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We present a model of market participation in which the presence of nonnegligible fixed costs leads to non-zero censoring of the traditional double-hurdle regression. Fixed costs arise when household resources must be devoted a priori to the decision to participate in the market. These costs -...
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We present a model of market participation in which the presence of non-negligible fixed costs leads to random censoring of the traditional double-hurdle model. Fixed costs arise when household resources must be devoted a priori to the decision to participate in the market. These costs, usually...
Persistent link: https://www.econbiz.de/10013019069
Identifying ways to increase market participation by smallholder producers requires identifying variables that influence market access. This is usually achieved using probit estimation. An important phenomenon affecting entry decision-making is the entry decision of a 'similar' household, where...
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Rationalizing non-participation as a resource deficiency in the household, this paper identifies strategies for milk-market development in the Ethiopian highlands. The additional amounts of covariates required for positive marketable surplus--distances-to market--are computed from a model in...
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