Rural Non-Farm Employment and Household Welfare

Rural Non-Farm Employment and Household Welfare PDF Author: Guigonan Serge Adjognon
Publisher:
ISBN:
Category : Cost and standard of living
Languages : en
Pages : 66

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Book Description
This paper uses nationally representative panel data and a combination of econometric approaches, to explore linkages between rural non-farm activities (wage and self-employment) and household welfare in rural Malawi. The paper analyzes the average treatment effects and distributional effects on participants' welfare indicators, such as households' per capita consumption expenditures. Then it investigates the effects of non-farm activities on the use of agricultural inputs, one channel through which non-farm employment might improve the welfare of rural households. Although participation in non-farm activities is not randomly assigned in the data, the identification strategy relies on fixed effects and correlated random effects estimation methods, dealing effectively with time invariant heterogeneity, coupled with geographical covariate adjustments, controlling for time varying differences in local market conditions and employment opportunities. The results suggest that non-farm wage employment and non-farm self-employment are welfare improving and poverty reducing. However, households at the lower tail of the wealth distribution benefit significantly less from participation than the wealthiest. Although the results support the promotion of the rural non-farm economy for poverty reduction purposes, they indicate that targeted interventions that improve poor households' access to high-return non-farm opportunities are likely to lead to bigger successes in curbing rural poverty.

Rural Non-Farm Employment and Household Welfare

Rural Non-Farm Employment and Household Welfare PDF Author: Guigonan Serge Adjognon
Publisher:
ISBN:
Category : Cost and standard of living
Languages : en
Pages : 66

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Book Description
This paper uses nationally representative panel data and a combination of econometric approaches, to explore linkages between rural non-farm activities (wage and self-employment) and household welfare in rural Malawi. The paper analyzes the average treatment effects and distributional effects on participants' welfare indicators, such as households' per capita consumption expenditures. Then it investigates the effects of non-farm activities on the use of agricultural inputs, one channel through which non-farm employment might improve the welfare of rural households. Although participation in non-farm activities is not randomly assigned in the data, the identification strategy relies on fixed effects and correlated random effects estimation methods, dealing effectively with time invariant heterogeneity, coupled with geographical covariate adjustments, controlling for time varying differences in local market conditions and employment opportunities. The results suggest that non-farm wage employment and non-farm self-employment are welfare improving and poverty reducing. However, households at the lower tail of the wealth distribution benefit significantly less from participation than the wealthiest. Although the results support the promotion of the rural non-farm economy for poverty reduction purposes, they indicate that targeted interventions that improve poor households' access to high-return non-farm opportunities are likely to lead to bigger successes in curbing rural poverty.

Evaluating the welfare effects of nonfarm enterprises on rural households in Papua New Guinea

Evaluating the welfare effects of nonfarm enterprises on rural households in Papua New Guinea PDF Author: Schmidt, Emily
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 8

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Book Description
Papua New Guinea (PNG) is the country with the largest rural population share in the East Asia and Pacific region. In addition, PNG is affected by El Niño Southern Oscillation (ENSO) climatic events that in severe years cause significant food insecurity due to failed agricultural production. Shrinking land holdings for agricultural production due to the growing population together with climate risk motivates many rural households to explore off-farm income generating opportunities. The analysis reported on here evaluates the importance of nonfarm employment in rural areas in PNG in diversifying risk to household welfare (associated with weather shocks, crop pests and diseases, agricultural price fluctuations, etc.), in smoothing seasonal income fluctuations, and in absorbing excess labor in households with limited agricultural resources. Our study draws upon a wide-ranging literature focused on the role of nonfarm enterprises in the livelihood strategies of rural households globally, e.g., de Janvry and Sadoulet 2001; Lanjouw and Lanjouw 2001; Jayne et al. 2003; Barrett et al. 2005; Haggblade et al. 2007; Lay et al. 2008. We use data collected from rural households in PNG between May and July 2018 by the International Food Policy Research Institute (IFPRI). The survey was administered to 1,026 households in 70 communities across specific districts in East Sepik, Madang, and West Sepik provinces and in the Autonomous Region of Bougainville. Respondent households were asked detailed questions about any nonfarm enterprises (NFE) in which they were involved, including questions on ownership, labor characteristics, and income generation. We explore how engaging in an NFE affects household welfare. In doing so, we evaluate two questions: 1) What barriers to entry exist for male- versus female-owned NFEs? 2) Do the welfare effects of NFE ownership differ by the sex of the owner? Overall, we find that households with an NFE have significantly higher annual per capita consumption compared to matched households without an NFE, amounting to an average increase in the value of annual household consumption of 180 kina (PGK) per capita. In addition, households with an NFE consume approximately 9.5 grams more protein per person per day and achieve greater diversity in their diets compared to households without an NFE. We find that the positive effects of NFE ownership on welfare outcomes are largely driven by male-owned and jointly-owned (male and female) NFEs. The welfare outcomes attributable to female-owned NFEs are much smaller.

