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Impacts of tertiary canal irrigation -- impact evaluation of an infrastructure project

Author

Listed:
  • Ito, Seiro
  • Ohira, Satoshi
  • Tsukada, Kazunari

Abstract

We estimate the economic impacts of irrigation using the panel data set from rural Thailand. We employed difference-in-differences estimation and showed that tertiary irrigation has unexpected impacts. Contrary to the local experts predicitions that it should have substantial productivity impacts as it allows better water controls for farmers, we found largely zero profitability impacts. Another unexpected finding is that, while profitability is not affected, we see an increase in cultivation probability with the construction of tertiary canals. This is observed in both wet and dry seasons. This finding suggests that Thai farmers are willing to expand operation scale once they get water.

Suggested Citation

  • Ito, Seiro & Ohira, Satoshi & Tsukada, Kazunari, 2016. "Impacts of tertiary canal irrigation -- impact evaluation of an infrastructure project," IDE Discussion Papers 596, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    • Handle: RePEc:jet:dpaper:dpaper596
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    File URL: https://ir.ide.go.jp/?action=repository_action_common_download&item_id=37590&item_no=1&attribute_id=22&file_no=1
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    More about this item

    Keywords

    Canals; Infrastructure; Agriculture; Impact evaluation of infrastructure; Tertiary canals; Cultivation;
    All these keywords.

    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

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