Taking no risk is the greatest risk: Coping with the paradoxes of Outcome-based services

2021 ◽  
Vol 2021 (1) ◽  
pp. 11819
Author(s):  
Lauri Valtteri Korkeamäki ◽  
David Sjödin ◽  
Marko Kohtamäki ◽  
Vinit Parida
Keyword(s):  
Agronomy ◽  
2021 ◽  
Vol 11 (5) ◽  
pp. 973
Author(s):  
Shoaib Akhtar ◽  
Azhar Abbas ◽  
Hazem S. Kassem ◽  
Salim Bagadeem ◽  
Raza Ullah ◽  
...  

This paper is aimed at evaluating the factors affecting the concurrent adoption of two risk coping strategies among hybrid maize farmers, namely income diversification supplemented with off-farm work and contract farming in the wake of changing climatic conditions. Climatic changes and food insecurity at the national level have emerged as key risk elements for hybrid maize production due to varying economic conditions. The present paper addresses these risks by examining various sources of risks faced by hybrid maize farmers and develops ideas to tackle these risks. Bivariate and multinomial probit models were employed to analyze numerous factors that influence farmers’ choice of the simultaneous adoption of income diversification (both on and off the farm) and contract farming at the farm level. The results reveal that hybrid maize farmers’ socioeconomic attributes significantly affect their adoption of risk coping tools. Similarly, the climatic, economic (price-related), biological, and financial risk perceptions and risk preference significantly influence the utilization of risk coping strategies in maize production. These outcomes extend our understanding of farmers’ risk preferences and provide parameters for policymakers to forestall diverse risk sources associated with hybrid maize production.


Risk Analysis ◽  
2020 ◽  
Author(s):  
Yanwei Li ◽  
Araz Taeihagh ◽  
Martin Jong ◽  
Andreas Klinke

Climate ◽  
2019 ◽  
Vol 7 (1) ◽  
pp. 7
Author(s):  
Dadang Jainal Mutaqin

The impact of natural hazards on agriculture in Indonesia is becoming increasingly severe. Therefore, improving farmers’ capacity to undertake risk coping strategies is essential to maintaining their prosperity. The objective of this study was to investigate the determinants of farmers’ decisions on ex ante and ex post coping strategies in rural West Java, Indonesia. The study was based on a field survey of 180 farmers conducted in the Garut district from July to October 2017. The study used the protection motivation theory framework and applied three econometric models: binomial logit model, zero truncated Poisson regression model, and multinomial logit model. Most farmers (74.4%) adopted ex ante coping strategies. They were characterized as having higher risk aversion per capita expenditure and disaster experience, but lower discount rates and percentage of damage and locations in downstream and midstream areas. Coping appraisal perceptions were found to be important factors in the risk coping analysis. Four determinants of the decision on the number of ex ante coping strategies adopted were: per capita expenditure, land size, disaster experience, and access to financial institutions. The most common ex post coping strategy adopted by farmers was the middle-stress type.


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