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Risk and Fertilizer Use in the Rainfed Rice Ecosystem of Tarlac, Philippines

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  • Abedullah,
  • Pandey, Sushil

Abstract

The study analyzes the effect of risk aversion on the optimal level of fertilizer by employing a pooled time-series cross-sectional survey data collected from 46 rainfed rice farmers in Tarlac, Central Luzon, Philippines. Based on a heteroscedastic specification of production function, fertilizer was found to be a risk-increasing input, but the effect of risk aversion on the optimal fertilizer use was estimated to be moderate. Explanations for the low average rate of application of fertilizer under rainfed conditions thus need to be found elsewhere.

Suggested Citation

  • Abedullah, & Pandey, Sushil, 2004. "Risk and Fertilizer Use in the Rainfed Rice Ecosystem of Tarlac, Philippines," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 36(1), pages 241-250, April.
  • Handle: RePEc:cup:jagaec:v:36:y:2004:i:01:p:241-250_02
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    Cited by:

    1. Briones, Roehlano M., 2017. "The Fertilizer Industry and Philippine Agriculture: Policies, Problems, and Priorities," Philippine Journal of Development PJD 2016 Vol. 43 No. 1b, Philippine Institute for Development Studies.
    2. Wang, Yangjie & Huang, Jikun & Wang, Jinxia & Findlay, Christopher, 2018. "Mitigating rice production risks from drought through improving irrigation infrastructure and management in China," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 62(1), January.
    3. Briones, Roehlano M., 2016. "Inadequate N Application of Rice Farmers in the Philippines: Problems, Causes, Solutions," Discussion Papers DP 2016-01, Philippine Institute for Development Studies.
    4. Roehlano M. Briones, 2014. "The Role of Mineral Fertilizers in Transforming Philippine Agriculture," Working Papers id:5926, eSocialSciences.
    5. Hurley, Terrance M., 2010. "A review of agricultural production risk in the developing world," Working Papers 188476, HarvestChoice.
    6. Briones, Roehlano M., 2016. "Inadequate N Application of Rice Farmers in the Philippines: Problems, Causes, Solutions," Research Paper Series DP 2016-01, Philippine Institute for Development Studies.
    7. Mukasa, Adamon N., 2018. "Technology adoption and risk exposure among smallholder farmers: Panel data evidence from Tanzania and Uganda," World Development, Elsevier, vol. 105(C), pages 299-309.
    8. Mukasa Adamon N., 2016. "Working Paper 233 - Technology Adoption and Risk Exposure among Smallholder Farmers: Panel Data Evidence from Tanzania and Uganda," Working Paper Series 2328, African Development Bank.
    9. Jikun Huang & Yangjie Wang & Jinxia Wang, 2015. "Farmers' Adaptation to Extreme Weather Events through Farm Management and Its Impacts on the Mean and Risk of Rice Yield in China," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 97(2), pages 602-617.
    10. Nakabayashi, Masaki, 2008. "Property and Risk: Revisit to Peasant Economy in Modern Japan," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252825, Southern Agricultural Economics Association.

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    More about this item

    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

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