Spatial Neighborhood Effects in Agricultural Technology Adoption: Evidence from Nigeria
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This paper uses plot level data to analyze network effects on the adoption of a targeted fertilizer application technique amongst rice producers in Niger State, Nigeria. A Spatial Durbin Model (SDM) of farmers’ probability of using the Urea Deep Placement (UDP) technology is estimated using a Spatial Instrumental Variable Probit estimation approach. The results reveal the existence of significant and positive spatial correlation in rice farmers’ adoption of UDP in the study area. These results have important implications for the design of appropriate and cost effective extension programs, in order to facilitate the diffusion of agricultural technologies in developing countries.