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Abstract
We review and implement a reversible jump approach to Bayesian model averaging
for the Probit model with uncertain regressors. Two applications are investigated. The
first is the adoption of organic systems in UK farming, and the second is the influence
of farm and farmer characteristics on the use of a computer on the farm. While there
is a correspondence between the conclusions we would obtain with and without model
averaging results, we find important differences, particularly in smaller samples. Concerning
the adoption of an organic system, we find that attitudes to the sustainability
of the current system along with the ability of organic farms alone to satisfy society’s
needs for food are influential. Additionally, the source of management information
used by the farmer has a significant impact. Regarding the adoption of computers, we
confirm the findings of previous work that the level of education affects uptake and
that age is a factor determining adoption. We also find that dairy and organic farms
are more likely to use a computer. The physical size of the farm is positively associated
with the probability of computer use while net farm income has a limited impact.