Abstract:
The study base on the assumption that the major peasant farm are risk averse derived from variation of expected income. The decision in crop planning depend on expected income and attitude toward risk-averse and the governmental mechanism can reduce risk of the peasant farm. Thus, the object of this study was built up to test the said assumption. The peasant farm of Kusuman District Sakon Nakhon Provice was selected as a case study of "The Farm Pond Under Royal Princess Sirinthorn Project" , consisting of 6 activities i.e., major glutinous rice crop, major rainfall rice crop, fish farm , household vegetation , fruit trees and native poultry. The methodology used in this study were behavioral study and decision model (The Expected Gain - Confidence Limit) by means of minimize of total absolute deviation, including role study of governmental project farm-pond. The study inferred that 1) The behavioral production of peasant farm were risk averse 2) The decision of peasant farm on planting activities depended on level of expected income which able to some risks by diversifying risk on various crops. 3) The production yielded enough nutrient food for the whole year. The study also cover the marketing channel found the following activities were strong supported by government sector promotion of cooperative structure in order to strengthen the bargaining power , reducing risk and increase level of income. The author's viewed this study as a tool to improve a quality of life of peasant, therefore, the program should be expanded to other areas throughout Thailand.