What Explains Household Poverty in the Rural Areas of the Hadiya Zone in Ethiopia?

Abstract

The study sought to examine the factors contributing to household poverty in the rural areas of Misrak Badawacho district within the Hadiya zone of the Central Ethiopia Region. A cross-sectional survey approach was adopted for the research. A representative sample of 240 households was selected by employing a multi-stage sampling approach. The selection process involved systematic random sampling from four sub-districts (kebeles). The data collection involved a questionnaire survey, key informant interviews, and focus group discussions. The collected data were analyzed using descriptive and inferential techniques. Specifically, descriptive statistics, the logit model, and the FGT (Foster, Greer, and Thorbecke) poverty index-based measures were employed. The results reveal that the poverty threshold in the area was approximately 7,081.4 Ethiopian birr per adult equivalent consumption expenditure per year.