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The Impact of Proximity to Urban Center on Crop Production Choice and Rural Income: Evidences from Villages in Wollo, Ethiopia


<p>This article attempts to demonstrate how proximity to urban centers influences households&#39; decision to allot their agricultural land to the production of either staple crops or high value cash crops. By applying fractional logit estimation technique on data collected from villages in Wollo of the Amhara Regional State in 2006, it has been found that proximity to urban centers, access to road, and education of the head of the household determine the crop choice in favor of the production of high value cash crops. While the purely liquid wealth positively affects the allocation of land for the production of cash crops, the direction of the impact of livestock on crop choice is found to depend on the particular location of the activities in relation to urban (market) centers. The pattern of crop choice has been translated into a variation in the level of per capita income across villages. Households operating in those villages located far from urban centers with no access to road are found to be the poorest among the villages covered by the study</p>

Corporate Author: 
Ethiopian Economic Association (EEA)
Ethiopian Economic Association (EEA)
Primary Descriptors: 

<p>Crop Choice - Location</p>

Secondary Descriptor: 

<p>Fractional Logit</p>

Geographic Descriptors: 
Ethiopia, Wollo
Cataloge Date: 
Broad Subject heading: 
Income( Rural )
Call Number: 
330.05 ETH JOU
Serial Key Title: 
Ethiopian Journal of Economics
Publication catagory: 
Content type: 
October, 2011
Publication date: 
2013-03-02 00:00:00
Forum or Discussion date: 
2013-03-02 00:00:00
Place of publication: 
Addis Ababa, Ethiopia
Type of material: 
Serial (Journal)
Current frequency: