| Summary: | Although the nature and magnitude of (positive or negative)
spillovers from large farm establishment are hotly
debated, most evidence relies on case studies. Ethiopia’s
large farms census together with 11 years of nation-wide
smallholder surveys allows examination and quantification
of spillovers using intertemporal changes in smallholders’
proximity and exposure to large farms, generally or
growing the same crop, for identification. The results
suggest positive spillovers on fertilizer and improved seed
use, yields, and risk coping, but not local job creation,
for some crops, most notably maize. Most spillovers are
crop-specific and limited to large farms’ immediate vicinity.
The implications for policy and research are drawn out.
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