Seybold Report ISSN: 1533-9211
Vol 18, No 6 ( 2023 ) | Licensing: CC 4.0 | Pg no: 93-97 | Published on: 12-06-2023
Diversification of livelihoods plays a key role in eradicating poverty and is a widely used approach for adjusting to environmental and economic shocks. Diversification helps in minimizing risks and providing better opportunities and returns. Although diversification occurs in all sectors of an economy, rural diversification has the highest contribution to poverty reduction. However, diversification is not always a choice. Need based diversification can sometimes work contrary to what was planned. This paper attempts to study the factors that determine whether diversification is choice based or need based, and how the process of diversification can be economically discriminatory owing to the initial endowments of resources with different economic groups.
Poverty, Necessity, Choice, Agriculture, Household