This study examined smallholder farmers' willingness to pay (WTP) for conserving cultural and historical heritages in Assosa Zone, Ethiopia. Using a multi-stage random sampling technique, 261 farmers were surveyed, employing a double-bounded dichotomous choice and open-ended contingent valuation method. Results showed that 61.69% (161 farmers) were willing to participate in conservation efforts. The Heckman two-stage model revealed key factors influencing participation and WTP. Marital status, extension contact frequency, social organization membership, and credit access positively influenced willingness, while sex, age, household size, and off-farm income had negative effects. In the second stage, off-farm income, extension contact, and social membership increased WTP, whereas age, marital status, and credit access reduced it. Farmers' mean WTP was estimated at 141.92 Birr (closed-ended) and 134.97 Birr (open-ended) per hectare annually. The study recommends government and stakeholders prioritize conservation strategies to enhance farmers' participation and WTP, ensuring sustainable heritage preservation in the region.
| Published in | Innovation Economics (Volume 1, Issue 1) |
| DOI | 10.11648/j.iecon.20260101.14 |
| Page(s) | 35-44 |
| 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), 2026. Published by Science Publishing Group |
Culture and Heritages, Contingent Valuation, Heckman Two-stage Model
Name of kebele | Total number of households | Sample size |
|---|---|---|
1. Mesfina | 940 | 55 |
2. Taja | 821 | 48 |
3. Maserut | 716 | 42 |
4. Dareselam | 726 | 43 |
5. Algela | 620 | 36 |
6. Ashura | 637 | 37 |
Total | 4460 | 261 |
Variable | Code | Type of variable | Definition and measurement |
|---|---|---|---|
Willingness to participate | WTP | Dummy | Farmers WTP 1, if households are willing to participate and 0, otherwise. |
Maximum amount WTP | MWTP | Continuous | The maximum amounts households are willing to pay for conservation |
Willingness to pay 1 | WTP1 | Dummy | Farmers WTP 1, if a farmer is willing to pay for first initial bid (bid 1) and 0, otherwise. |
Willingness to pay 2 | WTP2 | Dummy | Farmers WTP 1, if households are willing to pay for the follow-up bid (bid 2) and 0, otherwise. |
Characteristics | Categories | Willing to pay (n=161) | Not willing to pay (n=100) | Total (n=261) | ||||
|---|---|---|---|---|---|---|---|---|
N | % | N | % | N | % | χ 2 | ||
Sex | Male | 154 | 59.00 | 88 | 33.72 | 242 | 92.72 | 5.35** |
Female | 7 | 2.69 | 12 | 4.59 | 19 | 7.28 | ||
Marital status | Married | 153 | 58.62 | 71 | 27.20 | 224 | 85.82 | 29.28*** |
Not-married | 8 | 3.07 | 29 | 11.11 | 37 | 14.18 | ||
CREDUSER | Yes | 111 | 42.53 | 33 | 12.64 | 144 | 55.17 | 32.24*** |
No | 50 | 19.16 | 67 | 25.67 | 117 | 44.83 | ||
Characteristics | Willing to pay (n=161) | Not willing to pay (n=100) | Mean diff. | Std. err | ||
|---|---|---|---|---|---|---|
Mean | Std. err | Mean | Std. err | |||
Age | 48.19 | 0.94 | 54.1 | 1.49 | -5.91*** | 1.67 |
Education level | 0.92 | 2.3 | 0.79 | 2.19 | 0.13 | 0.29 |
Household size | 3.89 | 0.06 | 3.63 | 1.41 | 0.26** | 0.14 |
OFFINCOME | 1484.47 | 427.41 | 3533 | 651.13 | -2048.5*** | 746.5 |
TLU | 3.01 | 0.14 | 1.76 | 0.17 | 1.25*** | 0.22 |
MEMBERSHIP | 4.27 | 0.11 | 2.96 | 0.13 | 1.31*** | 0.17 |
FREXTENCONT | 1.74 | 0.94 | 0.76 | 0.11 | 0.98*** | 0.15 |
Variables | Coefficients | Standard error |
|---|---|---|
Constant | 161.719*** | 46.95887 |
AGEHH | -1.281187*** | .4917849 |
EDULEVEL | 1.592727 | 2.657664 |
MASTATUS | -69.20246*** | 22.19803 |
DISMARK | .2526371 | .1973873 |
HHSIZE | 4.003133 | 6.79275 |
OFFINCOME | .0021464* | .0011663 |
TLU | 1.214901 | 3.067201 |
FREXTENCON | 14.27502*** | 4.073954 |
MEMBERSHIP | 8.626406** | 4.318029 |
CREDUSER | -18.78379* | 10.6274 |
IMR | -35.93354* | 20.9757 |
Number of observation = 261 Wald chi2(15) = 85.73 Censored observation = 100 Prob>chi2 = 0.0000 Uncensored observation =161 | ||
Bids | Coefficient | Std. Err. | P-value | |
|---|---|---|---|---|
