Land Fragmentation with Double Dividends -- The Case of Tanzanian Agriculture

X. Rao*

*Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

4 Citations (Scopus)

Abstract

This study evaluates the economic effects of land fragmentation on agricultural production and hypothesises that fragmentation may benefit farmers by diversifying production risk among separate land plots with heterogeneous agronomic conditions. Applying a stochastic production frontier model to the Tanzania Living Standards Measurement Study data, we find robust evidence to support the risk-reduction hypothesis, as well as indications that fragmentation is positively associated with technical efficiency. We argue the low level of fragmentation in Tanzania may have limited its negative impact on efficiency, while crop diversification concurrent with fragmentation may have increased efficiency, leaving the net effect to be positive.
Original languageEnglish
Pages (from-to)609-635
JournalEuropean Review of Agricultural Economics
Volume46
Issue number4
Early online date17 Oct 2018
DOIs
Publication statusPublished - Sep 2019

Keywords

  • agricultural productivity
  • land fragmentation
  • risk management
  • stochastic production frontier
  • Tanzania

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