Agricultural Household Income Research Articles

The Impact of Location of Labor Migration on Rural Households’ Income: Evidence from Jiangxi Province in China

With the increasing occurrence of labor migration (LM), off-farm employment has emerged as a crucial means to augment the income of agricultural households, bridge the urban-rural divide, and achieve rural regeneration. This study utilized a multiple linear regression model and quantile regression model to examine the effect of LM location on rural households’ income. The analysis is based on research data from Jiangxi Province in 2018. The outcomes reveal that both intra-country LM and outside-of-county LM could make a substantial contribution to the increase of overall household income. However, the coefficient of impact for outside-of-county LM is greater. The findings of this study successfully passed the rigorous tests for robustness and endogeneity. Furthermore, the quantile regression analysis indicates that the greatest income-generating impact of intra-county LM occurred at the 90% quantile, whereas the highest income-generating impact of outside-of-county LM appeared at the 75% quantile. The study aims to determine if there is a variation in the income impact of LM in samples with distinct features. Specifically, it investigated the scale of forestland management and the LM of the household head. The results show that the promotion effect of intra-county LM on the total income of rural households was only observed in the sample group with a forestland area larger than 50 mu. Additionally, outside-of-county LM could only promote the growth of the total income of rural households in the sample group in which the head of household has not experienced labor migration. Hence, to enhance the growth of income for rural households amidst China’s urbanization, policymakers should facilitate the controlled migration of labor from rural areas to urban areas while also encouraging the migration of labor within rural areas.

Contribution of Horticultural Crops in Generating Household Agricultural Income in Cooch Behar District of West Bengal

Contribution of Horticultural Crops in Generating Household Agricultural Income in Cooch Behar District of West Bengal

Displacement-induced inequalities in Koto Panjang resettlement villages of Indonesia

ABSTRACT We evaluated the impact of the displacement project on land and income inequalities in Koto Panjang resettlement villages of Riau Province of Indonesia. The displaced households received equally compensated land before the project’s operation. We took that displacement as a treatment and conducted a with-and-without project comparison to the changes in the household economy, putting the non-displaced households as counterfactual. Using the 2003 and 2013 Indonesian Agricultural Household Income Survey, we found that the displaced areas had equally distributed land but unequally distributed income. In addition, both land and income levels were higher in the displaced than in the non-displaced.

Crop diversification and income of agricultural households in India: an empirical analysis

The present study empirically tests the relationship between crop diversification and farm income. The study area is India, the fifth largest economy of the world, and the units of study are its households which dominates India’s labor force. The propensity score matching technique is applied on the two waves of nationally representative data on agricultural households pertaining to agricultural year 2012–13 & 2018–19 to test the relationship between crop diversification and farm income. We find a strong and positive impact of crop diversification on farm income as farm income increases by around 13 per cent if non-diversified households opt for crop diversification. Furthermore, important factors such as literacy, access to market, access to irrigation, agricultural training, farming experience, and household size positively affects crop diversification at the household level. However, recent decline in the extent of diversification in India is a cause for concern. Promotion of cultivation of HVCs by giving them such institutional supports as initial capital required for switch to HVCs and other steps that insulates them from higher risks is the need of the hour in Indian agriculture.

Income Variability of Agricultural Households in Poland: A Descriptive Study

Among the different types of households, agricultural ones are perceived as the most exposed to the problem of income instability. Income fluctuations pose a threat not only to the financial stability of farming families but also to the sustainable development of the agriculture sector. Investigating the scale and factors of the variability of farmers’ household incomes is important in designing and monitoring agricultural policy measures that aim to stabilize farmers’ incomes. In this context, the main objective of this article is to assess the income variability of agricultural households in Poland and to identify the main correlates of farmers’ income fluctuations in the period 1996–2022. To emphasize the significance of the problem of income instability for agricultural households, a comparative assessment of income variability was performed (relative to non-agriculture households). Furthermore, two research subperiods (1996–2003; 2004–2022; before and after EU accession) were distinguished to capture the association between the Common Agriculture Policy (CAP) and the stability of agricultural income. The study focusses on associations between variables (regression and correlation analyses were used). The income of agricultural households was shown to exhibit greater variability (year-on-year) than the income of households of workers and of self-employed people, with a lower scale of fluctuations after 2004. Furthermore, the study reveals a group of factors that could be correlated with the variability of the income of agricultural households: income structure (share of income from agriculture), natural and climatic conditions (variability of the yields and agricultural production), and changes in prices of the means of agricultural production. The findings raise, however, a question about the effectiveness of CAP instruments in stabilizing agricultural income.

