TAILIEUCHUNG - Farmland loss and poverty in Hanoi‘s Peri-Urban Areas, Vietnam: Evidence from household survey data
This study found that factors contributing to poverty reduction include households‘ education, access to credit, ownership of productive assets and participation in nonfarm activities before farmland loss. We propose some policy implications that can help households escape poverty and improve their welfare. | Agris on-line Papers in Economics and Informatics Volume V Number 4, 2013 Farmland Loss and Poverty in Hanoi‘s Peri-Urban Areas, Vietnam: Evidence from Household Survey Data T. Q. Tuyen1, V. Van Huong2 1 2 VNU University of Economics and Business, Vietnam National University, Hanoi Department of Economics, University of Waikato, New Zealand Abstract Using a dataset from a 2010 field survey involving 477 households, this paper has contributed to the literature by providing the first econometric evidence for the impacts of farmland loss (due to urbanization and industrialization) on household poverty in Hanoi‘s peri-urban areas. Factors affecting poverty were examined using a logit regression model. Our econometric results indicate that the one and two-year effects of farmland loss on poverty are not statistically significant. These results, therefore, confirm that farmland loss has had no impact on poverty in the short-term. This study also found that factors contributing to poverty reduction include households‘ education, access to credit, ownership of productive assets and participation in nonfarm activities before farmland loss. We propose some policy implications that can help households escape poverty and improve their welfare. Key words Farmland loss, poverty effects, household welfare, peri-urban areas. Introduction Over the past two decades, escalated industrialization and urbanization have encroached on vast areas of agricultural land in Vietnam. Le (2007) estimated that, from 1990 to 2003, 697,417 hectares of land were compulsorily acquired by the State for the construction of industrial zones, urban areas and infrastructure and other national use purposes1. In the period from 2000 to 2007, about half a million hectares of agricultural land were converted for non-farm use purposes, accounting for 5 percent of the country‘s farmland (VietNamNet/ TN, 2009). In Vietnam, the majority of the poor are farmers whose livelihoods are mainly based on .
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