The effect of agricultural cooperatives on the wellbeing of villagers and farmers in Miandoab County, Iran

This study evaluated the impact of agricultural cooperative membership on the wellbeing of villagers and farmers using cross-sectional data collected from the Miandoab County, Iran. Using consumption per adult equivalent as a wellbeing indicator, we measured the impact of agricultural cooperative membership by implementing propensity score matching and endogenous switching regression estimation techniques. Both estimation methods indicate that joining agricultural cooperatives has a positive impact on the wellbeing of villagers and farmers. Furthermore, the analysis also indicates that agricultural cooperative membership has a heterogeneous impact on wellbeing among its members. In conclusion, we could provided that the information to policy makers and other stakeholders on how to improve farmers’ participation in agricultural cooperatives. These findings stress the need for appropriate policy formulation and implementation which improves farmers’ participation in cooperatives as this is expected to have multiplier effects ranging from farm productivity growth to economic growth and poverty reduction at the macro level.

Keywords:

Agricultural cooperatives , Wellbeing , villagers and farmers , Miandoab , Iran.