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Risk preferences as determinants of soil conservation decisions in Ethiopia

Teklewold, H and Kohlin, G (2011) In Journal of Soil and Water Conservation 66(2). p.87-96
Abstract
Soil degradation is one of the most serious environmental problems in the highlands of Ethiopia. The prevalence of traditional agricultural land use and the absence of appropriate resource management often result in the degradation of natural soil fertility. This has important implications for soil productivity, household food security, and poverty. Given the extreme vulnerability of farmers in this area, we hypothesized that farmers' risk preferences might affect the sustainability of resource use. This study presents experimental results on the willingness of farmers to take risks and relates the subjective risk preferences to actual soil conservation decisions. The study looked at a random sample of 143 households with 597 farming... (More)
Soil degradation is one of the most serious environmental problems in the highlands of Ethiopia. The prevalence of traditional agricultural land use and the absence of appropriate resource management often result in the degradation of natural soil fertility. This has important implications for soil productivity, household food security, and poverty. Given the extreme vulnerability of farmers in this area, we hypothesized that farmers' risk preferences might affect the sustainability of resource use. This study presents experimental results on the willingness of farmers to take risks and relates the subjective risk preferences to actual soil conservation decisions. The study looked at a random sample of 143 households with 597 farming plots. We found that a high degree of risk aversion significantly decreases the probability of adopting soil conservation. This implies that reducing farmers' risk exposure could promote soil conservation practices and thus more sustainable natural resource management. This might be achieved by improving tenure security, promoting access to extension services and education, and developing income-generating off-farm activities. (Less)
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author
publishing date
type
Contribution to journal
publication status
published
subject
keywords
adoption, Ethiopia, risk preference, soil conservation
in
Journal of Soil and Water Conservation
volume
66
issue
2
pages
87 - 96
publisher
SOIL WATER CONSERVATION SOC
external identifiers
  • scopus:84861043719
ISSN
0022-4561
DOI
10.2489/jswc.66.2.87
project
BECC
language
English
LU publication?
no
id
6509103c-d560-4106-816e-11c51008f561 (old id 4448670)
date added to LUP
2014-05-23 12:11:24
date last changed
2017-01-01 05:46:27
@article{6509103c-d560-4106-816e-11c51008f561,
  abstract     = {Soil degradation is one of the most serious environmental problems in the highlands of Ethiopia. The prevalence of traditional agricultural land use and the absence of appropriate resource management often result in the degradation of natural soil fertility. This has important implications for soil productivity, household food security, and poverty. Given the extreme vulnerability of farmers in this area, we hypothesized that farmers' risk preferences might affect the sustainability of resource use. This study presents experimental results on the willingness of farmers to take risks and relates the subjective risk preferences to actual soil conservation decisions. The study looked at a random sample of 143 households with 597 farming plots. We found that a high degree of risk aversion significantly decreases the probability of adopting soil conservation. This implies that reducing farmers' risk exposure could promote soil conservation practices and thus more sustainable natural resource management. This might be achieved by improving tenure security, promoting access to extension services and education, and developing income-generating off-farm activities.},
  author       = {Teklewold, H and Kohlin, G},
  issn         = {0022-4561},
  keyword      = {adoption,Ethiopia,risk preference,soil conservation},
  language     = {eng},
  number       = {2},
  pages        = {87--96},
  publisher    = {SOIL WATER CONSERVATION SOC},
  series       = {Journal of Soil and Water Conservation},
  title        = {Risk preferences as determinants of soil conservation decisions in Ethiopia},
  url          = {http://dx.doi.org/10.2489/jswc.66.2.87},
  volume       = {66},
  year         = {2011},
}