nep-afr New Economics Papers
on Africa
Issue of 2009‒10‒03
twenty-two papers chosen by
Quentin Wodon
World Bank

  1. Economywide impacts of climate change on agriculture in Sub-Saharan Africa: By Calzadilla, Alvaro; Zhu, Tingju; Rehdanz, Katrin; Tol, Richard S.J.; Ringler, Claudia
  2. How important is a regional free trade area for Southern Africa?: Potential impacts and structural constraints By Nin Pratt, Alejandro; Diao, Xinshen; Bahta, Yonas
  3. Priorities for realizing the potential to increase agricultural productivity and growth in Western and Central Africa: By Nin-Pratt, Alejandro; Johnson, Michael; Magalhaes, Eduardo; Diao, Xinshen; You, Liang; Chamberlin, Jordan
  4. Promising approaches to address the needs of poor female farmers: Resources, constraints, and interventions By Quisumbing, Agnes R.; Pandolfelli, Lauren
  5. The complementarity of MDG achievements : the case of child mortality in Sub-Saharan Africa By Lay, Jann; Robilliard, Anne-Sophie
  6. Does Democracy Explain Gender Differentials in Education? By Arusha Cooray;
  7. Natural disasters, self-Insurance, and human capital investment: Evidence from Bangladesh, Ethiopia, and Malawi By Yamauchi, Futoshi; Yohannes, Yisehac; Quisumbing, Agnes R.
  8. Risks, ex-ante actions, and public assistance: Impacts of natural disasters on child schooling in Bangladesh, Ethiopia, and Malawi By Yamauchi, Futoshi; Yohannes, Yisehac; Quisumbing, Agnes R.
  9. Estimating the impact of agricultural technology on poverty reduction in rural Nigeria: By Omilola, Babatunde
  10. Mapping South African farming sector vulnerability to climate change and variability: A subnational assessment By Gbetibouo, Glwadys Aymone; Ringler, Claudia
  11. Rural non-farm income and inequality in Nigeria: By Omilola, Babatunde
  12. Culture matters: America’s African Diaspora and labor market outcomes By Mason, Patrick
  13. Soil and water conservation technologies: A buffer against production risk in the face of climate change?: Insights from the Nile Basin in Ethiopia By Kato, Edward; Ringler, Claudia; Yesuf, Mahmud; Bryan, Elizabeth
  14. Diversity of Communities and Economic Development By Gustav Ranis
  15. How does food price increase affect Ugandan households?: An augmented multimarket approach By Ulimwengu, John M.; Ramadan, Racha
  16. The impact of climate variability and change on economic growth and poverty in Zambia: By Thurlow, James; Zhu, Tingju; Diao, Xinshen
  17. Identity matters: inter- and intra-racial disparity and labor market outcomes By Mason, Patrick L.
  18. Determinant of smallholder farmer labor allocation decisions in Uganda: By Bagamba, Fred; Burger, Kees; Kuyvenhoven, Arie
  19. The impact of agricultural shocks on households growth performance in rural Madagascar By Anne-Claire Thomas
  20. Small is Beautiful: Empirical Evidence of an Inverse Relationship between Farm Size and Productive Efficiency in Small-Holder Cassava Production in Ideato North LGA of Imo State By Okoye, B.C; Agbaeze, C.C; Asumugha, G.N; Aniedu, O.C; Mbanaso, E.N.A
