Cadot, Olivier; Dutoit, Laure; Olarreaga, Marcelo - C.E.P.R. Discussion Papers - 2005
The main objective of this paper is to provide estimates of the cost of moving out of subsistence for Madagascar's farmers. The analysis is based on a simple asset-return model of occupational choice. Estimates suggest that the entry (sunk) cost associated with moving out of subsistence can be...