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Category: Economics

Gender Differences in Agricultural Productivity

This week in my development seminar, we discussed the agricultural household, an economic agent that encompasses is both a producer and a consumer. We then discussed intrahousehold allocations. That is, the distribution of resources within the household, and whether that distribution is efficient.

As part of that discussion, we discussed Udry (1996), a paper every student of development economics is familiar with. Whereas one would expect men and women to be equally productive on their respective plots within the household, Udry finds that in Burkina Faso, men are more productive than women at the margin when controlling for a host of confounding factors.

In practical terms, this means that the land within the average household could be redistributed from women to men to increase household productivity, which falls about 6 percent short of what it could be due to the gender differences in agricultural productivity. More generally, this constitutes a rejection of the hypothesis that the distribution of resources within the household is efficient as well as a rejection of the hypothesis that the preferences of the individuals within the household can be represented by the preferences of a single individual.

I was thus surprised last spring when I read in Ed Carr’s Delivering Development that he’d found that in Ghana, the gender difference went the other way around, i.e., women are more productive than men. Indeed, in chapter 4, Ed writes:

This decision-making becomes even more problematic when we consider the relative agricultural productivity of men and women in Dominase and Ponkrum. My research suggests that women in these villages are between two and three times more productive than their husbands, in terms of income per hectare. While to some extent this is a result of the fact that women farm much less land and therefore can crop it much more intensely than their husbands can their lands, this higher productivity is apparent even when women’s farms increase in size.

Of course, this would need to be subjected to the proper empirical specification and to a battery of statistical tests, but assuming the finding holds, it would be interesting to compare the two countries given that Burkina Faso and Ghana share a border. Is the change in gender differences due to different institutions? Different crops? I’m sure Ed will chime in with a bit more discussion in the comments below.

Food Prices in August

Seeing as to how I am on the topic of food prices today:

The Food and Agriculture Organization (FAO) of the United Nations’ food price index averaged 231 points in August 2011, nearly unchanged from July and 26 percent higher than in August 2010. The FAO cereal price index averaged 253 points in August, up 2.2 percent, or 5 points, from July and 36 percent higher than in August 2010. The FAO oils and fats price index averaged 244 points in August, following a declining trend since March but still remaining high in historical terms. The  FAO dairy price index averaged 221 points in August, significantly down from 228 points in July and 232 points in June but still 14 percent higher than the same period last year. The FAO meat price index averaged 181 points in August, up 1 percent from July. The FAO Sugar Price Index averaged 394 points in August, down 2 percent from July, but still 50 percent higher than in August 2010.

More here (link opens a .pdf document). Overall, this is not very reassuring considering that the world’s poor mostly consume cereals and that the cereal price index is the one sub-index that keeps increasing.

 

Migration to Stimulate the Global Economy?

I have long believed that immigration is the key to our fiscal woes. The only way Americans will be able to afford and enjoy programs like Social Security and Medicare in the future (i.e., when the baby boom generation retires and there are relatively fewer workers to pay for social programs) is to allow would-be workers into the country so they can work (and stimulate demand) and pay taxes.

post by the Center for Global Development’s Michael Clemens on the Guardian‘s Poverty Matters blog makes a broader point: