Combining stated and revealed preference methods: A dairy adoption case study of western Kenya
Date
2004Author
Makokha, S
Karugia, J
Staal, S
Kosura, O
Type
Working PaperLanguage
enMetadata
Show full item recordAbstract
The study was carried out in seven districts in western Kenya to determine factors influencing
the adoption of dairy technologies. This paper looks at the complementarity in the analysis
derived from the revealed preference (RP), and stated preference (SP) methods in the
determination of these factors. The binary choice probit model was used for the RP method,
while the ordered probit model (OPM) was used for conjoint analysis, an SP method. The SP
methods are based on hypothetical choice behaviour and were used to place a value to each of
the cow attributes (milk yield, disease resistance, feed requirement and price). Unlike the SP
methods that have been criticized because actual choice is not observed, the RP methods,
common in most adoption studies, are based on actual choices, hence the complementarity. The
PPE, ethnicity, cultural values, education, income and extension influenced adoption. In some
households, other reasons other than the economic reasons of rearing dairy influenced adoption,
thus unfolding a unique adoption process. The willingness to pay (WTP) showed that
externalities in the form of lack of information, ethnicity and farmer priorities reduced efficiency
in resource use for dairy. The SP method is good at targeting interventions by explaining the
households’ observed behaviour, thus it gives feedback signals on efficiency of resource use and apportions the stakeholders’ effort in dairy adoption. The interventions are addressed in the
perspective of the resources available.
Citation
Makokha, S., Karugia, J., Staal, S., and Kosura, O (2004). Combining stated and revealed preference methods: A dairy adoption case study of western KenyaPublisher
International Livestock Research Institute, Nairobi, Kenya, University of Nairobi, Department of Agricultural Economics, Nairobi. Kenya.
Collections
- Faculty of Agriculture [225]