Department of Agribusiness, Halu Oleo University Jointly with Perhimpunan Ekonomi Pertanian Indonesia - Indonesian Society of Agricultural Economics (PERHEPI/ISAE)
Social forestry through the Community Forest (HKm) scheme supports rural livelihoods while maintaining forest sustainability. In the Bukit Daun Protected Forest, coffee farming is the dominant livelihood of households participating in the HKm program. However, studies that integrate livelihood asset indexing with multinomial logit analysis to explain livelihood typologies among HKm coffee farmers remain limited. This study analyzes livelihood assets, identifies household livelihood typologies, and examines the effects of livelihood assets on livelihood strategy choice using a multinomial logit model. The study was conducted on 177 coffee-farming households selected through proportional random sampling. Livelihood assets were measured using a livelihood asset index covering natural, human, physical, social, and financial capital. Livelihood typology was classified into three categories, namely coffee specialization, coffee–shade tree combination, and diversified livelihood, with coffee specialization as the baseline category in the multinomial logit model. The results show that coffee specialization remains the dominant livelihood strategy. The multinomial logit estimation indicates that natural capital is significantly associated with differences in the likelihood of choosing coffee–shade tree combination and diversified livelihood strategies relative to the baseline category (coffee specialization). Households with greater access to natural capital, particularly land resources, are more likely to adopt combination and diversification strategies rather than remain in coffee specialization. Meanwhile, human, physical, social, and financial capital show no significant association with livelihood strategy choice. These findings highlight the value of integrating livelihood asset indexing with multinomial logit analysis to understand livelihood variation among HKm coffee-farming households better.
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