Nonfarm activity and market participation by farmers in Ghana

Nkegbe, Paul Kwame; Araar, Abdelkrim; Abu, Benjamin Musah; Alhassan, Hamdiyah; Ustarz, Yazidu; Setsoafia, Edinam Dope; Abdul-Wahab, Shamsia

doi:10.1186/s40100-022-00210-1

Agricultural and Food Economics

Table 5 Switch_probit estimates of determinants of nonfarm engagement and market participation for individual crops

From: Nonfarm activity and market participation by farmers in Ghana

Variable	Sale of maize			Sale of g’nut			Sale of rice
Variable	NFE	Part	Non-part	NFE	Part	Non-part	NFE	Part	Non-part
Age of household head	− 0.004***	− 0.003	− 0.005***	− 0.003	0.000	− 0.002	− 0.007**	0.002	− 0.007*
Average age of household	0.006***	0.007	− 0.001	0.005	− 0.003	− 0.003	0.006	− 0.009*	− 0.009
Sex of household head	− 0.012	− 0.131	0.232***	− 0.111	0.283**	0.214	− 0.158	0.114	0.117
Years of education of head	0.037***	0.013	− 0.023***	0.018**	− 0.011	− 0.022	0.018*	− 0.015	0.004
Area of residence	− 0.246*	0.044	0.205	0.026	0.403	0.204	0.005	0.447	0.677**
Farm size in hectares	− 0.010	0.071	0.197***	− 0.002	0.251***	0.007	0.218***	0.212***	0.145
Price/kg	− 0.009	0.004	− 0.028	− 0.013	0.029	0.036	− 0.003	− 0.060**	− 0.146***
Extension office in community		− 0.706*	− 0.084		0.003	0.179		0.459***	− 0.101
Agricultural wage	− 0.007	− 0.021	0.013**	− 0.022**	0.002	0.035*	− 0.023	0.136***	0.118***
Ecological zone (base: Coastal):
Forest	− 0.203*	5.868***	0.092	− 0.752*	0.618*	− 0.092	− 0.777	− 4.228***	5.962***
Savannah	− 0.546***	5.850***	0.290**	− 0.275	0.249	0.006	− 0.985	− 3.795***	6.213***
Adult equivalent scale	0.119***	0.052*	− 0.061***	0.118***	− 0.060**	− 0.020	0.129***	− 0.124***	0.032
Market in community	0.065	− 0.576***	− 0.082	0.033	2.182***	− 7.420***	− 0.055	− 0.225**	− 0.256*
Navigable road to community	− 1.345***	14.135***	0.764***				0.096	− 0.120	0.181
Public transport availability	0.543***	− 0.808***	− 0.122**	0.220***	− 0.139	− 0.232**	0.158*	0.021	0.053
Ownership of radio	0.048	0.038	0.164***	− 0.058	0.140	0.177	− 0.109	0.010	− 0.001
Bank in community	0.388***	− 0.091	0.107	0.347*	− 0.368*	0.476	0.224	− 0.348	0.436
Ease of jobs in community	0.115**			0.142**			0.267***
Temporal leaving of community	0.158***			0.004***			0.075**
Constant	− 0.269	− 7.536***	− 1.298***	− 6.845	− 0.393	6.050	0.360	4.241***	− 7.556
Control for regional dummies	Yes	Yes	Yes	Yes	No	No	Yes	Yes	Yes
Observations		4437			1730			1157
Wald chi2		1007.55***			49,787.62***			111.39***
Log Pseudo lik		− 4225.19			− 1512.63			− 1379.68
Rho		0.438	− 0.746**		− 0.959***	− 1.00***		− 1.00***	− 0.295
Wald test		17.46***			108.35***			1.21

Variable	Sale of beans			Sale of sorghum
Variable	NFE	Part	Non-part	NFE	Part	Non-part
Age of household head	− 0.005**	− 0.001	− 0.005**	− 0.007**	0.001	− 0.010**
Average age of household	0.008	− 0.001	− 0.002	0.005	− 0.014	0.006
Sex of household head	− 0.007	− 0.133	0.442***	− 0.052	− 0.333	0.515**
Years of education of head	0.012	− 0.014	− 0.019**	− 0.002	0.039*	0.021
Area of residence	0.380	− 0.114	0.646*	0.298	− 0.649	− 0.535
Farm size in hectares	− 0.107	0.261	0.109**	− 0.018	0.252***	0.096*
Price/kg	0.046	− 0.058**	0.004	0.007	0.047	0.019
Extension office in community		0.167	− 0.094		0.298	0.293
Agricultural wage	− 0.041**	0.079	0.048***	− 0.036**	− 0.010	0.002
Ecological zone (base: Coastal):
Forest	0.622	− 7.993	− 0.750*
Savannah	0.411	− 7.919***	− 0.989**
Adult equivalent scale	0.099***	− 0.048	− 0.012	0.093***	− 0.032	0.000
Market in community	0.133	− 0.198**	− 0.082	0.204**	− 0.570***	− 0.050
Navigable road to community	0.240	− 0.343	− 0.044	0.031	− 0.242	− 0.045
Public transport availability	− 0.013	0.219	0.043	0.139	0.264	− 0.050
Ownership of radio	− 0.072	0.143	0.164*	0.056	− 0.061	0.001
Bank in community	0.364	0.099	− 0.156	0.360	0.498	− 1.059*
Ease of jobs in community	0.209***			0.302***
Temporal leaving of community	0.068***			0.159**
Constant	− 1.802**	8.787**	− 0.759	− 0.999*	1.724	− 0.037
Control for regional dummies	Yes	Yes	Yes	Yes	Yes	Yes
Observations		1371			997
Wald chi2		73.57***			107.60***
Log Pseudo lik		− 1656.77			− 1099.99
Rho		− 0.95***	− 1.00***		− 0.190	− 240
Wald test		2.00			0.21

Source: Produced by the authors using the GLSS6 Data; *p < 0.1; **p < 0.05; ***p < 0.01

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