SENIOR RESEARCH A PROJECT SUBMITTED TO: DEPARTMENT OF AGRICULTURAL ECONOMICS: IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR B.SC. DEGREE IN AGRICULTURAL ECONOMICS

Abstract

In Ethiopia, over 20% of rural income originates from non-farm sources. This particular research was carried out with the aim of generating location specific data regarding the nonfarm activities participation, determinants of non-farm income participation and factors to nonfarm participation in Cheha woreda. The research employed both qualitative and quantitative research methods. The main aim of this paper is to describe the determinants of households’ participation in non-farm activities in Cheha woreda, Southern Gurage zone. This paper analyzed the factors that affect household participation on nonfarm activities, types of nonfarm activities that households being participated or not participated in non-farming activity Cheha Woreda. The data collection process was done by conducting a direct interview and questioner with the respondents for the primary data were concerned with the case under the study. The respondents were selected on Gasory, yedebe and awana and chukara kebele of Cheha Woreda random sampling technique by considering our available resources such as; finance and time. The selected study design was a cross sectional design. The results of each study were discussed briefly on literature part. The final results were discussed and summarized using descriptive statistics such as (percentage, tables,) and Econometrics model like logistic regression analysis The binary logistic regression indicated that five variables such as sex of the respondent of household, nonfarm training, distance of from market, education of respondent of the household, and Age of respondent of house hold were had significant relation with dependent variables among the nine explanatory variables. The paper also contained recommendation part for the concerned bodies to create awareness about the problem and household participation of nonfarm activity to reduce unemployment and increase income of one country its consequences and to make other further research paper on this issue in Cheha Woreda. The model result revealed that sex of household head, age of household head, educational status of household head, distance from the market and nonfarm training.