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Article
Publication date: 25 April 2024

Muhammad Zubair Mumtaz

Financial inclusion and digital finance go side by side and help enhance agricultural activities; however, the magnitude of digital financial services varies across countries. In…

Abstract

Purpose

Financial inclusion and digital finance go side by side and help enhance agricultural activities; however, the magnitude of digital financial services varies across countries. In line with this argument, this study aims to examine whether financial inclusion enhances agricultural participation and decompose the significance of the difference in determinants of agricultural participation between financially included – not financially included households and digital finance – no digital finance households.

Design/methodology/approach

This study uses Pakistan’s household integrated economic survey 2018/19 to test hypotheses. The logit model is used to examine the effect of financial inclusion on agriculture participation. Moreover, this study employs a nonlinear Fairlie Oaxaca Blinder technique to investigate the difference in determinants of agricultural participation.

Findings

This study reports that financial inclusion positively influences agricultural participation, meaning households may have access to financial services and participate in agricultural activities. The results suggest that the likelihood of participating in agriculture in households with mobiles and smartphones is higher. Moreover, household size, income, age, gender, education, urban, remittances from abroad, fertilizer, pesticides, wheat, cotton, sugarcane, fruits and vegetables are the significant determinants of agricultural participation. To distinguish the financially included – not financially included households’ gap, this study employs a nonlinear Fairlie Oaxaca Blinder decomposition and finds that differences in fertilizer explain the substantial gap in agricultural participation. Likewise, this study tests the digital finance – no digital finance gap and finds that the difference in fertilizer is a significant contributor, describing a considerable gap in agricultural participation.

Research limitations/implications

Empirically identified that various factors cause agricultural participation including financial inclusion and digital finance. Regarding the research limitation, this study only considers a developing country to analyze the findings. However, for future research, scholars may consider some other countries to compare the results and identify their differences.

Practical implications

The accessibility of fertilizer can reduce the agricultural participation gap. However, increased income level, education and cotton and sugar production can also overcome the differences in agriculture participation between digital finance and no digital finance households.

Originality/value

This is the first study to decompose the difference in determinants of agricultural participation between financially and not financially included households.

Details

Agricultural Finance Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0002-1466

Keywords

Article
Publication date: 18 October 2019

Martinson Ankrah Twumasi, Yuansheng Jiang and Monica Owusu Acheampong

The purpose of this paper is to determine the factors influencing rural youth farmers’ credit constraints status and the effect of credit constraint on the intensity of…

Abstract

Purpose

The purpose of this paper is to determine the factors influencing rural youth farmers’ credit constraints status and the effect of credit constraint on the intensity of participation of these farmers in Ghana.

Design/methodology/approach

The econometric estimation is based on cross-sectional data collected in 2018 from the Brong Ahafo region in Ghana. The sample data set consists of 450 rural youth farmers. The collected data were analyzed through different econometric techniques, using the endogenous switching regression model (ERSM).

Findings

The direct elicitation approach employed in this study revealed that out of the 450 farmers, 211 (47 percent) of the respondents were credit constrained compared to 239 (53 percent) of their counterparts who were unconstrained. The ERSM indicated that youth farmers education, age, savings, parents occupation reduced the probability of the rural youth farmer to be credit constrained but cumbersome loan application procedure and loan disbursement time positively affect credit constraint. Moreover, farmers that are credit constrained have lower intensity of participation in agriculture activities than a random farmer from the sample. This suggests that access to credit has a positive impact on the intensity of participation in agriculture activities.

Research limitations/implications

In this study, only rural youth farmers in a particular region were considered. However, there are youths all over the nation. Therefore, future researchers could consider other youth’s farmers elsewhere in the country.

Originality/value

Although existing studies have examined rural youth farmers’ participation in agriculture and credit constraint separately, the unique contribution of this paper is the analysis of credit constraint of rural youth farmers as well as the impact of credit constraint on the intensity of participation in agriculture activities.