  21. The Status of Information Communication and Technology in Financial Institutions in Nigeria By Owojori, Anthony A.
  22. Measuring subjective wellbeing in Bangaladesh, Ethiopia, Peru and Thailand using a personal life goal satisfaction approach By Copestake, James; Camfield, L

  1. By: Calzadilla, Alvaro; Zhu, Tingju; Rehdanz, Katrin; Tol, Richard S.J.; Ringler, Claudia
    Abstract: "Two possible adaptation options to climate change for Sub-Saharan Africa are analyzed under the SRES B2 scenario. The first scenario doubles the irrigated area in Sub-Saharan Africa by 2050, compared to the baseline, but keeps total crop area constant. The second scenario increases both rainfed and irrigated crop yields by 25 percent for all Sub-Saharan African countries. The two adaptation scenarios are analyzed with IMPACT, a partial equilibrium agricultural sector model combined with a water simulation module, and with GTAP-W, a general equilibrium model including water resources. The methodology combines the advantages of a partial equilibrium approach, which considers detailed water-agriculture linkages, with a general equilibrium approach, which takes into account linkages between agriculture and nonagricultural sectors and includes a full treatment of factor markets. The efficacy of the two scenarios as adaptation measures to cope with climate change is discussed. Due to the limited initial irrigated area in the region, an increase in agricultural productivity achieves better outcomes than an expansion of irrigated area. Even though Sub-Saharan Africa is not a key contributor to global food production or irrigated food production, both scenarios help lower world food prices, stimulating national and international food markets." from authors' abstract
    Keywords: Computable general equilibrium, Climate change, Agriculture, integrated assessment, Sub-Saharan Africa,
    Date: 2009
  2. By: Nin Pratt, Alejandro; Diao, Xinshen; Bahta, Yonas
    Abstract: "We develop a detailed trade analysis to assess the potential welfare impacts of a free trade agreement (FTA) on the agricultural sector of southern African countries and to determine opportunities and challenges faced by the region as a consequence of the agreement. Our approach combines an in-depth look at the current trading patterns of southern African countries with the application of a partial equilibrium analysis that uses bilateral trade data at the four-digit standard international trade classification (SITC) level for 193 agricultural industries in 14 southern African countries. Low diversification of agricultural exports in most southern African countries seems to be a major constraint for promoting regional trade. In most countries, overall welfare effects of an FTA would be positive but small. Inefficient agricultural producers with a regional comparative advantage for agriculture would benefit from trade creation with the rest of the world. Welfare results for regional importers would be negative because of increased imports from inefficient regional producers. These results suggest that the region should be looking at regional policies and interventions beyond trade arrangements, such as those targeting investment, agricultural productivity, and diversification, to enhance benefits of regional trade liberalization." from authors' abstract
    Keywords: Regional trade agreement, Agricultural trade, Development strategies,
    Date: 2009
  3. By: Nin-Pratt, Alejandro; Johnson, Michael; Magalhaes, Eduardo; Diao, Xinshen; You, Liang; Chamberlin, Jordan
    Abstract: "We identify a set of development priorities for agriculture that cut across West Africa, at both the country and the regional level, to achieve economy-wide growth goals in the region. To do this, we adopt a modeling and analytical framework that involves the integration of spatial analysis to identify yield gaps determining growth potential of different agricultural activities for areas with similar conditions and an economy-wide multimarket model to simulate ex ante the economic effects of closing these yield gaps. Results indicate that the greatest agriculture-led growth opportunities in West Africa reside in staple crops (cereals as well as roots and tubers) and livestock production. Rice is the commodity with the highest potential for growth and the one that could generate the greatest benefits for many countries. Activities contributing the most to agricultural growth in the Sahel are livestock, rice, coarse grains, and groundnuts; in coastal countries, staple crops like cassava, yams, and cereals seem to be relatively more important than the contributions of other subsectors; and livestock and root crops are the sources of growth with highest potential in Central Africa. Our results also point toward an essential range of policies and investments that are needed to stimulate productivity growth of prioritized activities. These include the following: development of opportunities for regional cooperation on technology adaptation and diffusion, strengthening of regional agricultural markets exploiting opportunities for greater regional cooperation and harmonization, diversification of traditional markets, and enhancement of linkages between agricultural and nonagricultural sectors." from authors' abstract
    Keywords: Agricultural growth, Multi-market model, spatial analysis, Staple food crops, Yield gap, Development strategies,
    Date: 2009
  4. By: Quisumbing, Agnes R.; Pandolfelli, Lauren
