Abstract

This paper uses data from 600 households in the Lake Victoria watershed in Tanzania, Kenya, and Uganda to analyze the effects of vulnerabilities and shocks on the management and exploitation of wetlands within the context of agricultural activities and high poverty levels. A multinomial logit model is used to determine variables that influence the perception of wetlands degradation, while a tobit model is used to establish the determinants of willingness to pay for wetland conservation and the imputed value of wetland product extracts. The model results show that although the perception of wetland degradation is modest, it is influenced by attributes of social capital. Variables such as floods, diseases and droughts significantly influence the households’ willingness to pay for wetland conservation. Land size and ownership, education level and household size all influence households’ likelihood to actively engage in wetland resource exploitation and willingness to pay for its conservation. The implications of these results hinge on measures that would moderate the effects of shocks, mobilize collective action, and improve physical infrastructure within the context of sustainable wetland resource use.

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