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Land Ownership Security, Farm Investment, and Investment Risk in Indian Agriculture: Evidence from Nationally Representative Survey

Nusrat Akber, Kirtti Paltasingh, Ashok K. Mishra and Phanindra Goyari

Journal of Agricultural and Applied Economics, 2024, vol. 56, issue 2, 278-296

Abstract: This paper examines the impact of land ownership on farm-level investment and investment risk (variability) in Indian agriculture using nationally representative survey data. The study adopts a flexible moment approach with White’s heteroscedasticity consistent standard error method. Results reveal that land ownership intensity significantly augments on-farm investment and reduces its variability. Other variables like family head’s education, access to irrigation, technical advice, credit and nonfarm income have significant inducement effects on-farm investment. We also observe that farmers’ education, age, irrigation, technical advice, MSP awareness and commercialization reduce farm investment risk. Findings have important policy implications for Indian land tenancy

Date: 2024
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