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Table 5 Double Hurdle Model on factors influencing farmers’ willingness to insure and pay for crop insurance

From: A double-hurdle model estimation of cocoa farmers’ willingness to pay for crop insurance in Ghana

Willingness to insure

Willingness to pay

Probit

Tobit

Variables

dy/dx

Coeff.

Std. Error

p > z

Coeff.

Std. Error

p > z

Gender

−0.00668

−0.14677

0.40268

0.716

−4.05602

3.19595

0.206

Age

0.002997

0.06020

0.02545

0.018**

1.42499

0.141128

0.000***

Mstatus

0.23526

1.86291

0.38959

0.000***

−27.7962

3.00312

0.000***

Hsesize

−0.01774

−0.35628

0.10474

0.001***

2.46747

0.68126

0.000***

Educ

0.03674

2.11833

0.72420

0.003***

−2.98324

4.13594

0.472

Croparea

−0.00277

−0.05572

0.01881

0.003***

0.56288

0.16897

0.001***

Cocoainc

0.01446

0.29049

0.61013

0.634

−8.53390

4.84956

0.080*

Otherinc

−0.00244

−0.04898

0.36340

0.893

−0.00444

2.41869

0.999

Constant

−2.78862

6.47976

0.667

54.48673

48.37018

0.261

Regression diagnostics

Value

Regression diagnostics

Value

Number of observations

240

Cragg & Uhler’s R2

0.690

Log-likelihood

−40.4804

Efron’s R2

0.545

LR χ2 (8)

118.437

McKelvey and Zavoina’s R2

0.704

Prob > χ2

0.000

Count R2

0.917

Pseudo R2

0.5940

AIC

0.412

Maximum likelihood R2

0.390

Variance of y*

3.375

McFadden’s R2

0.594

Variance of error

1.00

  1. ***, **, and * 1, 5 and  10 % significant levels respectively