    Abstract: "Recognizing that “gender matters,” many development interventions have aimed to close the gender gap in access to resources, both human and physical, and to address the specific needs of female farmers. This paper critically reviews attempts to increase poor female farmers' access to, and control of, productive resources in Sub-Saharan Africa and South Asia. It surveys the literature from 1998 to 2008 that describes interventions and policy changes across several key agricultural resources, including land, soil, and water; labor-saving technologies; improved varieties; extension services; and credit. Compared with interventions designed to increase investment in human capital, only a minority of interventions or policy changes designed to increase female farmers' access to productive resources have been rigorously evaluated. Future interventions need to consider interactions among inputs rather than treat each input in isolation, adapt interventions to clients' needs, and pay attention to the design of alternative delivery mechanisms, the trade-offs between practical and strategic gender needs, and the culture and context specificity of gender roles." from authors' abstract
    Keywords: Gender, Agriculture, Interventions, Agricultural growth, Agricultural technology,
    Date: 2009
  5. By: Lay, Jann; Robilliard, Anne-Sophie
    Abstract: This paper analyzes complementarities between different Millennium Development Goals, focusing on child mortality and how it is influenced by progress in the other goals, in particular two goals related to the expansion of female education: universal primary education and gender equality in education. The authors provide evidence from eight Sub-Saharan African countries using two rounds of Demographic and Health Surveys per country and applying a consistent micro-econometric methodology. In contrast to the mixed findings of previous studies, for most countries the findings reveal strong complementarities between mothers’ educational achievement and child mortality. Mothers’ schooling lifts important demand-side constraints impeding the use of health services. Children of mothers with primary education are much more likely to receive vaccines, a crucial proximate determinant of child survival. In addition, better educated mothers tend to have longer birth intervals, which again increase the chances of child survival. For the variables related to the other goals, for example wealth proxies and access to safe drinking water, the analysis fails to detect significant effects on child mortality, a finding that may be related to data limitations. Finally, the study carries out a set of illustrative simulations to assess the prospects of achieving a reduction by two-thirds in the under-five mortality rate. The findings indicate that some countries, which have been successful in the past, seem to have used their policy space for fast progress in child mortality, for example by extending vaccination coverage. This is the main reason why future achievements will be more difficult and explains why the authors have a fairly pessimistic outlook.
    Keywords: Population Policies,Health Monitoring&Evaluation,Early Child and Children's Health,Early Childhood Development,Adolescent Health
    Date: 2009–09–09
  6. By: Arusha Cooray;
    Abstract: This study shows that despite a strong empirical association between gender differentials in enrolment ratios and democracy, that democracy alone does not explain gender differentials in education in Africa and Asia. The results indicate that income, employment in agriculture, religious heterogeneity and colonialism also help explain the under-representation of girls in education in these regions. Countries in which the duration of suffrage has been longer, tend to perform better on average in terms of gender equality in education.
    JEL: O11 O15 O43 O57
    Date: 2009–08
  7. By: Yamauchi, Futoshi; Yohannes, Yisehac; Quisumbing, Agnes R.
    Abstract: "This paper uses panel data from Bangladesh, Ethiopia, and Malawi to examine the impacts of disasters on dynamic human capital production. Our empirical results show that accumulation of biological human capital prior to a disaster helps children maintain investments during the post-disaster period. Biological human capital formed in early childhood (for example, good long-term nutritional status) helps insure resilience to disasters by protecting schooling investments and outcomes, even though disasters have negative impacts on the actual investments (for example, by destroying schools). In Bangladesh, children with more biological human capital are less adversely affected by flood, and the rate of investment increases with the initial human capital stock during the post-disaster recovery process. In Ethiopia and Malawi, where droughts are relatively frequent, repeated drought exposure reduces schooling investments in some cases, with larger negative impacts seen among children who embody less biological human capital. Asset holdings prior to disaster (especially intellectual human capital stock in the household) also help maintain schooling investments to at least the same degree as the stock of human capital accumulated in the children prior to the disaster. Our results suggest that as the frequency of natural disasters increases due to global warming, the insurance value of investments in child nutrition will increase. Public investments in child nutrition therefore have the potential to effectively protect long-term human capital formation among children who are vulnerable to natural disasters." from authors' abstract
    Keywords: Disasters, Human capital, Nutrition, Schooling, Self-insurance, Poverty reduction, Social protection, Shocks, Asset dynamics, Education,
