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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Non-farm income diversification in rural Ghana: patterns and determinants
Author:Senadza, BernardinISNI
Periodical:African Development Review (ISSN 1467-8268)
Geographic term:Ghana
Subjects:household income
rural households
economic models
External link:https://onlinelibrary.wiley.com/doi/10.1111/j.1467-8268.2012.00322.x/pdf
Abstract:Evidence abounds in the rural livelihoods literature that rural households do not only receive a significant proportion of their incomes from non-farm sources, but also that it is a significant source of employment for rural folks. This paper examines the pattern and determinants of non-farm income diversification in rural Ghana. Results show that off-farm income constituted 43 percent of rural household income in 2005/6. Female-headed households tend to have larger off-farm income shares compared to male-headed households. Non-farm income shares followed the same gender pattern albeit less pronounced. Unlike in Latin America and Asia, in rural Ghana, non-farm self-employment income is more important than non-farm wage-employment income. Regression results show that the gender composition of households, age, education, and access to credit, electricity and markets are important determinants of multiple non-farm activities and non-farm income. The findings call for strategies that can help rural households maximize the benefits from income diversification. Bibliogr., notes, sum. [Journal abstract]