Determinants of market participation among smallholder farmers in Southwest Ethiopia: double-hurdle model approach

Table 5 Estimates of double-hurdle model for determinants of market participation.

Description of variables	First-stage (Tier 1)			Second-stage (Tier 2)
Description of variables	Coef	Std. err.	Marginal effect	Coef.	Std. err.	P > z
Sex of the household head	− 0.204	0.170	− 0.0560	0.198*	0.119	0.095
Education level	− 0.116***	0.028	− 0.0274	0.013	0.019	0.502
Farming experience	− 0.016**	0.007	− 0.0042	− 0.001	0.005	0.815
Cooperative Membership	0.277*	0.153	0.0600	− 0.117	0.106	0.272
Family size	− 0.008	0.028	− 0.0070	− 0.036*	0.021	0.092
Land allocated for maize	0.094	0.132	0.0038	0.789***	0.085	0.000
Number of oxen owned	0.149**	0.074	0.0404	0.181***	0.052	0.001
Distance to the nearest market	− 0.043**	0.022	− 0.0136	− 0.040**	0.016	0.015
Credit amount received (log)	0.033*	0.019	0.0116	0.019	0.013	0.154
Off/non-farm income (log)	− 0.069***	0.020	− 0.0234	− 0.021	0.015	0.168
Access to training	0.220	0.141	0.0614	− 0.068	0.099	0.490
Livestock ownership (TLU)	0.002	0.041	− 0.0067	− 0.183***	0.030	0.000
Perception on lagged price	0.068***	0.019	0.0240	0.058***	0.015	0.000
Maize quantity produced (log)	0.617***	0.093	0.1595
Distance to nearest road				− 0.021	0.027	0.428
_cons	− 3.703***	0.697		5.537***	0.303	0.000
Sigma				0.896***	0.032	0.000
Wald/LR chi-square	127.630			178.750
Number of observations	546
Wald Chi²(14) =	97.520
Prob > Chi²	0.000
Log likelihood (double-hurdle)	− 769.546

“*”, “**” and “***” represent statistical significance of factors at 10, 5 and 1% levels, respectively

ISSN: 2048-7010