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The Role Of Schooling In The Alleviation Of Rural Poverty In Ethiopia

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  • Woldehanna, Tassew

Abstract

The impact of education on farmers' choice of activities and household welfare are modelled and estimated using farm household data for rural Ethiopia. We find that education has significant effects on household welfare. Schooling increases the adoption of new technologies and facilitates entry into highly profitable farm and non-farm activities, all of which may increase welfare and help farm households escape out of income poverty. An additional year of schooling in a household increases the welfare by 8.5 percent. These findings provide a rationale to governments and donor organisations to include the expansion of rural schooling (through encouragement of parents to send their children to school) in their policy reform as a means of reducing material deprivation.

Suggested Citation

  • Woldehanna, Tassew, 2003. "The Role Of Schooling In The Alleviation Of Rural Poverty In Ethiopia," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25877, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae03:25877
    DOI: 10.22004/ag.econ.25877
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    References listed on IDEAS

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    1. Davidson, Russell & MacKinnon, James G., 1993. "Estimation and Inference in Econometrics," OUP Catalogue, Oxford University Press, number 9780195060119.
    2. Smith, Richard J & Blundell, Richard W, 1986. "An Exogeneity Test for a Simultaneous Equation Tobit Model with an Application to Labor Supply," Econometrica, Econometric Society, vol. 54(3), pages 679-685, May.
    3. Welch, F, 1970. "Education in Production," Journal of Political Economy, University of Chicago Press, vol. 78(1), pages 35-59, Jan.-Feb..
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    Cited by:

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