Locking crops to unlock investment: Experimental evidence on warrantage in Burkina Faso

Clara Delavallade and Susan Godlonton

Journal of Development Economics, 2023, vol. 160, issue C

Abstract: Warrantage is an innovative model of rural finance with the potential to overcome credit, crop storage, and behavioral constraints through a localized inventory credit system. Using a randomized controlled trial varying household level access to warrantage, we measure its impacts among households interested in participating. Among treated households, take-up of storage is high, while credit take-up is moderate. Treated households primarily store grains sell their production over an extended period, at a time when prices are higher resulting in higher sales revenue. Increased incomes are spent on long-term investments, including education, livestock, and agricultural inputs for the subsequent year.

Keywords: Rural finance; Inventory credit; Storage; Burkina Faso (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0304387822001031
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Locking Crops to Unlock Investment: Experimental Evidence on Warrantage in Burkina Faso (2020)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:deveco:v:160:y:2023:i:c:s0304387822001031

DOI: 10.1016/j.jdeveco.2022.102959

Access Statistics for this article

Journal of Development Economics is currently edited by M. R. Rosenzweig

More articles in Journal of Development Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().