This study focused on analyzing the effects of human capital on income diversification among crop farmers in rural Oyo State, Nigeria. The result presented was based on primary data collected from a random sample of 120 households selected from two agricultural zones of Oyo State, Nigeria. Descriptive statistics, Poisson regression and Tobit regression were employed as analytical techniques. Both the Poisson and Tobit regression methods were respectively used to examine the determinants of income diversification. The Poisson regression result showed that educational background, value of productive assets and access to credit were statistically significant and had a positive influence on the number of income sources (NIS). In turn, the Tobit regression results revealed that years of education, years of vocational training etc. were positively significant to income diversification. The recommendations arising from this study were that government should intensify their efforts at enhancing human capital development through formal education, vocational training and extension programs for the farmers so as to make them aware of the benefits of income diversification in improving their welfare. In addition, there is need to improve the participation of poor households in formal credit with low interest rates as credit enables the households to convert their stock into physical capital within a short time to take advantage of income opportunities outside agriculture.


Human capital; Crop farmers; Income diversification; Households; Rural Nigeria

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Published : 2018-12-31

Daud, A., Awoyemi, T., Omotoso, A., & Omotayo, A. (2018). HUMAN CAPITAL AND INCOME DIVERSIFICATION AMONG CROP FARMERS IN RURAL OYO STATE, NIGERIA. Journal of Agribusiness and Rural Development, 49(3), 251-260.

Adebola Saidat Daud
Oyo State College of Agriculture and Technology, Igboora, Nigeria  Nigeria
Taiwo Awoyemi 
University of Ibadan, Nigeria  Nigeria
Abeeb Babatunde Omotoso 
University of Ibadan, Nigeria  Nigeria
Abiodun Olusola Omotayo 
North West University, North West Province, South Africa  South Africa

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