Groundwater can augment total agricultural water supply in areas where rainfall is persistently low, but can also function as a buffer source of water in areas where rainfall is high but variable. In arid countries it is important to examine which of these functions dominates, as this has implications for water policy.

As environmental goods such as fuelwood and fodder become more scarce, rural households in developing countries spend more time in their collection. It has been suggested that as a result households may reallocate labor away from own-farm agricultural production.

The paper uses a non-separable agricultural household model to examine biomass fuel collection and consumption behaviour of Ethiopian rural households.