Why Are Farmers Reluctant to Sell: Evidence from Rural China

Abstract

The agricultural marketing behavior of farmers is crucial for the realization of production value. Based on survey data from 406 citrus farmers in Hubei Province, this paper empirically examines the effects of risk aversion and Internet use on farmers’ marketing behavior in terms of fresh produce. The results show that, first, farmers are generally reluctant to sell, with reluctant sellers accounting for about one-third of the total sample, and most report high levels of Internet use. Second, risk aversion and Internet use have a significant impact on farmers’ reluctance to sell. The higher the level of farmer risk aversion, the lower the reluctance to sell, while Internet use significantly increases the probability of farmers being reluctant to sell. Third, Internet use weakens the inhibiting effect of risk aversion on reluctance to sell. These findings help to clarify the factors influencing farmers’ reluctance to sell and provide reference suggestions for promoting high-quality agricultural development and rural industrial revitalization.