Heterogenous impacts of greenhouse farming technology as climate-smart agriculture on household welfare in Ghana

The role of climate-smart agriculture (CSA) practices in the transformation of food systems are well documented in the literature. The adoption of Green House Technology (GHT) as CSA is aimed at improving farm productivity and incomes. However, the magnitude of the impact of the adoption of GHT developed for adaptation and mitigation to improve household welfare has been inadequately explored in the literature. This study evaluates the heterogenous impact of GHT adoption on household welfare using marginal treatments effect model tcorrectsrect for both observed and hidden endogeneities to quantify treatment effects heterogeneities, as well as policy-relevant treatment effect (PRTE). The results indicate that farmers with increased hidden charateristics are more likely to adopt GHT. Moreover, the adoption of GHT leads to significant welfare gains and that GHT adoption has heterogenous impacts among the adopters’ group. The PRTE indicates that reducing distance to market and price of fertilizer while increasing access to market and climate information has a great potential of increasing GHT adoption, and consequently improve welfare. Therefore, development agencies and practitioners should make conscious effort to promote sustainable agricultural technologies such as GHT to mitigate the negative effects of climate variability and change, and increase farm incomes.