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Second agriculture in Belarus and Ukraine:subsistence or leisure?

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  • Maksim Yemelyanau

    (Belarusian Economic Research and Outreach Center (BEROC) and Center for Economic Research and Graduate Education and the Economics Institute of Academy of Sciences of the Czech Republic (CERGE-EI))

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    Abstract

    In many post-Soviet countries, more than half of all households use small land plots to produce significant agricultural output even though their members have paid jobs or collect state pensions. Existing studies suggest that in Russia such “second agriculture” helps smooth consumption. Using household survey data, I study the role of “second agriculture” in Belarus and Ukraine, two countries that differ significantly in the coverage of their social safety nets. I …find that while in Belarus small land plots do help smooth consumption of the poorest households (during the 1998 crisis), Ukrainian poor appear to be unable to invest sufficiently in their small land plot production to produce similar benefits. Most urban households use their small land plots for leisure, and over years they tend to move away from this activity.

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    File URL: http://eng.beroc.by/webroot/delivery/files/WP8_eng_Yemelyanau.pdf
    File Function: First version, 2009
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    Bibliographic Info

    Paper provided by Belarusian Economic Research and Outreach Center (BEROC) in its series BEROC Working Paper Series with number 08.

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    Length: 27 pages
    Date of creation: Sep 2009
    Date of revision:
    Handle: RePEc:bel:wpaper:08

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    Web page: http://www.beroc.by
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    Related research

    Keywords: Belarus; Ukraine; transition; social security; second agriculture; small land plots; consumption smoothing;

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    1. Rosenzweig, Mark R., 1986. "Risk, Implicit Contracts and the Family in Rural Areas of Low-Income Countries," Bulletins 7518, University of Minnesota, Economic Development Center.
    2. Stillman, Steven, 2001. "The Response of Consumption in Russian Households to Economic Shocks," IZA Discussion Papers 411, Institute for the Study of Labor (IZA).
    3. Buckley, Robert & Cartwright, Kim & Struyk, Raymond & Szymanoski, Edward, 2003. "Integrating housing wealth into the social safety net for the Moscow elderly: an empirical essay," Journal of Housing Economics, Elsevier, vol. 12(3), pages 202-223, September.
    4. Kazianga, Harounan & Udry, Christopher, 2006. "Consumption smoothing? Livestock, insurance and drought in rural Burkina Faso," Journal of Development Economics, Elsevier, vol. 79(2), pages 413-446, April.
    5. Michael M. Lokshin & Ruslan Yemtsov, 2004. "Household Strategies of Coping with Shocks in Post-crisis Russia," Review of Development Economics, Wiley Blackwell, vol. 8(1), pages 15-32, 02.
    6. Udry, Christopher, 1995. "Risk and Saving in Northern Nigeria," American Economic Review, American Economic Association, vol. 85(5), pages 1287-1300, December.
    7. Paxson, C.H., 1991. "Consumption And Income Seasonality In Thailand," Papers 150, Princeton, Woodrow Wilson School - Development Studies.
    8. Christopher Gerry & Carmen Li, 2010. "Consumption smoothing and vulnerability in Russia," Applied Economics, Taylor & Francis Journals, vol. 42(16), pages 1995-2007.
    9. World Bank, 2005. "Ukraine : Poverty Assessment, Poverty and Inequality in a Growing Economy," World Bank Other Operational Studies 8803, The World Bank.
    10. Notten, Geranda & Neubourg, Chris de, 2007. "Managing risks: what Russian households do to smooth consumption?," MPRA Paper 4670, University Library of Munich, Germany.
    11. Maksim Yemelyanau, 2008. "Inequality in Belarus from 1995 to 2005," CERGE-EI Working Papers wp356, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
    12. Paxson, Christina H, 1992. "Using Weather Variability to Estimate the Response of Savings to Transitory Income in Thailand," American Economic Review, American Economic Association, vol. 82(1), pages 15-33, March.
    13. Buckley, Robert M & Gurenko, Eugene N, 1997. "Housing and Income Distribution in Russia: Zhivago's Legacy," World Bank Research Observer, World Bank Group, vol. 12(1), pages 19-32, February.
    14. Michael Lokshin & Martin Ravallion, 2000. "Welfare Impacts of the 1998 Financial Crisis in Russia and the Response of the Public Safety Net," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 8(2), pages 269-295, July.
    15. Deaton, A., 1992. "Saving and Income Smoothing in Cote d'Ivoire," Papers 156, Princeton, Woodrow Wilson School - Development Studies.
    16. Robert M. Townsend, 1995. "Consumption Insurance: An Evaluation of Risk-Bearing Systems in Low-Income Economies," Journal of Economic Perspectives, American Economic Association, vol. 9(3), pages 83-102, Summer.
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