Abstract
Forest significantly contributes to household incomes and influences patterns of economic development by promoting sustainable or green development. Yet, effective forest use and management/governance requires a deeper understanding of forest’s multiple socio-economic functions or benefits at various scales, in particular at local level. Hence, reliable and up to-date information on the state of forest resources - not only on area and area change, but also on such variables as economic contribution for household environment and others variables are very important. This study was conducted in Southern Ethiopia in the Oromia region in the district of Dodola. The main objective of the study was to assess the economic contribution of forest resource at household level. Data were collected through household survey, group discussions and key informant interviews. Data was analysed by statistical methods include descriptive statistics, Leaner regression analysis. The results of the study show that forest products are important sources of income contributing to 30% and 51.3% of household per capita income and per capita cash income, respectively. Forest income is an important bumper against extreme poverty by filling seasonal gaps of income and by serving as safety net in times of income crisis. Forest income also provides the opportunity to diversify livelihoods, particularly for low income groups. Households’ decisions on livelihood strategies including dependence on forest income are associated with socioeconomic and geographical factors. It is recommended that a better outcome in terms of poverty alleviation can be achieved if pro-poor forest-based activities are specifically considered in planning conservation and development interventions. Keywords/Phrases: Bale Eco Region, Forest income, forest-management at household level, Oromia, Ethiopia, REDD+ DOI : 10.7176/JRDM/53-02 Publication date :March 31 st 2019
Highlights
Back Ground Humans have depended on forests for a remarkable variety of products, services, and benefit
Analysis of variance to describe income classes in terms of socioeconomic characteristics, distribution of income among income sources, and the importance of forest products, as well as the leaner regression analysis to identify socioeconomic factors related to forest income and total income of households
Empirical Model and Estimation the forest income function is derived from a short-run profit function
Summary
Back Ground Humans have depended on forests for a remarkable variety of products, services, and benefit. For millennia before the industrial revolution, forests, woodland, and trees were the source of land for cultivation and settlement, of construction materials, of fuel and energy, and of food and nutrition as well (Williams 2002). Forests continue today to provide the high levels of commercial benefits to households, companies, and governments that formed the initial impetus for protective statutes and policies. Forests contribute extremely to the global energy supply as well as providing food, fodder, medicines, building materials, and paper products etc. Forests have cultural, spiritual and recreational values. They are vital for climate mitigation and soil and water protection (FAO, 2008)
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