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36 CHAPTER 3


Table 3.5 Probit estimations of determinants of participation in cooperatives


Sample 1: members and nonmembers from kebeles


with cooperatives


Determinant Coefficient Age of household head


0.009


Gender of household head Household head is literate Household size (Household size)2 Radio ownership


Household receives nonfarm income


Number of hectares held (Number of hectares held)2 Number of oxen owned (Number of oxen owned)2 Number of cattle owned (Number of cattle owned)2 Number of small ruminants owned


(Number of small ruminants owned)2


Number of poultry owned (Number of poultry owned)2 Produces teff


Produces wheat Produces maize Produces barley Produces sorghum Produces oats Produces millet


Development domain


dummies (5–1)a Constant


Number of observations Pseudo R2


Correct prediction rate (%) Correct prediction rate among participants (%)


Sample 2: members and nonmembers from kebeles with and


p-value Coefficient 0.028


0.009 –0.579 0.002


without cooperatives p-value


0.003 –0.311 0.038


–0.003 0.978 0.066 0.539 0.082 0.513 0.142 0.129 –0.006 0.562


0.005 0.970 0.064 0.549 –0.166 0.190


0.551 0.000


–0.053 0.025 0.061


0.656


–0.001 0.978 0.022


0.632 0.051 0.380 0.000


–0.033 0.038 0.128


0.161


–0.007 0.616 –0.017 0.630


–0.002 0.425 0.001 0.877 0.051


0.036 –0.001 0.498 0.029 0.378 –0.001 0.367 0.072 –0.001 0.455 0.026 0.310 –0.001 0.627


0.134 0.326 0.245 0.020 0.060 0.703 0.055 0.607 –0.333 0.028 –0.629 0.000 –0.159 0.264 –0.403 0.389 –0.524 0.033 Yes





–2.658 0.000 830


0.2444


84.45 32.66


94.43 7.33


Source: Authors’ calculations based on data from ESCS (2005). Notes: — means not applicable. A kebele is a peasant association, the smallest administrative unit in Ethiopia.


a(5–1) denotes the five development domains that capture the majority of cooperatives. —


–0.251 0.026 –0.699 0.000 –0.315 0.003 –0.204 0.579 –0.319 0.111 Yes


–1.906 0.000 2,532


0.2130 –0.010 0.161 –0.216 0.027


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