Farmland loss and livelihood outcomes: a microeconometric analysis of household surveys in Vietnam

Abstract

Although there has been much discussion in the literature about the impacts of farmland loss (due to urbanization) on household livelihoods, no econometric evidence of these effects has been provided thus far. This paper, hence, is the first to quantify the effects of farmland loss on household livelihood outcomes in peri-urban areas of Hanoi, Vietnam. Our study found no econometric evidence for negative effects of farmland loss on either income or expenditure per adult equivalent. In addition, the results show that farmland loss has an indirect positive impact on household welfare, via its positive impact on the choice of nonfarm-based livelihoods.