    Date: 2009
  8. By: Yamauchi, Futoshi; Yohannes, Yisehac; Quisumbing, Agnes R.
    Abstract: "This paper uses panel data from Bangladesh, Ethiopia, and Malawi to examine the impacts of natural disasters on schooling investments, with a particular focus on the roles of ex-ante actions and ex-post responses. We find that the importance of ex-ante actions depends on disaster risks and the likelihood of public assistance, potentially creating substitution between the two actions. We find that higher future probabilities of disaster increase the likelihood of agents holding more human capital and/or livestock relative to land; this asset-portfolio effect is significant in disaster-prone areas. Our empirical results support the roles of both ex-ante and ex-post (public assistance) responses in coping with disasters, but we see interesting variations across countries. In Ethiopia, public assistance plays a more important role than ex-ante actions in mitigating the impact of shocks on child schooling. In contrast, Malawi households rely more on private ex-ante actions than on public assistance. The Bangladesh example shows that active roles are played by both ex-ante and ex-post actions. These observations are consistent with our findings on the relationship between ex-ante actions and disaster risks. Our results also show that among ex-ante actions, human capital accumulated in the household prior to disasters helps mitigate the negative effects of a disaster in both the short and long runs." from authors' abstract
    Keywords: Natural disasters, Ex-ante actions, Ex-post responses, Human capital investment, Poverty reduction, Social protection, Gender, Childcare and work,
    Date: 2009
  9. By: Omilola, Babatunde
    Abstract: "It has often been argued that new agricultural technologies lead to poverty reduction. This paper argues that any changes in poverty situation attributed to those who adopt new agricultural technology (treatment group) without a counterfactual comparison of carefully selected nonadopters (control group) are likely to be questionable. The paper estimates the effects of new agricultural technology on poverty reduction by employing the “double difference” method on data collected in rural Nigeria. Seeing the agricultural technology–poverty linkage through the lenses of adopters and nonadopters of such new technology provides understanding of the relationship between agricultural technology and poverty. The paper finds that differences in poverty status between adopters and nonadopters of new agricultural technologies (a combination of tube wells and pumps) introduced in rural Nigeria in the late 1980s and early 1990s are alarmingly modest. The paper concludes that new agricultural technology would not expressly lead to poverty reduction in poor countries. The exact channels through which new agricultural technology impact poverty outcomes need to be further explored." from authors' abstract
    Keywords: Poverty, evaluation, Inequality, Impact assessment, Agricultural technology, Difference-in-difference methodology, Development strategies,
    Date: 2009
  10. By: Gbetibouo, Glwadys Aymone; Ringler, Claudia
    Abstract: "This paper analyzes the vulnerability of South African farmers to climate change and variability by developing a vulnerability index and comparing vulnerability indicators across the nine provinces of the country. Nineteen environmental and socio-economic indicators are identified to reflect the three components of vulnerability: exposure, sensitivity, and adaptive capacity. The results of the study show that the region's most vulnerable to climate change and variability also have a higher capacity to adapt to climate change. Furthermore, vulnerability to climate change and variability is intrinsically linked with social and economic development. The Western Cape and Gauteng provinces, which have high levels of infrastructure development, high literacy rates, and low shares of agriculture in total GDP, are relatively low on the vulnerability index. In contrast, the highly vulnerable regions of Limpopo, KwaZulu Natal and the Eastern Cape are characterized by densely populated rural areas, large numbers of small-scale farmers, high dependency on rainfed agriculture and high land degradation. These large differences in the extent of vulnerability among provinces suggest that policy makers should develop region-specific policies and address climate change at the local level." from authors' abstract
    Keywords: Climate change, Agriculture, Vulnerability, Adaptive capacity, Exposure, Sensitivity, Climate variability,
    Date: 2009
  11. By: Omilola, Babatunde
    Abstract: "This paper investigates the contribution of rural non-farm income to income inequality by examining the contribution of specific income sources (farm income from irrigated agriculture, farm income from rainfed agriculture and non-farm income) to income inequality in Nigeria. The results reveal the relative importance of specific income sources to income inequality and the various determinants of income inequality in rural Nigeria. Although non-farm income is distributed more unequally than incomes from the other two sources, it contributes least to overall income inequality. Farm income from irrigated agriculture represents the most important inequality-increasing source of income." from authors' abstract
