Do off-farm labor activities relax credit constraints in farming? Evidence from longitudinal data for Vietnam
Year: 2009
We examine the relationship between participation in non-agricultural labor activities and farming production decisions, focusing on the use of inputs. In particular, we are interested in the hypothesis that income from non-agricultural labor relaxes credit constraints. Using longitudinal data for Vietnam from 1993-98, we find that households participating in non agricultural labor activities, consistently with our hypothesis, spend significantly more on seeds, services, hired labor and livestock inputs.
Available in:
http://ftp.iza.org/dp3403.pdf
Theme: Food security and nutrition
Publication type: Journal articles
JEL codes: J43, Q12