Pengaruh Penguasaan Lahan Terhadap Pendapatan dan Kesejahteraan Rumah Tangga Pertanian pada Agroekosistem yang Berbeda

Narrowing land tenure is happening in Indonesia agricultural household. This affect on decreasing agricultural household income. Attempts to increase income in the non-agricultural sector have resulted in a variety of income structures. The relationship between land tenure and household income does not always show the same direction, this is due to different agro-ecosystem conditions. This study aims to analyze: (1) the effect of land tenure and agro-ecosystem conditions on the non-agricultural income structure, (2) the effect of land tenure and non-agricultural income structure on the welfare of agricultural households. The data used is the National Farmer Panel sourced from the Indonesian Center of Agriculture Socio Economics Policy Studies (ICASEPS), Ministry of Agriculture. The analytical method used is Generalized Linear Model whics is processed using R Software. The results show that there is a negative relationship between land area and non-agricultural income structure. Meanwhile, education and agro-ecosystem conditions are positively related to non-agricultural income structure. The percentage of non-agricultural income, sequentially from the highest, is the agro-ecosystem of paddy fields, dry land based crops and vegetables, dry land based plantation. A positive relationship is also shown between the variables of land area, education, non-agricultural income structures and the welfare of agricultural households which were proxied using per capita expenditure. Meanwhile, an increase in household members will reduce the welfare of agricultural households.

Understanding Factors of Households' Circular Economy Adoption to Facilitate Sustainable Development in an Emerging Country

A shift from a linear economy to a circular economy can help participants (i.e., enterprises and households) to cut expenses, stabilize supply chains for the long term, and lower manufacturing and operating costs. Although the circular economy can benefit both the economy and the environment, this topic has still been under-studied in developing countries. More specifically, there has been little known about conditions and/or barriers for stakeholders in adopting a circular economy. In this regard, the authors conducted a study among Vietnamese households to improve the understanding of the factors (both drivers and impediments) of a circular economy adoption. Specifically, the authors employed a questionnaire-based survey approach to collect data from 473 households operating in the agricultural sector in the Red River Delta, Vietnam. The PLS-SEM method was performed to unravel the complicated relationship between circular economy adoption, organizational innovation, and income of agricultural households. The results showed that the adoption of circular economy is widely influenced by many factors in Vietnam. For example, technology has a negative impact on the level of circular economy adoption while policy and regulation, management, customer, and society have the opposite effect. Furthermore, organizational innovation played a fully mediating role between circular economy adoption and households’ income. The results of the study offer many policy implications for supporting and increasing the households’ circular economy adoption for further sustainable development in Vietnam and beyond.

Does early disaster exposure affect household agricultural income? Evidence from China

As global climate change intensifies, reducing agricultural losses due to weather disasters caused by climate change has become a major concern. This study follows a cohort DID framework to explore the effects and mechanisms of early disaster experience on farmers' household agricultural income using the China Family Panel Studies data. This study finds that farmer households exposed to extreme disaster shocks early in life perform better in household agricultural income, but there are heterogeneities across households due to differences in resource endowments. Households with easier access to weather information, higher levels of cognition among household members, higher levels of household assets, better social capital, and less availability of non-farm employment opportunities performed better. Furthermore, climate change adaptive behavior is the main channel through which early disaster experiences affect household agricultural income. Households that experienced disaster shocks in earlier years tend to implement climate change adaptive behaviors such as reducing land rent out, increasing land rent in, and reducing participation in non-farm employment to increase household agricultural income. These findings provide evidence for farmers to adapt to climate change by learning from their disaster experiences. It also provides a reference for relevant authorities to design policies to help farmers adapt to climate change.

