Butare, where this study was conducted, exhibits one of the highest population densities in Rwanda. As a direct result of population growth, most peasants have small fields and land fragmentation is common. The purpose of this article is to examine the effect of land fragmentation on economic efficiency. Regression analysis shows that area operated is primarily determined by the population-land ratio, non- agricultural employment opportunities, ownership certainty and adequate information through agricultural training. Results from a block-recursive regression analysis indicate that the level of net farm income per hectare, which indirectly reflects greater economic efficiency, is determined by the area operated, use of farm information, field extension staff visits, formal education of a farm operator, and the fragmentation of land holdings. Economies of size are evident in the data. The results obtained using ridge regression support the findings of two-stage least squares. Policies should be implemented to improve the functioning of land rental markets in order to reduce land fragmentation, improve rural education and access to relevant information; and strengthen extension facilities to individual farmers.
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Description of the Centre
The Centre for Conflict Management (CCM), College of Arts and Social Sciences (CASS), at the University of Rwanda (UR) was created in 1999 with financial support from the United Nations Development Program (UNDP) through its “Trust Fund” for Rwanda. CCM mandate rises from particular challenges raised in the post-genocide context. It is both an answer to a research need to inspire policies and an opportunity to generate native knowledge on the deep causes of conflicts and potential strategies for the development of sustainable peace in our country.
The LAND Project is a five year program supported by the United States Agency for International Development (USAID). Its primary goal is strengthening the resilience of Rwandan citizens, communities and institutions and their ability to adapt to land-related economic, environmental and social changes.