Impact of human capital and remittances on agricultural productivity in Bangladesh
2025
Subrata Saha | Mohammad Jahangir Alam | Al Amin Al Abbasi | Ismat Ara Begum | Maria Fay Rola-Rubzen | Andrew M. McKenzie
This study examines the impact of human capital and remittances on agricultural labor productivity at the regional level in Bangladesh between 2000 and 2016. Using data from four waves of the nationally representative Household Income and Expenditure Survey, the study employs Ordinary Least Squares, Fixed Effects, and Panel Corrected Standard Error Models. The findings indicate a positive association between agricultural labor productivity and both human capital and remittance inflows, with additional gains observed from improved access to technology and electricity. In contrast, farm size is negatively associated with productivity. The findings suggest that increased investment in education and healthcare, improved accessibility, and policies facilitating remittance inflows could enhance agricultural labor productivity. Therefore, the government should allocate resources to expand access to education and healthcare, improve workforce skills and reducing illness-related absenteeism. Additionally, promoting remittance inflows, supporting agricultural investments, enhancing access to technology and electricity, and ensuring fair land allocation policies could further boost productivity in the sector.
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