Resilience, endogenous policy responses to COVID-19, and their impacts on farm performance

Policy measures aimed at containing the spread of the COVID-19 pandemic had unintended consequences on economic activities globally. In this study, we isolate and investigate the short-term partial impacts of six such measures on the farm and nonfarm incomes of agricultural households and examine the related resilience factors. Using Nigeria as a case study, we find that the COVID containment measures had mixed effects on farm and non-farm incomes in the short run. These varying effects are due to households’ resilience and vulnerability factors, including land size, wealth, income diversification, involvement in processing activities, and reliance on hired labor. Our findings highlight the need for more targeted health crisis containment measures which consider the uniqueness, diversity, and regional heterogeneity of agriculture, especially the potential implications for farm viability.

Analisis Pengaruh Luas Lahan dan Sumber Penghasilan terhadap Pendapatan Rumah Tangga Usaha Pertanian

This study examines the effect of land area and income sources of agricultural households on their income in the context of reducing poverty in the agricultural sector. This study uses a quantitative approach and multiple regression methods as an analytical tool with data from the Agricultural Business Household Income Survey which is part of the 2013 Agricultural Census of West Sumatra Province. The data used in this study is cross-sectional data with total agricultural household income as the dependent variable and the amount of land owned by agricultural households, the area of ​​land controlled and cultivated by agricultural households, the percentage of agricultural household income from agricultural sector businesses, the percentage of agricultural household income from non-agricultural businesses, the percentage of other agricultural household income , the percentage of agricultural household income from wages in the agricultural sector, and the percentage of agricultural household income non-agricultural wage income. The results showed that the variable area of ​​land owned and the area of ​​land controlled and cultivated by agricultural households had a positive effect on their total income. Other variables that have a positive effect on total agricultural household income are the percentage of income from non-agricultural businesses and the percentage of non-agricultural wage income. On the other hand, the percentage of agricultural household income from agricultural sector businesses and the percentage of agricultural household income from wages in the agricultural sector have a negative effect on their total income. The results of this study suggest the need for redistribution of land to land-poor agricultural households and encourage them to diversify their business outside the agricultural sector but still based on agricultural products.

Education and agricultural household income: Comparative evidence from Vietnam and Thailand

Understanding the benefits of education is vital in formulating policy priorities, especially in developing countries. Without realizing how education affects income, the importance of education can be undervalued. This study investigates the impact of education on agricultural household income in Thailand and Vietnam by examining the Thailand Vietnam Socio-Economic Panel (TVSEP) dataset, which contains data on three provinces in each country. The random effects regression model is used to analyze the data. The findings show a positive correlation between education and income from crops and livestock and a negative correlation between education and income from both natural resource extraction and agricultural diversification. Additionally, heterogeneity in the influence of education on agricultural income across genders and ethnic groups is revealed. Even though Vietnam and Thailand are two of the largest rice exporters, being developing countries with limited farming technologies means that implications for relevant policy development are significant. Given the impact of education on the livelihood of farmers, investments in their education should be strongly encouraged to enhance their future agricultural income.

Estimating acid soil effects on selected cereal crop productivities in Ethiopia: Comparing economic cost-effectiveness of lime and fertilizer applications.

Acid soils are a major constraint to agricultural productivity in many parts of sub-Saharan Africa, including Ethiopia. Restoring soil pH to optimal ranges for agriculture can have a significant impact on yields, particularly for acid intolerant crops like wheat and barley. The application of agricultural lime is the standard corrective, although the large application requirements, lack of farmer awareness, and weak or non-existent lime supply chains make this a complex problem to address at scale. To date, no large-scale farmer trials of lime application have been undertaken in Ethiopia. This leaves open the question to local policy makers as to the economic benefits given the enormous capital and logistics investments required. To help address this we leverage existing spatial edaphic data and longitudinal crop surveys to simulate the productivity impact of varying lime and fertilizer applications. Our estimates find the impact of moving pH from 5.5 to 6.5, modeled as a lime soil remediation strategy, increases yields by 22% and 19% for wheat and barley, respectively. In addition, at lower pH levels our models indicate that commonly used nitrogen-based fertilizers are less cost-effective. For wheat in highly acidic soils, we find that fertilizers cost over two times as much as a single application of lime over a five-year period. The cost savings of the use of lime reaches as high as 121% of average one-year agricultural household income for wheat; with barley these savings are lower but still substantial at 24%. In general, we advocate for an integrated soil fertility management strategy that applies appropriate levels of fertilizer on pH balanced soil. If successful, Ethiopia's acid soil reclamation could become a modest version of Brazil's successful "cerrado miracle" and serve as an example for Africa.

