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Table 1 Description of variables

From: Does contract farming affect technical efficiency? Evidence from soybean farmers in Northern Ghana

Variable

Unit

Description

Dependent variable in Probit (selection) Equation

  

Contract farming participation

Dummy

1 indicates a soybean farmer with a contract; 0 otherwise

Explanatory variables for matching and contract farming participation

  

Gender

Dummy

1 indicates a male farmer; 0 otherwise

Basic education

Dummy

1 indicates a farmer having basic education; 0 otherwise

Secondary education

Dummy

1 indicates a farmer having secondary education; 0 otherwise

Tertiary education

Dummy

1 indicates a farmer having tertiary education; 0 otherwise

Household size

People

number of people in the household

Soy farming experience

Years

number of years in soybean production

Land size

Hectares

the total size of land under food crop production

Household assets

Index

household asset abundance scale

Farmer specialization

Ratio

the proportion of soybean income to total farm income

Off-farm activities

Dummy

1 indicates a farmer who has an off-farm job; 0 otherwise

Labor

Person days

number of the workforce employed in soybean production

Extension contacts

Visits

number of extension visits to the farmer’s soybean farm

Credit access

Dummy

1 indicates a farmer credit beneficiary; 0 otherwise

FBO membership

Dummy

1 indicates a member of an FBO; 0 otherwise

Distance to district market

Kilometers

number of kilometers from house to district market

Occurrence of drought

Dummy

1 if household encountered drought

Risk aversion

Dummy

1 indicates a farmer with low farm investment; 0 otherwise

Region

Dummy

1 indicates a farmer in Upper East Region; 0 otherwise

Dependent variable in the production function

  

ln_Yield

Kg/ha

log of normalized output per unit area

Input variables (and other explanatory variables) in the production functions

  

ln_Labor

Person days

log of normalized labor used for soy production

ln_Fertilizer

Kg

log of normalized fertilizer used for soy production

ln_Seed

Kg

log of normalized seed used for soy production

ln_Pesticides

Liters

log of normalized pesticides used for soy production

Power tillage

Dummy

1 indicates a farmer who uses mechanized services during land preparation; 0 otherwise

Districts

Categorical

District indicates the specific location of a farmer (1 = Bawku West, 0 = otherwise; 1 = Binduri, 0 = otherwise; 1 = Nanumba South, 0 = otherwise; 1 = Karaga, 0 = otherwise)