Rural Nonfarm Employment

Rural Nonfarm Employment PDF Author: O. Jean Lanjouw
Publisher:
ISBN:
Category : Electronic books
Languages : en
Pages :

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Book Description
May 1995 Although governments in some countries are implementing projects to support small-scale and rural enterprises, more commonly the rural nonfarm sector operates in a policy environment that is biased against it. This survey highlights the positive roles that the rural nonfarm sector can play in promoting growth and welfare by slowing rural-urban migration, using more appropriate technologies, providing seasonal or alternative employment for those left out of agriculture, and improving household security through diversification. The apparent neglect of this sector does not seem warranted on the basis of available information. So little is known about the rural nonfarm sector that those making policy to assist rural small-scale enterprises have done so largely unencumbered by evidence. The Lanjouw survey of nonfarm data and policy experience attempts to correct this. Until recently, the commonly held view was that rural nonfarm employment was relatively nonproductive, producing goods and services of low quality. The rural off-farm sector was expected to wither away with development and rising incomes, and this was viewed as a positive, rather than a negative, event. A corollary of this view was that the government need not actively worry about the sector -- or be concerned about how policies elsewhere might harm it. More recently, opinion has swung the other way, and it is increasingly argued that neglect of the sector would be mistaken. The survey highlights the positive roles that the rural nonfarm sector can play in promoting both growth and welfare. In the widespread situation of a rural workforce growing faster than the employment potential in agriculture, the nonfarm rural sector can lower unemployment and slow rural-urban migration. It is particularly useful in employing women and providing off-season incomes. The technologies used in small-scale rural manufacturing may be more appropriate and thus generate greater income from available productive inputs. What role could government play in promoting the nonfarm sector? The emphasis of government policy has been on large-scale urban industry as the main engine of growth. More recently, there has been a move toward a more broad-based growth approach, with greater emphasis on the development of agriculture and the rural economy. Increasingly countries have targeted project assistance schemes, for example to provide training, infrastructure, and technology to support small-scale and rural enterprises. Nonetheless, in most countries it remains true that projects to support the nonfarm rural sector are undertaken in a policy environment which is biased against this sector. This paper -- a product of the Office of the Vice President, Development Economics -- was prepared as a background paper for World Development Report 1995 on labor.

Global Productivity

Global Productivity PDF Author: Alistair Dieppe
Publisher: World Bank Publications
ISBN: 1464816093
Category : Business & Economics
Languages : en
Pages : 552

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Book Description
The COVID-19 pandemic struck the global economy after a decade that featured a broad-based slowdown in productivity growth. Global Productivity: Trends, Drivers, and Policies presents the first comprehensive analysis of the evolution and drivers of productivity growth, examines the effects of COVID-19 on productivity, and discusses a wide range of policies needed to rekindle productivity growth. The book also provides a far-reaching data set of multiple measures of productivity for up to 164 advanced economies and emerging market and developing economies, and it introduces a new sectoral database of productivity. The World Bank has created an extraordinary book on productivity, covering a large group of countries and using a wide variety of data sources. There is an emphasis on emerging and developing economies, whereas the prior literature has concentrated on developed economies. The book seeks to understand growth patterns and quantify the role of (among other things) the reallocation of factors, technological change, and the impact of natural disasters, including the COVID-19 pandemic. This book is must-reading for specialists in emerging economies but also provides deep insights for anyone interested in economic growth and productivity. Martin Neil Baily Senior Fellow, The Brookings Institution Former Chair, U.S. President’s Council of Economic Advisers This is an important book at a critical time. As the book notes, global productivity growth had already been slowing prior to the COVID-19 pandemic and collapses with the pandemic. If we want an effective recovery, we have to understand what was driving these long-run trends. The book presents a novel global approach to examining the levels, growth rates, and drivers of productivity growth. For anyone wanting to understand or influence productivity growth, this is an essential read. Nicholas Bloom William D. Eberle Professor of Economics, Stanford University The COVID-19 pandemic hit a global economy that was already struggling with an adverse pre-existing condition—slow productivity growth. This extraordinarily valuable and timely book brings considerable new evidence that shows the broad-based, long-standing nature of the slowdown. It is comprehensive, with an exceptional focus on emerging market and developing economies. Importantly, it shows how severe disasters (of which COVID-19 is just the latest) typically harm productivity. There are no silver bullets, but the book suggests sensible strategies to improve growth prospects. John Fernald Schroders Chaired Professor of European Competitiveness and Reform and Professor of Economics, INSEAD

