EconPapers    
Economics at your fingertips  
 

Locus of Control and Technology Adoption in Africa: Evidence from Ethiopia

Kibrom A. Abay, Guush Berhane and Garrick Blalock

Working Papers PMMA from PEP-PMMA

Abstract: We investigate the implication of farmers’ locus of control on their technology adoption decisions. Our empirical analysis is based on two longitudinal surveys and hypothetical choice exercises conducted on Ethiopian farmers. We find that locus of control significantly predicts farmers’ technology adoption decisions, including use of chemical fertilizers, improved seeds, and irrigation. We show that individuals with an internal locus of control have higher propensity of adopting agricultural technologies, while those with an external locus of control seem less likely to adopt one or more of these agricultural technologies. We observe these empirical regularities in both datasets, and for both revealed measures of farmers’ technology adoption decisions as well as farmers’ hypothetical demand for agricultural technology. The results hold even in a more conservative fixed effects estimation approach, assuming locus of control as time-variant and dynamic behavioral trait. These findings provide psychological (behavioral) explanations for the low rates of adoption of profitable agricultural technologies in Sub-Saharan Africa. Our results highlight that improving farmers’ psychological capital and non-cognitive skills may facilitate agricultural transformation. More generally, the results suggest that anti-poverty policies that only focus on relaxing short-term external constraints, including physical access to markets and technologies, may not sufficiently alleviate agricultural underinvestment.

Keywords: Locus of control; internal constraints; behavioral biases; technology adoption; agricultural investment; chemical fertilizers. (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr, nep-dev and nep-neu
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://portal.pep-net.org/document/download/31603 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:lvl:pmmacr:2018-04

Access Statistics for this paper

More papers in Working Papers PMMA from PEP-PMMA Contact information at EDIRC.
Bibliographic data for series maintained by Manuel Paradis ().

 
Page updated 2019-04-24
Handle: RePEc:lvl:pmmacr:2018-04