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Global Journal of Agricultural Economics and Econometrics

ISSN:  2408-5499 Vol. 3 (3), pp. 145-149, May, 2015. 

Full Length Research Paper 

Econometric analysis of factors determining households’ access to cross breed dairy cows in Tigray, Ethiopia


Embaye Kidanu Kindeya 

Tigray Agricultural Research Institute, Socioeconomic Researcher P.O.BOX: 492 Mekelle, Ethiopia.

E-mail: embayehiwot@gmail.com, Cell phone: +251914755997 Office telephone: +251 344 408 575

Accepted 25 May, 2015

Abstract

This study aimed to identify factors associated with households’ access to improved dairy cows. An econometric model PROBIT is used to estimate the determinant factors, moreover, endogeneity problem was detected on some of the explanatory variables, However, it was found a “proxy” for the stochastic explanatory variables such that, they are uncorrelated with the stochastic disturbance term. Such a proxy is also known as an instrumental variable. This was provided by the   two-stage least squares (2SLS). Accordingly, from the determinants of access to crossbreed cows; number of extension agent visit, participation in extension demonstration, access to veterinary service affects the probability of access to improved dairy cows positively, whereas, households distance to the district town affects the probability negatively. The available sources of improved breed cow are district office of agriculture and rural development, relief society of tigray (NGO) and from market.

Keywords: Econometric analysis, access to dairy cows, instrumental variable