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Is plantation agriculture good for the poor? Evidence from Indonesia's palm oil expansion

Year: 2015

Type: report

Abstract: I study the poverty impacts of plantation-based agricultural growth, focusing on Indonesian palm oil. Using rich new administrative panel data, I exploit exogenous variation arising from Indonesia's unique institutions and the data's longitudinal features to identify causal effects. Increasing the palm oil share of land in a district by ten percentage points corresponds to a ten percent reduction in its poverty rate, and a narrowing of the poverty gap. Effects are similar across regions and at the province level. Oil palm expansion tends to be followed by a sustained boost to the value of agricultural output, manufacturing output, and district GDP.

Source: ANU Open Research (Australian National University)

Author: Ryan Edwards

Institution: Australian National University

Language: English

Topic: Oil Palm Production and Sustainability

Subfield: Ecology

Field: Environmental Science

Domain: Physical Sciences

SDGs: No poverty, Decent work and economic growth, Zero hunger, Reduced inequalities

Open Access status: green

OpenAlex ID: W2274914885

Cites: 57

Cited by: 22

Related to: 10