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Drivers of organic farming: Lab-in-the-field evidence of the role of social comparison and information nudge in networks in Vietnam

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  • Kene Boun My

    (BETA - Bureau d'Économie Théorique et Appliquée - AgroParisTech - UNISTRA - Université de Strasbourg - Université de Haute-Alsace (UHA) - Université de Haute-Alsace (UHA) Mulhouse - Colmar - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Phu Nguyen-Van

    (EconomiX - EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique, Thang Long University)

  • Thi Kim Cuong Pham

    (EconomiX - EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique)

  • Anne Stenger

    (BETA - Bureau d'Économie Théorique et Appliquée - AgroParisTech - UNISTRA - Université de Strasbourg - Université de Haute-Alsace (UHA) - Université de Haute-Alsace (UHA) Mulhouse - Colmar - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Tuyen Tiet

    (BETA - Bureau d'Économie Théorique et Appliquée - AgroParisTech - UNISTRA - Université de Strasbourg - Université de Haute-Alsace (UHA) - Université de Haute-Alsace (UHA) Mulhouse - Colmar - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Nguyen To-The

    (Thang Long University, VNU - Vietnam National University [Hanoï])

Abstract

This study examines factors determining farmers' investment in organic farming using a contextualized lab-in-the-field experiment with 220 small household farmers in Northern Vietnam. We focus on the role of network structure, information nudge, and social comparison between farmers using three types of networks: circle, star and complete. Our results suggest that, on average, around 64% of the land is invested in organic farming in the complete network in which each farmer is connected to all of the others, while only about 57% of the land is invested in the circle and star network. Moreover, social comparison (i.e., information about the average investment) performs better in a circle network than in a star network. Finally, information nudges about the socially optimal investment could encourage farmers' coordination in all three networks, particularly in the complete network with an increase in organic investment up to 76%.

Suggested Citation

  • Kene Boun My & Phu Nguyen-Van & Thi Kim Cuong Pham & Anne Stenger & Tuyen Tiet & Nguyen To-The, 2022. "Drivers of organic farming: Lab-in-the-field evidence of the role of social comparison and information nudge in networks in Vietnam," Post-Print hal-03781161, HAL.
    • Handle: RePEc:hal:journl:hal-03781161
    DOI: 10.1016/j.ecolecon.2022.107401
    Note: View the original document on HAL open archive server: https://hal.science/hal-03781161
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    2. Lu, Chen-Fu & Cheng, Chia-Yi, 2023. "Exploring the distribution of organic farming: Findings from certified rice in Taiwan," Ecological Economics, Elsevier, vol. 212(C).

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    More about this item

    Keywords

    Lab-in-the-field; Network; Nudge; Organic agriculture; Small household farmers; Social comparison.;
    All these keywords.

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • 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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