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Smallholder Diversification and Income Growth in Zambia

Arne Bigsten () and Sven Tengstam ()

Journal of African Economies, 2011, vol. 20, issue 5, 781-822

Abstract: This paper uses nationally representative panel data to analyse the relationship between income diversification and incomes for Zambian smallholder households. We show that shifting to a higher degree of diversification is generally associated with higher incomes. We find that diversification is driven by endowments and access to markets and finance. Education opens up opportunities for well-paid non-agricultural activities, while land shortage forces distress diversification into agricultural wage work. Copyright 2011 , Oxford University Press.

Date: 2011
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