THE INTERFACE BETWEEN RISKS AND FARMER LIVELIHOOD DIVERSIFICATION

This book deals with nexus between risks and livelihood diversification in a rural and highland of Ethiopia. The growth of agriculture is critical as about 96% in the study area depend on agriculture and live on less than one dollar a day in rural areas. As evidenced, the trends of economic activities are threatening biodiversity and posing significant risks to livelihoods. The study shows that the socio-economic conditions determine the individual as well as community level exposure to risks and the degree of engagement in a number of livelihood options. The results demonstrate that asset endowments, settings and the chosen livelihood strategies influence one another and determine the exposure and occurrence of risks. It also forwards that environmental risks are the most felt and observed risks that impact livelihood activities and wellbeing. When more of social and economic risks are persistent, diversification becomes inexistent and seeking external help is in place. In this way, the effect of one on another is the function of the complex interwoven highland livelihood system that depends on the depleted natural resources and the constrained non-farm activities.