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Determinant of smallholder farmer labor allocation decisions in Uganda:

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  • Bagamba, Fred
  • Burger, Kees
  • Kuyvenhoven, Arie

Abstract

"Although there is growing evidence of the increasing role of nonfarm activities in rural livelihoods, there is still relatively little empirical evidence regarding the factors that influence smallholder farmers to diversify into nonfarm activities. This study analyses the factors that influence household labor allocation decisions and demand for farm labor in Uganda. Data were collected from 660 households in three banana-based production zones with divergent production constraints and opportunities. The determinants of demand for hired labor were estimated with the Tobit model. Linear regression was used to estimate reduced-form equations for the time-allocation decisions of household members. Our findings show that household members respond positively to increases in wages, suggesting that they respond to economic incentives. Increased wage rates negatively affect the use of hired labor, but household size has no effect on the use of hired labor, indicating that the economic rationing of labor hiring has more to do with the market wage than family size or composition. Education and road access have positive effects on the amount of time allocated to off-farm activities. Access to off-farm opportunities, however, takes away the most productive labor from farm production. These findings suggest that investment in road infrastructure and education suited to smallholder production needs could help alleviate bottlenecks in labor markets and improve resource allocation between farm and nonfarm sectors." from authors' abstract

Suggested Citation

  • Bagamba, Fred & Burger, Kees & Kuyvenhoven, Arie, 2009. "Determinant of smallholder farmer labor allocation decisions in Uganda:," IFPRI discussion papers 887, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:fpr:ifprid:887
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    References listed on IDEAS

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    Cited by:

    1. Sulser, T. B., 2009. "Green and blue water accounting in the Limpopo and Nile basins: implications for food and agricultural policy," IWMI Working Papers H042476, International Water Management Institute.
    2. Lincoln Addison & Matthew Schnurr, 2016. "Growing burdens? Disease-resistant genetically modified bananas and the potential gendered implications for labor in Uganda," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 33(4), pages 967-978, December.
    3. Abdul-Hakim, Roslan & Hadijah Che-Mat, Siti, 2011. "Determinants of Farmer’s Participation in Off-Farm Employment: A Case Study in Kedah Darul Aman, Malaysia," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society (AESS), vol. 1(04), pages 1-12, December.
    4. Enoch M. Kikulwe & Joseph Lule Kyanjo & Edward Kato & Reuben T. Ssali & Rockefeller Erima & Samuel Mpiira & Walter Ocimati & William Tinzaara & Jerome Kubiriba & Elisabetta Gotor & Dietmar Stoian & El, 2019. "Management of Banana Xanthomonas Wilt: Evidence from Impact of Adoption of Cultural Control Practices in Uganda," Sustainability, MDPI, vol. 11(9), pages 1-18, May.
    5. Nalunga, Asha & Mugisha, Johnny & Walekhwa, Peter & Smith, Jo, 2019. "The dynamics of Household labor allocation to biogas production, farm and non-farm activities in central Uganda," Renewable Energy, Elsevier, vol. 142(C), pages 461-467.
    6. Amsalu Bedemo & Kindie Getnet & Belay Kassa, 2013. "Determinants of Household Demand for and Supply of Farm Labour in Rural Ethiopia," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 16(3), pages 351-367.

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    Keywords

    Smallholder farmers; Labor demand; Non-farm employment; Land management;
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