Road Development, Agglomeration and Agricultural Growth in Ethiopia: An Empirical Analysis

This paper uses spatial econometrics to empirically examine a conceptual framework for rural accessibility that encompasses three interlinked components – 1) physical road access, 2) provision of transport services, and 3) access to markets. Specifically, the authors investigate linkages among road development, transport service provision, market access, and agricultural development in Ethiopia. The analysis is based on cross-sectional data of cereal crop production (teff, maize and wheat) in three of Ethiopia’s main agricultural regions (Amhara, Oromia, and Tigray). The empirical estimation, using a system of equations approach to account for potential endogenous relationships among agricultural production, road placement, transport service provision, and urban agglomeration, provides evidence that all three components of rural accessibility have potential significant impacts on agricultural production. At Ethiopia’s current stage of development, the authors find that 1) road network development appears to significantly correlate with agricultural productivity; 2) transport service provision and market access each respectively have less impact on agricultural productivity, partially due to their low levels of development; and 3) the impacts of road development appear to vary by road quality and by crop.

Language

  • English

Media Info

  • Media Type: Digital/other
  • Features: References; Tables;
  • Pagination: 14p
  • Monograph Title: TRB 91st Annual Meeting Compendium of Papers DVD

Subject/Index Terms

Filing Info

  • Accession Number: 01370986
  • Record Type: Publication
  • Report/Paper Numbers: 12-4291
  • Files: TRIS, TRB
  • Created Date: May 25 2012 9:31AM