Role of Gender, Improved Agricultural Technology and Non-farm Employment in Household Wellbeing in Nepal

Role of Gender, Improved Agricultural Technology and Non-farm Employment in Household Wellbeing in Nepal PDF Author: Bineeta Gurung
Publisher:
ISBN:
Category : Electronic dissertations
Languages : en
Pages : 0

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Book Description
Nepal is a developing country with 65% of its population engaged in agriculture and more than 25% of its population living below poverty line. Given the importance of agricultural growth for poverty reduction, substantial amount of resources have been invested to promote agricultural growth. Despite the emphasis on agricultural growth through research, extension and related services, farm productivity in Nepal remains significantly low. The agricultural sector in Nepal has grown much slower than elsewhere in South Asia. As a result, many questions have been raised about rural household wellbeing: What role does gender play in rural agricultural systems? How effective are current development interventions in improving household welfare? What impact does the non-farm sector have on the welfare of rural households? To explore these questions, among others, this dissertation examined three elements of rural development efforts in an international context: empirical examination of gender differences in rural livestock production; evaluation of the effect of agricultural technology on rural households' welfare; and analysis of the role of non-farm sector in rural household food security.℗ This dissertation is built around three independent essays based on data collected from villages in Nepal's Kaski district. The first essay titled "Gender and Livestock Ownership in Rural Households of Kaski District in Nepal," incorporates an analysis of gender component into livestock research by using sex-disaggregated data to empirically analyze women's ownership of livestock in rural farm households. The second essay titled "Effect of Off-Season Tomato Production on Crop Income and Food Security in Nepal," establishes a causal linkage between off-season tomato production inside plastic tunnels and households' crop income and food security using the nearest neighbor matching method. The final essay titled "Impact of Rural Non-Farm Employment on Food Security in Nepal," examines the effect of℗ rural non-farm employment on rural household food security by using two distinct matching methods: propensity score matching and direct covariate matching. On the basis of findings from the three essays, this dissertation provides gender sensitive and evidence based feedback for policy making to promote positive and sustainable development.

Structural Adjustment and Household Welfare in Rural Areas

Structural Adjustment and Household Welfare in Rural Areas PDF Author: Raghav Gaiha
Publisher: Food & Agriculture Org.
ISBN: 9789251028582
Category : Business & Economics
Languages : en
Pages : 68

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Book Description


Rural Non-farm Employment in the Lower Himalayas of Eastern India

Rural Non-farm Employment in the Lower Himalayas of Eastern India PDF Author: Dil Bahadur Rahut
Publisher: Cuvillier Verlag
ISBN: 3867270317
Category :
Languages : en
Pages : 147

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Book Description


Rural income diversification in Rwanda: Opportunities and challenges

Rural income diversification in Rwanda: Opportunities and challenges PDF Author: Schmidt, Emily
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Political Science
Languages : en
Pages : 23