Status and Changes in Composition of Agricultural Household’s Income in India

The study used the NSSO’s Situation Assessment Survey from 2012-13 and 2018-19 to determine the current status and changes in the composition of agricultural household income. During the agricultural years 2012-13 and 2018-19, an agricultural household’s total nominal farm income increased at an annual rate of 9.61 per cent, while real income increased at a rate of 3.42 per cent. Assuming the projected growth trends in nominal and real income continue, the nominal income of agricultural households will take 7.5 years to double at All India levels, while the real income will take 21 years. The income composition of an agricultural household changed throughout the same period. The average annual percentage change in income from wages and salaries (10.37%) and from animal sources (6.14%) grew positively throughout the period, whereas crop (-1.25%) and non-farm business (-0.94%) grew negatively. 12 per cent increase in the share of wages and salaries in overall income was discovered and a corresponding reduction in crop income. In the agricultural year 2018-19, Rajasthan had the largest diversity in income sources (SID=0.43), and Andhra Pradesh had the lowest (SID=0.25), while All India had (SID=0.35). The result indicates that agricultural households are shifting their dependency for livelihood from crop income towards wages and salaries.

Skala i determinanty zmienności dochodów gospodarstw rolniczych w Polsce

Purpose – The aim of the study is to assess the stability of agricultural household income in Poland in 1995–2021 and to identify the determinants of the volatility of this income. Research method – The stability of farmer’s household income was compared with the income volatility of other socio-economic groups. Regression analysis was used to reveal the determinants of income volatility. Results – The income of farm households shows much greater year-on-year volatility than the income of households of employees and self-employed outside agriculture. Originality / value / implications / recommendations – The volatility of farm income is mainly influenced by the factors that determine the value of agricultural production and the costs of this production. Subsidies directed to farmers only mitigate the volatility of farm income.

Agriculture commercialisation, household dietary diversity and nutrition in Tanzania

Availability and accessibility of proper amount and variety of foods are important determinants of household nutritional status. Agriculture commercialisation can be a useful means of promoting efficiency in agriculture, increasing agricultural household income and consequently, improving household food and nutrition security. Using the first three waves of Tanzania National Panel Survey data, this paper employs panel data models to analyse the linkages between agriculture commercialisation, dietary diversity, and nutrition status in Tanzania. It contributes to the literature by assessing those linkages across different income groups. The study finds that agriculture commercialisation has a significant effect on dietary diversity for the lower-income group; but not for the whole sample. Education levels of the head of household and of the highly educated female member, overall income levels and area of land cultivated have positive and significant effects on dietary diversity; whereas age of the head has negative and significant effect. It also finds that agriculture commercialisation and household dietary diversity both have an insignificant effect on child stunting, wasting, and underweight even for the lower-income group. Findings imply that policies favouring commercialisation and dietary diversification may not necessarily translate to improving child nutrition. Addressing nutrition challenges requires all-encompassing strategies.

Are the incomes of agricultural households lagging behind? Evidence from Czechia

The aim of this article is to compare the income of agricultural households with the income of other economically active households in Czechia and to determine the extent to which a difference can be explained by the difference in household characteristics. The research was carried out on the basis of the Czech SILC survey (2005–2016). To determine the level of poverty of agricultural households, we used the Foster–Greer–Thorbecke poverty measures. To decompose the income gap, we used Blinder-Oaxaca decomposition in the modification for longitudinal data. The incomes of agricultural workers are lower compared to other sectors, and this difference was also reflected in the equalised household incomes. Households differ in the poverty rate, but do not differ in the depth of poverty. The income gap can be explained by the difference in household characteristics of only 20%, with education and the type of occupation having the most significant influence.

