Does Agroforestry Adoption Affect Subjective Well-Being? Empirical Evidence from Smallholder Farmers in East Java, Indonesia

Hari Wahyu Wijayanto, Kai-An Lo (), Hery Toiba () and Moh Shadiqur Rahman
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Hari Wahyu Wijayanto: Department of Tropical Agriculture and International Cooperation, National Pingtung University of Science and Technology, Pingtung 912, Taiwan
Kai-An Lo: Department of Forestry, National Pingtung University of Science and Technology, Pingtung 912, Taiwan
Hery Toiba: Agriculture Socio-Economic Department, Faculty of Agriculture, Brawijaya University, Malang 65145, Indonesia
Moh Shadiqur Rahman: Agriculture Socio-Economic Department, Faculty of Agriculture, Brawijaya University, Malang 65145, Indonesia

Sustainability, 2022, vol. 14, issue 16, 1-10

Abstract: Agroforestry has an essential role in reducing global poverty and maintaining environmental sustainability. However, little is known about the association between agroforestry and farmers’ welfare. This study aims to estimate the factors affecting agroforestry adoption and its impact on smallholder farmers’ welfare. The cross-sectional data were collected from 301 potato farmers in East Java, Indonesia. The factors affecting farmers’ decision to adopt agroforestry were estimated using probit regression analysis. The subjective well-being was proxied by life satisfaction and happiness. The effect of agroforestry adoption on subjective well-being was measured by propensity score matching (PSM). The findings indicated that agroforestry adoption was positively and significantly affected by whether the land is terraced, farmers’ age and education level, and farmers’ participation in social activities, cooperatives, and farmers’ groups. The PSM analysis shows that agroforestry adoption has a significant and positive impact on both subjective well-being indicators. Farmers who adopted agroforestry were happier and more satisfied than those who did not. The findings imply that farmers should implement agroforestry in the long term to improve their well-being.

Keywords: agroforestry; happiness; Indonesia life satisfaction; probit; propensity score marching; well-being (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

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