Microcredit and Adoption of the Improved Rice Varieties in Rural Vietnam

Abstract

The objective of this research is to investigate the effect of microcredit on farmers’ adoption of the improved rice varieties in Vietnam. This research applies Double-hurdle (two-stage) model and a large-scale dataset from Vietnam Access to Resources Household Survey (VARHS) in 2014. The estimated results show that microcredit has no significant effect on the two-stage decisions of farmers at both stages, including whether to adopt and how much to adopt. However, the research proves that farmers use microcredit for non-farm and raising livestocks activities, but not for cultivation.

Keywords

• double-hurdl
• giống lúa cải tiến
• tín dụng vi mô
• varhs