Via journal online., Agriculture is inherently a risky enterprise because of its dependence on rainfall. To mitigate
risks, farmers diversify crops and enterprises, maintain stabilization account or resort to the sale of assets. Crop insurance is a complementary institutional mechanism that aids farmers to cope with risks better.Considering the importance of crop insurance in risk mitigation, this paper using data from a large-scale farmers’ survey we identify the factors that influence farmers’ decision to buy crop insurance and subsequently assess its impact on farm income, production expenses and productive investments in agriculture. Farmers’ adoption of crop insurance is low— 4.80% kharif season and 3.17% in the rabi season mainly on account of lack of awareness about insurance products. Nevertheless, the probability of adoption of insurance is higher for those who experience higher crop loss and have some formal training in agriculture. The subsidy on premium also positively influences crop insurance uptake decisions. On the other hand, the factors like the lower social status, tenant farming and exposure to deficit-rainfall in the previous year are negatively associated with the decision to insure. The results on the impact of insurance are not conclusive to prove that insured farmer subsumes higher risks compared to the uninsured.
Sampong, D.D. (author), Egyir, I.S. (author), and Yaw, Osei-Asare (author)
Format:
Paper
Publication Date:
2007
Published:
Ghana
Location:
Agricultural Communications Documentation Center, Funk Library, University of Illinois Box: 102 Document Number: D10923
Notes:
Paper presented at the African Association of Agricultural Economists second international conference, Accra, Guana, August 20-22, 2007. 4 pages., The traditional way of information dissemination has been through people; the modern way is through the electronic media – improved information and communication technologies (ICTs). For effectiveness, modern ICTs should help women to improve on their income generating capacity. Issues of level of resource capacity of women, information needed, and current sources of such information become important. This study sought to investigate the issues above with respect to rural women food producers in the Mfantsiman District of Ghana. Simple descriptive statistics and econometric models were employed in the data analysis of 91 randomly selected respondents. The results of the study showed that: In general, the women food producers were aged, subsistence food crop farmers. They depended on the natural rainfall cycle and had inadequate funds, so they use traditional inputs for production and sell surpluses in the community. The most important agricultural information needed was on inputs, specifically, low cost in-kind or cash credit. Currently, the major information sources are relatives and other farmers in the locality, agricultural extension agents, the radio and television. This suggests that the women food producers have low resource capacity and this could limit the adoption of modern ICTs as a source of and media for information dissemination. Yet, the regression results show that the few (6) mobile phone users have a higher income generating capacity. In order to improve on capacity to use modern ICTs for increased access to other resources, women farmers’ should organize themselves into formidable groups so local institutions can assist easily.
Page 56-57 in Extension Circular 541, Review of Extension Research, January through December 1961, U.S. Department of Agriculture, Washington, D.C. Summary of a thesis for the master of science degree, Ohio State University, Columbus. 1960. 79 pages.
