Doctoral Student Seminar-Role of Agricultural Cooperatives in Poverty Reduction in Nepal: An Empirical Analysis

Dinesh Dhakal
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Add to Calendar 2020-11-09 12:00:00 2020-11-09 13:00:00 Doctoral Student Seminar-Role of Agricultural Cooperatives in Poverty Reduction in Nepal: An Empirical Analysis Pre-registration is required here. Abstract: Cooperatives refer to producer-owned and controlled organizations that improve farmers' livelihoods by correcting market failure. Policymakers consider cooperatives as an appropriate tool for poverty reduction of smallholders. The government of Nepal has been prioritizing cooperative development as a tool for poverty reduction in Nepal, where most farmers are smallholders and poor. In this connection, this dissertation research examines poor farmers' access to agricultural cooperatives and the impact of membership on their crop income in Nepal. This study is based on a household survey of 573 rural farm families and Key Informant Interviews of 37 managers of agricultural cooperatives. The focus of this presentation will be on the determinants of cooperative membership. This study predicts cooperative membership with household characteristics (including demographic and geographic information) and village characteristics. In addition, some of our models use village location dummies rather than village characteristics. It identifies some key determinants that influence cooperative membership. Those determinants are the ethnicity of a family, the ethnicity of a neighborhood, smallholder land size, distance to agricultural cooperatives, distance to the nearest local market, and distance to a motorable road. This study uses a weighted sample to adjust our survey to reflect population estimates; however, there were no observed changes in the direction and significance of the variables in weighted specifications compared to unweighted sample specifications. Zoom Harry S Truman School of Public Affairs truman@missouri.edu America/Chicago public

Pre-registration is required here.

Abstract:

Cooperatives refer to producer-owned and controlled organizations that improve farmers' livelihoods by correcting market failure. Policymakers consider cooperatives as an appropriate tool for poverty reduction of smallholders. The government of Nepal has been prioritizing cooperative development as a tool for poverty reduction in Nepal, where most farmers are smallholders and poor. In this connection, this dissertation research examines poor farmers' access to agricultural cooperatives and the impact of membership on their crop income in Nepal. This study is based on a household survey of 573 rural farm families and Key Informant Interviews of 37 managers of agricultural cooperatives. The focus of this presentation will be on the determinants of cooperative membership.

This study predicts cooperative membership with household characteristics (including demographic and geographic information) and village characteristics. In addition, some of our models use village location dummies rather than village characteristics. It identifies some key determinants that influence cooperative membership. Those determinants are the ethnicity of a family, the ethnicity of a neighborhood, smallholder land size, distance to agricultural cooperatives, distance to the nearest local market, and distance to a motorable road. This study uses a weighted sample to adjust our survey to reflect population estimates; however, there were no observed changes in the direction and significance of the variables in weighted specifications compared to unweighted sample specifications.

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