Determinants of Firewood and Chips Consumption in Rural India: Double Hurdles Model Approach

This chapter has identified stage-based socio-economic determining (or non-price) factors of selection of firewood and chips and its non-zero quantity consumption at household levels in rural India. Applying the double hurdle model of Cragg (Econometrica 39:829–844, 1971), this chapter reports that the first hurdle of firewood and chips selection factors are family composition, education level of household and its head, land assets, religion and social caste groups, sex of the household head, etc. Secondary and above education level of household head, female-headed household, religions and social caste groups, family size, land holding, average education and average age composition of household, and income are significant determining factors in the second hurdle of quantity consumption decision. This chapter also highlights the importance of land, which also reflects the asset structure of households in rural India.