The evaluation was designed to answer the following questions:
• What impact did FOMILENIO's offer of PBS assistance have on intermediate outcomes, such as production levels, business practice adoption, technology adoption, and product diversification?
• What impact did FOMILENIO's offer of PBS assistance have on employment creation and artisans' investment and income?
• What impact did FOMILENIO's offer of PBS assistance have on household income?
In the handicrafts chain, we find a positive impact of PBS on employment generation after one year of assistance, as well as a positive impact on artisans’ likelihood to devote labor to handicrafts and sell handicrafts. However, we find no significant impact on net handicraft or household income in 2010 or any subsequent year. This suggests that one or more structural obstacles to marketing and selling handicrafts may have inhibited positive impacts on artisans’ handicraft income. Examples of potential obstacles could include market access difficulties, limited demand during non-peak months, or the inability of assisted artisan groups to ensure the quality of their goods to secure large orders. Also possible is that diminishing marginal returns to additional production could translate to a lack of increased sales and income, despite increased investments in paid labor.