Factors affecting farmers'choice to adopt risk management strategies:The application of multivariate and multinomial probit models  

作　　者：Jamal Shah Majed Alharthi 

机构地区：[1]School of Business,Department of Economics,University of Dundee,Dundee DD14HN,United Kingdom [2]Finance Department,College of Business,King Abdulaziz University,Rabigh 21911,Saudi Arabia

出　　处：《Journal of Integrative Agriculture》2024年第12期4250-4262,共13页农业科学学报（英文版）

摘　　要：This study investigates the factors that impact farmers'adoption of risk management strategies(RMS)in Pakistan during times of uncertainty.The study examines farmers'adoption of RMS using both multinomial probit(MNP)and multivariate probit(MVP).Data were collected from 382 farmers sampled from four districts in KhyberPakhtunkhwa(KP)province of Pakistan via a multistage sampling technique.This study utilizes the MNP model,considering the assumption of Independence of Irrelevant Alternatives(IIA)and incorporating correlated error terms.The objective is to understand farmers'behavior in risky situations and determine if there is heterogeneity.Results are compared with the MVP model to assess robustness and gain deeper understanding of farmers'decisionmaking processes.The research findings reveal that our results are robust,and farmers behave homogeneously in various RMS scenarios.Farmers adopt RMS individually or in combination to mitigate the adverse effects of natural calamities on their livelihood.The risk-averse farmers,who perceive weather-related risks as a threat,access credits and information,and have farms close to a river are more likely to adopt RMS,irrespective of the format of the strategies available.Moreover,the predicted probabilities and correlation of the RMS and RM categories have strengthened our model estimation.These findings provide insights into the behavior of farmers in adopting RMS which are helpful for policymakers and stakeholders in developing strategies to mitigate the impacts of natural calamities on farmers.

关 键 词：multinomial probit model multivariate probit model risk management strategies risk-attitude risk perception 

分 类 号：F335.3[经济管理—产业经济]