Details

Agricultural Finance Review, vol. 80 no. 1
Type: Research Article
ISSN: 0002-1466

Keywords

Article
Publication date: 1 November 1997

Beth Vanfossen and Frances Rothstein

The post‐World War ? period has been one of intense development activity throughout the world. Lesser developed countries have showed significant economic growth throughout this…

Abstract

The post‐World War ? period has been one of intense development activity throughout the world. Lesser developed countries have showed significant economic growth throughout this time‐span. Among the many consequences which are attributed to development, changes in gender relations are often mentioned. However, prior research has been unable to establish conclusively how economic development is related to gender inequality, particularly as this is referenced by women's participation in important economic activities. For example, some researchers have found that as development increases, women's participation in and return from the economy declines, others that it increases, and several have suggested it first declines then increases. Similar uncertainties exist about how an increasing emphasis on producing goods for export, and the often‐accompanying reliance on foreign investment, affects women's work. Recent research also suggests that the consequences of development are more diverse than previously thought. Recognition of the diversity requires greater specification of the links between developmental diversity and women's labor force participation.

Details

International Journal of Sociology and Social Policy, vol. 17 no. 11/12
Type: Research Article
ISSN: 0144-333X

Book part
Publication date: 9 December 2013

Sudha Kornginnaya

To describe the Pragathi Bandhu Groups (PBG) Model and portray the performance of PBG farmers encouraged by their financial and decision-making participation in micro financing…

Abstract

Purpose

To describe the Pragathi Bandhu Groups (PBG) Model and portray the performance of PBG farmers encouraged by their financial and decision-making participation in micro financing and labor sharing, as well as to analyze the factors that influenced participation of small farmers in PBG.

Design/methodology/approach

The empirical study is confined to the small farmers and laborers of PBG functioning in the coastal districts of Karnataka State in India. The study is conducted in Belthangady and Bantwal Taluks of Dakshina Kannada (DK) Districts-Udupi taluk of Udupi District in the State of Karnataka. Primary data from 100 farmer members, selected at random in each of the Taluks, is collected through personal interview by administering semi-structured interview schedules and open discussion. In addition, the data on the functions and the performance of PBG in the State of Karnataka in India are also collected from the official records of Shri Kshetra Dharmasthala Rural Development Project (SKDRDP) and their field-level functionaries through informal discussions. Factor analysis is performed with principal component analysis followed by Varimax rotation to analyze the factors that influenced participation of small farmers in PBG.

Findings

Results show that the implementation of PBG Model, through the collective participation of small farmers in micro financing, free labor sharing, financial and decision-making activities underlying the functions of PBG Model, has helped them to achieve robust performance in terms of increased savings mobilization, loan utilization, and value of free labor sharing and acres of land brought under cultivation with the help of irrigation facilities created by them. The factor analysis has derived four factors that influenced the participation of farmers in PBG (agriculture development, financial participation, capacity building, and other benefits) which explain 63.701 of total factor variance.

Practical implications

The findings of this paper can benefit the small farmers and laborers in replicating the PBG Model and its initiatives that address shortages of labor and credit, as well as the high cost of labor, particularly in the unorganized sector in the agrarian economy.

Originality/value

The insights offered are likely to be beneficial to the distressed small farmers, development agencies, and agriculture policy makers to solve the agrarian crisis caused due to shortages of labor and farm credit.

Details

Sharing Ownership, Profits, and Decision-Making in the 21st Century
Type: Book
ISBN: 978-1-78190-750-4

Keywords

Article
Publication date: 8 January 2021

Richard Kwasi Bannor, Mohit Sharma and Helena Oppong-Kyeremeh

The study attempted to assess the food security status of urban agriculture households in Ghana and India. Also, the extent of urban agriculture participation and its effect on…

Abstract

Purpose

The study attempted to assess the food security status of urban agriculture households in Ghana and India. Also, the extent of urban agriculture participation and its effect on food security in Ghana and India were examined.

Design/methodology/approach

A total of 650 urban agriculture farmers were interviewed for this study in Ghana and India. Food security status of urban households was assessed by the use of the Household Food Insecurity Access Scale, whereas the determinants of the extent of urban agriculture and its effect on food security were analysed by the use of the heteroskedastic linear regression and the Seemingly Unrelated Regression models, respectively.