    Keywords: Non-farm income, Inequality, Development strategies,
    Date: 2009
  12. By: Mason, Patrick
    Abstract: This paper contrasts the explanatory power of the mono-cultural and diversity models of racial disparity. The mono-cultural model ignores nativity and ethnic differences among African Americans. The diversity model assumes that culture affects both intra- and interracial labor market disparity. The diversity model seeks to enhance our ability to understand the relative merits of culture versus market discrimination as determinants of racial inequality in labor market outcomes. Our results are consistent with the diversity model of racial inequality. Specifically, racial disparity consists of the following outcomes: 1) persistent racial wage and employment effects between both native and immigrant African Americans and whites, 2) limited ethnicity effects among African Americans, 3) diverse employment and wage effects among native and immigrant African Americans, 4) intra-racial wage penalties (premiums) for immigrant (native) African Americans, and 5) evidence of relatively higher unobserved productivity-linked attributes among Caribbean-English immigrants. There are regional and intertemporal variations in these inequalities.
    Keywords: racial discrimination; racial inequality; immigration; identity; African American; Caribbean; African Diaspora; wage discrimination; employment discrimination; Hispanic; acting white; multi-racial; skin shade
    JEL: J31 J21 J61 J15 Z13 J7 J16
    Date: 2009–05–25
  13. By: Kato, Edward; Ringler, Claudia; Yesuf, Mahmud; Bryan, Elizabeth
    Abstract: "This study investigates the impact of different soil and water conservation technologies on the variance of crop production in Ethiopia to determine the risk implications of the different technologies in different regions and rainfall zones. Given the production risks posed by climate change, such information can be used by decision makers to identify appropriate agricultural practices that act as a buffer against climate change. Using a household- and plot-level data set, we apply the Just and Pope framework using a Cobb-Douglas production function to investigate the impact of various soil and water conservation technologies on average crop yields and the variance of crop yields, while controlling for several household- and plot-level factors. Results show that soil and water conservation investments perform differently in different rainfall areas and regions of Ethiopia, which underscores the importance of careful geographical targeting when promoting and scaling up soil and water conservation technologies. We find that although soil bunds, stone bunds, grass strips, waterways, and contours all have very significant positive impacts on average crop yields in low-rainfall areas, only soil bunds have significant risk-reducing effects in these areas with low agricultural potential. We also find that irrigation and use of improved seeds have insignificant risk-reducing effects in low-rainfall areas, suggesting that—as currently implemented—these interventions may not be appropriate adaptation strategies for these environments. Regionally, in the low-rainfall areas we find significant spatial heterogeneity, with soil bunds being risk reducing in Oromiya and Amhara, and stone bunds, grass strips, and waterways being risk reducing in the Southern Nations, Nationalities, and Peoples Region. Irrigation was only risk reducing in the high-rainfall areas of Benishangul-Gumuz. These results remain robust even after controlling for the major crops grown on the plot. Results show that soil and water conservation technologies have significant impacts on reducing production risk in Ethiopia and could be part of the country's climate-proofing strategy. However, results also show that one-size-fits-all recommendations are not appropriate given the differences in agro-ecology and other confounding factors." from authors' abstract
    Keywords: Just and Pope, Risk increasing, Risk reducing, Stone bunds, Soil bunds, Waterways, Grass strips, Contours, Soil and water conservation, Low-rainfall areas, High-rainfall areas, Climate change,
    Date: 2009
  14. By: Gustav Ranis (Yale University, Economic Growth Center)
    Abstract: Template-Type: ReDIF-Paper 1.0
    Abstract: This paper reviews the literature on the impact of ethnic diversity on economic development. Ethnically polarized societies are less likely to agree on the provision of public goods and more likely to engage in rent seeking activities providing lower levels of social capital. Initial conditions are important determinants of adverse development outcomes. The role of decentralization, democracy and markets as potential remedies are discussed. The paper then presents a number of preliminary hypotheses on the relationship between diversity and instability in order to stimulate future research.
