Abstract

AbstractThis study aims to assess the multidimensional poverty index (MPI) of farm households in Nepal and investigate the influence of various forms of livelihood capital on their income. The calculation of MPI incorporates the nutrition dimension along with health, education, and living standards using the Alkire‐Foster method. The results show that farm households in Nepal face severe multidimensional poverty (MPI = 0.433, using poverty cut‐off criterion = 0.3). The incidence of income poverty for Nepali farm households is around 20%, which indicates that income‐based poverty may mask the true poverty of farm households in Nepal.

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