Section Days abstract book 2010.indd - RUB Research School ...

the affliction of an individual with HIV/AIDS has caused a reduction of capital stock by 0.53%.
The prolonged morbidity nature of the epidemic has caused for requirement of much financial
capital (savings). Draft animals were sold to cover medication and burial costs. The rate of
investment among HIV/AIDS afflicted households on agriculture compared to non-afflicted
households has been decreasing significantly. Moreover, the result has indicated that affliction of
an individual in HIV/AIDS has caused a reduction in the amount of land cultivated by 0.16%.
HIV/AIDS was found to decrease the area of farm under cultivation indirectly via affecting the
labor-hours and capital stock of farmers. Labor intensive cereal crops such as Teff have a higher
price and bring higher income for the farmers. However, HIV/AIDS afflicted households produce
Teff in poor management resulting poor yields and low income. The overall income estimation
shows that 79.9 % of change in income level is explained by the change in labor, capital stock and
land use. According to the calculations made, on average HIV/AIDS affliction has reduced income
of farmers by 11.98%
This research has been further extended and the implications of the epidemic on poverty levels of
households are being investigated to see the overall effects of HIV/AIDS with respect to
alterations in factors of production and what it looks like among the poor groups of the
community.
Key words
HIV/AIDS, impact, agriculture, production, income, land, labor, capital stock, morbidity, Ada’a
district, Eastern Showa province, Ethiopia.