Dynamics and determinants of farm household income in Bihar: evidence from panel data of selected villages

ABHAY KUMAR; R K P SINGH; ANJANI KUMAR; UJJWAL KUMAR; A K JHA; PANKAJ KUMAR

doi:10.56093/ijas.v89i11.95336

Authors

ABHAY KUMAR Principal Scientist, ICAR Research Complex for Eastern Region, Patna, Bihar 800 014, India
R K P SINGH Retired Professor Agricultural Economics, DRRPCAU, Pusa
ANJANI KUMAR Research Fellow, Agricultural Economics, International Food Policy Research Institute (IFPRI), New Delhi
UJJWAL KUMAR Head and Principal Scientist, ICAR Research Complex for Eastern Region, Patna, Bihar 800 014, India
A K JHA Head and Assistant Professor, SGIDT, Bihar Animal Science University, Patna
PANKAJ KUMAR Senior Scientist Division of Livestock and Fisheries Management, ICAR-RCER, Patna

https://doi.org/10.56093/ijas.v89i11.95336

Keywords:

Bihar, Determinants, Dynamics, Income, Panel data

Abstract

The study is undertaken to analyze the farm household income, income sources, economic inequality, and determinants of income of farm households in Bihar which is based on five-year panel data (2010â€“11 and 2014â€“15). Findings of the study show that the income level of farm households in the selected villages of Bihar is low, but exhibited an impressive annual growth rate of 6% from 2010â€“11 to 2014â€“15. The income level showed a positive relation with the size of landholding. Further, the sources of household income are quite diverse, and cultivation contributes only one-fourth to the total income of farm households. The level of remittances showed signs of decline, while the share of transfer payments and non -farm activities increased from 2010â€“11 to 2014â€“15. Inter- and intra-class inequality in farm household income is also prominent but diminishing with time. Farm assets, diversification, and education level have turned out to be important drivers of farm household income. These findings have significant implications and call for holistic rural development strategies for enhancing farmersâ€™ income.

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