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Does size of operated area matter? Evidence from Malawi's agricultural production

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  • Matchaya, Greenwell C.

Abstract

The objective of this paper was to examine the relationship between farm size and agricultural productivity using data from Malawi. This paper has examined the relationship using ordinary least squares regression with heteroskedasticity consistent covariance matrix (HC3) standard errors having confirmed absence of endogeneity of farm size. The major finding is that, contrary to the findings of earlier studies which reported a positive relationship, there is strong evidence that probably the post market liberalization period (1990s) became characterized by an inverse farm size productivity relationship. This finding suggests that well-thought-after land and credit market interventions or land redistribution from the rich to the land poor households would possibly raise total output thorough productivity gains.

Suggested Citation

  • Matchaya, Greenwell C., 2007. "Does size of operated area matter? Evidence from Malawi's agricultural production," MPRA Paper 11948, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:11948
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    References listed on IDEAS

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    Cited by:

    1. Katengeza, Samson P. & Holden, Stein T. & Fisher, Monica, 2019. "Use of Integrated Soil Fertility Management Technologies in Malawi: Impact of Dry Spells Exposure," Ecological Economics, Elsevier, vol. 156(C), pages 134-152.
    2. Benjamin Tetteh Anang & Stefan Bäckman & Antonios Rezitis, 2016. "Does farm size matter? Investigating scale efficiency of peasant rice farmers in northern Ghana," Economics Bulletin, AccessEcon, vol. 36(4), pages 2275-2290.

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    More about this item

    Keywords

    Farm size; Productivity; Inverse Relationship; Malawi;
    All these keywords.

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

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