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Assessing Financial Literacy and Farmland Abandonment Relationship in Ghana

Author

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  • Martinson Ankrah Twumasi

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

  • Bright Senyo Dogbe

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

  • Ernest Kwarko Ankrah

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

  • Zhao Ding

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

  • Yuansheng Jiang

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

Abstract

Farmland abandonment has been a major concern for policymakers in most developing nations since it is associated with food security and poverty alleviation. In view of this, assessing its potential determinants is essential and timely. This study examines the relationship between financial literacy and farmland abandonment in Ghana using survey data (N = 572). The study employs endogenous switching regression (ESR) for its estimation. Our findings show that financial literacy is low among rural dwellers. Also, the findings depict that financial literacy is positively related to farmland abandonment reduction. Moreover, different household groups depict a heterogeneous relationship between financial literacy and farmland abandonment. Thus, the association between financial literacy and farmland abandonment reduction is more pronounced for low-income farm households and female farmers. We recommended that financial literacy programs can be organized or shown on national radios and television to provide financial education to the country’s residents. Our findings could offer some implications for stimulating agricultural intensification while ensuring rural advancements.

Suggested Citation

  • Martinson Ankrah Twumasi & Bright Senyo Dogbe & Ernest Kwarko Ankrah & Zhao Ding & Yuansheng Jiang, 2023. "Assessing Financial Literacy and Farmland Abandonment Relationship in Ghana," Agriculture, MDPI, vol. 13(3), pages 1-18, February.
    • Handle: RePEc:gam:jagris:v:13:y:2023:i:3:p:580-:d:1082434
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    References listed on IDEAS

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