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\hypersetup{pdftitle={Impact of Improved Agricultural Technologies on Income and Rural Poverty: Evidence from Tanzania and Ethiopia},pdfauthor={Solomon Asfaw, Bekele Shiferaw},pdfsubject={Tropentag 2010: Abstract},pdfkeywords={Ethiopia, poverty reduction, Propensity Score Matching Method, Tanzania, technology adoption},pdfpagemode=None,colorlinks=true}
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\parbox[b]{13.4cm}{\centering \large{\textbf{Tropentag, September 14-16, 2010, Zurich}}\\[1ex] \Large{``World Food System  ---\\A Contribution from Europe''\\[2ex]}}
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\Large{\textbf{Impact of Improved Agricultural Technologies on Income and Rural Poverty: Evidence from Tanzania and Ethiopia\footnote{\textbf{Contact Address:} Solomon Asfaw, International Crops Research Institute for the Semi-arid Tropics (ICRISAT), United Nations Avenue Gigiri P.O.Box 39063-00623, Nairobi, Kenya, \mbox{e-mail}: \email{s.t.asfaw@cgiar.org}}\\[0.8ex]}}
\normalsize{\textsc{Solomon Asfaw$^{1}$, Bekele Shiferaw$^{2}$}}
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\begin{itemize*}
\item[]{\small{\textit{$^{1}$International Crops Research Institute for the Semi-arid Tropics (ICRISAT), Kenya}}}
\item[]{\small{\textit{$^{2}$International Crops Research Institute for the Semi-arid Tropics (ICRISAT),  GT - Institutions, Markets, Policy \& Impacts, Kenya}}}
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\index[author]{Asfaw, Solomon}
\index[author]{Shiferaw, Bekele}
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\textbf{Abstract}
\begin{abstract}
\normalsize{
Achieving agricultural growth and development and thereby reducing poverty will require increased efforts to provide yield enhancing and natural resources conserving technologies. Agricultural research and technological improvements are therefore crucial to increase agricultural productivity and thereby reduce poverty without irreversible degradation of the natural resource base. In response, the International Crops Research Institute for Semi-Arid Tropics (ICRISAT) together with its partners is engaged in the development and diffusion of a number of high yielding well adapted improved cultivars such as groundnuts, chickpea and pigeonpea. The underlying objectives of such undertakings are to reduce poverty and increase the incomes of poor people. However evaluation of the impact of these technologies on poverty reduction have been very limited by lack of appropriate methods and most of previous research has therefore failed to move beyond estimating economic surplus and return to research investment. This paper evaluates the potential impact of adoption of improved chickpea and pigeonpea technologies on household crop income and poverty reduction in rural Ethiopia and Tanzania. The study utilises cross"=sectional farm household level data collected in 2007 from a randomly selected sample of 1313 households (700 in Ethiopia and 613 in Tanzania). We estimate the average adoption premium by utilising propensity score matching (PSM) methods, stochastic dominance analysis, as well as by linear regression model to assess results robustness. Poverty measure indices and linear regression estimates are based on matched observations of adopters and non"=adopters obtained from the PSM method. This helps us estimate the true welfare effect of technology adoption by controlling for the role of selection problem on production and adoption decisions. Our analysis reveals that adoption of improved agricultural technologies has a significant positive impact on household income and poverty reduction. This confirms the potential direct role of technology adoption on reducing poverty among the rural households, as higher incomes from improved technology translate into lower income poverty.}

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\noindent \textbf{Keywords:} Ethiopia, poverty reduction, Propensity Score Matching Method, Tanzania, technology adoption
\index[key]{Ethiopia}
\index[key]{Poverty reduction}
\index[key]{Propensity Score Matching Method}
\index[key]{Tanzania}
\index[key]{Technology adoption}
\end{document}