(Luận văn) determinants of income diversification and its effects on household income in rural vietnam

to tn gh UNIVERSITY OF ECONOMICS HO CHI MINH CITY VIETNAM INSTITUTE OF SOCIAL STUDIES THE HAGUE THE NETHERLANDS p ie w n ad lo VIETNAM - NETHERLANDS PROGRAMME FOR M.A IN DEVELOPMENT ECONOMICS th yj an lu la ip uy n va DETERMINANTS OF INCOME DIVERSIFICATION m ll fu AND ITS EFFECTS ON HOUSEHOLD INCOME IN tz n oi RURAL VIETNAM z ht vb k jm BY om l.c gm HO THI NGOC DIEP an Lu n va MASTER OF ARTS IN DEVELOPMENT ECONOMICS re y te th HO CHI MINH CITY, JANUARY 2013 to tn gh INSTITUTE OF SOCIAL STUDIES THE HAGUE THE NETHERLANDS p ie UNIVERSITY OF ECONOMICS HO CHI MINH CITY VIETNAM w n ad lo VIETNAM - NETHERLANDS PROGRAMME FOR M.A IN DEVELOPMENT ECONOMICS th yj an lu la ip uy n va tz n oi m ll fu DETERMINANTS OF INCOME DIVERSIFICATION AND ITS EFFECTS ON HOUSEHOLD INCOME IN RURAL VIETNAM z A thesis submitted in partial fulfilment of the requirements for the degree of ht vb MASTER OF ARTS IN DEVELOPMENT ECONOMICS k jm om an Lu HO THI NGOC DIEP l.c gm By re y te Dr HA THUC VIEN n va Academic Supervisor: th HO CHI MINH CITY, JANUARY 2013 ACKNOWLEDGEMENTS t to With these words, I would like to express my sincere thank to all who have ng hi supported me during my journey to complete the Master program in general and ep this thesis in particular First of all, I would like to thank the Board of Faculties of the University of n w Economics of Ho Chi Minh City and International Institute of Social Studies lo ad (ISS) for providing me with all fruitful and precious academic knowledge ju y th during the master program The Thesis could not have been designed and completed without the support yi pl from my Professors in the University of Economics and ISS I would like to al ua show my deepest gratitude to Dr Ha Thuc Vien and Dr Tran Tien Khai for all n their invaluable comments and fruitful guidance from the very beginning of the va n formatting of the topic My special thanks go to Dr Ha Thuc Vien for his fu ll academic supervision, inspiration through the progress of my thesis writing In oi m addition, I would like to express my sincere thank to Dr Pham Khanh Nam, nh Mr Nguyen Van Dung for their guidance on technical issues used for the at z analysis of the thesis z vb Last but not least, I am deeply indebted to my family members: my parents, my j ht parents – in law, my sisters for all their understanding and supports during my m k study I would like to express my special thanks to my mother and my mother- gm in-law, who have helped me to take care of my little baby so that I can l concentrate on my thesis Finally, I would like to thank my husband who is m co always besides me, encouraging and helping me with daily life, so that I can an Lu spend most of my time on completing the thesis n va y te re TABLES OF CONTENTS t to Acknowledgements ng hi List of tables, figures ep Abstracts n w CHAPTER INTRODUCTION lo ad 1.1 Problem Statement ju y th 1.2 Research objectives 1.3 Research questions yi pl CHAPTER LITERATURE 2.1 Concepts and measures of income diversification ua al n 2.2 Theoretical framework va 2.3 Determinants of income diversification n ll fu 2.4 Previous studies on income diversification in Vietnam 10 oi m CHAPTER DATA AND RESEARCH METHODOLOGY 12 3.1 Data 12 3.2 Research methodology 12 at nh z 3.2.1 Classification and calculation of income sources 12 z vb 3.2.2 Indicators of income diversity 13 j ht 3.2.3 The method of analysis 15 m k 3.3 Chapter remarks 16 gm m co l CHAPTER FINDINGS AND DISCUSSION 17 4.1 Patterns and trends in income diversification 17 4.1.1 Diversity of income sources 17 an Lu 4.1.2 Diversification as a shift to non-farm activities 21 4.1.3 Diversification as commercialization production 24 va 4.2 Econometric results and discussion 29 n 4.2.3 Determinants of income diversification (Simpson index of diversity) 35 y 4.2.2 Determinants of income diversification (number of income sources) 33 te re 4.2.1 Expected sign of determinants of income diversification 31 (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam 4.2.4 Determinants of income diversification (share of non-farm income in total t to income) 38 ng 4.2.5 Impact of income diversification on total income of household 42 hi ep 4.3 Chapter remarks 45 CHAPTER CONCLUSIONS AND RECOMMENDATIONS 46 n w lo ad ju y th yi pl n ua al n va ll fu oi m at nh z z j ht vb k m gm m co l an Lu n va y te re (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam LISTS OF TABLES AND FIGURES t to TABLES ng Table Measures of diversity in income sources and Simpson index of hi ep diversity in rural areas by regions across years 18 Table Measures of diversity in number of income sources and Simpson w n index of diversity in rural areas by income quintile across years .20 lo ad Table Share of non-farm income in total income by income quintile across y th years 23 ju Table 4 Measure of commercialization by regions and year 26 yi pl Table Measure of commercialization by income quintile and year 28 ua al Table Descriptive statistics for the dependent and independent variables 29 n Table 4.7 Hypotheses regarding impact of independent variables on measures va n of income diversification 31 fu ll Table Determinants of income diversification (NIS) 36 oi m Table Determinants of income diversification (SID) and (NFS) 37 at nh Table 10 Summary of results on determinants of income diversification .41 Table 11 Impacts of income diversification on total income of household 44 z z vb j ht FIGURES m The Sustainable Livelihood Framework……………………………… Trends in income composition of rural households……………………22 Share of nonfarm income in total income of rural households……… 23 Share of output sold or bartered by region and year………………… 25 k 2.2 gm m co l an Lu n va y te re (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam ABSTRACT t to Income diversification has been a special attention of researchers, especially in ng hi developing countries It is a means to increase household’s income and reduce ep risks of income volatility of each