Rural Income Diversification In Ethiopia Patterns Trends And Welfare Impacts

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Rural income diversification in Ethiopia: Patterns, trends, and welfare impacts

Author : Abate, Gashaw Tadesse
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 64 pages
Book Rating : 4./5 ( download)

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Book Synopsis Rural income diversification in Ethiopia: Patterns, trends, and welfare impacts by : Abate, Gashaw Tadesse

Download or read book Rural income diversification in Ethiopia: Patterns, trends, and welfare impacts written by Abate, Gashaw Tadesse and published by Intl Food Policy Res Inst. This book was released on 2023-01-03 with total page 64 pages. Available in PDF, EPUB and Kindle. Book excerpt: Increased diversification of rural households into the rural non-farm economy is an important driver of economic growth and structural transformation in countries like Ethiopia where the vast majority of people live in rural areas and are largely dependent on seasonal agriculture. Some of the benefits of diversification include efficient utilization of asset endowments (e.g., labor during dry season) and reduction of risks. In this study we explore the: (i) patterns and trends of diversification, (ii) drivers of diversification including the association between rainfall risk/shocks and diversification, and (iii) welfare effects of diversification during the recent decade using three rounds of representative household data from the four main regions of Ethiopia. We used Cragg’s double-hurdle model, a method that considers the two-step decision making process in diversification (i.e., participation and extent of participation), to identify the determinants of diversification and a fixed-effect and instrumental variable (IV) approaches to understand the links between diversification and household welfare. The descriptive results show that rural households generally adopt a livelihood strategy dominated by farming and that the level of diversification has been stagnant over the period of analysis considered. More importantly, the vast majority of households continue to draw a substantial share of their income from crop production, followed by livestock. The income from non-farm activities accounts only between 17 percent and 23 percent of the total income. The econometrics results show that diversification is positively associated with credit access, membership in social insurance, ownership of mobile phone, relative measure of household wealth, and population density. Conversely, access to relatively large, fertile, and irrigable land discourages diversification into non-farm activities. The analysis on the association between rainfall risks and diversification indicates that rural households use income diversification both as risk mitigation and shock coping strategy. The results on the link between income diversification and household welfare indicate a positive association between diversification and household total consumption expenditure, dietary diversity score, and housing/roof quality. In sum, the results imply the need for a deliberate effort to expand the non-farm economy so as to tap its full potential for employment generation, income growth, and welfare improvements. A starting point could be for agricultural and rural development policies and investments to go beyond promotion of cereal crop production and facilitate participation in high value crop, livestock, aquaculture production. Incentivizing investments in value addition activities that can create and enrich upward and downward linkages in the midstream segment of agricultural value chains is another potential avenue to boost rural non-farm economy.

Rural Income Diversification in Ethiopia

Author : Gashaw Tadesse Abate
Publisher :
ISBN 13 :
Total Pages : 0 pages
Book Rating : 4.:/5 (138 download)

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Book Synopsis Rural Income Diversification in Ethiopia by : Gashaw Tadesse Abate

Download or read book Rural Income Diversification in Ethiopia written by Gashaw Tadesse Abate and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Agricultural intensification in Ethiopia: Patterns, trends, and welfare impacts

Author : Berhane, Guush
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 55 pages
Book Rating : 4./5 ( download)

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Book Synopsis Agricultural intensification in Ethiopia: Patterns, trends, and welfare impacts by : Berhane, Guush

