Livelihood Abalysis

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    A framework for livelihood Analysis(Frank Ellis)

    Objective:

    Offering a policy framework to analyse diversified r ral livelihoods interms of s stainability! livelihood strategies and their implications for r ralpoverty"

    Assets: F ndamental to nderstand options! s rvival strategies and v lnerability Essential for anti#poverty policy $ositive approach to poverty

    $ rpose:

    % ide micro policies concerned with poverty red ction in r ral areas &race local impact of macro policies

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    WHAT IS A SUSTAINABLE LIVELIHOOD?

    &he term 's stainable livelihoods relates to a wide set of iss es whichencompass m ch of the broader debate abo t the relationshipsbetween poverty and environment"

    rawing on *hambers and *onway (+,,-) among others! the . /team s definition is as follows:

    A livelihood comprises the capabilities! assets (incl ding both materialand social reso rces) and activities re0 ired for a means of living" Alivelihood is s stainable when it can cope with and recover fromstresses and shocks! maintain or enhance its capabilities and assets!

    while not ndermining the nat ral reso rce base"

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    1olistic nderstanding of livelihoods

    2ivelihood is more than material aspect

    Long : 3the idea of individ als and gro ps striving to make a living!attempting to meet their vario s cons mption and economicnecessities! coping with ncertainties! responding to new opport nities!and choosing between different val e positions4"

    Wallman : 2ivelihood is never j st a matter of shelter! income! food!e5change in the market" .t is also a matter of ownership 6 circ lation of information! management of skills and the affirmation of personalsignificance 7and gro p identity" 3&he task of meeting obligations! of sec rity! identity and stat s! and organi8ing time are as cr cial to

    livelihood as bread and shelter4" Bebbington : assets can give meaning to a person s world! can givethem capacity to be and to act prod ction of meaning or participate in'shaping 'life

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    Assets

    &he basic b ilding blocks pon which ho seholds areable to ndertake prod ction! engage in labo r markets!and participate in reciprocal e5changes with otherho seholds

    Assets are owned! controlled! claimed or accessed by theho seholds

    9at ral capital$hysical capital1 man capitalFinancial capital/ocial capital

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    LIVELIHOOD RESOURCES: COMBINING DI ERENTT!"ES O #CA"ITAL$

    &he ability to p rs e different livelihood strategies is dependent onthe basic material and social! tangible and intangible assets thatpeople have in their possession"

    rawing on an economic metaphor! s ch livelihood reso rces maybe seen as the 'capital base from which different prod ctivestreams are derived from which livelihoods are constr cted"

    9at ral capital the nat ral reso rce stocks (soil! water! air! genetic

    reso rces etc") and environmental services (hydrological cycle!poll tion sinks etc) from which reso rce flows and services sef lfor livelihoods are derived"

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    LIVELIHOOD RESOURCES: COMBINING DI ERENTT!"ES O #CA"ITAL$

    Economic or financial capital the capital base (cash! credit;debt!savings! and other economic assets! incl ding basic infrastr ct reand prod ction e0 ipment and technologies) which are essential forthe p rs it of any livelihood strategy"

    1 man capital the skills! knowledge! ability to labo r and goodhealth and physical capability important for the s ccessf l p rs it ofdifferent livelihood strategies"

    /ocial capital the social reso rces (networks! social claims! socialrelations! affiliations! associations) pon which people draw whenp rs ing different livelihood strategies re0 iring coordinated actions"

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    LIVELIHOOD RESOURCES: COMBINING DI ERENT T!"ES O#CA"ITAL$

    .n order to create livelihoods! therefore! people m st combine the'capital endowments that they have access to and control over"&hese may be made p of personal capabilities! tangible assets(e"g" stores and material reso rces) and intangible assets (claimsand access)

    At any scale! livelihoods are composed in comple5 ways! withm ltiple and dynamic portfolios of different activities! oftenimprovised as part of an on#going 'performance (cf"

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    LIVELIHOOD RESOURCES: COMBINING DI ERENT T!"ES O#CA"ITAL$

    / bstit tion *an one type of capital be s bstit ted for others? Or are

    different capitals needed in combination for the p rs it of partic larlivelihood strategies?

    *l stering .f yo have access to one type of capital! do yo s allyhave access to others? Or is there a cl stering of partic lar

    combinations of livelihood reso rces associated with partic lar gro psof people or partic lar livelihood strategies?

    Access ifferent people clearly have different access to differentlivelihood reso rces" &his is dependent on instit tional arrangements!

    organisational iss es! power and politics (see below)" A sociallydifferentiated view to analysing livelihoods is therefore critical! one thatdisaggregates the chosen nit of analysis whether comm nity!village or ho sehold and looks at individ als or gro ps of socialactors and their relationships! in relation to the range of relevant

    dimensions of difference (wealth! gender! age and so on) and thedistrib tion of control over reso rces"

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    LIVELIHOOD RESOURCES: COMBINING DI ERENT T!"ES O#CA"ITAL$

    &rade#offs .n p rs ing a partic lar portfolio of livelihood strategies!

    what are the trade#offs faced by different people with different accessto different types of livelihood reso rce? epending on who are yo !differential access to different types of capital may have positive ornegative implications in terms of the s ccess or otherwise in thep rs it of a s stainable livelihood

    &rends >hat are the trends in terms of availability of different typesof livelihood reso rce? 1ow are different capital assets being depletedand acc m lated! and by whom? >hat are the trends in terms of

    access? >hat new livelihood reso rces are being created thro gh

    environmental! economic and social change?