Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi

This paper uses framed choice experiments to examine the preferences of smallholder farmers in Malawi regarding alternative policy‐based incentives to adopt conservation practices that reduce soil erosion and increase yields. The policy incentives offered in the choice experiments included an ideal...

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Main Authors: Marenya, Paswel, Smith, Vincent H., Nkonya, Ephraim M.
Format: Journal Article
Language:Inglés
Published: Wiley 2014
Subjects:
Online Access:https://hdl.handle.net/10568/150086
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author Marenya, Paswel
Smith, Vincent H.
Nkonya, Ephraim M.
author_browse Marenya, Paswel
Nkonya, Ephraim M.
Smith, Vincent H.
author_facet Marenya, Paswel
Smith, Vincent H.
Nkonya, Ephraim M.
author_sort Marenya, Paswel
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper uses framed choice experiments to examine the preferences of smallholder farmers in Malawi regarding alternative policy‐based incentives to adopt conservation practices that reduce soil erosion and increase yields. The policy incentives offered in the choice experiments included an ideal index‐based crop insurance contract, an index insurance contract with basis risk, cash payments, and fertilizer subsidies. Prior to implementing the choice experiments, the farmers participated in a workshop utilizing small group‐based dynamic learning games that demonstrated how index‐based crop insurance contracts function. The choice experiment results indicate that most farmers preferred cash payments to index insurance contracts, even when the insurance contracts offered substantially higher expected returns. Further, more risk averse farmers were more likely to prefer cash payments than less risk averse and risk loving farmers.
format Journal Article
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spelling CGSpace1500862024-10-25T07:59:56Z Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi Marenya, Paswel Smith, Vincent H. Nkonya, Ephraim M. insurance food policies agricultural policies smallholders soil conservation experimentation This paper uses framed choice experiments to examine the preferences of smallholder farmers in Malawi regarding alternative policy‐based incentives to adopt conservation practices that reduce soil erosion and increase yields. The policy incentives offered in the choice experiments included an ideal index‐based crop insurance contract, an index insurance contract with basis risk, cash payments, and fertilizer subsidies. Prior to implementing the choice experiments, the farmers participated in a workshop utilizing small group‐based dynamic learning games that demonstrated how index‐based crop insurance contracts function. The choice experiment results indicate that most farmers preferred cash payments to index insurance contracts, even when the insurance contracts offered substantially higher expected returns. Further, more risk averse farmers were more likely to prefer cash payments than less risk averse and risk loving farmers. 2014 2024-08-01T02:50:39Z 2024-08-01T02:50:39Z Journal Article https://hdl.handle.net/10568/150086 en Limited Access Wiley Marenya, Paswel; Smith, Vincent H.; and Nkonya, Ephraim M. 2014. Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi. American Journal of Agricultural Economics 96(3): 690-710. https://doi.org/10.1093/ajae/aat117
spellingShingle insurance
food policies
agricultural policies
smallholders
soil conservation
experimentation
Marenya, Paswel
Smith, Vincent H.
Nkonya, Ephraim M.
Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi
title Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi
title_full Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi
title_fullStr Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi
title_full_unstemmed Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi
title_short Relative preferences for soil conservation incentives among smallholder farmers: Evidence from Malawi
title_sort relative preferences for soil conservation incentives among smallholder farmers evidence from malawi
topic insurance
food policies
agricultural policies
smallholders
soil conservation
experimentation
url https://hdl.handle.net/10568/150086
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