Download or read book Agricultural intensification in Ethiopia: Patterns, trends, and welfare impacts written by Berhane, Guush and published by Intl Food Policy Res Inst. This book was released on 2022-12-30 with total page 55 pages. Available in PDF, EPUB and Kindle. Book excerpt: Ethiopia has made substantial efforts in the last three decades to increase agricultural productivity through modern input intensification and stimulate overall economic growth. Despite the high growth rates in recent decade, Ethiopia’s overall intensification and yield levels remained below what is considered optimal. This study examines the patterns, trends, and drivers of agricultural intensification and productivity growth during the recent decade (2012 - 2019) using three rounds of representative household data collected from the four main agriculturally important regions of the country. The descriptive results indicate a positive trend in both the adoption rate and intensity of inputs and output, albeit from a low base compared to other contexts and with considerable heterogeneity by access to information, rainfall levels and variability, labor, soil quality, remoteness, among others. The econometric results show significant association between intensification, yield growth, household dietary diversity (a proxy measure for food and nutrition security), and consumer durables. However, the results on the association between current yield levels and per capita consumption expenditures are mixed (i.e., while an increase in cereal yield only improve food consumption expenditures, an increase in cash crops yield mainly improve non-food consumption expenditures). In sum, while the increasing input intensification and the resulting yield gains are associated with improvement in household diets and consumer durables, it falls short to have strong impact on incomes (as measured by total consumption expenditures), indicating that more efforts have to be made to see meaningful impacts on higher order outcomes. Additional welfare improving productivity gains through increased input intensifications may require investments to put in place appropriate fertilizer blends linked with localized soil nutrient requirements, investments to generate locally suited improved seeds and appropriate mechanisms to reach farmers, ways to mitigate production (rainfall) risk, and investments to remodel Ethiopia’s extension system to provided much needed technical support to farmers on production methods.

Agricultural Intensification in Ethiopia

Author : Guush Berhane
Publisher :
ISBN 13 :
Total Pages : 0 pages
Book Rating : 4.:/5 (138 download)

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Book Synopsis Agricultural Intensification in Ethiopia by : Guush Berhane

Download or read book Agricultural Intensification in Ethiopia written by Guush Berhane and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

The Bang for the Birr

Author : Tewodaj Mogues
Publisher : Intl Food Policy Res Inst
ISBN 13 : 0896291693
Total Pages : 95 pages
Book Rating : 4.8/5 (962 download)

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Book Synopsis The Bang for the Birr by : Tewodaj Mogues

Download or read book The Bang for the Birr written by Tewodaj Mogues and published by Intl Food Policy Res Inst. This book was released on 2008 with total page 95 pages. Available in PDF, EPUB and Kindle. Book excerpt: For more than a decade, Ethiopia's government has tried to foster economic growth through agricultural development. Given the public expenditures required to achieve this goal and the limited resources available, policymakers need information on how to most effectively allocate those resources. This report provides that information by examining the relative impact that different types of spending have on rural household welfare. The results are surprising: while agricultural productivity plays a critical role in rural welfare, public spending on agriculture does not have as important an effect on productivity as would be expected. The authors find that expenditure in roads is far more effective in improving rural welfare, although its impact can vary across different regions. Public spending on education has more moderate returns than investments in road infrastructure, but these returns are still larger than those from agricultural spending, as well as being more spread out across regions than those from road infrastructure. Through such findings, the report provides policymakers, analysts, and others in the development arena with a guide to shaping future policies and a basis for additional research.

Patterns of Rural Development and Impact on Employment and Incomes

Author : J. D. Rogers
Publisher :
ISBN 13 :
Total Pages : 104 pages
Book Rating : 4.:/5 (319 download)

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Book Synopsis Patterns of Rural Development and Impact on Employment and Incomes by : J. D. Rogers

Download or read book Patterns of Rural Development and Impact on Employment and Incomes written by J. D. Rogers and published by . This book was released on 1985 with total page 104 pages. Available in PDF, EPUB and Kindle. Book excerpt: ILO pub-WEP pub-JASPA pub. Report on rural development trends (1970s-1980s) and the impact on rural employment and income in Ethiopia - examines the rural economy, agricultural production (crops and livestock), land tenure, land ownership, rural urban disparity, rural population, labour force, unemployment and rural migration; discusses rural area development policies, land reform, rural cooperatives, agricultural cooperatives, educational policies, the educational system and literacy. References, statistical tables.

