Statistical Analysis of Factors Affecting Poverty Status of Rural Residence (original) (raw)
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Analysis of Rural Poverty at Household Level in Silte Wereda, Southern Ethiopia
American Journal of Theoretical and applied Business, 2021
Poverty is getting a serious social problem in the world and drawing attention of the international community for global solution. It remains challenging particularly in Developing Countries. Ethiopia is among the countries which, striving toward alleviating the problem for many years; however the problem has still persisted and caused many suffering. This study was carried out in Silte Wereda of South Nations Nationalities Regional State (SNNPRS); specifically, the study aim at measuring the magnitude and identifying determinants of poverty in the Wereda. Thus, to meet these objectives, primary data was collected by structured interview from 365 selected sample household. Thus applied descriptive statistics and econometric (logit) model in order to identify the poor and non-poor; analyze the incidence, depth and severity of poverty; and associating livelihood capital with rural poverty have been made. In setting poverty line, Cost Benefit Necessity approach was employed. This has been done by using basket of food items actually consumed by the households and converted to calorie. Based on this, the total poverty line was estimated to Birr 4,380.00 adult equivalent per year, out of this Birr 2,989.50 for food poverty line and Birr 1,390.50 for non-food. The Foster-Greer-Thorbecke (FGT) Poverty Index result shows 41.1% of the sample households have lived under the poverty line, the total consumption required to lift up the poor households to the poverty line is 11.3%, and poverty severity is 4.3%. The binary logit regression econometric model result indicated that out of the twelve variables which included in the model, seven explanatory variables were found significant up to less than 5% probability level. Accordingly, off-farm and non-farm income, educational level, access to credit and contact of agricultural extension worker, ownership of livestock and cultivated land were found as theoretical expectation statistically significant and had negatively association and family size positively associating with the status of poverty of rural households in surveyed area. Thus, promoting education, family planning, diversification credit accessibility, linkage between rural and urban, strengthens research extension-farmer linkage and productivity of land suppose to be policy intervention for targeting rural poverty.
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Poverty is one of the central issues and the most far-reaching social matters on the planet. It has no geological limit. Along these lines, this examination has done to distinguish the determinants of the rural household poverty in Sodo Zuria Woreda of Wolaita Zone, Ethiopia. To accomplish this goal, 152 rural family units were chosen using a systematic random sampling technique following the corresponding method’s likelihood. The primary and secondary data optional information just as quantitative and qualitative subjective details have been used. In this investigation, the Cost of Basic Needs approach has applied to determine the extent of the poverty line and Foster-Greer and Thorbecke Poverty Index has used to decide the degree of rural poverty. The aftereffect of the basic needs approach’s cost shows that the investigation zone’s poverty line was about 5348.073 Birr every year per adult equivalent consumption. Utilizing this poverty line as a benchmark, the investigation demons...
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Even though poverty has decreased in recent years, it is still a challenge in Ethiopia especially in rural areas the rate of decrease is slower than the counterpart. Most rural livelihoods in the study area depend on rain-fed agriculture and their exposure to poverty and its risk factors not well documented. So, to fill this gap this study examined the extent and the major determinants of poverty at different levels of expenditure quantiles in the rural household of Bahir dar zuria district, Ethiopia. This study used the FGT index and quantile regression model. The determinants of rural household poverty were total family size, total land ownership, distance to market, non-off-farm income, and bad health status of the household head. It was found that the total family size and bad health status of the household head can increase the poverty of the rural household which is lower the standard of living of rural households. While the non-off-farm income can decrease the poverty of the rural household. Thus, to reduce the poverty of the rural household; government policies and programs should give more emphasis on family planning, the necessity of health insurance, and improving the service of health institutions to bring overall household welfare development. Moreover, it promotes rural households to participate in off-farm and non-farm livelihood activities beyond agriculture to diversify their employment.
Ethiopian Journal of Business and Social Science
Eradicating poverty in all its forms is one of global society's sustainable development goals. This requires creative and rigorous efforts to measure and reduce multidimensional poverty in a way that ensures no one is left behind. Despite a couple of efforts made to measure multidimensional aspects of welfare at the national level, limited studies have been done in rural parts of the country, where most poverty researches focused in unidimensional poverty. Hence, this study quantified the extent and examined the determinants of rural household multidimensional poverty status using the Alkire-Foster method and the ordered logistic regression model, respectively. Crosssectional data set was collected from 397 randomly selected households using structured questionnaire. Living standards indicators contribute the most to multidimensional poverty, while empowerment contributes the least. The study revealed that multidimensional poverty headcount, intensity, and the index were found t...