    Keywords: Africa, Diversity, Economic Growth, Instability
    JEL: O11 O40 O43 O55
    Date: 2009–09
  15. By: Ulimwengu, John M.; Ramadan, Racha
    Abstract: "Almost unaffected by the 2008 wave of soaring world food prices, Ugandan local market prices exhibit signs of high price volatility in the first quarter of 2009. At the household level, while net producers may reap some benefits from this increase in food prices, net consumers are more likely to suffer from it. However, the net consumption impact of food price increase is not as straightforward as reported in previous studies. In this paper, we extend Singh et al. (1986) multimarket model by adding demand elasticities from the Almost Ideal Demand System (AIDS). We use the integrated Ugandan National Household Survey (UNHS) 2005/2006 to estimate a measure of net consumption impact that includes both price and profit effects. Overall, we found that household welfare is expected to decrease with loss in consumption and increase with income gain as a result of higher food prices for the cereals producers. Simulating change in cereals consumption induced by a 50 percent increase in cereals price and taking into account the profit effect, our results predict a 23 percent decrease in food consumption for net sellers, compared with 44 percent when using the consumption approach alone. Accounting for such substitution effects, our results suggest that the impact of rising food prices may be mitigated because some households will attempt to substitute more expensive food items with cheaper ones; however, this apparent coping strategy often leads to a much poorer diet. The results suggest that the majority of households with expected positive income impact, the gainers, live in rural areas. These households also tend to have better access to agricultural services than the nongainers." from authors' abstract
    Keywords: Consumption, Elasticity, Food prices, households, Multimarket, Science and technology, Institutional change, Innovation systems, Supply and demand, Household resource allocation, Gender,
    Date: 2009
  16. By: Thurlow, James; Zhu, Tingju; Diao, Xinshen
    Abstract: "We combined a hydro-crop model with a dynamic general equilibrium (DCGE) model to assess the impacts of climate variability and change on economic growth and poverty reduction in Zambia. The hydro-crop model is first used to estimate the impact of climate variability on crop yields over the past three decades and such analysis is done at the crop level for each of Zambia's five agroecological zones, supported by the identification of zonal-level extreme weather events using a drought index analysis. Agricultural production is then disaggregated into these five agroelcological zones in the DCGE model. Drawing on the hydro-crop model results at crop level across the five zones, a series of simulations are designed using the DCGE model to assess the impact of climate variability on economic growth and poverty. We find that climate variability costs the country US$4.3 billion over a 10-year period. These losses reach as high as US$7.1 billion under Zambia's worst rainfall scenario. Moreover, most of the negative impacts of climate variability occur in the southern and central regions of the country, where food insecurity is most vulnerable to climate shocks. Overall, climate variability keeps 300,000 people below the national poverty line by 2016. A similar method is also used to examine the potential impact of climate change on the economy based on projections of a well-known global climate model and two hypothetical scenarios. We find that the effects of current patterns of climate variability dominate over those of potential climate change in the near future (until 2025). Differences in assumptions regarding rainfall changes influence both the size (to a large degree) and direction (to a lesser extent) of the economic impact of climate change. If rainfall declines by 15 percent, then climate change enhances the negative effects of climate variability by a factor of 1.5 and pushes an additional 30,000 people below the poverty line over a 10-year period. Moreover, the effects of climate change and variability compound each other, with the number of poor people rising to 74,000 if climate change is coupled with Zambia's worst 10-year historical rainfall pattern." from authors' abstract
    Keywords: Climate variability, General equilibrium model, Agriculture, Poverty, Climate change, Development strategies,