Changing farm sizes and farmers’ demographics in Ethiopia

Author : Bachewe, Fantu Nisrane
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 15 pages
Book Rating : 4./5 ( download)

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Book Synopsis Changing farm sizes and farmers’ demographics in Ethiopia by : Bachewe, Fantu Nisrane

Download or read book Changing farm sizes and farmers’ demographics in Ethiopia written by Bachewe, Fantu Nisrane and published by Intl Food Policy Res Inst. This book was released on 2023-05-12 with total page 15 pages. Available in PDF, EPUB and Kindle. Book excerpt: Important changes in farms and farm demographics are noted in Ethiopia since 2004/05. These changes have important implications on discussions of the future of Ethiopian agriculture. Comparing the national agricultural sample survey of the Ethiopian Statistical Services (ESS) data between 2004/05 and 2016/17, we find that: (1) Average farm sizes of smallholders declined by more than 10 percent over the decade, from 1.2 to 0.9 hectares; the decline in farm sizes of female headed households is more pronounced at over 21 percent, (2) Farmers are becoming older: the share of Ethiopian farmers under 35 declined from 36 to 30 percent, (3) The youth have smaller and declining farm sizes, declining from 0.9 to 0.8 hectares, (4) Rental markets are becoming more important, with 12 percent of crop land being rented in at the end of the period; especially the youth rely more on rental markets to access land, with 20 percent of their land rented in, and (5) Education levels are rapidly increasing, with the share of illiterate youth farmers declining from 56 to 30 percent. This has important implications for the future of Ethiopian agriculture and the overall economy.

Income Diversification Patterns in Rural Sub-Saharan Africa

Author : Benjamin Davis
Publisher :
ISBN 13 :
Total Pages : 38 pages
Book Rating : 4.:/5 (895 download)

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Book Synopsis Income Diversification Patterns in Rural Sub-Saharan Africa by : Benjamin Davis

Download or read book Income Diversification Patterns in Rural Sub-Saharan Africa written by Benjamin Davis and published by . This book was released on 2014 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: Is Africa's rural economy transforming as its economies grow? This paper uses comparable income aggregates from 41 national household surveys from 22 countries to explore the extent of income diversification among rural households in Sub-Saharan Africa, and to look at how income diversification in Sub-Saharan Africa compares with other regions, taking into account differences in levels of development. The paper also seeks to understand how geography drives income diversification, focusing on the role of agricultural potential and distance to urban areas. The countries in the African sample have higher shares of on-farm income (63 versus 33 percent) and lower shares on nonagricultural wage income (8 and 21 percent) compared with countries of other regions. Specialization in on-farm activities continues to be the norm in rural Africa (52 percent of households, 21 percent in other regions). In terms of welfare, specialization in nonagricultural income-generating activities stochastically dominates farm-based strategies in all of the countries in our African sample. Crop income is still important for welfare, however, and even at higher levels of household income, crop activities continue to play an important complementary role. Regardless of distance and integration in the urban context, when agro-climatic conditions are favorable, farming remains the occupation of choice for most households in the African countries for which the study has geographically explicit information. When urban integration is low and agricultural conditions more difficult, the picture is mixed, with households more likely to engage more fully in nonfarm activities in Niger and Malawi, but less likely to do so in Uganda and Tanzania.

Farming Systems and Poverty

Author : John A. Dixon
Publisher : Food & Agriculture Org.
ISBN 13 : 9789251046272
Total Pages : 424 pages
Book Rating : 4.0/5 (462 download)

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Book Synopsis Farming Systems and Poverty by : John A. Dixon

Download or read book Farming Systems and Poverty written by John A. Dixon and published by Food & Agriculture Org.. This book was released on 2001 with total page 424 pages. Available in PDF, EPUB and Kindle. Book excerpt: A joint FAO and World Bank study which shows how the farming systems approach can be used to identify priorities for the reduction of hunger and poverty in the main farming systems of the six major developing regions of the world.

Agriculture, Diversification, and Gender in Rural Africa

Author : Agnes Andersson Djurfeldt
Publisher : Oxford University Press
ISBN 13 : 0198799284
Total Pages : 286 pages
Book Rating : 4.1/5 (987 download)

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Book Synopsis Agriculture, Diversification, and Gender in Rural Africa by : Agnes Andersson Djurfeldt

Download or read book Agriculture, Diversification, and Gender in Rural Africa written by Agnes Andersson Djurfeldt and published by Oxford University Press. This book was released on 2018 with total page 286 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book contributes to the understanding of smallholder agriculture in sub-Saharan Africa through addressing the dynamics of intensification and diversification within and outside agriculture in contexts where women have much poorer access to agrarian resources than men

Income Diversification in Zimbabwe

Author : Lire Ersado
Publisher : World Bank Publications
ISBN 13 :
Total Pages : 28 pages
Book Rating : 4./5 ( download)

