4 | SMALLHOLDER DIARIES Relationships between income volatility and agricultural production „gricultural production income was marƒedly more olatile than other sources of income in all three samples, and a household’s oerall income olatility depended on the balance between agricultural production and nonagricultural production income (see igure œS-‘)­ Œhe wide range of income sources outside of crop and livestoc production did dampen the effects of the agricultural cycle on the sample households, but only to a point­ Œhe vol- atility of agricultural production and its inherent riss still exerted a strong influence over the financial lives of smallholders­ €n terms of household finances and health, respondents in all three countries struggled most in the months between harvests­ urthermore, smallholders most often pointed to agriculture as causes of financial hardship, citing reasons such as “waiting to harvest crops” and “expenses related to agriculture” (see igure œS-Ÿ)­ FIGURE ES-2: Volatility of income: Median standard deviation of monthly income relative to average monthly income, a JULY 2014– JUNE 2015 500 458% 400 300 281% 222% 213% 200 120% 100 89% 84% 101% 76% 0 Mozambique Tanzania Pakistan Agricultural production volatility Nonagricultural production volatility Total income volatility a. Relative standard deviation of income = (Standard deviation of monthly income * 100)/ Average monthly income Standard deviation of monthly income represents the amount by which a household’s income deviates from the average monthly income of that household. FIGURE ES-3: “[In the months when the family struggled most with money] what happened to cause this difficulty?” Multiple responses allowed; percentage of household 100% 90% 80% 70% 30% 2% 60% 50% 44% 12% 41% 23% 40% 7% 2% 30% 5% 57% 18% 11% 4% 20% 41% 51% 1% 30% 15% 10% 28% 23% 13% 26% 20% 1% 17% 5% 4% 6% 10% 9% 0% 1% Waiting to Expenses Already sold Harvests Price of Extensive Price of No casual Health No specific Repayment Expenses Theft harvest crops related to all crops were lower crops rose crop loss crops work or emergency reason of debt related to agriculture than at time to dropped at income life events expected buy food selling time activities Mozambique Tanzania Pakistan