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On the Productive Value of Crop Biodiversity: Evidence from the Highlands of Ethiopia

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  • Jean-Paul Chavas
  • Salvatore Di Falco

Abstract

This paper investigates the productive value of crop biodiversity, with an application to a farming system in the Tigray region in the highlands of Ethiopia. We examine a general measure of the productive value of crop biodiversity and its components. Using Ethiopian farm-level data, agroecosystem productivity is investigated empirically. The analysis gives estimates of the value of diversity and its components. The value of crop biodiversity is estimated to be positive. The complementarity component is found to be large and statistically significant: it is the main source of crop biodiversity value in this agroecosystem of Ethiopia. However, the convexity component is negative, indicating that nonconvexity contributes to reducing the value of crop biodiversity.

Suggested Citation

  • Jean-Paul Chavas & Salvatore Di Falco, 2012. "On the Productive Value of Crop Biodiversity: Evidence from the Highlands of Ethiopia," Land Economics, University of Wisconsin Press, vol. 88(1), pages 58-74.
  • Handle: RePEc:uwp:landec:v:88:y:2012:i:1:p:58-74
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    Cited by:

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    2. José Luiz Parré & André Luis Squarize Chagas, 2022. "Determinants of agricultural diversification in Brazil: a spatial econometric analysis," Letters in Spatial and Resource Sciences, Springer, vol. 15(2), pages 173-195, August.
    3. Katia Alejandra Covarrubias, 2015. "The role of crop diversity in household production and food security in Uganda: A gender-differentiated analysis," FOODSECURE Working papers 32, LEI Wageningen UR.
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    5. Dallimer, Martin & Martin-Ortega, Julia & Rendon, Olivia & Afionis, Stavros & Bark, Rosalind & Gordon, Iain J. & Paavola, Jouni, 2020. "Taking stock of the empirical evidence on the insurance value of ecosystems," Ecological Economics, Elsevier, vol. 167(C).
    6. Vijesh Krishna & Matin Qaim & David Zilberman, 2016. "Transgenic crops, production risk and agrobiodiversity," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 43(1), pages 137-164.
    7. Cong, Rong-Gang & Hedlund, Katarina & Andersson, Hans & Brady, Mark, 2014. "Managing soil natural capital: An effective strategy for mitigating future agricultural risks," MPRA Paper 112155, University Library of Munich, Germany.
    8. Brown, Jason P. & Goetz, Stephan J. & Fleming, David A., 2012. "Multifunctional Agriculture and Farm Viability in the United States," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 126929, Agricultural and Applied Economics Association.
    9. Mintewab Bezabih & Finn Tarp & Hailemariam Teklewold & Alemu Mekonnen & Tagel G/Hiwot, 2023. "Traditional versus improved varieties of seed: Is there a trade-off between productivity and risk?," DERG working paper series 23-21, University of Copenhagen. Department of Economics. Development Economics Research Group (DERG).
    10. Thomas Lemma Argaw & Euan Phimister & Deborah Roberts, 2021. "From Farm to Kitchen: How Gender Affects Production Diversity and the Dietary Intake of Farm Households in Ethiopia," Journal of Agricultural Economics, Wiley Blackwell, vol. 72(1), pages 268-292, February.
    11. José Luiz Parré & André Luis Squarize Chagas & Mary Paula Arends-Kuenning, 2024. "The effect of farm size and farmland use on agricultural diversification: a spatial analysis of Brazilian municipalities," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 12(1), pages 1-21, December.
    12. Quaranta Giovanni & Salvia Rosanna, 2014. "An Index to Measure Rural Diversity in the Light of Rural Resilience and Rural Development Debate," European Countryside, Sciendo, vol. 6(2), pages 161-178, June.
    13. Karl S. Zimmerer & Steven J. Vanek, 2016. "Toward the Integrated Framework Analysis of Linkages among Agrobiodiversity, Livelihood Diversification, Ecological Systems, and Sustainability amid Global Change," Land, MDPI, vol. 5(2), pages 1-28, April.
    14. Sidibé, Yoro & Foudi, Sébastien & Pascual, Unai & Termansen, Mette, 2018. "Adaptation to Climate Change in Rainfed Agriculture in the Global South: Soil Biodiversity as Natural Insurance," Ecological Economics, Elsevier, vol. 146(C), pages 588-596.
    15. François Bareille & Pierre Dupraz, 2017. "Biodiversity Productive Capacity in Mixed Farms of North-West of France: a Multi-output Primal System," Working Papers SMART 17-03, INRAE UMR SMART.
    16. Ibirénoyé Honoré Romaric Sodjahin & Fabienne Femenia & Obafémi, Philippe Koutchadé & Alain Carpentier, 2023. "On the economic value of the agronomic effects of crop diversification for farmers: estimation based on farm cost accounting data," Post-Print hal-04667088, HAL.
    17. Bareille, François & Dupraz, Pierre, 2016. "Biodiversity productive effects in milk farms of western France: a multi-output primal system," 149th Seminar, October 27-28, 2016, Rennes, France 244774, European Association of Agricultural Economists.
    18. Smith, A.C. & Harrison, P.A. & Pérez Soba, M. & Archaux, F. & Blicharska, M. & Egoh, B.N. & Erős, T. & Fabrega Domenech, N. & György, Á.I. & Haines-Young, R. & Li, S. & Lommelen, E. & Meiresonne, L. &, 2017. "How natural capital delivers ecosystem services: A typology derived from a systematic review," Ecosystem Services, Elsevier, vol. 26(PA), pages 111-126.
    19. Donfouet, Hermann Pythagore Pierre & Barczak, Aleksandra & Détang-Dessendre, Cécile & Maigné, Elise, 2017. "Crop Production and Crop Diversity in France: A Spatial Analysis," Ecological Economics, Elsevier, vol. 134(C), pages 29-39.

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    More about this item

    JEL classification:

    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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