A Logit Model of Farmers' Decisions About Credit

Bagi, Faqir Singh

doi:10.1017/s0081305200016198

Cited by 14 publications

(10 citation statements)

References 7 publications

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“…This implies that the normal curve approaches the axes more quickly than the logistic curve. Therefore, the logit model was used in this study since it is easier and simpler to interpret and thus has been widely applied in adoption studies (for example; Bagi, 1983;Polson & Spencer, 1991;Adesina & Sirajo, 1995). The adoption decision by farmers is specified as;…”

Section: Logit Modelmentioning

confidence: 99%

Econometric Analysis of the Factors that Affect Adoption of Conservation Farming Practices by Smallholder Farmers in Zambia

Ng’ombe¹,

Kalinda²,

Tembo³

et al. 2014

JSD

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Despite the efforts to promote adoption of conservation farming (CF) by public and private organizations, the adoption rate among Zambian smallholder farm households has been low. This study used nationally representative data to identify the factors that affect adoption of CF by smallholder farm households in Zambia. Propensity Score Matching (PSM) was employed to help match the adopters and non-adopters of CF based on the distribution of their similar observable characteristics upon which a separate logistic model was applied. The logistic regression analysis showed that age of the household head; access to loans; labour availability; in-kind income and location of the households in agro-ecological regions (AER) I and II significantly increases the odds of adoption of CF. Based on these findings, it is recommended that promotion of adoption of CF practices should be directed towards smallholder farm households in AER I and II and those in remote areas which are less accessible by roads. This could be complemented by improving the road infrastructure so that smallholder farmers in such areas would not only have access to agricultural loans but also be in contact with relevant extension organizations that promote CF.

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Section: Logit Modelmentioning

confidence: 99%

Econometric Analysis of the Factors that Affect Adoption of Conservation Farming Practices by Smallholder Farmers in Zambia

Ng’ombe¹,

Kalinda²,

Tembo³

et al. 2014

JSD

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“…In order to establish the factors that influenced the farmers' decision to use manure for soil fertility management, a qualitative choice (logit) model was specified and its parameters estimated (Bagi 1983;Honagbode and Doppler 1997). The use of qualitative models in explaining socioeconomic phenomena have been shown to be more precise and appropriate in analyzing relationships involving a discrete dependent variable and a set of independent variables (Bagi 1983).…”

Section: Analysis Of Datamentioning

confidence: 99%

“…The use of qualitative models in explaining socioeconomic phenomena have been shown to be more precise and appropriate in analyzing relationships involving a discrete dependent variable and a set of independent variables (Bagi 1983). This model was chosen over the other available alternative specifications of qualitative choice models, the Probit and Tobit models, because of its less restrictive underlying assumptions (Capps and Kramer 1985;Debertin et al 1980;McDonald and Moffit 1980;Mkhabela 2002).…”

Section: Analysis Of Datamentioning

confidence: 99%

“…This model was chosen over the other available alternative specifications of qualitative choice models, the Probit and Tobit models, because of its less restrictive underlying assumptions (Capps and Kramer 1985;Debertin et al 1980;McDonald and Moffit 1980;Mkhabela 2002). The amount of manure applied by the responding farmers was recorded as a dichotomous variable (Bagi 1983). The hypothesis of the model was that there is some probability of an incidence (manure utilization) at any given circumstance of socio-economic variables within the farm.…”

Section: Analysis Of Datamentioning

confidence: 99%

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Utilization and management practices of animal manure for replenishing soil fertility among smallscale crop farmers in semi-arid farming districts of the North West Province, South Africa