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Book Synopsis Income Diversification in Zimbabwe by : Lire Ersado

Download or read book Income Diversification in Zimbabwe written by Lire Ersado and published by World Bank Publications. This book was released on 2006 with total page 28 pages. Available in PDF, EPUB and Kindle. Book excerpt: "The author examines, taking into account the urban-rural divides, the changes and welfare implications of income diversification in Zimbabwe following macroeconomic policy changes and droughts of the early 1990s. Data from two comparable national income, consumption and expenditure surveys in 1990-91 and 1995-96, which straddled a period of economic volatility and natural disasters, show that the percentage of households earning income from private and informal sources grew considerably, while that from government and formal sources declined in the aftermath of the drought and policy changes. The author finds that, in general, rural households tend to have a more diversified portfolio of income compared with their urban counterparts, and the degree of diversification decreases with the level of urbanization. However, there are important differences in the level of diversification within the rural and urban areas depending on wealth: While the relatively better-off households have a more diversified income base in rural areas, it is the poor who pursue multiple income sources in urban areas. A decomposition of changes in welfare indicates that the total contribution of income diversification is large and increased between 1990-91 and 1995-96 in both urban and rural areas. On the other hand, there were significant declines in returns to human and physical capital assets during the same period. The findings suggest that households with a more diversified income base are better able to withstand the unfavorable impacts of the policy and weather shocks. The fact that relatively better-off households have a more diversified income base following the shocks implies that the poor are more vulnerable to economic changes unaccompanied by well-designed safety nets. "--World Bank web site.

Agricultural Commercialization, Economic Development, and Nutrition

Author : Joachim Von Braun
Publisher : International Food Policy Research Insitute
ISBN 13 :
Total Pages : 444 pages
Book Rating : 4.F/5 ( download)

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Book Synopsis Agricultural Commercialization, Economic Development, and Nutrition by : Joachim Von Braun

Download or read book Agricultural Commercialization, Economic Development, and Nutrition written by Joachim Von Braun and published by International Food Policy Research Insitute. This book was released on 1994 with total page 444 pages. Available in PDF, EPUB and Kindle. Book excerpt: Subsistence production: a sign of market failure. Commercialization cannot be left to the market. Household effects of commercialization. Nutrition effects of commercialization. Policy action needed.

The State of Food and Agriculture 1998

Author : Food and Agriculture Organization of the United Nations
Publisher : Food & Agriculture Org.
ISBN 13 : 9789251042007
Total Pages : 404 pages
Book Rating : 4.0/5 (42 download)

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Book Synopsis The State of Food and Agriculture 1998 by : Food and Agriculture Organization of the United Nations

Download or read book The State of Food and Agriculture 1998 written by Food and Agriculture Organization of the United Nations and published by Food & Agriculture Org.. This book was released on 1998 with total page 404 pages. Available in PDF, EPUB and Kindle. Book excerpt: This annual report provides basic information on the global agricultural situation. A review of developments in food security opens this year's report, with new estimates on the proportion & number of undernourished people in the developing world. Also included is an analysis of the Asian financial crisis & its likely effects on agricultural production, trade, & food security. Special features include: an examination of the potential of rice fish farming; a chapter on rural non-farm income & employment; & a diskette housing time series data for nearly 150 countries, country groups, & regions in English, French, & Spanish. Recommended in: ALA's Guide to Reference Books.

The Role of Agriculture in Poverty Reduction

Author : Luc J. Christiaensen
Publisher : World Bank Publications
ISBN 13 :
Total Pages : 49 pages
Book Rating : 4./5 ( download)

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Book Synopsis The Role of Agriculture in Poverty Reduction by : Luc J. Christiaensen

