Income, assets and liabilities with diversified livelihood of small farm households in Punjab

In India, 50% of the population depends on agriculture but contributes only 17% to the national GDP. As agriculture develops, the population starts shifting from the farm sector to the non-farm sector, but the Indian economy's over-dependence on its farm sector depicts the sluggish development of the non-farm sector. Though agriculture has developed, farm households are facing distress, and households that have adopted non-farm occupations along with cultivation are earning more and they have less liabilities. Diversifying livelihoods would help remove under-employment in the farm sector, and policymakers must focus on developing the non-farm sector in rural areas to mitigate farm distress.