This study examined households’ willingness to pay (WTP) for the conservation of the Debre-Libanos monastery forests in the North Shewa Zone of the Oromia Region, Ethiopia, which hold ecological and cultural significance but face growing threats from human activities. Using primary data collected from 215 households, a Tobit regression model was employed to identify factors influencing the maximum WTP amount, while a seemingly unrelated bivariate probit model was used to estimate the average WTP. The Tobit model results indicate that household sex, education level, annual income, perception of conservation benefits, and participation in training positively affect the maximum WTP, whereas age and initial bid price show a negative influence. The bivariate probit estimation reveals that the average household WTP for forest conservation is 33.52 Ethiopian Birr per year, suggesting that despite income constraints, local communities place substantial value on conserving the monastery forests. These findings provide important policy insights by demonstrating that community members are willing to financially support conservation efforts, which can guide policymakers, forest managers, and conservation practitioners in designing effective forest management programs, allocating resources efficiently, and promoting community-based conservation strategies. Furthermore, the results highlight the need for awareness creation, conservation training, and income-enhancing measures to strengthen household participation and ensure long-term sustainability. Overall, this study contributes to the literature on environmental valuation in Ethiopia and underscores the role of economic approaches such as contingent valuation in supporting evidence-based forest conservation initiatives.
Published in | International Journal of Agricultural Economics (Volume 10, Issue 5) |
DOI | 10.11648/j.ijae.20251005.17 |
Page(s) | 282-288 |
Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
Copyright |
Copyright © The Author(s), 2025. Published by Science Publishing Group |
Contingent Valuation, Forest Conservation, Seemingly Unrelated Bivariate Probit Model, Tobit Model, Willingness to Pay, Ethiopia
Variable | Categories | Willing (%) | Not willing (%) | p-value) |
---|---|---|---|---|
Sex | Male | 80.9 | 19.1 | 56.508*** |
Female | 15.6 | 84.4 | ||
Credit service | Yes | 96.2 | 3.8 | 21.532*** |
No | 63 | 37 | ||
Perception | Yes | 88.4 | 11.6 | 100.271*** |
No | 15.7 | 84.3 | ||
Training | Yes | 83.4 | 16.6 | 68.961*** |
No | 17.5 | 82.5 | ||
Occupation | Yes | 71.3 | 28.7 | 0.002 |
No | 71 | 29 |
Variable | Willing | Not willing | Total mean | t-value |
---|---|---|---|---|
Mean | Mean | Mean | ||
Age | 44.90 | 48.82 | 46.03 | 3.70*** |
Education level | 2.10 | 1.93 | 2.06 | 0.32 |
Household size | 6.22 | 5.45 | 6.00 | 3.13 |
Total annual income | 23327.45 | 11898.06 | 20005.58 | 8.70* |
Distance to forest | 1.49 | 1.48 | 1.49 | 0.10 |
BID_1 & BID_2 Responses | Frequency | Percentage |
---|---|---|
Yes – Yes | 60 | 27.90 |
Yes – No | 23 | 10.70 |
No – Yes | 46 | 21.40 |
No – No | 86 | 40.00 |
Total | 215 | 100 |
Variables | Coeff. | Std. Err | t-value | Change in probabilities of being willing | Change among willing respondents |
---|---|---|---|---|---|
Sex | 41.16* | 17.06 | 2.41 | 0.139* | 25.54* |
Age | -2.22** | 0.82 | -2.72 | -0.008** | -1.38** |
Education | 3.37* | 1.50 | 2.24 | 0.011* | 2.09* |
Household size | 2.00 | 3.36 | 0.60 | 0.007 | 1.24 |
Annual income | 0.002*** | .001 | 4.45 | 0.0015*** | 0.0019*** |
Credit service | 11.39 | 11.98 | 0.95 | 0.039 | 7.065 |
Perception | 50.53** | 14.43 | 3.50 | 0.171** | 31.357** |
Distance to forest | 1.89 | 11.68 | 0.16 | 0.006 | 1.175 |
Occupation | 6.87 | 9.86 | 0.70 | 0.023 | 4.26 |
Training | 33.20* | 15.17 | 2.19 | 0.113* | 20.60* |
Initial bid | -0.99*** | 0.17 | -5.79 | -0.003*** | -0.617*** |
Number of observations = 215 | |||||
LR chi2 (11) = 85.81; Prob > chi2 = 0.0000 Log likelihood = -1217.7316 |
Variables | Coefficients | Std. Err | p-value |
---|---|---|---|
WTP BID_1 | |||
BID_1 | -0.016997 *** | 0.001875 | 0.000 |
Constant | 0.4767494 | 0.0969176 | 0.000 |
WTP BID_2 | -0.0122311 *** | 0.0012643 | 0.000 |
BID_2 | 0.4767519 | 0.0969151 | 0.000 |
Constant | |||
Rho = 1 Log likelihood = -256.06455 LR test of rho=0 chi2(1) = 57.1275 Prob > chi2 =0.0000 | |||
Mean WTP = = 28.05 ET Birr to 38.98 ET Birr/yr. at 95% confidence interval |
CVM | Contingent Valuation Method |
BID | Bid Price |
FAO | Food and Agricultural Organization |
SUBVP | Seemingly Unrelated Bivariate Probit |
WTP | Willingness to Pay |
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APA Style
Zewdu, T. A. (2025). Households’ Willingness to Pay for the Conservation of Debre-Libanos Monastery Forests, North Shewa Zone, Ethiopia: Evidence from a Contingent Valuation Method. International Journal of Agricultural Economics, 10(5), 282-288. https://doi.org/10.11648/j.ijae.20251005.17
ACS Style
Zewdu, T. A. Households’ Willingness to Pay for the Conservation of Debre-Libanos Monastery Forests, North Shewa Zone, Ethiopia: Evidence from a Contingent Valuation Method. Int. J. Agric. Econ. 2025, 10(5), 282-288. doi: 10.11648/j.ijae.20251005.17
