The Relationship between Capital Accumulation and Labor Productivity of Marginalized people in the northeastern of Thailand during the Covid-19 Pandemic

Abstract

Despite extensive research on labor productivity, the relationship between capital accumulation and labor productivity among marginalized populations remains underexplored, particularly in the context of the COVID-19 pandemic. This study addresses this gap by examining the impact of financial, human, social, physical, and natural capital on labor productivity in Nakhon Ratchasima, Khon Kaen, and Udon Thani. Using the Livelihood Framework, labor productivity is measured through daily income. The findings reveal a significant decline in labor productivity post-COVID-19 across all provinces, though future expectations for productivity are higher in Nakhon Ratchasima and Khon Kaen. A weak but significant relationship exists between financial, human, and social capital and labor productivity, while physical capital (excluding mobile phones and the internet) and natural capital show no relationship. Financial capital, especially loans, becomes more critical post-COVID-19, reflecting the importance of access to credit. Human capital, particularly technical skills, is linked to future labor productivity, though health factors are not. Social capital, specifically trust, and coordination with external networks, shows a low but meaningful influence on productivity post-pandemic. These findings suggest that policies enhancing financial access, vocational training, and social capital may improve labor productivity. Further research is needed to examine the long-term effects of these capital types on productivity.