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Accessing Seed Through Sharecropping: A Risk-Sharing Strategy For Andean Farmers

Author

Listed:
  • Godtland, Erin
  • Sadoulet, Elisabeth
  • de Janvry, Alain
  • Murgai, Rinku

Abstract

In the Northern Andes, one of the riskiest agriculture climates in the world, farmers use sharecropping to obtain seed, their most costly input. With survey data from Peru, this paper calculates that the cost of seed, when it is provided though sharecropping, is two times higher than the market price. We test the hypothesis that risk-averse farmers are willing to pay more to receive seed through sharecropping because the contract provides implicit crop insurance.

Suggested Citation

  • Godtland, Erin & Sadoulet, Elisabeth & de Janvry, Alain & Murgai, Rinku, 2001. "Accessing Seed Through Sharecropping: A Risk-Sharing Strategy For Andean Farmers," 2001 Annual meeting, August 5-8, Chicago, IL 20589, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea01:20589
    DOI: 10.22004/ag.econ.20589
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    References listed on IDEAS

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    1. Joseph E. Stiglitz, 1974. "Incentives and Risk Sharing in Sharecropping," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 41(2), pages 219-255.
    2. Foster, Andrew D & Rosenzweig, Mark R, 1996. "Technical Change and Human-Capital Returns and Investments: Evidence from the Green Revolution," American Economic Review, American Economic Association, vol. 86(4), pages 931-953, September.
    3. Z. Bar‐Shira & R.E. Just & D. Zilberman, 1997. "Estimation of farmers' risk attitude: an econometric approach," Agricultural Economics, International Association of Agricultural Economists, vol. 17(2-3), pages 211-222, December.
    4. Edgardo Moscardi & Alain de Janvry, 1977. "Attitudes Toward Risk Among Peasants: An Econometric Approach," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(4), pages 710-716.
    Full references (including those not matched with items on IDEAS)

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    Keywords

    Crop Production/Industries;

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