Socio-economic valuation of donkey ownership in Ethiopia: in the case of Hossana town and Lemo woreda of Hadiya zone, Southern Ethiopia
Paper Details
Socio-economic valuation of donkey ownership in Ethiopia: in the case of Hossana town and Lemo woreda of Hadiya zone, Southern Ethiopia
Abstract
Despite the fact that it is widely acknowledged that donkeys are an important part of people’s livelihoods in Ethiopia, there is very little quantitative data on the specific socio-economic value of donkey ownership. The objective of this study was to examine socio-economic contributions of donkey ownership. To this end, primary data were collected from 267 respondents, out of which 147 were from rural areas and 120 were from urban areas. Social and marketable economic contributions of donkey ownership and use were analyzed using descriptive statistics. The non-market socio-economic contributions of the donkey were measured by employing the contingent valuation (CV) method. Furthermore, the factors that affect the probability and share of the non-market value of donkeys were analyzed using the Tobit model. The study found that donkey owners earn a net income of 18943.6 birr annually in Hossana town and 10,393.1 birr annually in Lemo Woreda from their donkeys. Similarly, the result of contingent valuation indicated that the non-market socio-economic value of a donkey was 778.54birrs and 936.64birrs for urban and rural donkey owners, respectively. It was found that also the share of the non-market value of donkeys was approximately 20% and 23% of the total perceived value of donkeys for urban and rural donkey owners, respectively. Alternative use of the donkey as an insurance and source of finance though useful, is associated with risks. Therefore, those households have to be included in modern insurance and financial markets so as to improve their welfare.
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