Journal of Asian Scientific Research

Published by: Production and Hosting by Pak Publishing Group on behalf of Asian Economic and Social Society 
Online ISSN: 2223-1331
Print ISSN: 2226-5724
Total Citation: 729

No. 7

What Factors Contribute to the Smallholder Farmers Farm Income Differential? Evidence from East Hararghe, Oromia, Ethiopia

Pages: 112-119
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What Factors Contribute to the Smallholder Farmers Farm Income Differential? Evidence from East Hararghe, Oromia, Ethiopia

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DOI: 10.18488/journal.2/2016.6.7/

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Beyan Ahmed  (2016). What Factors Contribute to the Smallholder Farmers Farm Income Differential? Evidence from East Hararghe, Oromia, Ethiopia. Journal of Asian Scientific Research, 6(7): 112-119. DOI: 10.18488/journal.2/2016.6.7/
Improvements in the farm household?s income and identifying the factors contribute to its improvement is very critical for enhancing food and poverty reduction strategy of Ethiopia.  The aim of this paper is to investigate the factors contributing to rural farm households? income differential in Haramaya district East Hararghe, Oromia, Ethiopia. The study used both primary and secondary data. Primary data was collected from 120 sample respondents in 2015 production year. The study was used linear regression model to identify contributing factors and  the model output indicated that, irrigation use, livestock holding, education level of household head, cultivated area, age and amounts of fertilizer used were the significant variables that contribute to farm income differential in the study area. Therefore, the policy implication of the study is that, increasing and proper utilization of the aforementioned variable?s should have get due attention to speed up the enhancement of rural farm household income.

Contribution/ Originality
Enhancing crop and livestock incomes are critical strategic issue  and  doing  all  possible  efforts  to  alleviate  the  ever  increasing  agricultural  problems  is,  therefore,  not  an  assignment  to  be  left  for  tomorrow.  In  this endeavor,  identifying main factors contribute to the households’ farm income has been taken  as  one  important  strategy  to  relieve agriculture  from  dependence  on  nature  and  thus improve its productivity. So, the  result  of  the  study would  contribute  to policy makers to design appropriate farm income diversification development  strategies  of  the  country  in general and the region in particular.  The result of the study would also help other researchers who need to conduct a research on related topics in the study area and elsewhere. The result also helps smallholder farmers to identify the effects of socio-economic factors on their farm income and take appropriate measures of developmental plan.