Crop diversification improves technical efficiency and reduces income variability in Northern Ghana

Crop diversification has been shown to help mitigate climate change effects for farmers. While previous research shows that crop diversification may increase or decrease technical efficiency in different regions, research on whether crop diversification involves a tradeoff between technical efficien...

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Main Authors: Agness Mzyece, John N. Ng'ombe
Format: Article
Language:English
Published: Elsevier 2021-09-01
Series:Journal of Agriculture and Food Research
Subjects:
Online Access:http://www.sciencedirect.com/science/article/pii/S2666154321000648
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author Agness Mzyece
John N. Ng'ombe
author_facet Agness Mzyece
John N. Ng'ombe
author_sort Agness Mzyece
collection DOAJ
description Crop diversification has been shown to help mitigate climate change effects for farmers. While previous research shows that crop diversification may increase or decrease technical efficiency in different regions, research on whether crop diversification involves a tradeoff between technical efficiency and income variability is limited. Using agricultural production data from Northern Ghana, this study uses the stochastic input distance function to examine the effects of crop diversification on technical efficiency. The study further explores effects of crop diversification on income variability using an ordinary least square regression to understand the nexus between technical efficiency and income variability in crop diversification. The results show evidence against a ‘tradeoff’ between technical efficiency and income stability for farmers in Northern Ghana. We find that crop diversification significantly improves efficiency and reduces income variability in Northern Ghana, so farmers do not have to give up efficiency for income stability or vice versa. This suggests that crop diversification could be an ideal Climate Smart Agricultural (CSA) strategy for promoting agricultural growth and resilience in Northern Ghana. While our data has a maximum of three crops, which could limit generalization of results to farmers who grow more than three crops, our results make a novel contribution to the literature on crop diversification.
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spelling doaj.art-431860efb24944c5b0da3baf677a73f62022-12-21T22:42:51ZengElsevierJournal of Agriculture and Food Research2666-15432021-09-015100162Crop diversification improves technical efficiency and reduces income variability in Northern GhanaAgness Mzyece0John N. Ng'ombe1Department of Economics, Agriculture and Social Sciences, California State University, Stanislaus, Turlock, CA 95382, United StatesDepartment of Agricultural Economics and Extension, University of Zambia, Lusaka, Zambia; Corresponding author.Crop diversification has been shown to help mitigate climate change effects for farmers. While previous research shows that crop diversification may increase or decrease technical efficiency in different regions, research on whether crop diversification involves a tradeoff between technical efficiency and income variability is limited. Using agricultural production data from Northern Ghana, this study uses the stochastic input distance function to examine the effects of crop diversification on technical efficiency. The study further explores effects of crop diversification on income variability using an ordinary least square regression to understand the nexus between technical efficiency and income variability in crop diversification. The results show evidence against a ‘tradeoff’ between technical efficiency and income stability for farmers in Northern Ghana. We find that crop diversification significantly improves efficiency and reduces income variability in Northern Ghana, so farmers do not have to give up efficiency for income stability or vice versa. This suggests that crop diversification could be an ideal Climate Smart Agricultural (CSA) strategy for promoting agricultural growth and resilience in Northern Ghana. While our data has a maximum of three crops, which could limit generalization of results to farmers who grow more than three crops, our results make a novel contribution to the literature on crop diversification.http://www.sciencedirect.com/science/article/pii/S2666154321000648Crop diversificationTechnical efficiencyIncome variabilityNorthern Ghana
spellingShingle Agness Mzyece
John N. Ng'ombe
Crop diversification improves technical efficiency and reduces income variability in Northern Ghana
Journal of Agriculture and Food Research
Crop diversification
Technical efficiency
Income variability
Northern Ghana
title Crop diversification improves technical efficiency and reduces income variability in Northern Ghana
title_full Crop diversification improves technical efficiency and reduces income variability in Northern Ghana
title_fullStr Crop diversification improves technical efficiency and reduces income variability in Northern Ghana
title_full_unstemmed Crop diversification improves technical efficiency and reduces income variability in Northern Ghana
title_short Crop diversification improves technical efficiency and reduces income variability in Northern Ghana
title_sort crop diversification improves technical efficiency and reduces income variability in northern ghana
topic Crop diversification
Technical efficiency
Income variability
Northern Ghana
url http://www.sciencedirect.com/science/article/pii/S2666154321000648
work_keys_str_mv AT agnessmzyece cropdiversificationimprovestechnicalefficiencyandreducesincomevariabilityinnorthernghana
AT johnnngombe cropdiversificationimprovestechnicalefficiencyandreducesincomevariabilityinnorthernghana