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Climate change threatens African countries' economic development and affects agriculture and food security. Ethiopia is especially vulnerable to the negative effects of climate change because its economy is dependent on climate-sensitive livelihoods that have limited potential for adaptation. Emerging evidence indicates that climate-smart agriculture (CSA) can help smallholder farmers adapt to climate change and increase agricultural productivity, thereby enhancing household income and food security. In the study area, different CSA practices have been adopted to mitigate the negative effects of climate change and improve agricultural productivity, income, and food security. Therefore, this study examines the impact of CSA practices on household income and food security in southern Ethiopia. A total of 385 households were selected using multistage sampling. Primary and secondary data were used, and propensity score matching with different types of matching algorithms, such as nearest neighbor, kernel, and radius matching, was employed to quantify the conditional impacts of CSA intervention on farm income and food security. In comparison with non adopters farmers that have adopted CSA practices had a higher food consumption score between 6.27 and 8.15, which was statistically significant at the 1% level. Overall, 34.55% of interviewed households had acceptable food consumption scores, 44.68% had borderline, and 20.77% had poor food consumption scores. Furthermore, households that adopted CSA practices had a 20.30% higher average annual farm income per hectare than non-adopters. The study suggests that effective extension services, accurate climate information, and sound policy support are required to promote and scale up CSA measures in the study area to improve farmers' adaptive capacity, farm income, and food security. [ABSTRACT FROM AUTHOR]

Agroforestry represents a potentially multi-beneficial approach to land management as it may enhance a farming household's income and income stability simultaneously with nutrition security and climate change mitigation. However, our comprehension of the specific characteristics within agroforestry systems that bolster economic productivity remains limited, exacerbating the challenges of land management for smallholder livelihoods. This complexity is compounded by the potential influence of carbon revenue, adding an additional layer of intricacy to the equation. This paper aimed to identify the key economic determinants of multistrata agroforestry in sub-Saharan Africa with and without potential carbon revenue. A quantitative survey of 135 farmers was performed regarding their multistrata agroforestry systems with contrasting histories in three regions of Ethiopia. The carbon sequestration rate and carbon stocks in agroforestry were assessed on one-fifth (27) of the farms. The relative importance of hypothetical determinants of agroforestry systems' economic performance was modeled using descriptive statistics and generalized linear models. Farm size and fertilizer usage were the primary drivers of the farm economy, but farm net income was also highly influenced by the richness and diversity of the income sources. In addition, tree diversity had a positive impact on the net income, whereas the proportion of legume trees and trees with a large diameter correlated negatively with the income. Potential carbon revenue at prices of US$40 tCO 2 −1 and US$100 tCO 2 −1 increased income for multistrata agroforestry farms without significantly changing the magnitude of the identified key determinants. This suggests that the most economically viable agroforestry systems inherently possess a strong capacity for carbon sequestration, effectively serving as carbon sinks. Consequently, carbon revenue serves as a compelling financial incentive for the adoption of these agroforestry systems. Ultimately, this research underscores the pivotal role of biological and product diversity in shaping economic productivity within multistrata agroforestry systems. Moreover, it highlights the accessibility of diversity management for smallholder farmers, even under conditions of resource constraints. [Display omitted] • The economic determinants of agroforestry systems remain not well understood. • The determinants with and without potential access to carbon market were identified. • The farm income was mainly affected by farm size and fertilizer use. • Diversity of the income sources was key determinant regardless of carbon revenue. • Diversity is manageable for all smallholder farmers. [ABSTRACT FROM AUTHOR]