EFFECTS OF WEATHER-INDEX INSURANCE: THE CASE OF SMALLHOLDER MAIZE FARMERS IN NORTHERN GHANA

The study investigates the effect of weather-index insurance on intensity of fertilizer use and yields among 230 smallholder maize farmers in Northern Region of Ghana. Out of the total sample of selected farmers, about 35% purchased the insurance. Using an endogenous treatment regression model, the study showed that weather-index insurance purchase increased the intensity of fertilizer use but did not have a significant effect on maize yield. Past experience of crop failure due to drought, livestock ownership as well as the total area of land owned explained weather-index insurance purchase in the study area. Based on the results of this study, the Government of Ghana can use weather-index insurance as a policy tool to increase the use of fertilizer by smallholder maize farmers.


Issue Date:
Jul 16 2017
Publication Type:
Journal Article
Record Identifier:
http://ageconsearch.umn.edu/record/266437
ISSN:
2147-8988
Language:
English
Published in:
International Journal of Food and Agricultural Economics (IJFAEC), Volume 05, Number 3
Page range:
75-85
JEL Codes:
Q12, Q16, Q18




 Record created 2018-01-10, last modified 2018-03-29

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