- Publication date : 2018-03-15
This article uses a multinomial endogenous treatment effects model in combination with propensity score matching techniques to evaluate the impact of land tenure on the adoption of agri-environmental practices by smallholder farmers in Benin. We rely on a unique and detailed cross-sectional plot-level dataset that covers a random sample of 2800 smallholder farmers and 4233 plots. The results indicate that land tenure arrangement significantly influences farmers’ decision to invest in agri-environmental practices. The intensity of the adoption of agri-environmental practices is consistently higher on owned plots than borrowed, rented or sharecropped plots. We found strong evidence that the hypothesis of selectivity bias cannot be rejected. Although estimates of the adoption gap between plot owners and borrowers are larger when using the matched sample, the results are broadly consistent across specifications.