Determinants of Livelihood Diversification of Rural Households in Sylhet

Abstract

Livelihood diversification is considered as a constructive way to improve the livelihood of poor people in rural Bangladesh. This study examines the level of livelihood diversification and the determinants of livelihood diversification of rural households in Sylhet division by using both primary and secondary data. The primary data were collected from two districts of Sylhet division by adopting simple random sampling procedures. A face to face interview was employed to collect cross section data of total 210 respondents in which semi-structured and pre-tested questionnaire was used. Descriptive statistics, Simpson diversification indexing and Logit model analysis were employed for analyzing the data in accordance with the objectives of the study. The socioeconomic attributes of different respondents indicate that characteristics of sampled respondents differ from each other in respect of their age, gender, literacy rate, family composition, land holdings, credit access etc. However, in rural Bangladesh, a considerable number of households have diversified their livelihoods at different levels through several income generating activities. Though medium and highly diversified households are majority in rural areas; which accounts for 37% and 26% of total households, respectively. Logit model was estimated to analyze the determinants and find that several factors either positively or negatively affect the extent of livelihood diversification. Gender, education level, land holdings and credit access had positive and significant effects on livelihood diversification. On the other hand, dependency ratio and savings had a negative but significant effect on diversification of livelihood in rural areas. Considering the findings, the study suggested some policy implication like encouraging entrepreneurship, expanding credit facilities, development of rural infrastructure along with market facilities; introducing effective pro-poor policies that may assist all poor people to generate more income and higher-return activities. Hence policies that widen the extent of income earning sources and livelihood diversification should be given proper attention.

Assessing Livelihood Coping Strategies Adopted by Small and Marginal Farmers of Climate-Vulnerable Assam State of India

“…The results from the study pointed out that, for income generation, the respondents mostly adopted different livelihood activities. The findings support the report of Sharma et al [27], who reported that most households in India have two or even more livelihood options.…”

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

“…Tingkat diversifikasi sumber pendapatan rumah tangga di pedesaan Patanas Jawa Barat tergolong relatif tingggi tetapi tidak memiliki hubungan yang kuat dengan tingkat pendapatan dan pola diversifikasinya tidak begitu jelas. Tingkat diversifikasi pendapatan dalam penelitian ini diukur dengan Indeks Entropy yaitu indeks yang mengaitkan jumlah penyerapan tenaga kerja pada masing-masing sumber pendapatan [10]. Sumatera Barat sebagai salah satu provinsi di Indonesia dengan struktur ekonomi yang masih didominasi oleh sektor pertanian merupakan sebuah daerah yang cukup menarik untuk menjadi kajian kemiskinan sektor pertanian.…”

The Importance of Livelihood Diversification on Agroforestry Farmers in The Landslide Prone Area: A Case Study in Menoreh Hills Kulon Progo, Indonesia

“…This research is in line with [13] that by diversifying farmer household, they have the ability to cope with the impact of losses and accelerate recovery time when facing disasters. Diversification is risk minimization strategy that is effectively applied by rural farmer households to meet their needs [25].…”