How does air pollution perception affect farmers' decisions on agricultural mechanisation? Evidence from rural China

Air pollution is beyond an environmental or health issue. The impact of air pollution on farmers' decisions on agricultural mechanisation has always been overlooked and debate persists over subjective and objective pollution. Adopting data set from the China Labour Force Dynamics Survey, we investigate the influence of air pollution perceptions on farmers' mechanised farming. The endogeneity problem is addressed through the instrumental variable method. The consequences reveal that air pollution perceptions strengthen farm mechanisation, and reduced farming time is the key intrinsic mechanism through which perceived air pollution affects farmers' decisions on agricultural machinery. Additionally, this impact is more pronounced in male household heads and farmers in the plains. These findings render valuable policy implications for farmers chronically exposed to air pollution and for agricultural modernisation in China, including the necessity of improving air conditions and encouraging agricultural machinery services.