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Constraints to Tanzanian Agricultural Development: Input Use in Households Under Non-Separability

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  • Dickinson, Jeffrey

Abstract

This paper builds on the literature testing for labor market inefficiencies in developing countries. Empirical tests using a panel data survey from Tanzania first reject the homogeneity of family and hired labor, and then reject labor market separation or completeness. Further tests for the efficient allocation of manure among plots reject, revealing that agricultural households face considerable constraints in factor markets. All rejections, except hired harvest labor, are robust to the inclusion of household-specific effects, and control for heterogenous household preferences, and village-specific shocks. I incorporate high-resolution annual population estimates from the LandScan database, which uses satellite imagery to construct population estimates, and find that in areas with higher population density, less family labor is used and more hired labor is used.

Suggested Citation

  • Dickinson, Jeffrey, 2020. "Constraints to Tanzanian Agricultural Development: Input Use in Households Under Non-Separability," MPRA Paper 98078, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:98078
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    References listed on IDEAS

    as
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    4. Bardhan, Pranab K, 1973. "Size, Productivity, and Returns to Scale: An Analysis of Farm-Level Data in Indian Agriculture," Journal of Political Economy, University of Chicago Press, vol. 81(6), pages 1370-1386, Nov.-Dec..
    5. Sarah Gavian & Marcel Fafchamps, 1996. "Land Tenure and Allocative Efficiency in Niger," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(2), pages 460-471.
    6. Benjamin, Dwayne, 1992. "Household Composition, Labor Markets, and Labor Demand: Testing for Separation in Agricultural Household Models," Econometrica, Econometric Society, vol. 60(2), pages 287-322, March.
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    More about this item

    Keywords

    development; labor; agricultural labor; agriculture; Tanzania;
    All these keywords.

    JEL classification:

    • J1 - Labor and Demographic Economics - - Demographic Economics
    • J43 - Labor and Demographic Economics - - Particular Labor Markets - - - Agricultural Labor Markets
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • Q00 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - General
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness
    • Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services

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