Farmer Behavior on Facing Production Risk of Organic Rice Farming in Indonesia

Abstract

This study identified farmer behavior on facing production risk of organic rice farming in Dlingo Village, Mojosongo District, Boyolali Regency, Central Java Province, Indonesia. This research used Just and Pope’s function model and statistical package for the social sciences method. The aim of this study is to determine farmer behavior and the most significant factor influencing production risk. The research was conducted on 216 organic rice farmers as a sample during two planting seasons with purposive sampling method. The result of the research shows that the most significant factor influencing production risk of organic rice farming is tractor’s rental fee with coefficient of 0.310. The farmer behavior on facing production risk are 46,30% farmers (100 people) make risk averse decision (risk averse) and 53,70% other farmer (116 people) dare to face the risk (risk seeking).

Keywords: Farmer behavior, Organic rice farming, Production risk, Risk averse, Risk seeking

DOI: 10.7176/JESD/10-8-01

Publication date: April 30^th 2019