Details
| Original language | English |
|---|---|
| Article number | 105713 |
| Journal | World development |
| Volume | 150 |
| Early online date | 21 Oct 2021 |
| Publication status | Published - Feb 2022 |
Abstract
In recent years, Uganda has experienced widespread forest loss and degradation, mainly driven by agricultural expansion and rising demand for forest products. The adoption of agroforestry is regarded as one of the key strategies in forest landscape restoration in agriculture. While the benefits of agroforestry are widely acknowledged, adoption among smallholder farmers is sluggish. This study analyzes how individual risk and time preferences affect smallholder farmers’ choice of attributes of companion trees within coffee agroforestry systems in the Mt. Elgon region in Uganda. Farmers’ risk and time preferences are elicited using lottery-based experiments, whereas farmers’ choices of preferred attributes for companion trees are determined using a discrete choice experiment. The data from the different experimental designs are combined to establish how risk and time preferences affect the decision to integrate companion trees into coffee farms. Farmers’ choices of tree attributes are analyzed based on random utility models, and farmers’ risk and time preferences are measured using cumulative prospect theory and quasi-hyperbolic discounting. The results reveal that most farmers are both risk and loss averse with high discount rates (impatience), and they are willing to pay more for quality tree seedlings. Analyzing the behavioral parameters in combination with discrete choice data on the preferred choice of tree attributes reveals a close association between farmers’ aversion to risk and loss and high discount rates with preferences for trees that grow fast, improve soil fertility, and provide fuelwood. This study offers unique insights for researchers, extension officers, and policymakers, on how farmers’ risk and time preferences and preferred attributes can be used to tailor agroforestry interventions to be attractive for farmers in different contexts in pursuit of broader forest landscape restoration goals.
Keywords
- Africa, Agroforestry, Choice experiment, Forest landscape restoration, Risk and time preferences, Uganda
ASJC Scopus subject areas
- Social Sciences(all)
- Geography, Planning and Development
- Engineering(all)
- Building and Construction
- Social Sciences(all)
- Development
- Social Sciences(all)
- Sociology and Political Science
- Economics, Econometrics and Finance(all)
- Economics and Econometrics
Sustainable Development Goals
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In: World development, Vol. 150, 105713, 02.2022.
Research output: Contribution to journal › Article › Research › peer review
}
TY - JOUR
T1 - Risk and time preferences for participating in forest landscape restoration
T2 - The case of coffee farmers in Uganda
AU - Julia Ihli, Hanna
AU - Chiputwa, Brian
AU - Winter, Etti
AU - Gassner, Anja
N1 - Funding Information: This study was supported through funding from the German Research Foundation (DFG) under the grant (grant number: IH 128/1-1 ) and the CRC/Transregio 228: Future Rural Africa: Future-making and social-ecological transformation (Project number: 328966760). We gratefully acknowledge the financial support from the project “Harnessing the potential of trees on farms for meeting national and global biodiversity targets”, funded by The International Climate Initiative (IKI) (Grant number: BMUZ_1273), and implemented by World Agroforestry (ICRAF) with various partners. We thank Clement Okia and Phillip Kihumuro of ICRAF Uganda for their support during the study.
PY - 2022/2
Y1 - 2022/2
N2 - In recent years, Uganda has experienced widespread forest loss and degradation, mainly driven by agricultural expansion and rising demand for forest products. The adoption of agroforestry is regarded as one of the key strategies in forest landscape restoration in agriculture. While the benefits of agroforestry are widely acknowledged, adoption among smallholder farmers is sluggish. This study analyzes how individual risk and time preferences affect smallholder farmers’ choice of attributes of companion trees within coffee agroforestry systems in the Mt. Elgon region in Uganda. Farmers’ risk and time preferences are elicited using lottery-based experiments, whereas farmers’ choices of preferred attributes for companion trees are determined using a discrete choice experiment. The data from the different experimental designs are combined to establish how risk and time preferences affect the decision to integrate companion trees into coffee farms. Farmers’ choices of tree attributes are analyzed based on random utility models, and farmers’ risk and time preferences are measured using cumulative prospect theory and quasi-hyperbolic discounting. The results reveal that most farmers are both risk and loss averse with high discount rates (impatience), and they are willing to pay more for quality tree seedlings. Analyzing the behavioral parameters in combination with discrete choice data on the preferred choice of tree attributes reveals a close association between farmers’ aversion to risk and loss and high discount rates with preferences for trees that grow fast, improve soil fertility, and provide fuelwood. This study offers unique insights for researchers, extension officers, and policymakers, on how farmers’ risk and time preferences and preferred attributes can be used to tailor agroforestry interventions to be attractive for farmers in different contexts in pursuit of broader forest landscape restoration goals.
AB - In recent years, Uganda has experienced widespread forest loss and degradation, mainly driven by agricultural expansion and rising demand for forest products. The adoption of agroforestry is regarded as one of the key strategies in forest landscape restoration in agriculture. While the benefits of agroforestry are widely acknowledged, adoption among smallholder farmers is sluggish. This study analyzes how individual risk and time preferences affect smallholder farmers’ choice of attributes of companion trees within coffee agroforestry systems in the Mt. Elgon region in Uganda. Farmers’ risk and time preferences are elicited using lottery-based experiments, whereas farmers’ choices of preferred attributes for companion trees are determined using a discrete choice experiment. The data from the different experimental designs are combined to establish how risk and time preferences affect the decision to integrate companion trees into coffee farms. Farmers’ choices of tree attributes are analyzed based on random utility models, and farmers’ risk and time preferences are measured using cumulative prospect theory and quasi-hyperbolic discounting. The results reveal that most farmers are both risk and loss averse with high discount rates (impatience), and they are willing to pay more for quality tree seedlings. Analyzing the behavioral parameters in combination with discrete choice data on the preferred choice of tree attributes reveals a close association between farmers’ aversion to risk and loss and high discount rates with preferences for trees that grow fast, improve soil fertility, and provide fuelwood. This study offers unique insights for researchers, extension officers, and policymakers, on how farmers’ risk and time preferences and preferred attributes can be used to tailor agroforestry interventions to be attractive for farmers in different contexts in pursuit of broader forest landscape restoration goals.
KW - Africa
KW - Agroforestry
KW - Choice experiment
KW - Forest landscape restoration
KW - Risk and time preferences
KW - Uganda
UR - http://www.scopus.com/inward/record.url?scp=85117596450&partnerID=8YFLogxK
U2 - 10.1016/j.worlddev.2021.105713
DO - 10.1016/j.worlddev.2021.105713
M3 - Article
AN - SCOPUS:85117596450
VL - 150
JO - World development
JF - World development
SN - 0305-750X
M1 - 105713
ER -