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Are Agricultural Extension Packages What Ethiopian Farmers Want? A Stated Preference Analysis

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Author Info

  • Carlsson, Fredrik

    ()
    (Department of Economics, School of Economics and Commercial Law, Göteborg University)

  • Köhlin, Gunnar

    ()
    (Department of Economics, School of Economics and Commercial Law, Göteborg University)

  • Mekonnen, Alemu

    ()
    (Department of Economics, Addis Ababa University, Ethiopia; and Environmental Economics Policy Forum)

  • Yesuf, Mahmud

    ()
    (Environmental Economics Policy Forum, Ethiopian Development Research Institute, Ethiopia)

Abstract

There is an evident dichotomy in many rural development policies in the world between extension driven adoption of modern inputs and community driven local public goods. However, the target populations of these policies seldom have the possibility to express their preference between these two policies. In this paper we report the results of a stated preference survey in the highlands of Ethiopia where the farmers are given a choice between an agricultural extension package and a local public good - health care or protected spring. The study finds that a majority of people prefers the public good. However, when the extension package is combined with insurance in terms of no payback of the credit in case of crop loss, then we find a significant increase in the choice of the extension package. The study thus sheds light on why Ethiopia’s major development strategy has had limited success and gives evidence of how stated preference methodologies can be utilized for development policy design.

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File URL: http://hdl.handle.net/2077/2747
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Bibliographic Info

Paper provided by University of Gothenburg, Department of Economics in its series Working Papers in Economics with number 172.

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Length: 18 pages
Date of creation: 17 Aug 2005
Date of revision:
Handle: RePEc:hhs:gunwpe:0172

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Postal: Department of Economics, School of Business, Economics and Law, University of Gothenburg, Box 640, SE 405 30 GÖTEBORG, Sweden
Phone: 031-773 10 00
Web page: http://www.handels.gu.se/econ/
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Related research

Keywords: Agricultural extension; choice experiment; local public goods; Ethiopia; Africa;

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Cited by:
  1. Dercon, Stefan & Christiaensen, Luc, 2007. "Consumption risk, technology adoption, and poverty traps : evidence from Ethiopia," Policy Research Working Paper Series 4257, The World Bank.
  2. Onyenweaku, C.E & Okoye, B.C & Okorie, K.C, 2007. "Determinants of Fertilizer Adoption by Rice Farmers in Bende Local Government Area of Abia State, Nigeria," MPRA Paper 26116, University Library of Munich, Germany.

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