Impact of perceived livelihood risk on Livelihood Strategies: A case study in Shiyang River Basin, China

Abstract

Using data collected from semi-structured interviews with 485 households, this research evaluates the effect of perceived livelihood risk on livelihood strategies within farming households in China's Shiyang River Basin. Perceived livelihood risk was evaluated by establishing an index system of livelihood risk (health, environmental, financial, social, and information and connectivity risks). Different livelihood strategies were identified, including reducing consumption, seeking help from relatives and friends, securing loans, seeking employment, and converting assets into cash. The effect of perceived livelihood risk on livelihood strategies was measured and evaluated using multinomial logistic regression. The results indicate that the effect of different perceived livelihood risk on livelihood strategies varies. Personality traits, as well as perceived health risk, financial risk, social risk, and environmental risk influence livelihood strategies, while perceived information risk and connectivity risk do not appear to have obvious relationships to livelihood strategies. Finally, we present proposals for ensuring farmers' livelihood strategies are more effective.