Determinants of Poverty among Crop Farmers: A Case of Ogo-Oluwa Local Government, Oyo State

Abstract

This study analyzed the determinants of poverty among crop farmers in Ogo-Oluwa Local Government, Oyo State, Nigeria. Primary data were collected with the aid of well-structured questionnaires and a total of 80 respondents were chosen through a multistage random sampling technique. The data collected were analysed using descriptive statistic, poverty indices, Logit regression analysis and Correlation matrix. The result revealed that, respondents have mean pooled income of N39, 521.00 while the estimated mean total expenditure was N 21,673.46; this is incomparable with that of the national average. Also, the head count ratio P0 was 7.2%, the poverty gap P1 was 4.6% while that of the severity indices P2 was 2.8%; total spending deficit was N12041.04 and the spending deficit ratio was 39.2%. It can be inferred from that poverty is a serious problem among crop farmers which has to be given utmost attention. The Logit regression analysis revealed that age, years spent in school, household size and farm size of the respondents have significant influence on the log likelihood of being poor; secondary occupation, years of experience in primary occupation and personal savings of the household heads have no influence on the log likelihood of being poor. Also, the correlation matrix revealed that years spent in school, farm size of the households’ head, household size and gender were positively related to per capita expenditure while marital status and age of household head were negatively related to per capita expenditure as expected. The study concluded that the years spent in school is a significant factor that can reduce the likelihood of being poor. Increase in household size is significant which also can raise per capita expenditure and increase the likelihood of being poor. Hence, there is need to have sound educational level and curb excessive household size through birth control; these can reduce the likelihood of being poor.