Decomposition of Regional Net Income Share and Poverty Distribution

Abstract

Climate change and its impact is the reality and made Bangladesh as a most vulnerable country in the world due to its topographical acquaintance. Poverty remains the major development challenges for the country where major income earns by the farmers (about 80% people of the country engaged in farming) from crop production, which literally depends on climate. Due to climate change effect on agriculture are adversely affected and threatened for net farm income which intensify the level of poverty. Northern part of Bangladesh are the important areas for agricultural production that influences the total countries production. Regional climate change variability of farm production is an important challenge to food production as well as net income share for the farmers of Bangladesh. This study used the primary data to check the regional income share and poverty under two scenarios (baseline and projected yield loss) by variance decomposition analysis, cluster analysis, and lognormal distribution, and Gini coefficient. The analytical results show that variance of rice income significantly contributes to agricultural income differences and the reduction of the farm income appears to increase the poverty rates in Dinajpur, Kurigram, Nilphamari, and Panchagar districts. This study may help to create the relation between the farm income distribution and poverty under the potential impact of climate change. Thus, this study has to evaluate and predict the potential implications and recommend that location appropriate technology interventions could substantially reduce losses of farm income in Rangpur division and elsewhere, where similar conditions prevail.

Details

Presentation Type

Paper Presentation in a Themed Session

Theme

Technical, Political, and Social Responses

KEYWORDS

Farm Income, Poverty Vulnerability, Climate Change

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