Structural and Institutional Heterogeneity among Agricultural Cooperatives in Ethiopia: Does it Matter for Farmers' Welfare?

Tafesse Gezahegn, Steven Van Passel, Tekeste Berhanu, Marijke D'Haese, Miet Maertens
2020 unpublished
This paper analyzes how structural and institutional heterogeneity among irrigation cooperatives shapes the impact of membership on farmers' welfare in northern Ethiopia, using a novel heteroscedasticity-based identification strategy. More specifically, we estimate how cooperative characteristics influence members' income and poverty level. We find that stricter water use regulations have income-enhancing and poverty-reducing effects for farmers. We also find that farmers benefit more from
more » ... efit more from membership in larger, younger, and bottom-up cooperatives initiated through grassroots collective action. Our findings have implications for irrigation development in Ethiopia, and call for a better deliberation of organizational heterogeneity in cooperative impact studies.
doi:10.22004/ag.econ.304767 fatcat:lxvrlnunwzcstfxmflw4nc7g3e