    Date: 2009
  17. By: Mason, Patrick L.
    Abstract: Standard analysis of racial inequality incorporates racial classification as an exogenous binary variable. This approach obfuscates the importance of racial self-identity and clouds our ability to understand the relative importance of unobserved productivity-linked attributes versus market discrimination as determinants of racial inequality in labor market outcomes. Our examination of identity heterogeneity among African Americans suggests racial wage disparity is most consistent with weak colorism, while genotype disparity best describes racial employment differences. Further, among African Americans, the wage data are not consistent with the hypothesis that black-mixed race wage disparity can be explained by differences in unobserved productivity-linked productive attributes.
    Keywords: racial discrimination; racial inequality; identity; African American; African Diaspora; wage discrimination; employment discrimination; Hispanic; acting white; multi-racial; skin shade
    JEL: J31 J21 J61 J15 Z13 J7 J16
    Date: 2009–05–25
  18. By: Bagamba, Fred; Burger, Kees; Kuyvenhoven, Arie
    Abstract: "Although there is growing evidence of the increasing role of nonfarm activities in rural livelihoods, there is still relatively little empirical evidence regarding the factors that influence smallholder farmers to diversify into nonfarm activities. This study analyses the factors that influence household labor allocation decisions and demand for farm labor in Uganda. Data were collected from 660 households in three banana-based production zones with divergent production constraints and opportunities. The determinants of demand for hired labor were estimated with the Tobit model. Linear regression was used to estimate reduced-form equations for the time-allocation decisions of household members. Our findings show that household members respond positively to increases in wages, suggesting that they respond to economic incentives. Increased wage rates negatively affect the use of hired labor, but household size has no effect on the use of hired labor, indicating that the economic rationing of labor hiring has more to do with the market wage than family size or composition. Education and road access have positive effects on the amount of time allocated to off-farm activities. Access to off-farm opportunities, however, takes away the most productive labor from farm production. These findings suggest that investment in road infrastructure and education suited to smallholder production needs could help alleviate bottlenecks in labor markets and improve resource allocation between farm and nonfarm sectors." from authors' abstract
    Keywords: Smallholder farmers, Labor demand, Non-farm employment, Land management,
    Date: 2009
  19. By: Anne-Claire Thomas (DIAL, University Paris Dauphine,EURIsCO)
    Abstract: (english) This paper tests if agricultural and climatic shocks have persistent impacts on consumption growth in 7 rural areas from Madagascar. The empirical framework is inspired by a standard Solow growth model. Shocks are introduced directly in the reduced form model as controls for factor productivity and investment level. This model is estimated on a panel of 6175 households observed each year between 1999 and 2004. Fixed effects are introduces to control for unobserved heterogeneity. We use idiosyncratic shocks on agricultural fields due to plant illness or predators and a covariate climatic shock measured by village rainfall deviations from long term means. Growth is measured by consumption growth. We use household total consumption, household per capita consumption, household total food consumption and household per capita food consumption. Estimation results indicate that covariate (rainfall) and idiosyncratic shocks on rice fields have persistent impacts on growth whereas idiosyncratic shocks on other crops than rice have no persistent impact. These average impacts are however not the same along income distribution. Estimation by income quintile shows that idiosyncratic shocks decrease future growth of poor household whereas rich household growth performance is protected against idiosyncratic shocks. Surprisingly, covariate shocks have persistent impact on rich household consumption growth but not on poor household consumption growth. _________________________________ (français) Cet article teste si les chocs agricoles et climatiques négatifs ont un effet persistant sur la croissance de la consommation des ménages dans 7 observatoires du Réseau des Observatoires Ruraux (ROR) à Madagascar. Autrement dit, on examine si un choc négatif sur la production