Abstract

LAHURAA, Erick; SANTOS PINTADOB, Sintia Yanela  and  TAPIA TOVAR, Gibel Andrea. The impact of cocoa cultivation on poverty levels: Regional evidence from Peru, 2008-2019. Desarro. soc. [online]. 2025, n.99, pp.53-69.  Epub Jan 15, 2025. ISSN 0120-3584.  https://doi.org/10.13043/dys.99.3.

Cocoa production in Peru has seen remarkable growth in recent years, positioning it as a potential driver for poverty reduction. This study examines the relationship between cocoa cultivation and poverty levels in cocoa-producing regions during the 2008-2019 period. The analysis employs panel data regression models estimated using pooled OLS, fixed effects, and random effects approaches. To address omitted variable bias, control variables, and the Two-Stage Least Squares (2SLS) estimator are incorporated. The results indicate that a 20 % increase in productivity leads to a 0.2 percentage point reduction in poverty rates, while price fluctuations have no significant effect. These findings underscore the importance of policies focused on enhancing cocoa productivity as a means to alleviate poverty.

Keywords : Agricultural productivity; econometric models; panel data; Peru.

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