income source However, the patterns and trends of income diversification vary from country to country and from region n w to region This research aims at examining the determinants of income lo ad diversification among rural households in Vietnam and the impact of ju y th diversification on household’s total income in order to decide appropriate policy responses Based on Vietnam Household Living standard surveys in yi pl 2002, 2004, 2006, 2008 and 2010, the descriptive analysis on a variety of al ua concepts of diversification shows that the diversification in rural areas is very n common and tends to increase over time For instance, a number of income va n sources among rural households goes up to from 4.08 in 2002 to 4.28 in 2010 fu ll The analysis also indicates the growing importance of non-farm activities oi m Nevertheless, the extent of diversification is not the same between the rich and nh the poor The poorer tend to have more income sources than the richer while the at z richer is much more diversified in terms of share of income from non-farm z vb activities than the poorer The econometric analysis uses methods of Poisson j ht regression in the model of number of income sources and Tobit regression in m k the model of SID and NFS The regression results show that socio-economic gm status and access to formal financial market both have positive impact on the l number of income sources pursued by households and the Simpson index of m co diversification Interestingly, it is found that the access to financial markets has an Lu negative effect on the share of non-farm income The accessibility of positive impact on household’s total income It implies that households try to y income source, share of non-farm income and Simpson index of diversity have te re confirms that all of the three indicators of income diversification: a number of n evaluation of reverse impact of diversification on household’s total income va infrastructure is also an important determinant of income diversification The (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam t to Income quintile 2008 Income quintile ng 2,983 (2,059) 13,823*** (2,207) 29,553*** (3,578) 54,150*** (4,524) -160,605*** (19,284) 6,058 Income quintile hi ep Income quintile n w Income quintile lo ad _cons y th Observations -4,177* (2,246) -2,559 (2,739) 5,668 (3,626) 22,319*** (4,281) -62,494*** (10,363) 6,058 4,824*** (1,323) 12,843*** (1,453) 27,849*** (3,002) 48,493*** (3,832) -50,506*** (16,119) 6,058 ju Note: *, **, *** Coefficients are significant at the 10%, 5%, 1% level respectively yi Source: Vietnam Household Living Standard Survey (VHLSS) 2008 pl al n ua 4.3 Chapter remarks va Descriptive results show that household in rural Vietnam tend to obtain their n income from a variety of sources, in which income from non-farm activities fu ll play an increasing importance to the total household income overtime oi m However, the level of income diversification is very different among income nh at quintile The poor has a tendency to be more diversified in terms of the number z of income sources but less diverse in the share of non-farm income in a z j ht vb comparison to the rich The econometric results indicate the significant impact of a range of social econometric factor on the income diversification of m k household such as: education, farm-size, access to market, access to credit… gm The study of the impacts of income diversification on household total income l m co confirms the significantly positive relationship between diversification and income regardless of indicators used an Lu n va y te re 45 (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam CHAPTER t to CONCLUSIONS AND RECOMMENDATIONS ng hi In this paper, we examine the patterns of income diversification among ep households in rural Vietnam by taking into consideration various indicators of diversification The results show that the majority of households in rural n w Vietnam have fairly diversified in income sources On average, each household lo ad has from 3.5 (VHLSS 2008) to 4.3 (VHLSS 2010) sources of income Besides, ju y th the share of income generating from non-farm activities in household’s total yi income tends to grow over time, from 27.4 percent in VHLSS 2002 to reach pl 37.1 percent in VHLSS 2010 al n ua However, households not have the same level of diversification It depends va on a variety of socio-economic characteristics of the households as well as the n geographical regions in which the household is located Besides the fu ll characteristics of the household head such as age, gender and ethnicity which oi m are found to have significant effect on household’s income diversification, nh education is one of the most consistent variables which significantly and at z positively influence all the three indicators of diversification in question This z j ht vb emphasizes the importance of education in enabling household to diversify their income Household and farm size are also found to be positively and m k significantly correlated with the share of income from non-farm activities in gm total income Non-farm income is an important component of total household’s l m co income is impacted by a number of different factors, especially the infrastructure such as the access to electricity, access to tap water, the an Lu availability and the quality of car road, etc in the living area y te re poorest regions such as North East and North West tend to extend to more n This may be explained by the specific characteristics of each region The va The diversification among household also varies across geographical regions activities to earn their income than other regions as a means to increase income and reduce the income variation On the opposite way, regions which have 46 (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam advantageous conditions for non-farm economic development such as Red t to River Delta, South East are the ones which have the highest proportion of ng income generating from non-farm activities in total income compared