Effect of off‐farm income on smallholder commercialization: panel evidence from rural households in Ethiopia
利用埃塞俄比亚农村家庭三波面板数据，研究发现非农收入不影响农户是否参与作物销售，但会减少已参与农户的销售量，因为非农收入主要用于消费而非农业投资。
Abstract This article investigates how off‐farm income affects crop output market participation decisions and marketed surplus of smallholder farmers in Ethiopia. A double‐hurdle model is estimated using three waves of panel data from the Ethiopian Rural Household Survey. Unobserved heterogeneity is controlled for using a correlated random effect procedure and potential endogeneity of explanatory variables using a control function approach. The results show that off‐farm income has no significant influence on household crop output market participation. However, conditional on market participation, additional off‐farm earnings negatively affect the marketed surplus. This indicates that farmers use off‐farm earnings for consumption rather than for investment in agricultural production. Policy measures that promote rural investment may help increase returns to labor for land‐poor households participating in off‐farm work in the process of agricultural commercialization.