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Transformation towards a more sustainable agricultural system in Indonesia: Empirical essays on the role of information and endorsement

  • In many cases, transitioning towards sustainable agricultural production requires farmers to change their practices. These changes can include the adoption of sustainable agricultural practices, water-saving, or the disadoption of excessive chemical input use or land burning. Policy makers interested in making agricultural production more sustainable need to understand what encourages the uptake of sustainable practices and what is effective in reducing unsustainable practices. This thesis seeks to understand whether and how information provision and endorsement can contribute to the transition towards more sustainable agricultural systems. The thesis consists of three self-contained papers. The first paper explores the potential of religious endorsement for inducing pro-environmental behaviour and encouraging the disadoption of fire as an agricultural practice, thereby preventing forest fires. The paper analyses the impact of a fatwa (an Islamic religious ruling) on reducing fire incidence in Indonesia. Results indicate that fireIn many cases, transitioning towards sustainable agricultural production requires farmers to change their practices. These changes can include the adoption of sustainable agricultural practices, water-saving, or the disadoption of excessive chemical input use or land burning. Policy makers interested in making agricultural production more sustainable need to understand what encourages the uptake of sustainable practices and what is effective in reducing unsustainable practices. This thesis seeks to understand whether and how information provision and endorsement can contribute to the transition towards more sustainable agricultural systems. The thesis consists of three self-contained papers. The first paper explores the potential of religious endorsement for inducing pro-environmental behaviour and encouraging the disadoption of fire as an agricultural practice, thereby preventing forest fires. The paper analyses the impact of a fatwa (an Islamic religious ruling) on reducing fire incidence in Indonesia. Results indicate that fire incidence decreased in Muslim majority villages following the issuing of the fatwa. For the post-fatwa period from August 2016 to December 2019, the average monthly effect amounts to around 2.2 prevented fire events per village. This is a considerable effect. The paper concludes that fire prevention efforts, and potentially other environmental conservation efforts, could benefit significantly from support by religious institutions and stakeholders. The second paper investigates the role of information provision and training for the adoption of organic farming practices in Java, Indonesia. We use a randomised controlled trial (RCT) to identify the impact of a three-day hands-on training in organic farming for smallholder farmers. We find that the training intervention increased the adoption of organic inputs and had a positive and statistically significant effect on farmers’ knowledge and perceptions of organic farming. Overall, our findings suggest that information constraints are a barrier to the adoption of organic farming, as information provision increased the use of organic farming practices. The third paper investigates whether urban and suburban Indonesian consumers are willing to pay a price premium for organic food. We use an incentive-compatible auction based on the Becker-DeGroot-Marschak (BDM) approach to elicit consumers’ WTP. We further study the effect of income and a randomised information treatment about the benefits of organic food on respondents’ WTP. Estimates suggest that consumers are willing to pay a price premium for organic rice, on average 20 percent more than what they paid for conventional rice outside of our experiment. However, our results also indicate that raising consumers’ WTP further is complex. Showing participants a video about the health or, alternatively, environmental benefits of organic food was not effective in further raising WTP. Exposure to the environmental benefits video was, however, effective in raising stated organic food consumption intentions.show moreshow less

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Metadaten
Author:Nathalie LuckORCiD
URN:urn:nbn:de:bvb:739-opus4-10037
Advisor:Michael Grimm, Erwin Bulte
Document Type:Doctoral Thesis
Language:English
Year of Completion:2021
Date of Publication (online):2021/11/05
Date of first Publication:2021/11/05
Publishing Institution:Universität Passau
Granting Institution:Universität Passau, Wirtschaftswissenschaftliche Fakultät
Date of final exam:2021/09/24
Release Date:2021/11/05
Tag:technology adoption, religion, organic farming, WTP
GND Keyword:Landwirtschaft; Nachhaltigkeit; Entwicklungsökonomie
Page Number:x, 152 Seiten
Institutes:Wirtschaftswissenschaftliche Fakultät
Dewey Decimal Classification:3 Sozialwissenschaften / 33 Wirtschaft / 330 Wirtschaft
open_access (DINI-Set):open_access
Licence (German):License LogoStandardbedingung laut Einverständniserklärung