Determinants of Tanzania rural households’ income diversification and its impact on food security

The purpose of this study is to analyze the determinants of rural household income diversification and its impact on food security in Tanzania. With the current changes in the climatic conditions, there is a need for households to reduce their dependence on agriculture and diversify into other incom...

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Autor principal: Ntwalle, Japhet Alfred
Formato: H2
Lenguaje:Inglés
Publicado: SLU/Dept. of Economics 2019
Materias:
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author Ntwalle, Japhet Alfred
author_browse Ntwalle, Japhet Alfred
author_facet Ntwalle, Japhet Alfred
author_sort Ntwalle, Japhet Alfred
collection Epsilon Archive for Student Projects
description The purpose of this study is to analyze the determinants of rural household income diversification and its impact on food security in Tanzania. With the current changes in the climatic conditions, there is a need for households to reduce their dependence on agriculture and diversify into other income generating activities. Apart from climatic shocks, I study what other factors influence the level of income diversification in Tanzania rural households Data from the National Panel survey covering 2251 households for 2010/11 and 2012/13 were used, forming a long-balanced panel of 4502 households. A Tobit regression model is applied to determine factors influencing household income diversification. Results of descriptive statistics show that value of household productive asset, household size, climatic shock, household’s education level, and age are important determinants of household income diversification. Rich households obtain the largest share of their income from wages (35%) while poor households obtain the largest share from crop sales (61.7%) To examine the impact of Income diversification on household food security, binary logistic models are used. The results show that income diversification increases household calorie intake. Meaning that a household with more diversified income consumes more calories per day per adult. However, increasing income sources does not affect household food spending because agriculture supply a large share of their food requirements. Since households rely on rain-fed agriculture as their main source of income, there is a need for diversification in order to increase their income and improve their food security status. Therefore, policies should be set to encourage households to diversify their income into nonfarm activities as it is necessary for sustainable income and improved health.
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spelling RepoSLU150472020-06-04T12:17:31Z Determinants of Tanzania rural households’ income diversification and its impact on food security Ntwalle, Japhet Alfred calorie determinants food security household income diversification regression The purpose of this study is to analyze the determinants of rural household income diversification and its impact on food security in Tanzania. With the current changes in the climatic conditions, there is a need for households to reduce their dependence on agriculture and diversify into other income generating activities. Apart from climatic shocks, I study what other factors influence the level of income diversification in Tanzania rural households Data from the National Panel survey covering 2251 households for 2010/11 and 2012/13 were used, forming a long-balanced panel of 4502 households. A Tobit regression model is applied to determine factors influencing household income diversification. Results of descriptive statistics show that value of household productive asset, household size, climatic shock, household’s education level, and age are important determinants of household income diversification. Rich households obtain the largest share of their income from wages (35%) while poor households obtain the largest share from crop sales (61.7%) To examine the impact of Income diversification on household food security, binary logistic models are used. The results show that income diversification increases household calorie intake. Meaning that a household with more diversified income consumes more calories per day per adult. However, increasing income sources does not affect household food spending because agriculture supply a large share of their food requirements. Since households rely on rain-fed agriculture as their main source of income, there is a need for diversification in order to increase their income and improve their food security status. Therefore, policies should be set to encourage households to diversify their income into nonfarm activities as it is necessary for sustainable income and improved health. SLU/Dept. of Economics 2019 H2 eng https://stud.epsilon.slu.se/15047/
spellingShingle calorie
determinants
food security
household
income diversification
regression
Ntwalle, Japhet Alfred
Determinants of Tanzania rural households’ income diversification and its impact on food security
title Determinants of Tanzania rural households’ income diversification and its impact on food security
title_full Determinants of Tanzania rural households’ income diversification and its impact on food security
title_fullStr Determinants of Tanzania rural households’ income diversification and its impact on food security
title_full_unstemmed Determinants of Tanzania rural households’ income diversification and its impact on food security
title_short Determinants of Tanzania rural households’ income diversification and its impact on food security
title_sort determinants of tanzania rural households’ income diversification and its impact on food security
topic calorie
determinants
food security
household
income diversification
regression