The Effect of Fish Farmers Association on Technical Efficiency: An Application of Propensity Score Matching Analysis

Transcription

1 The Effect of Fsh Farmers Assocaton on Techncal Effcency: An Applcaton of Propensty Score Matchng Analyss Onumah E. E, Esslfe F. L, and Asumng-Brempong, S 15 th July, 2016

2 Background and Motvaton Outlne of Presentaton Objectves Methodology Results and Dscussons Conclusons

3 Background and Motvaton Marne and Inland Capture Productons 500, , , , , , , , ,000 50, Total 2004 Marne Inland

4 Background and Motvaton Fsh farm - a major alternatve for fsh producton Lack of adequate resources to boost producton, thus, mprovement n techncal effcency s paramount The role of fsh farmers assocatons has become mportant Due to nsttutonal falure n the publc sectors, Donors and NGOs often prefer to deal wth fsh farmers through FFAs GPRS II, , MNDPF, GSGDA, FASDEP II all place emphass FFAs Whle the role of FFAs s wdely recognzed, ts mpact on techncal effcency among ther members reman unproven

5 Objectve of Study Ths study adopts the stochastc fronter model and the propensty score matchng: To analyse FFA member and non-member fsh farmers on ther productvty and techncal effcency levels The study also dentfes the determnants of techncal effcency

6 Study Area & Data Methodology Two dstrcts each n Greater Accra, Ashant, Western and Volta regons of Ghana Unversty of Ghana The study employs 80 farmers n each Regon makng a total of 320 observatons through a random selecton. Varables Output varable: Harvest/Ha (Kg) Input varables: Fngerlngs/ha (Kg); Feed/ha (GH ); Labour/ha (man-days); Other Cost/ha (GH ). Ineffcency varables: Age, Gender, HhSze, Extenson, Experence, Educaton, Full Tme, Pond Type, Ownershp, FFFE, Market Access, VR, AR, WR

7 Fronter Model: Theoretcal Models Unversty of Ghana LnY = β + β LnX + 1 β LnX LnX + ( v u ) 2 0 n n nm n m n= 1 n= 1 m= 1 Ineffcency Model: 13 µ δ δ Z = + 0 m m m= 1 Explanatory varables expressed above

8 Propensty Score Matchng Method ATE= EEY D= pz EY D= pz 1 0 [ { 1, ( )} { 0, ( )}] ATT= EEY D= pz EY = pz D= 1 0 [ { 1, ( ) { 0, ( )} 1 1] ATU= EEY D= pz EY = pz D= 1 0 [ { 1, ( ) { 0, ( )} 0] Where D = {0,1} s the ndcator of exposure to belong to FFA and Z s vector of pre-membershp characterstcs Estmates of models were computed usng STATA

9 Results and Dscusson Table 1: Descrptve statstcs for the membershp of fsh farmers to Fsh Farmers Assocaton Varable name Varable defnton Members Non-Members Dfference N = 111 (35.02%) N = 206 (64.98%) n Means Mean S.d Mean S.d Treatment Varable FFA Membershp 1 f farmer s a member of FFA, 0 otherwse Outcome Varables TE Techncal Effcency level of fsh farmers *** Yeld (Kg/ha) Quantty of fsh harvested per hectare 71, , , , ,767.73*** Independent Varable Household Characterstcs Age Age of fsh farmer (n years) * Gender 1 f fsh farmer s a male; 0 f a female Educaton Years of formal educaton of fsh farmer *** HHS Household sze (n numbers) Experence Years a farmer has engaged n fsh farmng *** Insttutonal and Farm-level Characterstcs Tranng 1 f farmer receves tranng; 0 otherwse *** Extenson 1 f receves extenson servces; 0 otherwse ** Market 1 f has access to market; 0 otherwse Ownershp 1 f farmer owns the farm; 0 otherwse ** Full Tme 1 f nto full tme fsh farmng; 0 otherwse Pond Type 1 f farmer uses cage; 0 f uses earthen pond *** Locaton Dummes Greater Accra 1 f farmer s located Greater Accra; 0 otherwse Volta Regon 1 f farmer s located n Volta; 0 otherwse Ashant Regon 1 f farmer s located n Ashant; 0 otherwse Western Regon 1 f farmer s located n Western; 0 otherwse Source: Feld Survey, * Denotes sgnfcance at 10%; ** Denotes sgnfcance at 5%; *** Denotes sgnfcance at 1%.

10 Fgure 1: Dstrbuton of propensty scores for unmatched and matched samples Impact on Techncal Effcency of Fsh Farmers Unmatched Matched Propensty Score Untreated Treated Propensty Score Untreated Treated Unmatched Impact on Yeld (Quantty of fsh harvested n Klograms/ha) Matched Propensty Score Untreated: Off support Treated: On support Untreated: On support Treated: Off support Propensty Score Untreated: Off support Treated: On support Untreated: On support Treated: Off support

11 Treatment Effects Analyss of Fsh Farmers Assocaton Partcpaton Outcome Indcator PSM ATT ATU ATE Crtcal value of (hdden bas) Techncal Effcency (TE) 0.12 (3.44) 0.07 (2.14) 0.09 (2.83) 1.60 Quantty Harvested (Kg/ha) 3,436 (2.02) 3,146 (1.97) 3,249 (2.09) 1.75

12 Fronter Model Estmates

13 Ineffcency Estmates Unversty of Ghana

14 Conclusons The study demonstrate that all nput varables postvely nfluence fsh farm output except feed at a ncreasng returns to scale Partcpaton n FFA exerts a postve and statstcally sgnfcant mpact on techncal effcency and yeld Jont effect of exogenous varables sgnfcantly nfluence effcency of farmers, whlst t s observed that cage pond farmng was more techncal effcent than earth pond farmng

15 Acknowledgement Sponsors: The Offce For Research, Innovaton and Development (ORID) Unversty of Ghana

16 Unversty of Ghana Thank you for your attenton