agricole réduit les performances de croissance futures des ménages. Un modèle de croissance néo-classique de type Solow est mobilisé afin de spécifier la relation entre croissance de la consommation, caractéristiques du ménage et chocs. Ce modèle est estimé sous forme réduite sur un panel de 6175 ménages malgaches interrogés chaque année de 1999 à 2004. L’introduction d’effets fixes permet de contrôler pour l’hétérogénéité non observée. Les chocs sont introduits directement dans l’équation comme des variables qui déterminent la productivité des facteurs et le niveau d’investissement. Les chocs étudiés comprennent des chocs idiosyncratiques sur les cultures tels que les maladies des plantes et les destructions par des prédateurs et un choc climatique covarié mesuré par les déviations des précipitations par rapport à leurs moyennes de long terme village par village. Quatre agrégats sont utilisés pour mesurer la croissance : la croissance de la consommation totale du ménage, la croissance de la consommation par tête, la croissance de la consommation alimentaire totale du ménage et la croissance de la consommation alimentaire par tête. Les résultats d’estimation indiquent que les chocs covariés (précipitations) et les chocs idiosyncratiques sur les parcelles de riz réduisent durablement la croissance des ménages. Par contre, les chocs idiosyncratiques sur les autres cultures (maïs, tubercules, autres) n’ont pas d’impact persistant sur la croissance de la consommation. Ces effets moyens ne sont cependant pas homogènes sur toute la distribution des revenus des ménages. Les estimations réalisées par quintile de revenus montrant que les chocs idiosyncratiques ont un impact négatif persistant sur la croissance de la consommation des ménages pauvres tandis que les riches semblent protégés. De manière étonnante, les chocs covariés (précipitations) ont un impact persistent sur la croissance des ménages les plus riches mais pas sur celle des plus pauvres.
    Keywords: risk, poverty, growth, insurance,risque, pauvreté, croissance, assurance
    JEL: O12 D90 R20 Q12
    Date: 2009–09
  20. By: Okoye, B.C; Agbaeze, C.C; Asumugha, G.N; Aniedu, O.C; Mbanaso, E.N.A
    Abstract: This study examined the relationship between farm size and technical efficiency in small holder cassava production in Ideato LGA of Imo state using data from a 2008 farm-level survey of 90 rural households. The study showed a strong inverse relationship between farm size and technical efficiency. Smaller farms are found to be more technically efficient, than larger farms. These results favour land redistribution policies targeted towards giving lands to the small-holder farmers. Policies of de-emphasizing cassava production in the estate sector while encouraging it in smallholdings will foster equity and efficiency.
    Keywords: Farm Size; Productivity and Technical Efficiency
    JEL: D6 D61
    Date: 2009
  21. By: Owojori, Anthony A.
    Abstract: This paper focuses on an application of Information Communication and Technology in Nigeria Financial Institution like the use of Automated Teller Machine (ATM), Smart Cards etc. It also embraces the role of information technology in our contemporary environment. The computerization of Nigeria financial institution was not left out from the discussion of the subject matter. The value of information communication and technology in financial institution together with methodology and hypothesis were critically analysed to consolidate the important of information technology in financial institution. Finally, the summary and recommendations were given to enhance the greater efficiency in Banking Industry in the post consolidation and recapitalization of financial Institution.
    Keywords: Automated Teller Machine; information and communications technology; technological breakthroughs; centralized architecture; global depository receipt
    JEL: G21
    Date: 2009–08–25
  22. By: Copestake, James; Camfield, L
    Abstract: The paper sets out an approach to assessing people's wellbeing that focuses on their perceived attainment of life goals. Section 1 explains the motivation for seeking new ways of measuring subjective wellbeing in developing countries. Section 2 briefly reviews relevant literature and process of designing the data collection instrument (referred to as the WeDQoL). Sections 3 and 4 present illustrative empirical findings from its use in Bangladesh, Ethiopia, Peru and Thailand. Section 5 concludes that much scope remains for developing new tools, like the WeDQoL, usefully to inform public policy in developing countries.
    Date: 2009–02

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