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This domain focuses on issues directly related to the profitability of agricultural activities and returns to factors of production. 



Profitability measures the gains from the agricultural enterprise using data on revenues and expenses. This analysis may be done over a season, year, or multiple years depending on the objective of the research and the technology being assessed. 

Variability of profitability

Variability of profitability is an important metric because it provides a measure of variation from the mean that can be attributed to either the production or consumption side and reflected changes in markets, climate, and other factors.

Income diversification

Income diversification is a measure of a household’s income generation from multiple sources. This livelihood strategy is observed among households and may insure food security in times of production or weather risk.

Returns to land, labor, and capital

Returns to land, labor, and capital relate to profitability. These metrics enable one to assess the opportunity cost of the resource, which may be even more influential than overall profitability when the resource is the most limiting factor. 

Input use intensity

Input use intensity measures the amount of a given input used per unit of area. 


Poverty is estimated as a welfare measure to ascertain the minimum level of income that is adequate to sustain a livelihood.

Market participation

Market participation examines whether a farmer sells his or her agricultural commodities or buys inputs from the market.

Market orientation

Market orientation examines the agricultural production by the household that is destined for the market.

Labor requirement

Labor requirement focuses on the amount of human labor needed for agricultural production. This measure includes a count of number of work hours, cost of labor, and seasonal supply and demand for labor.