Rural Non-Farm Engagement and Agriculture Commercialization in Ghana: Complements or Competitors?
Abdelkrim Araar (),
Edinam Dope Setsoafia and
Working Papers PMMA from PEP-PMMA
We used an endogenous switching probit and a generalized structural equation model (GSEM) to assess the effect of non-farm participation on householdersâ€™ decisions to sell and on the level of commercialization of agricultural goods in Ghana. For this study, we used the Ghana Living Standards Survey for the years 2012-2013 and found that non-farm participation consistently increased both the probability of selling crops and quantities sold. We concluded that non-farm engagement by farmers boosts market participation and commercialization in Ghana, implying that non-farm engagement and agricultural commercialization are complementary. Developing the agricultural sector requires the government to create the conditions necessary to stimulate farmersâ€™ participation in non-farm activities.
Keywords: Non-farm participation; Market participation; Commercialization; Endogeneity; Ghana; Africa (search for similar items in EconPapers)
JEL-codes: D13 Q13 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr and nep-dev
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Persistent link: https://EconPapers.repec.org/RePEc:lvl:pmmacr:2018-07
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