to other hi ep regions In conclusion, pursuing multiple income source strategy is very common n w among geographical and econometric regions as well as among households of lo ad different income quintile and tends to increase in diversity level over time This y th is shown in the descriptive statistic part of this paper However, the diversity ju degree is varied depending on regions and income quintiles The poorer have a yi pl tendency to be more diversified in terms of number of income sources than the ua al richer This suggests that diversification is a mean to reduce risks of variation of n a certain income source However, in terms of non-farm income, the poor are va n much less diversified than the rich for the fact that the poor often face more fu ll constraints compared to the rich The econometric analysis reconfirms that oi m households have unequal abilities to diversify their income due to the difference at nh in the endowment of different types of capital among them The socioeconomic characteristics such as education, household size, farm size, the z z availability of electricity, accessibility to credit and good infrastructure vb j ht conditions influence the level of income diversification However, it is k m surprising to note that the access to credit has the negative effect on the gm diversification of household into non-farm activities This suggests that l households use the credit mostly to invest into agricultural activities rather than m co non-farm ones, which implies that there is a lack of opportunities for an Lu households to join the non-farm activities in rural areas The regression analysis also point out that the diversification level has significantly positive effect on 47 y emphasized: te re Based on the above findings, the following policy recommendations are n their income by pursuing the diversification strategy va the total income of households In other words, rural households may increase (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam Firstly, it is essential for government to improve the education system in t to general and promote the development of education in rural areas in specific for ng the fact that education is a significant factor that can help household in rural hi ep areas to gain knowledge and skills required for different income-generating activities, especially in non-farm sectors Only by this way can households n w increase their income and minimize the income uncertainty From the lo ad government’s perspective, it is a means to improve livelihood of its citizens and y th reduce the poverty rate in rural regions as well as in the whole country ju Secondly, in order to enhance the ability of households in diversifying their yi pl income, the government should improve the investment in infrastructure, ua al including roads, electricity, water, telecommunications, both in terms of n quantity and quality The improvement in infrastructure will help to reduce va n transport and transaction costs for households in rural areas Moreover, it also fu ll makes it easier for households to approach more job opportunities in non-farm oi m sectors in urban areas at nh Thirdly, the financial market in rural areas should be improved to finance the production of households in an effective way It requires the study and z z execution of the new scheme, in order to meet the loan needs of households and vb j ht to maintain the sustainable development of the financial system k m Fourthly, along with improving the formal financial market, it is vital to train gm households the way to properly invest into agricultural production like crops, l fisheries and livestock, as well as providing the technical support for these m co activities through agricultural extension programs This can be done by an Lu recruiting and training the qualified staff to handle the extension programs Furthermore, it is necessary to create more convenient conditions for n y te re advantages of the regions This should be carried out in close accompany with va households to invest in non-farm activities based on the comparative the expansion of market for output 48 (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam Last but not least, the government policies or programs to foster the income t to diversification should pay special attention to the poor in remote and ng mountainous areas who encounter much more constraints than the rich hi ep From the households’ perspective, the education should be considered a very important factor and paid high attention Only by improving the level of n w education can households and individuals have good opportunities to diversify lo ad their income and better the total income in professional non-farm jobs and in y th setting up and managing family’s own non-farm businesses ju Although the income diversification in terms of NIS is good in enabling yi pl households to increase income and reducing the risk of variation in income, it is ua al not always encouraged to take income diversification Under some certain n circumstances, it is better to specialize in specific activities, which household va n has the comparative advantages fu ll At the time this paper is being worked on, the VHLSS 2010 results have not oi m fully officially announced, therefore, it bases its econometric analysis on at nh VHLSS 2008 rather than the new data from VHLSS 2010 Moreover, the research must be better if it is analyzed on the panel data to make the regression z z results more concrete and reliable j ht vb k m gm m co l an Lu n va y te re 49 (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam REFERENCES t to Abdulai, A and A CroleRees (2001) Determinants of Income Diversification ng hi amongst Rural Households in Southern Mali Food Policy, 26(4), 437-452 ep Babatunde, R.O 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(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam (Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam(Luận.văn).determinants.of.income.diversification.and.its.effects.on.household.income.in.rural.vietnam