IDEAS home Printed from https://ideas.repec.org/a/bla/ajarec/v59y2015i2p242-257.html
   My bibliography  Save this article

Optimising seed portfolios to cope ex ante with risks from bad weather: evidence from a recent maize farmer survey in China

Author

Listed:
  • Junfei Bai
  • Zhigang Xu
  • Huanguang Qiu
  • Haiyan Liu

Abstract

type="main" xml:id="ajar12056-abs-0001"> Using 4-year panel data collected from surveying 640 farmers from leading maize producing provinces in China, this study analyses how maize farmers cope with anticipated risks from bad weather by strategically adjusting variety portfolios, with particular interest in farmers' strategies in choosing and combining new and old varieties. While diversification was commonly demonstrated to be an effective means to reduce risk in most previous studies, our empirical results indicate that, in facing anticipated risks from bad weather, Chinese maize farmers tend to use fewer new varieties and allocate more land to old varieties. The lack of knowledge about weather tolerance of new varieties might be the major reason for this practice. As new varieties often have higher yield potential relative to old varieties due to technological progress, this finding suggests that Chinese maize farmers might be trading yield potential against risk reduction from bad weather. Furthermore, this study shows that maize farmers' variety adoption is significantly related to farmers' land conditions as well as their access to credit markets and technique extensions, suggesting that a well-designed policy intervention could offset or partially offset the anticipation of adverse weather impacts on farmers' variety choices and therefore on maize production.