AMA Style
Zewdu TA. Households’ Willingness to Pay for the Conservation of Debre-Libanos Monastery Forests, North Shewa Zone, Ethiopia: Evidence from a Contingent Valuation Method. Int J Agric Econ. 2025;10(5):282-288. doi: 10.11648/j.ijae.20251005.17
@article{10.11648/j.ijae.20251005.17, author = {Tadele Anagaw Zewdu}, title = {Households’ Willingness to Pay for the Conservation of Debre-Libanos Monastery Forests, North Shewa Zone, Ethiopia: Evidence from a Contingent Valuation Method }, journal = {International Journal of Agricultural Economics}, volume = {10}, number = {5}, pages = {282-288}, doi = {10.11648/j.ijae.20251005.17}, url = {https://doi.org/10.11648/j.ijae.20251005.17}, eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijae.20251005.17}, abstract = {This study examined households’ willingness to pay (WTP) for the conservation of the Debre-Libanos monastery forests in the North Shewa Zone of the Oromia Region, Ethiopia, which hold ecological and cultural significance but face growing threats from human activities. Using primary data collected from 215 households, a Tobit regression model was employed to identify factors influencing the maximum WTP amount, while a seemingly unrelated bivariate probit model was used to estimate the average WTP. The Tobit model results indicate that household sex, education level, annual income, perception of conservation benefits, and participation in training positively affect the maximum WTP, whereas age and initial bid price show a negative influence. The bivariate probit estimation reveals that the average household WTP for forest conservation is 33.52 Ethiopian Birr per year, suggesting that despite income constraints, local communities place substantial value on conserving the monastery forests. These findings provide important policy insights by demonstrating that community members are willing to financially support conservation efforts, which can guide policymakers, forest managers, and conservation practitioners in designing effective forest management programs, allocating resources efficiently, and promoting community-based conservation strategies. Furthermore, the results highlight the need for awareness creation, conservation training, and income-enhancing measures to strengthen household participation and ensure long-term sustainability. Overall, this study contributes to the literature on environmental valuation in Ethiopia and underscores the role of economic approaches such as contingent valuation in supporting evidence-based forest conservation initiatives. }, year = {2025} }
TY - JOUR T1 - Households’ Willingness to Pay for the Conservation of Debre-Libanos Monastery Forests, North Shewa Zone, Ethiopia: Evidence from a Contingent Valuation Method AU - Tadele Anagaw Zewdu Y1 - 2025/10/10 PY - 2025 N1 - https://doi.org/10.11648/j.ijae.20251005.17 DO - 10.11648/j.ijae.20251005.17 T2 - International Journal of Agricultural Economics JF - International Journal of Agricultural Economics JO - International Journal of Agricultural Economics SP - 282 EP - 288 PB - Science Publishing Group SN - 2575-3843 UR - https://doi.org/10.11648/j.ijae.20251005.17 AB - This study examined households’ willingness to pay (WTP) for the conservation of the Debre-Libanos monastery forests in the North Shewa Zone of the Oromia Region, Ethiopia, which hold ecological and cultural significance but face growing threats from human activities. Using primary data collected from 215 households, a Tobit regression model was employed to identify factors influencing the maximum WTP amount, while a seemingly unrelated bivariate probit model was used to estimate the average WTP. The Tobit model results indicate that household sex, education level, annual income, perception of conservation benefits, and participation in training positively affect the maximum WTP, whereas age and initial bid price show a negative influence. The bivariate probit estimation reveals that the average household WTP for forest conservation is 33.52 Ethiopian Birr per year, suggesting that despite income constraints, local communities place substantial value on conserving the monastery forests. These findings provide important policy insights by demonstrating that community members are willing to financially support conservation efforts, which can guide policymakers, forest managers, and conservation practitioners in designing effective forest management programs, allocating resources efficiently, and promoting community-based conservation strategies. Furthermore, the results highlight the need for awareness creation, conservation training, and income-enhancing measures to strengthen household participation and ensure long-term sustainability. Overall, this study contributes to the literature on environmental valuation in Ethiopia and underscores the role of economic approaches such as contingent valuation in supporting evidence-based forest conservation initiatives. VL - 10 IS - 5 ER -