This thesis explores the economic burden of malaria incidence by controlling householdrnpractices regarding malaria prevention in Jabi-tehnan District. It uses household survey datarncollected by the Social Sciences and Impact Assessment Unit of the International Centre of InsectrnPhysiology and Ecology (icipe). This study aimed at assessing and examining factorsrncontributing to malaria and the impact of the incidence by using both descrptive statistics andrneconometrics aproach. In the descriptive analysis, it is assessed that malaria causes on averagern465 ETB expenditure per person, led to 29 days of absenteeism from school, and 10 workdaysrnlost. We use OLS and RE for malaria deteminant regrssion. Maize productivity function isrnestimated by using OLS, RE, 2SLS, GLS, and 3SLS. In the first part of the econometrics analysis,rnthe determinants of malaria incidence are estimated. The result from the estimation suggestsrnhousehold practices, nutritional status, and catching diseases other than malaria significantlyrndetermine malaria incidence. Household practices indicator variables significantly explain therndifference in the incidence of malaria among households. In the second part of the econometricrnanalysis, we estimate the impact of malaria on maize productivity by using various models (OLS,rnRE, 2SLS, GLS, and 3SLS). The results differ across models. Under OLS and RE modelrnestimation: malaria negatively affects maize productivity while taking malaria as an exogenousrnvariable. Malaria is insignificant in determining maize productivity in other models that usesrninstrumental variable). This may be attributed to the substitution of ill family labor with hiredrnones and/or cooperation of the community. We also found that malaria incidence in thernhousehold increases labor days per hectare since illness makes individuals far from beingrneffective. This is estimated by using 3SLS. Based on the results from this study, we imply that anyrnintervention of malaria reduction needs to consider the health-seeking behavior of households.rnThis helps to deal with the systematic difference in households’ practices regarding malaria andrnits prevention methods. Policies intended to reduce the burden of malaria should not onlyrnconsider the short-run economic consequences, rather emphasize the burden it imposes on anrnindividual’s capacity.