Published in Scientific Papers. Series "Management, Economic Engineering in Agriculture and rural development", Vol. 17 ISSUE 4
Written by Mohammad AGHAPOUR SABBAGHI

The presence of moral hazard in the use of the granted facilities in the agricultural sector is among the most important challenges of Iran's agricultural system. Given the high degree of such moral hazard in Dezful Township, in the present study the factors influencing it, has been examined in this city. In this study the binary Logit model was used and the data was obtained randomly through questionnaire from 249 farmers who were granted farm facilities in the year 2015. The study results showed that the variables like age, having occupation other than farming and the loan interest rate have a positive effect on the moral hazard and the other variables including the education level, the education major, income level, size of irrigated lands, having break period, experts visit and the degree of mechanization have negative effect on the moral hazard in farm facilities. Making the necessary predictions and implementing regular visits upon granting the facilities and considering the personal qualifications like holding agricultural related degrees are among the most important recommendations of the present study in order to reduce the moral hazard in Dezful township.

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