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Determinants of indebtedness among farmers in rural Haryana

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Veerpal Kaur and Gian Singh

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Abstract

Indian Journal of Economics and Development
Year : 2014, Volume : 10, Issue : 2
First page : ( 123) Last page : ( 131)
Print ISSN : 2277-5412. Online ISSN : 2322-0430.
Article DOI : 10.5958/j.2322-0430.10.2.040

Determinants of indebtedness among farmers in rural Haryana

Kaur Veerpal*, Singh Gian**
*Assistant Professor in Economics, S. Balraj Singh Bhunder Memorial University College, Sardulgarh, Mansa-151507. Email: v.kaur31@yahoo.in

**Professor of Economics, Department of Economics, Punjabi University, Patiala-147001

JEL Classification: C31, C83, Q12, Q14

Online published on 28 April, 2014.

Abstract
In the present study, an attempt has been made to analysis the determinants of indebtedness among the different farm-size categories in the rural Haryana. The analysis clearly shows that the highest proportion of households under debt was in Bhiwani district (81.49 per cent), followed by Sirsa (80.29 per cent) and Yamunanagar (77.78 per cent) districts. The regression coefficients for education level and income from subsidiary occupations were negatively correlated with indebtedness. The regression coefficients of family-size, farm-size, ratio of credit from non-institutional sources to that from institutional sources and expenditure on unproductive purposes were positively correlated with indebtedness.