Materechera

2010

Nutr Cycl Agroecosyst

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Poor soil fertility is one of the most limiting biophysical factors to agricultural production among smallscale farmers in much of the sub-Saharan Africa, especially the semi-arid areas. In this study, a survey of 200 randomly selected farming households across four districts (Mafikeng, Ditsobotla, Ganyesa and Taung) located in a semi-arid environment of the North West Province in South Africa was conducted to establish the utilisation and management of animal manure for managing soil fertility. The results showed that 66% of the farmers across the districts used animal manure on their crops. The types of manure used were in the order cattle [ sheep = goat [ chicken. Cattle manure was readily available from farmers' own kraal or neighbours. Despite its availability and advantages, chicken manure was seldom used. The rates of manure application were generally low (mean 2.5 tha -1 ) although most farmers (71%) applied it annually. In the majority of cases, manure would be applied to about half (57.5%) of the cropped land every year (average farm size was 5.3 hectares). The manure was mostly broadcasted (76%) on the surface before being ploughed under followed by dollop (53%). The quality of most of the manure resources was relatively poor as it had low N and P but high soil content (mean 22.7%).The study found that farmers have developed local knowledge with regards to criteria for defining manure quality. The criterion, which used physical characteristics such as colour, moisture content and presence of moulds in the manure, was quite consistent across the study districts and points to the possibility of the indigenous knowledge being interfaced with scientific knowledge. The factors which positively influenced farmers' decision to use manure were herd sizes, farming experience, training and availability of manure, extension services and labour. On the other hand, farm sizes negatively affected manure use. It was observed that housing, feeding, storage and handling practices of manure resources was not optimum in most of the study districts and this contributed to loss of nutrients and quality. It is recommended that improved strategies of manure production and handling be adopted by farmers in order to maximise the quality and efficiency of manure utilization. The potential that exists in using chicken manure to supply crop nutrients needs to be explored.

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“…It was employed in this study because adoption can be considered a discrete, categorical variable equal to 1 if the farmer adopts contour hedges and 0 if the farmer does not. Logit model has widely been applied in adoption studies (Bagi, 1983;Polson and Spencer, 1991;Adesina and Sirajo, 1995 …”

Section: Field Surveymentioning

confidence: 99%

The Role of Biological Technologies in Land Quality Management: Drivers for Farmer’s Adoption in the Central Highlands of Kenya

Mutegi

Mugendi

Verchot

et al. 2011

Innovations as Key to the Green Revolution in Africa

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We established hedges of calliandra, leucaena, napier, and their combinations along the contours on slopes of between 5 and 40% as options for soil and nutrient management on steep arable landscapes. Hedge biomass was harvested after every 2 months following proper hedge establishment and incorporated into the plots that were served by specific hedges. After 2.5 years farmers-research group interactions were terminated and farmers were left to continue independently. Three years later the region was surveyed for adoption rates, adoption drivers, and technology adaptation. We consistently observed significantly higher soil pH, exchangeable bases (Ca and Mg), and C in both sole leguminous hedge treatments and combination hedges at time 22 months in comparison to time 0 months (P < 0.0001). Consistent significant erosion differences between hedges were observed during the fifth season on slopes exceeding 10% (P < 0.05). Farmers' adaptations of hedges ranged from changes in type of trees used, contour hedge tree arrangement patterns, and frequency of pruning of hedge trees. The Logit model was significant at 10% level and predicted 72% of both adopters and non-adopters. The variables farmers' contact with extension agents, education level, farm income, livestock numbers, land size, membership to group or cooperative, sex, and age were significant in explaining contour hedge adoption. We conclude that contour hedges are capable of reducing soil losses and improving crop production and that households that haveWorld Agroforestry Centre (ICRAF), Nairobi, Kenya e-mail: mutegijames@yahoo.com more educated heads with more livestock and higher farm income are more likely to adopt contour hedge technologies.

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A Logit Model of Farmers' Decisions About Credit

Abstract: Most of the research in agricultural credit in the United States is related to large-scale commercial farming. A number of such studies have tried to estimate the demand for credit (Hesser and Schuh) and/or supply of credit (Melichar).

Cited by 14 publications

References 7 publications

Econometric Analysis of the Factors that Affect Adoption of Conservation Farming Practices by Smallholder Farmers in Zambia

Econometric Analysis of the Factors that Affect Adoption of Conservation Farming Practices by Smallholder Farmers in Zambia

Utilization and management practices of animal manure for replenishing soil fertility among smallscale crop farmers in semi-arid farming districts of the North West Province, South Africa

The Role of Biological Technologies in Land Quality Management: Drivers for Farmer’s Adoption in the Central Highlands of Kenya

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