Analysis of income determinants among rural households in Kosovo

Kosovo is one of the poorest countries in Europe, despite the various poverty alleviation programs implemented by the authorities and the international funding community. This study aims to analyze income distribution inequality and factors behind rural households' poverty in Kosovo. Data on farm income, nonfarm income, unearned income, and socio-economic characteristics were collected using a semi-structured questionnaire from 203 randomly selected households in Kosovo. Linear regression, one-way ANOVA, and different versions of poverty indexes were used to examine the data. One-quarter of households' income comes from nonfarm activities. The middle-income households had the highest potential to find alternative employment in the nonfarm sector. Years of education, household size, number of family members above the age of 18, and total income had a positive impact on nonfarm revenues. The poorest rural households had the highest share of income from farm activities (77.52%). Nonfarm revenues have a positive impact on poverty alleviation; thus, the study suggests adopting suitable rural policies to enhance nonfarm employment for vulnerable rural households. The agro-tourism sector and circular economy approaches in agriculture with the focus on renewable energy can be considered as potential sources of nonfarm income, which could lead to sustainable poverty reduction.

Rural Youth and Employment in Ethiopia

Ethiopia’s economy remains at a very early stage in its structural transformation. A puzzle presents itself as to how such growth can be maintained given its relatively low urbanization rate and its reliance on the agricultural sector as the primary form of employment. This chapter examines labour diversification in Ethiopia, focusing on youth, and explores current conditions that youth face in both the agricultural and nonfarm labour markets. Using data from the Ethiopia Socioeconomy Survey (ESS) and the National Labour Force Survey (NFLS), we explore current trends in labour diversification, along with youth nonfarm engagement in rural and small towns. We find that youth (ages 25 to 34 years) have a greater probability of working in nonfarm enterprises compared to mature individuals (age 35–64). However, wage labour opportunities remain scant in rural Ethiopia. The majority of individuals working in nonfarm employment are engaged in small-scale trade activities.

Change and Rigidity in Youth Employment Patterns in Malawi

This chapter seeks to determine whether the youth of Malawi are central to any changes occurring in employment patterns in the country, possibly drawing upon their increased levels of training, benefitting from higher agricultural production levels overall linked to the Farm Input Subsidy Program, and responding to increased pressures to obtain a livelihood elsewhere than on increasingly small agriculture landholdings. Little evidence can be found of any significant processes of transformation in the structure of Malawi’s economy or of youth being in the vanguard of any changes in cross-sectoral patterns of employment. The small growth in service sector employment is being driven by the activities of older youth and non-youth, while younger youth instead extend the length of their schooling. Multivariate regression analysis reveals nonfarm employment and educational attainment are strongly associated. The main limitations to youth employment are the few high-quality jobs in Malawi in which well-trained individuals can use their skills productively.

Youth Mobility and its Role in Structural Transformation in Senegal

This chapter uses multiple data sources to illustrate the transitions made by youth over time either to the rural non-farm economy or to urban areas. Descriptives are given to the motivations and constraints youth face when engaging in the RNFE or in migrant labour. The findings suggest that there are limited rural employment opportunities for youth, leading to a slow pace of rural poverty reduction. Rural youth still work mainly in poor quality jobs in agriculture, although they increasingly try: (i) to diversify their and their family’s income by engaging in nonfarm employment, or (ii) to look for options outside rural areas by migration to urban areas or abroad. We review the main policies and programmes implemented in Senegal to examine potential for reform towards pro-transformative youth employment.