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The heterogeneous effects of adoption of climate-smart agriculture on household welfare in Pakistan

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  • Muhammad Faisal Shahzad
  • Awudu Abdulai

Abstract

In this study, we analyse the heterogeneity in the impacts of adoption of climate-smart agricultural (CSA) practices on welfare indicators such as food and nutrition security and poverty reduction in Pakistan. We employ the marginal treatment effects (MTE) approach to estimate the treatment effects heterogeneity and policy-relevant treatment effects (PRTE). The findings show substantial heterogeneity in benefits from adoption of CSA with respect to both observed and unobserved household characteristics. In particular, the estimates show that households with higher unobserved benefits are more likely to adopt CSA practices. The empirical results show that adoption of CSA practices significantly reduces household food insecurity and increases household dietary diversity but reduces the poverty headcount and severity of poverty of the households at the lower level of unobserved resistance to adoption. The PRTE indicate that sources of climate change information and climate-resilient trainings could help to reduce rural poverty and improve food and nutrition security in Pakistan.

Suggested Citation

  • Muhammad Faisal Shahzad & Awudu Abdulai, 2021. "The heterogeneous effects of adoption of climate-smart agriculture on household welfare in Pakistan," Applied Economics, Taylor & Francis Journals, vol. 53(9), pages 1013-1038, February.
    • Handle: RePEc:taf:applec:v:53:y:2021:i:9:p:1013-1038
    DOI: 10.1080/00036846.2020.1820445
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    Citations

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    Cited by:

    1. Hongyun Zheng & Wanglin Ma & Yanzhi Guo, 2023. "Does nutrition knowledge training improve dietary diversity and nutrition intake? Insights from rural China," Agribusiness, John Wiley & Sons, Ltd., vol. 39(S1), pages 1417-1436, December.
    2. Pomi Shahbaz & Azhar Abbas & Babar Aziz & Bader Alhafi Alotaibi & Abou Traore, 2022. "Nexus between Climate-Smart Livestock Production Practices and Farmers’ Nutritional Security in Pakistan: Exploring Level, Linkages, and Determinants," IJERPH, MDPI, vol. 19(9), pages 1-22, April.
    3. Muhammad Faisal Shahzad & Awudu Abdulai & Gazali Issahaku, 2021. "Adaptation Implications of Climate-Smart Agriculture in Rural Pakistan," Sustainability, MDPI, vol. 13(21), pages 1-18, October.
    4. Sen Chakraborty, Kritika & Chakraborty, Avinandan & Berrens, Robert P., 2023. "Valuing soil erosion control investments in Nigerian agricultural lands: A hedonic pricing model," World Development, Elsevier, vol. 170(C).
    5. Richard Kwasi Bannor & Yaw Gyekye, 2022. "Unpacking The Nexus Between Broiler Contract Farming and Its Impact in Ghana," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(6), pages 2759-2786, December.
    6. Asresu Yitayew & Awudu Abdulai & Yigezu A Yigezu, 2022. "Improved agricultural input delivery systems for enhancing technology adoption: evidence from a field experiment in Ethiopia [The impact of the use of new technologies on farmers’ wheat yield in Et," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 49(3), pages 527-556.
    7. Sadick Mohammed & Awudu Abdulai, 2022. "Heterogeneity in returns to agricultural technologies with incomplete diffusion: Evidence from Ghana," Review of Development Economics, Wiley Blackwell, vol. 26(1), pages 323-353, February.

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