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Understanding Farmers’ Behavior towards Sustainable Practices and Their Perceptions of Risk

Author

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  • Stefanos A. Nastis

    (Laboratory of Agricultural Economic Development, Department of Agricultural Economics, Aristotle University of Thessaloniki, 54124 Thessaloniki, Greece)

  • Konstadinos Mattas

    (Laboratory of Agricultural Products, Agricultural Policy and Cooperatives, Department of Agricultural Economics, Aristotle University of Thessaloniki, 54124 Thessaloniki, Greece)

  • George Baourakis

    (MAICh Mediterranean Agronomic Institute of Chania, 73100 Chania, Greece)

Abstract

Farmers, as the first link in the agri-food value chain, are key in assuring its sustainability. Farmers’ behavior and attitudes towards implementing sustainable farm practices is influenced by their perceptions of risk affecting the farm and their household, either directly or indirectly. In this study, we elicit farmers’ perceived risk perception and preferences and test their robustness and validity using a sample of Greek smallholder farmers since they represent the majority of Greek holdings. Results suggest that farmers exhibit risk aversion in most situations of farm-level decision making. In many situations, farmers will prefer on-farm environmental sustainability strategies over other risk mitigation strategies. More specifically, higher age, higher education, farm size, proportion of rented land, and the existence of a farm succession plan reveal an increase in farmers’ preference for on-farm environmentally sustainable strategies and suggest reduced incentives towards implementing other on-farm or off-farm solutions.

Suggested Citation

  • Stefanos A. Nastis & Konstadinos Mattas & George Baourakis, 2019. "Understanding Farmers’ Behavior towards Sustainable Practices and Their Perceptions of Risk," Sustainability, MDPI, vol. 11(5), pages 1-13, March.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:5:p:1303-:d:210293
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    References listed on IDEAS

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    5. Kabir, Jahangir & Cramb, Rob & Alauddin, Mohammad & Gaydon, Donald S. & Roth, Christian H., 2020. "Farmers’ perceptions and management of risk in rice/shrimp farming systems in South-West Coastal Bangladesh," Land Use Policy, Elsevier, vol. 95(C).
    6. Dwi Ratna Hidayati & Elena Garnevska & Paul Childerhouse, 2021. "Sustainable Agrifood Value Chain—Transformation in Developing Countries," Sustainability, MDPI, vol. 13(22), pages 1-20, November.
    7. Hongpeng Guo & Wenkai Zhao & Chulin Pan & Guijie Qiu & Shuang Xu & Shun Liu, 2022. "Study on the Influencing Factors of Farmers’ Adoption of Conservation Tillage Technology in Black Soil Region in China: A Logistic-ISM Model Approach," IJERPH, MDPI, vol. 19(13), pages 1-16, June.
    8. Xixiang Sun & Weihuan Su & Xiaodong Guo & Ziyuan Tian, 2021. "The Impact of Awe Induced by COVID-19 Pandemic on Green Consumption Behavior in China," IJERPH, MDPI, vol. 18(2), pages 1-14, January.
    9. Juan García-Álvarez de Perea & Carolina Ramírez-García & Aida Del Cubo-Molina, 2019. "Internationalization Business Models and Patterns of SMEs and MNEs: A Qualitative Multi-Case Study in the Agrifood Sector," Sustainability, MDPI, vol. 11(10), pages 1-26, May.

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