Rural Household Differentiation and Poverty Vulnerability: An Empirical Analysis Based on the Field Survey in Hubei, China

Abstract

Rural family differentiation is an important perspective to analyze farmers’ behavior and poverty. Based on the data of 1673 farm households from rural field survey in 2019 in Hubei Province of China, this paper examines the main influencing factors of farm household differentiation on farm household poverty vulnerability from the perspective of the sustainable livelihoods of farm households. On this basis, the contribution of each influencing factor to farm household poverty vulnerability is analysed using the regression decomposition method. The results of the study show that the variables of farm household differentiation have a significant impact on poverty vulnerability, and the net household income per capita, which reflect the vertical differentiation of farm households, and the proportion of non-farm labor, which reflects the horizontal differentiation of farm households. Both have a significant negative impact on the poverty vulnerability of farm households. The regression decomposition method shows that the proportion of non-farm labor force, which reflects the horizontal differentiation of farm households, has the highest contribution to the poverty vulnerability of farm households. Human capital, natural capital, social capital, and physical capital also influence the poverty vulnerability of farm households to a certain extent.