Income diversification boosts rural household resilience and prosperity in Eritrea.
Rural households in Eritrea have diverse sources of income, regardless of their wealth. Low-income families diversify to reduce risk, while high-income families do so by choice. Factors like education, ethnicity, household size, income, and access to credit influence income diversity positively. However, factors like age, dependency ratio, and land ownership size have a negative impact. Policy changes should consider these factors to support rural households in Eritrea.