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Impact of the adoption of vegetative soil conservation measures on farm profit, revenue and variable cost in Darjeeling district, India

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  • Singha, Chandan

Abstract

This study evaluates the effects of vegetative soil conservation practices (afforestation and/or bamboo planting) on farm profit and its components, revenue and variable cost. Since farmers self-select themselves as adopters of conservation measures, there could be a problem of selection bias in evaluating their soil conservation practices. We address the selection bias by using propensity score matching. We also check if there exists spatial spillover in adoption of vegetative conservation measures and how it affects matching. We use primary survey data from the Darjeeling district of the Eastern Himalayan region for the year 2013. Our results suggest strong spatial correlation. We find that the propensity score estimated from the spatial model provides better matches than the non-spatial model. While the results show that vegetative soil conservation can lead to significant gains in revenue, it also increases costs so that no significant gains in profit accrue to farmers.

Suggested Citation

  • Singha, Chandan, 2019. "Impact of the adoption of vegetative soil conservation measures on farm profit, revenue and variable cost in Darjeeling district, India," Environment and Development Economics, Cambridge University Press, vol. 24(5), pages 529-553, October.
    • Handle: RePEc:cup:endeec:v:24:y:2019:i:05:p:529-553_00
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    Cited by:

    1. Hongyun Zheng & Wanglin Ma & Gucheng Li, 2021. "Adoption of organic soil amendments and its impact on farm performance: evidence from wheat farmers in China," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 65(2), pages 367-390, April.
    2. Hongyun Zheng & Wanglin Ma & Gucheng Li, 2021. "Learning from neighboring farmers: Does spatial dependence affect adoption of drought‐tolerant wheat varieties in China?," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 69(4), pages 519-537, December.
    3. Singha, Chandan, 2021. "Marginal value of sub-watershed treatment on profit in Darjeeling district, India," Land Use Policy, Elsevier, vol. 101(C).
    4. Zheng, Hongyun & Ma, Wanglin & Zhou, Xiaoshi, 2021. "Effects of Renting-in Cropland on Machinery Use Intensity and Land Productivity: Evidence from Rural China," 2021 Conference, August 17-31, 2021, Virtual 315084, International Association of Agricultural Economists.
    5. Adam, Baba & Abdulai, Awudu, 2022. "Heterogeneity in the Impact of Conservation Agriculture Practices on Farm Performance and Inorganic Fertilizer Use in Ghana," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 47(2), May.

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