Fertilizer subsidies and agricultural productivity in the Senegal River Valley
Keywords:
subsidy, fertilizers, agricultural productivity, border approachAbstract
Several subsidy programs have been initiated in Senegal to improve agricul- tural productivity. Thus, this article aims to analyze the impact of fertilizer subsidies on the productivity of farmers. To do this, we first use the stochastic frontier approach to calculate the efficiency scores and then, a censored two-stage Tobit model to capture the effect of subsidies on producer productivity. Results obtained from survey data collected from 125 households in the Senegal River Valley indicate that fertilizer subsidy programs have significantly improved rice productivity. The results suggest several measures aimed at making these programs more effective.
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