Perception of Climate Risks and Issues of Adoption of Resilient Technologies by Farmers in Togo
Journal Title: International Journal of Multidisciplinary Research and Analysis - Year 2022, Vol 5, Issue 02
Abstract
In this paper, we develop a theoretical model to simultaneously describe the adoption of improved seed technology and the climate risk perception capacity of farmers facing production risks and incomplete information about the new technology. The adoption condition is derived from the assumptions of upstream climate risk perception and downstream farmer risk aversion, and assuming that uncertainty can arise from two sources: the randomness of climatic conditions and the uncertainty of future returns associated with the use of the new technology. We estimate a reduced form of this model through the Heckman selection probit using a sample of 545 plots distributed in the five regions of Togo. The estimation procedure is developed in two steps. In the first step, we estimate the first four moments of the benefit distribution and in the second step, we incorporate these estimated moments into the model of technology adoption and climate risk perception. We find that risk plays a central role in farmers' decisions, first through the direct effect of its perception and second through sampling moments of the yield distribution in the adoption model.
Authors and Affiliations
KAO Papa,
Keywords
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- EP ID EP705530
- DOI 10.47191/ijmra/v5-i2-24
- Views 109
- Downloads 0
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