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Economic Sustainability and Multiple Risk Management Strategies: Examining Interlinked Decisions of Small American Farms
Open accessAbstract
Economic viability of small farms and farming businesses depends on multiple factors. These farms have limited production and financial resources to maintain their operation. Therefore, to sustain farming, adopting appropriate risk management strategies is a pivotal decision for small farmers. We surveyed Tennessee’s small farms and utilized multivariate probit models to study factors influencing the adoption of various risk management strategies. Our findings suggest that the decisions related to the adoption of risk management strategies are significantly interlinked. Along with factors representing the operator’s age, education, and farm operator’s income and land holdings, we also found that the government incentives (payments), smartphones, and farmers’ continuation plan significantly influence the strategic decisions of adopting risk management strategies.
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“Further, their farms' operating profit margins are less than 10%, posing high financial risks [26].”
From Agroecological Transition: A Territorial Examination of the Simultaneity of Limited Farmer Livelihoods and Food Insecurity (2022) · cites this paper as [26]
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Cited by
Sorted by citations
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Metadata
- Authors
- Adhikari, S., & Khanal, A. R.
- Affiliations
- Tennessee State University (US)
- Corresponding author
- Khanal, Aditya R.
- Venue
- Sustainability
- Publisher
- MDPI AG
- Published
- 2021-02-05
- Volume
- 13
- Issue
- 4
- Pages
- 1741
- ISSN
- 2071-1050 (ISSN-L)
- OpenAlex
- W3127951366
- Cited by
- 18
- References
- 44
- Citations by year
- 2026: 4 · 2025: 6 · 2024: 4 · 2023: 1 · 2022: 3
- FWCI
- 1.17
- Type
- journal article
- Language
- en
- Open access
- gold
- doi.org
- Licence
- Locations
- Sustainability (publishedVersion, cc-by)
- RePEc: Research Papers in Economics (submittedVersion)
- DOAJ (DOAJ: Directory of Open Access Journals) (submittedVersion, cc-by-sa)
- Funders
- National Institute of Food and Agriculture (TENX-2031-GFSHPP, accn# 1021233; TENX-2017-07536, accn# 1015009)
- Topics
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Agricultural risk and resilience
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Agricultural economics and policies
- Life Sciences › Agricultural and Biological Sciences › General Agricultural and Biological Sciences › Agricultural Innovations and Practices
- Keywords
- small farms, agricultural risk management, economic sustainability, farmer characteristics, government payments, smartphones
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