Farmers’ Choice between Public Goods and Agricultural Extension Packages in Ethiopia: A Stated Preference Analysis

Currently, there is a general dichotomy in rural development policies. This dichotomy between extension-driven adoption of modern inputs on the one hand, and community-driven local public goods on the other hand, is particularly evident in the highlands of Ethiopia. Despite the obvious trade-offs between these two approaches, the target populations seldom get the chance to express their preferences for them.

In this chapter we use a survey-based preference elicitation method – a choice experiments (CE) method – to examine the extent to which farmers prefer agricultural extension packages to two alternative local public goods – a health centre and a protected spring.