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Book Description
The Government of Rwanda continues to work to accelerate structural transformation to expand and diversify the country’s economy. High rural population density and small agricultural landholdings are driving workers from agricultural households to seek employment outside of farming. Using representative data on agricultural production and employment for rural households in Rwanda from 2022, this research evaluates the opportunities rural households have to diversify their labor portfolios. We find that, rather than nonfarm household enterprises developing to meet greater rural service and goods demand, agriculture wage labor is the dominant source of off-own-farm employment. However, such informal agricultural wage labor is seen as low-productivity work and is among the lowest paid. Among nonfarm employment options, nonfarm businesses generate less income than nonagricultural wage labor, likely reflecting high barriers to entrepreneurship and low demand for off-farm services in rural areas. In contrast to employment profiles from other low-income countries, we find that the probability of a worker from an agricultural household in Rwanda engaging in rural, off-farm wage labor decreases as household welfare increases. Agricultural households that have workers seeking to hire out their labor tend to have the smallest landholdings, while households that hire in labor have the largest landholdings. Additionally, households with a higher share of members who completed primary education are less likely to hire out their labor, especially for agriculture wage work. These results suggest that programs that offer support services to agricultural households, such as financial services and affordable and relevant education, may be important in incentivizing these households to engage in entrepreneurship and form their own businesses or to seek wage employment in more remunerative sectors than agriculture.

Poverty Impacts and Policy Options of Non-farm Rural Employment

Poverty Impacts and Policy Options of Non-farm Rural Employment PDF Author: Gertrud Buchenrieder
Publisher:
ISBN:
Category : Manpower policy, Rural
Languages : en
Pages : 132

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Book Description
Evidence from many low income countries over the last decade shows that the share of rural household income from non-farm sources is growing. Empirical research found that non-farm sources contribute 40-50% to average rural household income. Most of this income originates from local rural sources. Thus, non-farm rural employment is gaining prominence in debates on rural development, particularly in the sense of reducing poverty in farm households and contributing to sustainable livelihoods. Farm households have been observed to follow a multitude of strategies to prepare for and cope with different kinds of risks and thus reduce their livelihood vulnerability. As it concerns income creating strategies, they can be grouped into two categories: (i) adjusting and diversifying farm production activities and (ii) non-farm activities (on- and off-farm) such as wage- and self-employment in the same region or urban centres, implying temporary or permanent migration. In summarysing, it can be stated that diversity and sustainability of livelihoods play a key role in rural households' strategies to ensure survival under difficult ecological and economic conditions. Some common patterns can be identified: if access to farm land is a limiting factor for rural households, even low-paid jobs in the non-farm sector are of key importance to make a living. If land supply is elastic and accessible to rural households, the diversification of farm activities is followed as the main strategy to secure their livelihoods, often supplemented by some form of non-farm rural employment. In general, the farm size must surpass a critical threshold to create capacities to engage in better paid non-farm rural employment, which limits policy options to refer to non-farm rural employment as a silver bullet accessible to all social groups when fighting rural mass poverty. Also, the role of social capital assets cannot be underestimated as it paves the way for profitable forms of non-farm rural employment. This edited volume is a collection of topical papers presented at the Deutsche Tropentag (DTT) 2001 "One World - Research for a Better Quality of Life" that was held at the University of Bonn from October. 9th to 11th, 2001 in Bonn. Papers of the thematic sessions on "Conflicts, Migration and Rural Development" as well as "Poverty and Livelihood Strategies" are combined in this publication. The papers deal with the issues of non-farm rural employment for sustainable rural livelihoods. It also includes one topical paper that was presented at the 42nd Annual Conference of the Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaus (GEWISOLA) "Perspectives for the European Agricultural and Food Sector Following Eastern Enlargement", September 30 to October 2, 2002, at the Martin Luther University, Halle, Germany. The contributions in this volume on non-farm rural employment and its poverty alleviation impact on farm households and policy options contains are from six case countries (Bolivia, Brazil, Guatemala as well as Bulgaria, Kosovo, and Romania) in two distinct regions (Latin America and Central and Eastern Europe).

Rural Families and Work

Rural Families and Work PDF Author: Jean W. Bauer
Publisher: Springer Science & Business Media
ISBN: 1461403820
Category : Social Science
Languages : en
Pages : 262

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Book Description
Rural Families and Work focuses on the findings of the Rural Families Speak research study and the theoretical frameworks that are utilized to examine the context of rural low-income families’ employment. This volume provides a solid foundation for understanding rural employment problems and issues. Family ecological theory is the central framework with a discussion of theories that contribute to the opportunities for the contextual research, including family economic stress theory, human capital, human capability, and some selected policy frameworks. Employment is addressed through review of policy issues, community contexts, family and social support, and available resources. Throughout the volume future research directions and applications are highlighted.