Suggested Citation

  • Junfei Bai & Zhigang Xu & Huanguang Qiu & Haiyan Liu, 2015. "Optimising seed portfolios to cope ex ante with risks from bad weather: evidence from a recent maize farmer survey in China," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 59(2), pages 242-257, April.
    • Handle: RePEc:bla:ajarec:v:59:y:2015:i:2:p:242-257
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/ajar.2015.59.issue-2
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Barry Smit & Mark Skinner, 2002. "Adaptation options in agriculture to climate change: a typology," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 7(1), pages 85-114, March.
    2. Ding, Ya & Schoengold, Karina & Tadesse, Tsegaye, 2009. "The Impact of Weather Extremes on Agricultural Production Methods: Does Drought Increase Adoption of Conservation Tillage Practices?," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 34(3), pages 1-17, December.
    3. Kabubo-Mariara, Jane, 2009. "Global warming and livestock husbandry in Kenya: Impacts and adaptations," Ecological Economics, Elsevier, vol. 68(7), pages 1915-1924, May.
    4. Seo, S. Niggol, 2010. "Is an integrated farm more resilient against climate change? A micro-econometric analysis of portfolio diversification in African agriculture," Food Policy, Elsevier, vol. 35(1), pages 32-40, February.
    5. Meza, Francisco J. & Silva, Daniel & Vigil, Hernan, 2008. "Climate change impacts on irrigated maize in Mediterranean climates: Evaluation of double cropping as an emerging adaptation alternative," Agricultural Systems, Elsevier, vol. 98(1), pages 21-30, July.
    6. Fankhauser, Samuel & Smith, Joel B. & Tol, Richard S. J., 1999. "Weathering climate change: some simple rules to guide adaptation decisions," Ecological Economics, Elsevier, vol. 30(1), pages 67-78, July.
    7. Rose, Elaina, 2001. "Ex ante and ex post labor supply response to risk in a low-income area," Journal of Development Economics, Elsevier, vol. 64(2), pages 371-388, April.
    8. H. M. G. Herath & J. Brian Hardaker & Jock R. Anderson, 1982. "Choice of Varieties by Sri Lanka Rice Farmers: Comparing Alternative Decision Models," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 64(1), pages 87-93.
    9. Oecd, 2009. "Climate Change and Africa," OECD Journal: General Papers, OECD Publishing, vol. 2009(1), pages 5-35.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Shi Min & Xiaobing Wang & Shaoze Jin & Hermann Waibel & Jikun Huang, 2020. "Climate change and farmers’ perceptions: impact on rubber farming in the upper Mekong region," Climatic Change, Springer, vol. 163(1), pages 451-480, November.
    2. Tang, L. & Zhou, J. & Liu, Q., 2018. "Beyond quantity: the crowding-in effects of perception of climate risk on chemical use by Chinese rice farmers," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277220, International Association of Agricultural Economists.
    3. Tang, Liqun & Zhou, Jiehong & Bobojonov, Ihtiyor & Zhang, Yanjie & Glauben, Thomas, 2018. "Induce or reduce? The crowding-in effects of farmers’ perceptions of climate risk on chemical use in China," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 20, pages 27-37.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sangam Shrestha & Proloy Deb & Thi Bui, 2016. "Adaptation strategies for rice cultivation under climate change in Central Vietnam," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 21(1), pages 15-37, January.
    2. Sauer, Johannes & Finger, Robert, 2014. "Climate Risk Management Strategies in Agriculture – The Case of Flood Risk," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 172679, Agricultural and Applied Economics Association.
    3. Mohamed Esham & Chris Garforth, 2013. "Agricultural adaptation to climate change: insights from a farming community in Sri Lanka," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 18(5), pages 535-549, June.
    4. Iglesias, Ana & Garrote, Luis, 2015. "Adaptation strategies for agricultural water management under climate change in Europe," Agricultural Water Management, Elsevier, vol. 155(C), pages 113-124.
    5. Seydou Zakari & Germaine Ibro & Bokar Moussa & Tahirou Abdoulaye, 2022. "Adaptation Strategies to Climate Change and Impacts on Household Income and Food Security: Evidence from Sahelian Region of Niger," Sustainability, MDPI, vol. 14(5), pages 1-18, March.
    6. Alejandro del Pozo & Nidia Brunel-Saldias & Alejandra Engler & Samuel Ortega-Farias & Cesar Acevedo-Opazo & Gustavo A. Lobos & Roberto Jara-Rojas & Marco A. Molina-Montenegro, 2019. "Climate Change Impacts and Adaptation Strategies of Agriculture in Mediterranean-Climate Regions (MCRs)," Sustainability, MDPI, vol. 11(10), pages 1-16, May.
    7. Kim, Chung-Sil & Jung, Hye-Kyung & Lee, Sang-Ho & Park, Soo-Young & Takei, Atsuo, 2012. "An Analysis on Determinants of Farmers´ Adaptation to Climate Change in Korea," Journal of Rural Development/Nongchon-Gyeongje, Korea Rural Economic Institute, vol. 35(2), pages 1-20, July.
    8. Popular Gentle & Rik Thwaites & Digby Race & Kim Alexander & Tek Maraseni, 2018. "Household and community responses to impacts of climate change in the rural hills of Nepal," Climatic Change, Springer, vol. 147(1), pages 267-282, March.
    9. Ihli, Hanna Julia & Maart, Syster Christin & Musshoff, Oliver, 2012. "Investment and Disinvestment in Irrigation Technology – An Experimental Analysis of Farmers’ Decision Behavior –," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124532, Agricultural and Applied Economics Association.
    10. Jane Kabubo-Mariara & Richard Mulwa, 2019. "Adaptation to climate change and climate variability and its implications for household food security in Kenya," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 11(6), pages 1289-1304, December.
    11. Clare Hall & Anita Wreford, 2012. "Adaptation to climate change: the attitudes of stakeholders in the livestock industry," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 17(2), pages 207-222, February.
    12. Wang, Weijun & Zhao, Xueyan & Cao, Jianjun & Li, Hua & Zhang, Qin, 2020. "Barriers and requirements to climate change adaptation of mountainous rural communities in developing countries: The case of the eastern Qinghai-Tibetan Plateau of China," Land Use Policy, Elsevier, vol. 95(C).
    13. André Vizinho & David Avelar & Cristina Branquinho & Tiago Capela Lourenço & Silvia Carvalho & Alice Nunes & Leonor Sucena-Paiva & Hugo Oliveira & Ana Lúcia Fonseca & Filipe Duarte Santos & Maria José, 2021. "Framework for Climate Change Adaptation of Agriculture and Forestry in Mediterranean Climate Regions," Land, MDPI, vol. 10(2), pages 1-33, February.
    14. Lim, Krisha & Wichmann, Bruno & Luckert, Martin, 2021. "Adaptation, spatial effects, and targeting: Evidence from Africa and Asia," World Development, Elsevier, vol. 139(C).
    15. Hou, L. & Min, S. & Huang, Q. & Huang, J., 2018. "Farmers perceptions of, ex ante and ex post adaptations to drought: Empirical evidence from maize farmers in China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277208, International Association of Agricultural Economists.
    16. Rianne van Duinen & Tatiana Filatova & Peter Geurts & Anne van der Veen, 2015. "Empirical Analysis of Farmers' Drought Risk Perception: Objective Factors, Personal Circumstances, and Social Influence," Risk Analysis, John Wiley & Sons, vol. 35(4), pages 741-755, April.
    17. Damian Felladam Tangonyire, 2019. "Impact Of Climate Change On Farmers In The Talensi District Of The Upper East Region Of Ghana," Malaysian Journal of Sustainable Agriculture (MJSA), Zibeline International Publishing, vol. 3(2), pages 35-45, June.
    18. Naveen P. Singh & Bhawna Anand & Mohd Arshad Khan, 2018. "Micro-level perception to climate change and adaptation issues: A prelude to mainstreaming climate adaptation into developmental landscape in India," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 92(3), pages 1287-1304, July.
    19. Justus Ochieng & Lilian Kirimi & Dennis O. Ochieng & Timothy Njagi & Mary Mathenge & Raphael Gitau & Miltone Ayieko, 2020. "Managing climate risk through crop diversification in rural Kenya," Climatic Change, Springer, vol. 162(3), pages 1107-1125, October.
    20. Sushenjit Bandyopadhyay & Limin Wang & Marcus Wijnen, 2011. "Improving Household Survey Instruments for Understanding Agricultural Household Adaptation to Climate Change : Water Stress and Variability," World Bank Publications - Reports 12764, The World Bank Group.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:ajarec:v:59:y:2015:i:2:p:242-257. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/aaresea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.