Employment dynamics in the rural nonfarm sector in Ethiopia Do the poor have time on their side?

Sosina Bezu (sosinac@yahoo.com) and Christopher Barrett

MPRA Paper from University Library of Munich, Germany

Abstract: We study rural employment transitions in Ethiopia between farming and both low- and high-return nonfarm employment. We find that initial asset holdings and access to saving and credit are important factors for transition into high-return rural nonfarm employment and that households’ participation in high-return rural nonfarm activities is robust to their experience of health shocks. However, shocks that affect their wealth or liquidity may trigger descents into low-return nonfarm employment. On the other hand, shocks that reduce agricultural income motivate transitions into high-return rural nonfarm employment.

Keywords: rural nonfarm; income diversification; employment transitions; Ethiopia; shocks (search for similar items in EconPapers)
JEL-codes: D13 J2 (search for similar items in EconPapers)
Date: 2010, Revised 2011
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Citations: View citations in EconPapers (6)

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Related works:
Journal Article: Employment Dynamics in the Rural Nonfarm Sector in Ethiopia: Do the Poor Have Time on Their Side? (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:35756

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