Explanation of Off-farm Work Participation in Rural Pakistan
In: The Pakistan development review: PDR, Band 34, Heft 2, S. 139-148
The role of off-farrn employment in augmenting household fann
income in the developing countries is of special significance, given the
land and water resource constraints and the alanning. rate of population
growth. This study focuses on the rural household in Pakistan in an
effort to understand the economic and social factors that affect
off-farm work participation of male household members in the rural
areas. The data are derived from the cross-section survey carried out by
the International Food Policy Research Institute for the year 1986-87 as
a panel study of rural households. The parameters of the model are
estimated using the standard maximum likelihood Tobit approach. Most of
the results are consistent with the findings in other developing
countries. The results confirm that the level of human capital plays an
important role in making decisions providing for labour in off-fann work
activities. The study also highlights the fact that fann-to-market roads
and village electrification are some of the development strategies vital
to encourage participation in off-farm work.