Download or read book The Role of Agriculture in Poverty Reduction written by Luc J. Christiaensen and published by World Bank Publications. This book was released on 2006 with total page 49 pages. Available in PDF, EPUB and Kindle. Book excerpt: The relative contribution of a sector to poverty reduction is shown to depend on its direct and indirect growth effects as well as its participation effect. The paper assesses how these effects compare between agriculture and non-agriculture by reviewing the literature and by analyzing cross-country national accounts and poverty data from household surveys. Special attention is given to Sub-Saharan Africa. While the direct growth effect of agriculture on poverty reduction is likely to be smaller than that of non-agriculture (though not because of inherently inferior productivity growth), the indirect growth effect of agriculture (through its linkages with nonagriculture) appears substantial and at least as large as the reverse feedback effect. The poor participate much more in growth in the agricultural sector, especially in low-income countries, resulting in much larger poverty reduction impact. Together, these findings support the overall premise that enhancing agricultural productivity is the critical entry-point in designing effective poverty reduction strategies, including in Sub-Saharan Africa. Yet, to maximize the poverty reducing effects, the right agricultural technology and investments must be pursued, underscoring the need for much more country specific analysis of the structure and institutional organization of the rural economy in designing poverty reduction strategies.

Shock Waves

Author : Stephane Hallegatte
Publisher : World Bank Publications
ISBN 13 : 1464806748
Total Pages : 227 pages
Book Rating : 4.4/5 (648 download)

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Book Synopsis Shock Waves by : Stephane Hallegatte

Download or read book Shock Waves written by Stephane Hallegatte and published by World Bank Publications. This book was released on 2015-11-23 with total page 227 pages. Available in PDF, EPUB and Kindle. Book excerpt: Ending poverty and stabilizing climate change will be two unprecedented global achievements and two major steps toward sustainable development. But the two objectives cannot be considered in isolation: they need to be jointly tackled through an integrated strategy. This report brings together those two objectives and explores how they can more easily be achieved if considered together. It examines the potential impact of climate change and climate policies on poverty reduction. It also provides guidance on how to create a “win-win†? situation so that climate change policies contribute to poverty reduction and poverty-reduction policies contribute to climate change mitigation and resilience building. The key finding of the report is that climate change represents a significant obstacle to the sustained eradication of poverty, but future impacts on poverty are determined by policy choices: rapid, inclusive, and climate-informed development can prevent most short-term impacts whereas immediate pro-poor, emissions-reduction policies can drastically limit long-term ones.

Impact of Malawi’s Farm Income Diversification Programme on household welfare: Empirical evidence from eleven districts

Author : Ng’ong’ola, Davies H.
Publisher : Intl Food Policy Res Inst
ISBN 13 :
Total Pages : 23 pages
Book Rating : 4./5 ( download)

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Book Synopsis Impact of Malawi’s Farm Income Diversification Programme on household welfare: Empirical evidence from eleven districts by : Ng’ong’ola, Davies H.

Download or read book Impact of Malawi’s Farm Income Diversification Programme on household welfare: Empirical evidence from eleven districts written by Ng’ong’ola, Davies H. and published by Intl Food Policy Res Inst. This book was released on 2017-09-01 with total page 23 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study used cross sectional data from the government of Malawi’s Farm Income Diversification Programme (FIDP) to examine the impact of FIDP on household welfare. Total annual household income, food security, and the wealth status of households were used as measures of household welfare. A propensity score matching procedure was used to make statistically valid comparisons between the welfare of households which participated and did not participate in FIDP. The results show that households which participated in FIDP had higher incomes and their food security status improved more than among similar households which did not participate in the program. The results further reveal that FIDP improved the wealth of participating households compared to their counterparts who did not participate. Those FIDP participating households engaged in livestock production, in particular, experienced considerable growth of income, which suggests that livestock enterprises coupled with income from crops could be an important pathway for improving the wellbeing of households in Malawi.

African Smallholders

Author : Göran Djurfeldt
Publisher : CABI
ISBN 13 : 1845937163
Total Pages : 396 pages
Book Rating : 4.8/5 (459 download)

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Book Synopsis African Smallholders by : Göran Djurfeldt

Download or read book African Smallholders written by Göran Djurfeldt and published by CABI. This book was released on 2011 with total page 396 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book investigates how the changed agricultural policy climate affected government policies in the nine countries studied already as part of the preceding project: Ethiopia, Ghana, Kenya, Malawi, Mozambique, Nigeria, Tanzania, Uganda and Zambia. By repeating the cross-sectional survey made in over 100 villages in 2002 and converting it into a panel, it is possible to trace village- and household-level effects of agricultural policies and other macro-level processes. The book consists of 14 chapters most of which revolve around studies on each of the nine case study countries.