Abstract

Purpose: This paper aims to investigate the impacts of political connections on farming households’ performance, especially in tea production.

Methodology/Approach: The Box-Cox methodology is applied using the primary data surveyed on 244 tea farming households in Vietnam.

Findings: The findings show the significant role of political connection on improving farming households’ income, particularly to members of the Communist Party, Youth Union and Farmer’s Union. However, the interaction effects of Farmer’s Union, Youth Union, Veteran’s Union and Communist Party with land has negatively significant impact on farming household income.

Practical Implications: The evidences point out the capacity of improving tea producers’ income could be really potential implying most of existing related policies which should be adjusted.

Originality/Value: This is the first research examining the impact of political connection on agricultural performance, especially in tea production. The impacts are estimated in de-tail; such as participating more on Veteran’s, Farmer’s, Youth Union and Communist Party may reduce time on cultivating; as a result, cultivated land could be reduced. Basing on these findings, we also suggest some appropriate policy implications related to the issue how to improve income of tea production households.

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