Decomposition Analysis of Poverty Reduction in Rural China: 2007–2018

AbstractUsing the last three waves of the rural household surveys conducted by the Chinese Household Income Project in 2007, 2013, and 2018, this paper focuses on changes in poverty in rural China. The paper decomposes poverty change into the growth effect and the inequality effect, and also decomposes the contributions of income components, concentrating particularly on income from public transfers. Economic growth had a very significant poverty reduction effect for both absolute and relative poverty, but the inequality effect mostly offset it; in total, absolute poverty reduced significantly, and relative poverty increased from 2007 to 2018. Local wage income became the main contributor to both absolute and relative poverty reduction, replacing household agricultural operational income, and the contribution of wage income from migration declined. Public transfers effectively reduced absolute poverty but not relative poverty.

Modeling agricultural water-saving compensation policy: An ABM approach and application

With the increasing conflict between water availability and demand on a global scale, regulating water user behavior from the bottom-up perspective has gained attention from both water managers and researchers. This paper presents an agent-based model (ABM) to simulate the farmer behavior under changing physical and institutional environments in a case study of Miyun Reservoir watershed, China. The ABM model simulates the complex adaptive systems of agricultural water users under an agricultural water-saving compensation policy. The model we developed in this study characterizes agents' sensitivity, learning capability, and information radius, which impacts agricultural income and water consumption of a household. By applying this model to a local ‘paddy to dryland’ subsidy policy program aiming at reshaping the agricultural water-saving behavior, the results show that this policy program reduces agricultural water consumption while also reducing household agricultural income. The policy depends on administrative intervention and financial subsidies at first to ensure compliance and gradually shape household behavior in the long run. And we also propose a suitable subsidy range of 250–350 yuan for this policy program in the long run. The model we built can help to understand agricultural water use adaptation to both anthropogenic and environmental interventions. This research also contributes to the coupled natural and human systems study with the bottom-up agent-based model, and the empirical case study provides solid policy implications for the agricultural water use allocation and adaptative management at the watershed scale.

Changes in rural household characteristics and their implications on agricultural income in wetland rice ecosystems

Agricultural development has impacted changes in rural economic structure, as reflected by rural economic indicators.. The research question is how the direction of the changes is and the implications for rural household agricultural income. This paper aims to analyses household characteristics changes in the rice-based ecosystems and their implication on household agricultural income. The study used micro-panel data of the National Farmers Panel (in 2010 and 2016) from the Indonesian Centre for Agro Socio-Economic and Policy Studies. The survey was conducted in 14 villages of five rice production centers provinces in Java and Outside Java. The number of respondents is 559 households. Data was analyzed statistically descriptive by calculating the average, minimum-maximum numbers, and participation rate. Generalized Linear Models method was employed to determine the factors affecting household agricultural income. The results showed that agricultural land occupation tends to decrease. The number of older workers tends to increase. The increase of workforce older than 65 years is more significant in Java than Outside Java. The workforce level of education remains predominantly in elementary school. Although nominal total income increased significantly, real income increase sluggishly. Household agricultural income is still dominant but declining. The farmland managed, age and level of education of the household member, number of the household member, and cropping intensity affect household agricultural income significantly. To increase the household agricultural income by increasing the production capacity of farmers’ households through increasing land occupation, improving human resources skills, and facilitating innovative technology that can increase farming efficiency and productivity.

Does Size of Landholding Contributing Highest Share to Consumption Expenditure Inequalities among Agricultural Households?

This study aims to identify factors that contribute to consumption expenditure inequality and employed the regression based inequality decomposition (RBID) method. Used primary data on agricultural households’ consumption expenditure for the agricultural year 2018-19 in the south coastal region of Andhra Pradesh. The results compared across the landholding size wise category and concluded that monthly income, dependency ratio, non-farm income-earning members and size of household contributed highest percentage share to total inequality for food, non-food and total consumption expenditure. At the aggregate (overall farmers) level highest percentage of inequality share contributed by monthly income and followed by the size of landholding. There is a need to focus on control the size of households by narrowing the dependency ratio and enhance the monthly income of agricultural households by providing employment opportunities in both farm and non-farm income-earning activities.