Factors Affecting Nonfarm Income Diversification among Rural Farm Households in Central Nepal
Nonfarm activities play an important role in the determination of rural household income, consumption expenditure, and household food security. However, much less studies have been devoted to the factors that influence nonfarm income diversification by farm household in developing countries. Us...
Main Authors: | , , |
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Format: | Article |
Language: | English |
Published: |
Islamic Azad University
2014-06-01
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Series: | International Journal of Agricultural Management and Development |
Subjects: | |
Online Access: | http://www.ijamad.com/4(2)/IJAMADJune2014P123.pdf |
Summary: | Nonfarm activities play an important role in the determination
of rural household income, consumption expenditure,
and household food security. However, much less
studies have been devoted to the factors that influence nonfarm
income diversification by farm household in developing
countries. Using cross-sectional data and a probit model, this
study attempts to determine the factors influencing nonfarm
income diversification decisions by farm households in Central
Nepal. The result reveals that household characteristics such
as age, gender and education of the household head, and
family size play a significant role in nonfarm work decisions.
The households with larger farm size are less likely to
participate in nonfarm work than their counterpart. Additionally,
for those remains in the rural households, distance to road
and market hinders the opportunities for nonfarm work.
Finally, regional differences also exist in participating nonfarm
activities among farm households. This study suggests that
government policy should pay more attention on education,
gender and infrastructures such as road and markets, to
reduce the entry barriers and facilitate easier access to nonfarm
activities. Also, nonfarm activities need to be promoted and
incorporated in governmental plans and policies for balanced
development between hills and terai areas. |
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ISSN: | 2159-5852 2159-5860 |