Determinants of Farmers' Decision-Making to Accept Crop Insurance: A Multinomial Logit Model Approach

摘要

With the developing trends of commercialization of agriculture, the magnitude of loss due to unfavorable eventualities is increasing and the farmers committed suicides. Burdwan district of West Bengal, India, becomes news headline because of farmer suicide. This study tries to underscore the elements which impact marginal farmers' decision to accept Pradhan Mantri Fasal Bima Yojona (PMFBY). We collect primary data from 701 farmers in the study over period of from February 2017 to October 2017. Seven estimators, namely education, age, cultivating land area, self-help groups (SHGs), marital condition, gender, and income, are considered, and multinomial logistic regression was used to analyze the data. Results show that gender coefficient is negative which indicates female farmer are prone to agro insurance (access to PMFBY) than male farmers. Results indicate that farmers' PMFBY and income are significant to the situation that one applies if others apply and get benefit.