Appendix 1: Definition of variables used in the empirical analysis Variable Definition INCOME Daily household income per capita. Sum of gross income from farm and off-farm sources. The local currency was converted into US$ equivalent at an exchange rate that prevailed at the time of survey (i.e. 1US$:Tshs1200). Household vulnerability score that was constructed as presented under section 3.3.1. Sex of household head set as a dummy with 1 = female headed households; 0 = male headed households. Age of household head. VULNER SEXHEAD HHAGE Value/ measure US$ Expected sign Numeric index Dependent Years -: income +: vulnerability ± Dependent HHAGESQ HHSIZE Original age (HHAGE) squared Size of the household in terms of total number of all household members. Years Numbers - HSIZESQ Size of the household squared to test for the presence of linearity with the dependent variable. Numbers ± LABFC Farm labour force as the number of adult members (of 15 years of age and above) who usually work on the farm. Farm labour force squared to test for the presence of linearity with the dependent variable. Number of years the household head has farmed as an independent decision-maker. Squared farming experience aimed at evaluating the linearity trend. Numbers Numbers +: income -: vulnerability ± Numbers ± Numbers ± CCANTH The dummy constructed from the response by the farmers whether they believed climate change to be anthropogenic 1= climate change is anthropogenic, 0=otherwise +: income -: vulnerability EXTENS 1= accessed 0=otherwise Ratio +: income -: vulnerability -: vulnerability +: income POTLOC The dummy that captured access to agricultural extension services The numerical composite index constructed by determining the ratio of the number of adopted tactical adaptation strategies to the total number of potential adaptation strategies in this category The numerical composite index constructed as the ratio of adopted number of adaptation strategies out of the total potential strategies related with agricultural water management such as soil and water conservation, irrigation; fertilizer application; and agro-forestry. This is the amount of farm land the household would access and manage. The amount of accessible land squared was fitted in order to explore the linear influence of land on income poverty and vulnerability as the amount of accessible land increase substantially. The dummy of agro-climatic potential across localities OFFARM The dummy of self-employment in off-farm activities CREDIT The dummy for credit access WEALTHX WEALTHSQ LABFSQ FAMEX. FAMEXSQ TACADAP STRADAP LAND LANDSQ HHEDUC extension, Ratio -: vulnerability +: income Acres ± Acres ± 1= high potential villages, 0 = drier villages. 1= heads engaged in off-farm; 0= otherwise 1= if accessed credit, 0= otherwise -: vulnerability +: income -: vulnerability +: income -: vulnerability +: income The long-term wealth measured in terms of assets based index. Numeric index The squared wealth index was intentionally fitted to test the nature of relationship between wealth and both income poverty and vulnerability Household head education in years of schooling Numeric index -: vulnerability +: income -: vulnerability +: income Years -: vulnerability +: income