Journal of Economics and International Finance, 2018
This study identifies the extent and determinants of rural poverty in southern Ethiopia, Doyogena district. The study used 150 households, using a household consumption expenditure approach by employing the FGT (Foster-Greer and Thorbecke, 1984) poverty index to determine the extent of rural poverty. The study's result shows that the total head count index, poverty gag, and poverty severity indexes are 0.438, 0.25, and 0.1452 respectively. Moreover, based on the Binary Logistic regression model output of sample households, there is a significant difference in the poverty level among the poor and non-poor sampled households in terms of factors such as the size of cultivated land, remittances, dependency ratio, participation on off-farm activities, livestock ownership and use of improved seeds were significant up to10% probability level. Whereas, the age, education, and sex of sampled household heads access to extension service and credit service were not statistically significant. The finding reveals that most of the non-poor households are engaged in more than one livelihood options. On the other hand, income diversification can contribute a certain percentage to help poor households escape extern poverty and Non-agriculture sector should be developed to diversify the income sources of poor households.
International Journal of Agricultural Economics, 2020
Poverty is one of the most serious problems of human deprivation and a complex phenomenon. Ethiopian government have been implementing different poverty reduction programs and strategies to fight extreme hunger and poverty. The struggle to reduce rural poverty at household level is a continuing challenge. This study was conducted in Banja district of Awi zone Amhara regional state. The specific objectives of this study were to estimate the rural poverty status, to identify factors determining rural poverty and to estimate the average exit time of poor households. In order to achieve these objectives, cross sectional data on human capital, physical capital, financial capital, natural capital and other institutional characteristics were collected from 190 households drawn from randomly selected five kebeles using structured household questioner. Descriptive and inferential statistics, and econometric model were used to analyze data on poverty status and poverty level, respectively. Hence, setting the poverty line, identifying poor and non-poor rural households, measuring the incidence, depth and severity, and mean comparison between the groups were made. Accordingly, using Cost of Basic Needs approach, the estimated poverty line was Birr 4301 per adult equivalent per year. The Foster Greer and Thorbeck measure of poverty found that 44 percent of sample households were found below poverty line and the poverty gap and poverty severity were 9 percent and 2 percent, respectively. The estimated average exit time of the poor households based on the five-year average per capita Gross Domestic Product growth rate was 3.35 years. Tobit model result showed that household size significantly and positively influence poverty whereas number of livestock and oxen ownership, educational level of the household head, input utilization, asset ownership and credit utilization negatively influenced poverty in the study area. The result suggests that improving adult education, provision of input for smallholder farmers, improving access and availability of credit, improving the livestock sector will be important policy interventions.
Understanding the profile of poverty is a pre-condition for effective public action to alleviate poverty in rural area of Ethiopia. The major Objective of this study was to look into profile of Rural Poverty by Household Characteristics in Kuyu District. In order to attain this objective, relevant data were collected through structured interview. The generated data were computed through bivariate analysis of rural Uni-dimensional and Multi-dimensional poverty profile by FGT indices (Incidence, Depth and Severity of poverty) in terms of the socio-economic and demographic characteristic of the household in Kuyu district. The bivariate analysis of rural poverty profile indicated that three FGT poverty measure (Uni-dimensional and Multi-dimensional index) are becoming worse as number of the household members, Female-male ratio, and dependence ratio increases in Kuyu district. Three FGT poverty indexes of Computed Uni-dimensional and Multi-dimensional poverty shows that poverty is decreasing with increasing number of oxen, number of livestock, and size of farm land belongs to the households in Kuyu district. Three FGT poverty index of Uni-dimensional and Multi-dimensional poverty also shows that poverty is more severe among age sub-group of 20 to 29 years, non-formally educated household heads, households without vocational training, households not access to health service, households who take their sick household members to traditional healer, households who do not use fertilizer, and households who do not using improved seed for their farm in Kuyu district. Our final conclusion is that effort should be made to improve these socio-economic and demographic factors to alleviate rural poverty of Kuyu district.
Determinants of poverty in rural households: Evidence from North-Western Ethiopia
Cogent Food & Agriculture, 2020
Even though poverty has decreased in recent years, it is still a challenge in Ethiopia especially in rural areas the rate of decrease is slower than the counterpart. Most rural livelihoods in the study area depend on rain-fed agriculture and their exposure to poverty and its risk factors not well documented. So, to fill this gap this study examined the extent and the major determinants of poverty at different levels of expenditure quantiles in the rural household of Bahir dar zuria district, Ethiopia. This study used the FGT index and quantile regression model. The determinants of rural household poverty were total family size, total land ownership, distance to market, non-off-farm income, and bad health status of the household head. It was found that the total family size and bad health status of the household head can increase the poverty of the rural household which is lower the standard of living of rural households. While the non-off-farm income can decrease the poverty of the rural household. Thus, to reduce the poverty of the rural household; government policies and programs should give more emphasis on family planning, the necessity of health insurance, and improving the service of health institutions to bring overall household welfare development. Moreover, it promotes rural households to participate in off-farm and non-farm livelihood activities beyond agriculture to diversify their employment.