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livelihood capitals

by Tanya Boudreau — last modified 03/02/2008 10:58

DFID's Livelihood Framework identifies six types of captial that are relevant for understanding households' asset base. These include: natural, human, physical, social, financial, and political capital. While these capitals are the central focus of many agencies' livelihoods analyses, they tend not to be well integrated into a comprehensive analytical framework. The result is a list, or inventory, of the capitals associated with different household types, with limited operational applicability.

FEG Consulting, in its use of HEA, incorporates a dynamic and systematic treatment of the capitals.

comparison rich poor

The result is a rich and productive assessment of just what kind of a contribution each capital makes to the overall household economy, encouraging a rigorous analysis of just how that capital 'pillar' will be affected by shocks, how to shore it up, and what types of action might build resiliency for the household and the wider community.
Integrating Livelihoods

gathering firewood

What are livelihoods?

Livelihoods are the means by which households obtain and maintain access to essential resources to ensure their immediate and long-term survival. An analysis of livelihoods security, therefore, involves the investigation of how people ensure this access in different contexts and settings. Central to this enquiry amongst poor households is an understanding of food security, because - as a general rule - the poorer the household, the larger the proportion of its total income is spent on obtaining food.   

What is food security?

Many definitions of food security can be found throughout the humanitarian world. At a minimum, however, they all share the core concepts contained in the following definiton: Ensured access to sufficient food for all people at all times.

FEG Consulting makes this definition operational in the context of livelihood analysis through its use of the Household Economy Approach.
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