WTP1 | Constant | 2.18881 | 0.4566799 | 0.000 |
BID1 | -0.0150653 | 0.0029353 | 0.000 | |
WTP2 | Constant | 1.655358 | 0.3764563 | 0.000 |
BID2 | -0.0119478 | 0.0026252 | 0.000 |
MWTP | Maximum Willingness to Pay |
WTP | Willingness to Pay |
IMR | Inverse Mills Ratio |
EMWTP | Estimation of Mean Willingness to Pay |
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APA Style
Tsegaw, C., Takele, A. (2026). Household’s Willingness to Pay for Conserving Historical and Cultural Heritages in Assosa Zone, Western Ethiopia. Innovation Economics, 1(1), 35-44. https://doi.org/10.11648/j.iecon.20260101.14
ACS Style
Tsegaw, C.; Takele, A. Household’s Willingness to Pay for Conserving Historical and Cultural Heritages in Assosa Zone, Western Ethiopia. Innov. Econ. 2026, 1(1), 35-44. doi: 10.11648/j.iecon.20260101.14
@article{10.11648/j.iecon.20260101.14,
author = {Chirotaw Tsegaw and Alelgn Takele},
title = {Household’s Willingness to Pay for Conserving Historical and Cultural Heritages in Assosa Zone, Western Ethiopia},
journal = {Innovation Economics},
volume = {1},
number = {1},
pages = {35-44},
doi = {10.11648/j.iecon.20260101.14},
url = {https://doi.org/10.11648/j.iecon.20260101.14},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.iecon.20260101.14},
abstract = {This study examined smallholder farmers' willingness to pay (WTP) for conserving cultural and historical heritages in Assosa Zone, Ethiopia. Using a multi-stage random sampling technique, 261 farmers were surveyed, employing a double-bounded dichotomous choice and open-ended contingent valuation method. Results showed that 61.69% (161 farmers) were willing to participate in conservation efforts. The Heckman two-stage model revealed key factors influencing participation and WTP. Marital status, extension contact frequency, social organization membership, and credit access positively influenced willingness, while sex, age, household size, and off-farm income had negative effects. In the second stage, off-farm income, extension contact, and social membership increased WTP, whereas age, marital status, and credit access reduced it. Farmers' mean WTP was estimated at 141.92 Birr (closed-ended) and 134.97 Birr (open-ended) per hectare annually. The study recommends government and stakeholders prioritize conservation strategies to enhance farmers' participation and WTP, ensuring sustainable heritage preservation in the region.},
year = {2026}
}
TY - JOUR T1 - Household’s Willingness to Pay for Conserving Historical and Cultural Heritages in Assosa Zone, Western Ethiopia AU - Chirotaw Tsegaw AU - Alelgn Takele Y1 - 2026/03/04 PY - 2026 N1 - https://doi.org/10.11648/j.iecon.20260101.14 DO - 10.11648/j.iecon.20260101.14 T2 - Innovation Economics JF - Innovation Economics JO - Innovation Economics SP - 35 EP - 44 PB - Science Publishing Group UR - https://doi.org/10.11648/j.iecon.20260101.14 AB - This study examined smallholder farmers' willingness to pay (WTP) for conserving cultural and historical heritages in Assosa Zone, Ethiopia. Using a multi-stage random sampling technique, 261 farmers were surveyed, employing a double-bounded dichotomous choice and open-ended contingent valuation method. Results showed that 61.69% (161 farmers) were willing to participate in conservation efforts. The Heckman two-stage model revealed key factors influencing participation and WTP. Marital status, extension contact frequency, social organization membership, and credit access positively influenced willingness, while sex, age, household size, and off-farm income had negative effects. In the second stage, off-farm income, extension contact, and social membership increased WTP, whereas age, marital status, and credit access reduced it. Farmers' mean WTP was estimated at 141.92 Birr (closed-ended) and 134.97 Birr (open-ended) per hectare annually. The study recommends government and stakeholders prioritize conservation strategies to enhance farmers' participation and WTP, ensuring sustainable heritage preservation in the region. VL - 1 IS - 1 ER -