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John Asafu-Adjaye
Thilak Mallawaarachchi
Chilot Yirga
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Thilak Mallawaarachchi
Chilot Yirga
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Journal of Agricultural Economics and Rural Development

Strategies for managing climate risk: a case study of smallholder farmers in Ethiopia

John Asafu-Adjaye*, Thilak Mallawaarachchi, Chilot Yirga

School of Economics, University of Queensland, Brisbane, Australia.

Ethiopian Agricultural Research Institute, Addis Ababa, Ethiopia.

Accepted 22 June, 2016

Citation: Asafu-Adjaye J, Mallawaarachchi T, Yirga C (2016). Strategies for Managing Climate Risk: A Case Study of Smallholder Farmers in Ethiopia. Journal of Agricultural Economics and Rural Development, 3(2): 091-104.

Copyright: © 2016 Asafu-Adjaye et al. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are cited.

Abstract

This study analyses the factors affecting Ethiopian farmers’ choice of ex-ante adaptation and ex-post coping strategies for climate risk. We use multivariate probit models to explain the choice of various adaptation and coping strategies. We find that plot characteristics such as slope, depth, soil type and soil fertility, and farm size are important factors affecting the choice of adaptation strategy. These plot characteristics also significantly affect the choice of particular coping strategies such as selling livestock, reducing meals and borrowing. The results also show that plot management practices such as leaving crop residues, intercropping and use of non-recycled hybrid maize are associated with a reduced likelihood of choosing coping measures such as selling livestock. We advocate increased farmer education on improved farm management practices to reduce household vulnerability to climate change and variability.

Keywords: Adaptation, coping, climate risk, multivariate probit model, Ethiopia