First step (nominal participation). The result of the logit
regression at the first step shows that the coefficients on the
occupation of household's head as a farmer (occ), the number of
family members (fam) and information provision (inf) are significantly
positive, while those on the land holding by the household
(land), the number of female within a household (nfe), and the
education level of household's head (edu) are significantly negative.
As for the variables capturing Perum Perhutani's policies, the
significantly positive coefficient on information provision (inf) has an important policy implication, as information about the benefit
sharing mechanism provided by Perum Perhutani, rather than the
advice provision, is effective in encouraging people to participate in
the PHBM program at least at the nominal or entry level.
Concerning the explanatory variables capturing household
characteristics, the motivation of nominal participation is higher
for farmers who tend to depend more on the forest than for nonfarmers.
Moreover, people with relatively small land holdings
have more incentive for nominal participation. Also, the number of
family members motivates a household to participate more at
nominal level. Here, note that the net effect is positive with an
increase in the number of female within a household. The coefficient
on nfe is significantly negative, i.e., 0:6693, however, the net
effect is positive, which should be measured by the coefficient on
fam minus coefficient on nfe, that is, 0.3691 (¼ 1:0384 0:6693).
This means that the effect of an increase in the number of female on
participation is weaker than that of an increase in the number of
male on participation.