Understanding Livelihoods: Concepts and

Theory

Conceptualizing Livelihoods
Lecture 2


July 21, 2014
What do we need to lead a good life
Basic needs (food, clothing,
shelter)
Physical and Mental Health
Quality Education
Access to infrastructure
Access to health services,
drinking water, sanitation
Security
Insurance
Income generating
opportunities
Jobs
Regular and increasing
income
Money
Dignity
Religion
Social networks family etc
Good governance
Options, choices, freedom
Natural resources
Access to natural resources
Skills, capabilities
Political Freedom



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What do we need to lead a good life
3
Physical needs Rights Health &
Education
Basic needs (food, clothing,
shelter)
Quality Education

Physical and
Mental Health
Income generating
opportunities
Access to infrastructure
Jobs Access to health services,
drinking water, sanitation
Regular and increasing income Dignity
Religion
Security
Money Insurance
Natural resources Good governance
Access to natural resources
Skills, capabilities
Political Freedom
Options, choices, freedom
Another question
What do we need to be able to work?


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What do we need to be able to work
Micro-level

Assets, skills / capabilities

Networks

Freedom / choice

Dignity







Macro - level

Assets, Access to assets

Networks

Environment that enables access,
ensures that there are options,
freedom, dignity
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What do we need to be able to work and lead a
good life
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Risks, Vulnerability

















Assets
Money, jewelry, cattle,
Buildings, machinery,
roads, transportation,
energy, information etc
Land, rivers, forests,
water, etc
Family, friends,
relatives, networks
Health, Education,
skills, ability to work -
Capabilities
Enabling structures and
processes
Laws, Policies
Governance
Levels of government
Culture societal
norms and beliefs
Institutions and
Organizations
Rights & Claims




Livelihood strategies Livelihood outcomes
Poor
Househol
d
Scoones framework (1998, 2009)
Thats what Livelihoods is all about!



Understanding Livelihoods is common sense!
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Course Map
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Introduction to livelihoods
Conceptualizing
Livelihoods
Economics models of decision making
Gender and power relationships
Households
Social Exclusion, Deprivation
Persistence of Poverty
Poverty
Difference between risk and vulnerability
Impact on livelihoods, coping strategies
Risk and Vulnerability
Categories of Capital Conversion
Transformation and Substitutability
Forms of Capital
Role of Institutions
Organizational Forms
Institutions and Forms of
Organizations
How physical geography influences
livelihoods
Globalization, Urbanization and changes in
livelihoods
Livelihoods in transition
"A livelihood comprises the capabilities, assets (
including both material and social resources) and
activities required for a means of living. A livelihood is
sustainable when it copes with and recovers from
stresses and shocks and maintain or enhance its
capabilities and assets both now and in the future, while
not undermining the natural resource base.

(DFIDs definition adapted from Chambers & Conway 1992)


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Defining Livelihood
EVOLUTION OF THE
LIVELIHOODS PERSPECTIVE
Conventional approaches
Production thinking

Employment thinking

Poverty-line thinking

Livelihoods perspective


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Economics is embedded in the society
Vidal de la Blache (1911)
relationship between humans and their natural environment.
the livelihood pattern of people living in a geographical area was to a great
extent shaped by the possibilities that the area offered.
Same environment leads to different responses from different people
based on their genre de vie.
Pritchard (1940)
Interrelations between social and political systems explored
The term livelihood is used to refer to the economic resources and
strategies employed by people to make a living
Polanyi (1944)
Market economy and state linked to each other
To make a living, one needs to engage with market state and society
Theoretical foundations for livelihoods


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Household as a decision making unit, multiple
economic activities
Baerwald (1955)
Household as an economic unit
Interrelations between the productive assets owned by a
household, number of wage earners and consumption

Elwin (1964), Hart (1973), Hogger (1994), Ellis (2001)
Multiple activities and diversification of livelihoods

De Haan (2000), De Haan & Zoomers (2003)
Globalisation, migration, decomposition of households
Erosion of traditional solidarity


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Multi-Dimensionality of Poverty
Nurkse (1952)
Poor people are held captive in the vicious circle of poverty:
Low income Low savings Low investment Low production
Low income
Sustenance
Servicing / replacement of resources including claims on resources
Surplus to market, additional needs met

Streeten et al (1981)
Measuring Economic growth alone will not give a true picture of
poverty
Basic needs approach
education and health
human resource development
short term subsidy programs till productivity is enhanced
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Multi-Disciplinary Approach
Brundtland Commission (1987)
Integrated approach, cutting across disciplinary and sectorial
boundaries

Chambers & Conway (1992)
Household
Vulnerability and livelihood strategies

DFID SLA framework
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Emergence of Livelihoods Perspective
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Vidal de la
Blache (1911)
de Haan (2000)
de Haan &
Zoomers (2003)
Brundtland
Committee
(1987)
Baerwald (1955)
De Haan &
Zoomers (2003)
Gandhi (1920s)
Pritchard
(1940), Polanyi
(1944)
Chambers
(1989)
Elwin (1964)
Hart (1973)
Hogger (1994)
Ellis (2001)
Livelihoods
Chambers &
Conway 1992;
De Haan
(2000)
Multiple
economic
activities
Social,
political and
economic
interrelation
s
Household /
family
Risks and
vulnerability
Geography
/
Globalisatio
n
Multi-
disciplinary
Challenges
Is Livelihoods a Catch all phrase?
Not comprehensive enough?
Difficult to operationalize and implement
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Food for Thought
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Food for cattle actually!
Food for Thought
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Food for Thought
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