffic system should be designed so as to prevent accidents when they happen to lead to fatalities or severe injuries. We use the "certainty approach" for ex-post correction of results to remove or mitigate hypothetical bias of responses. As expected we find insensitivity of responses in the full sample to the size of the risk reduction being valued. By our approach we can compute a conservative estimate, based on answers from fully confident respondents, of the value of the largest possible safety enhancement (i.e. fulfilment of the "Vision Zero"). This lower bound estimate indicates a higher average willingness-to-pay for public safety-improving measures than currently assumed in benefit-cost assessments. We also find that the willingness to pay is considerably lower within a public-good than a private-good framework and a weak indication of sensitivity to scale among the most confident respondents.

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