Agro-Fuels and Income of Rural Households in Yucatan, Mexico

This study examines the effects of Agro-Fuels Industry (AFI) on wide annual income of rural households in Yucatan, Mexico. This uses the "Propensity Score Matching" approach and cross-sectional data of 907 inhabitants from 192 households in three municipalities: Santa Elena, Muna and Tizimín. The findings reveal a robust positive and significant impact on the total annual income of the people who work for the AFI established in the eastern region of Yucatán. Specifically there is a positive difference of $ 14,123.0 pesos (US$1,100) annually among people who work as employees for the AFI and working in any other gainful employment within or outside the study area.