Rural Business Development Services 2007-2011 (Nicaragua)

Abstract

The project likely increased the incomes of most but not all participants. The spillover effects of change in household income was not as wide as originally anticipated. In general, we found that the program is much more effective for the high performing households. Indeed, the upper quantile, high performing households exhibit a 50% larger impact on their income in targeted activities, and their observed household living standards (as measured by per-capita consumption expenditures) increase significantly 2-3 years after joining the RBD program. In contrast, the lower quantile households show no increase in living standards, even after 3-4 years in the program.