Template-type: ReDIF-Paper 1.0
Author-Name: Atamanov, Aziz
Author-Email: aziz.atamanov@maastrichtuniversity.nl
Author-Workplace-Name: Maastricht Graduate School of Governance, Maastricht University
Author-Name: Van den Berg, Marrit
Author-Email: Marrit.vandenBerg@wur.nl
Author-Workplace-Name: Dept. of Development Economics, Wageningen University
Title: Microeconomic analysis of rural nonfarm activities in the Kyrgyz Republic:
	 What determines participation and returns?
Abstract: This paper uses two representative household budget surveys from the 
	 Kyrgyz Republic to analyze factors influencing participation and returns 
	 from different types of nonfarm activities in 2005 and 2006. Nonfarm 
	 activities are found to be most important for the poor, who are pushed 
	 out of agriculture due to limited and poor land resources. We also show 
	 that different nonfarm activities have different human capital 
	 requirements. Unlike other studies, we use the double hurdle model which 
	 allows us to demonstrate that a number of variables have different 
	 effects on participation and income from nonfarm activities. For 
	 example, residing in remote areas and lack of capital are found to 
	 stimulate participation in nonfarm activities, but decrease nonfarm 
	 income. Overall, the empirical analysis confirms the importance of rural 
	 nonfarm activities and indicates that equipping poor households to 
	 enable them to move towards better remunerative nonfarm activities 
	 should be a priority for Kyrgyz rural policy makers.
Classification-JEL: J18, J38, J43, J48, Q12, Q18, I32
Keywords: nonfarm activities, rural areas, Kyrgyz Republic, household income,
	 nonfarm income, rural policy, public policy
Series: UNU-MERIT Working Papers
Creation-Date: 2011
Number: 011
File-URL: http://www.merit.unu.edu/publications/wppdf/2011/wp2011-011.pdf
File-Format: application/pdf
File-Size: 275 Kb
Handle: RePEc:unm:unumer:2011011