Agricultural Production and Management of Rural Households

Author(s):  
Wenrong Qian et al.
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yang Liu ◽  
Chunyu Liu ◽  
Mi Zhou

PurposeThe development of digital inclusive finance appears to be able to solve the difficulty of traditional finance, which cannot completely cover agriculture and farmers and provides better financial services and products to Chinese farmers. Thus, it improves the farmers' enthusiasm for agricultural production. The purpose of this paper is to clarify whether this goal is indeed being achieved.Design/methodology/approachThis paper theoretically analyzes the mechanism that influences the effect of digital inclusive finance on rural households' agricultural production decisions and conducts an empirical study based on a sample from the Chinese family database (CFD).FindingsFirst, the development of digital financial inclusion in general can encourage rural households to reduce agricultural production. Second, the negative effect of digital inclusive finance on households' agricultural output is realized by widening the gap between the efficiency of non-agricultural economic activities and the efficiency of agricultural production. The wider the gap is, the lower the enthusiasm of households for agricultural production. Third, the mediating effect of “digital financial inclusion – difference in efficiency – agricultural output” has a significant negative effect on households with low agricultural production efficiency, but not households with high agricultural production efficiency. Digital inclusive finance has no significant effect on the difference in efficiency between the two economic activities of high-efficiency households, but a greater difference in efficiency between the two economic activities corresponds to higher enthusiasm of households for agricultural production.Originality/valueTo the best of our knowledge, this paper is the first to analyze the impact of digital financial inclusion on Chinese farmers' agricultural production. The findings of this study can provide policy-related insights to help local governments promote the development of digital finance in China's agricultural economy.


2010 ◽  
Vol 54 (1) ◽  
Author(s):  
Klaus Geiselhart

Household economics and ‘Sozietät’. Collaborative strategies and economic organisation levels of rural households in Botswana. This article explains that a commonly supported livelihood strategy is not self-evident in rural households of Botswana. On the basis of a combination of quantitative and qualitative methods the term ‘Sozietät’ is developed. The term describes the level of economic organisation and whether there is a collaborative strategy within a household. Individuals participate to different degrees and sometimes even distance themselves from the household they live in. It is assumed that resources flow alongside of responsibility lines which are more or less imperative through cultural norms. In the wake of social change such norms might not be met any more. In this respect especially the role of agricultural production was found to change in the rural villages assessed.


2020 ◽  
Vol 1 (1) ◽  
pp. 13-23
Author(s):  
Nsikak-Abasi A. Etim ◽  
Dorothy Thompson ◽  
Ubong A. Asa ◽  
Ubong A. Asa

Majority of Nigeria’s rural poor especially smallholder farmers who rely on agricultural production for their subsistence face considerable difficulties in increasing productivity due to the adverse impact of changes in climate. But migrant remittance has become an important part of the strategy for rural households to cope with negative environmental consequences through reduction in vulnerability to climate variability, improvement in livelihood and expansion in production. An empirical study to measure the impact of migrant remittances on small holder agricultural production was conducted. Through the multistage sampling technique, 120 smallholder farmers were selected and data were collected using questionnaire. Multiple regression analysis based on Cobb-Douglas production function was used to determine the impact of migrant remittance on agricultural production. Result of the analysis revealed that the most critical factors which positively and significantly (p<0.05) influenced the output of remittance receiving households were education, experience, farm size and labour. Findings also showed that the same covariates also influence output of non-remittance receiving households. Policies to increase the inflow of remittances to poorer households engaging in agricultural production would be a rational decision.


Author(s):  
О. Dmytryk

The article studies the peculiarities of functioning of rural households, the substantiation of strategic scenarios for their development and the development of an effective mechanism for strengthening their role in the formation of agri-food resources of Ukraine. Taking into account the current state of the agricultural sector and real conditions of rural households existence, several alternative ways of their development are defned: individual (independent) development; integration of rural households with agricultural and processing enterprises; cooperation with other rural households and with small businesses. The analysis of the structure of agricultural production in terms of rural households that can be consumer oriented, consumer – production oriented and production oriented allows us to conclude that a long-term development of rural households will lead to a change in their commodity proposal. The results of the design analysis of the average growth rates of all three resource components showed: the average annual growth rate of labour remuneration - 24.3%; average annual growth rate of fnancial assistance - 21.5%; average annual growth rate of rural household income - 14.6%; the average annual growth rate of total revenues (resources) - 18.7%. Having used the statistical package "STATGRAPHICS",we analyzed the tendencies of decrease of incomes share of rural households from own labor and capital; as well as growth of incomes from hired labor. Having used the ARIMA model, we made a forecast until 2025, and found that the share of population incomes from rural households will decrease to 20.2%. However, the decrease in income from own labor and capital should be offset by an increase in income from remuneration of labor received in the real sector of the economy. In addition, the share of gross output of households in the total gross output of agriculture is calculated. The Brown model (exponential smoothing model) with the parameter alpha = 0.3639 was used for the forecast. According to the results of calculations, it can be concluded that in the future the share of gross agricultural output will decrease and may reach 35.7% by 2025. Today it is also obvious that production oriented rural household, in conditions of increase of marketability level and effective mechanisms for the sale of manufactured products, can be the base for the development of entrepreneurship in agricultural production. This can be created through the organization of a system of purchasing manufactured products from the population, or through the organization of a system of consumer cooperation. Based on this, we believe that the development of land mortgage lending is important to meet fnancial resources needs of small agricultural producers in Ukraine, to achieve maximum economic effect from the realization of land potential, and as a result, to reduce risks in agricultural production. The mechanism for solving this problem, to our opinion, is the creation of mortgage funds of entity at the state level or at the level of united territorial communities. Key words: rural household, incomes of rural households, family farms, rural territories, mortgage lending, cooperation.


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