Factors Affecting Farmers' Decison to Borrow from Commercial Banks

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Verlag: LAP Lambert Academic Publishing
Autor: Amina Umar Suleiman
Artikel-Nr.: KNV96242849
ISBN: 9786205515952

The little attention given to farmers' borrowing decision in the study area is the major... mehr

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The little attention given to farmers' borrowing decision in the study area is the major motivating factor of this research. The study empirically analyzed using ordered Choice models, those factors that are responsible for determining farmers' decision to borrow in the study area using a sample of 294 registered farmers. Coefficients of most of the explanatory variables proved to be statistically significant in determining the borrowing decision of farmers. Post estimation test reveals absence of specification bias in the models. However, the Whites' robust standard errors (VCEs) were used to tackle the problem of heteroscedasticity inherent in the data.

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