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Please use this identifier to cite or link to this item: http://purl.umn.edu/126780

Title: Poverty Dynamics and Vulnerability: Empirical Evidence from Smallholders in Northern Highlands of Ethiopia
Authors: Tsehay, Abrham Seyoum
Bauer, Siegfried
Authors (Email): Tsehay, Abrham Seyoum (Abrham.S.Tsehay@agrar.uni-giessen.de)
Keywords: Poverty Dynamics
Vulnerability
Rural Ethiopia
JEL Codes: I32
Issue Date: 2012
Abstract: This study is primarily intended to examine the dynamics and determinants of rural household poverty and vulnerability in Northern Highlands of Ethiopia. The data for this research is mainly based on the Ethiopian Household Survey (ERHS). Results from disaggregation of the poor indicate that ultra poverty is predominant in the area. Similarly, using a three steps feasible generalized least squares (FGLS) we found that many of the households in the region are vulnerable to poverty. However, the trend has been found to vary across villages for both poverty and vulnerability measures. Besides, poverty decomposition of sample households showed that chronic poverty is dominant while transient poverty is secondary. An implication of this is that programs targeting on poverty should primarily focus on factors causing persistence deprivation without undermining risk factors that drag households in to poverty. Finally, some of the important determining factors of observed poverty appear to impact on vulnerability to poverty differently. Therefore, strategies aimed at reducing poverty should critically consider factors that make households vulnerable to poverty.
URI: http://purl.umn.edu/126780
Institution/Association: Agricultural and Applied Economics Association>2012 Annual Meeting, August 12-14, 2012, Seattle, Washington
Total Pages: 29
Collections:2012 Annual Meeting, August 12-14, 2012, Seattle, Washington

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