Farmers' seed choice behaviors under asymmetrical information: Evidence from maize farming in China

Abstract

Using a household survey data collected from four leading maize producing provinces in China, this paper studies the decisions of maize farmers on seed choices and variety portfolios when asymmetrical information exists in the market. Our findings indicate, while farmers generally tend to adopt new varieties with the expectation of potential higher yield, the primary driver to do so for those who have less information on seed varieties is to reduce production risk. Improving seed market management and providing more seed information to farmers would be beneficial in choosing seed varieties and maize production.

Keywords

• new technology adoption
• seed portfolio
• asymmetrical information
• maize