Findings

From the study on average, households in Ghana were mildly food insecure, but that of India was moderately food insecure. The results further revealed that various demographic, economic, institutional and health and nutrition factors differently influenced urban food security and urban agriculture. Also, the extent of urban agriculture participation positively influenced food security.

Originality/value

Several studies in Asia (India) and Africa (Ghana) on urban food security have been geographically limited to New Delhi, Mumbai and Greater Accra, with few studies in the Middle Belt of Ghana, and Bihar in India. Besides, there is a limited, rigorous, empirical study on the effect of the extent of UA on food security in Asia (India) and Africa (Ghana) individually and together. Moreover, we extend the frontiers of the methodological approach by applying the Seemingly Unrelated Regression (SUR) model to understand if the factors that affect food-security accessibility based on two food security accessibility tools are correlated.

Details

International Journal of Social Economics, vol. 48 no. 3
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 2 August 2019

Wasiu Olayinka Fawole and Burhan Ozkan

The purpose of this paper is to investigate the willingness of unemployed graduates to participate in agriculture with a view to showcase the potentials in Nigerian agriculture

Abstract

Purpose

The purpose of this paper is to investigate the willingness of unemployed graduates to participate in agriculture with a view to showcase the potentials in Nigerian agriculture especially in the area of employment generation for the youths.

Design/methodology/approach

The study made use of primary data collected with the aid of structured questionnaires from 180 respondents from the three states of Ondo; Oyo and Osun states are the representative states from the entire South West. The binary logistic regression model was used to identify those factors that influence the willingness of the respondents who were graduates of various disciplines to participate in agriculture.

Findings

The findings of the study showed that the majority of the respondents interviewed representing 62.8 percent were unemployed with the majority of the respondents (68.3 percent) willing to participate in agriculture given the needed and required supports such as conducive environment by the stakeholders particularly the government. Educational status, marital status, gender, possession of agricultural training and employment status of respondents significantly influenced their willingness to participate in agriculture.

Research limitations/implications

The greatest limitation of this study is its sample size which is considerably small but considering the peculiarity in the challenges faced by the entire population; this limitation has been overcome, thus, making its findings valid for policy purposes. However, recommendations for further studies that would comprise the entire geopolitical zones of the country to pave way for comparative analysis were made.

Originality/value

The study is originally carried out by conducting a survey to collect the data and is coming to fill the existing gap in the literature in terms of potentials embedded in Nigerian agriculture to assist the government in providing employment opportunities for teeming youths.

Details

Journal of Economic Studies, vol. 46 no. 3
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 14 August 2023

Paul Kachepa and Muhammad Zubair Mumtaz

This study investigates the factors influencing household financial choices in Malawi. The authors also compare how household financial decisions differ in urban and rural areas.

Abstract

Purpose

This study investigates the factors influencing household financial choices in Malawi. The authors also compare how household financial decisions differ in urban and rural areas.

Design/methodology/approach

The authors utilize the logit model to examine the factors that influence household financial decisions using the Malawi Integrated Household Survey 2019–20, while Oaxaca–Blinder decomposition is used to estimate the variations in household financial decisions between urban and rural areas.

Findings

The authors find that the likelihood of saving increases with income, secondary and tertiary education, and age. The likelihood of saving also decreases with household size and remittances. Additionally, the authors report that marriage reduces the likelihood of loans, whereas sex, age, and income raise the likelihood of loans. According to this study’s findings, income discrepancies between urban and rural samples account for most observed household financial variations. The authors also find that most of the observed variations in household financial decision-making between urban and rural households are reduced when income equality, participation in agriculture, university education, and household size are considered.

Originality/value

Using data from the Malawi Integrated Household Survey 2019–20, this research analyzes the components that affect household financial decisions. While most studies only look at one component of household finances, this study concurrently addresses debt and savings. The study also evaluates whether changes in the variables between urban and rural households impact those households' financing choices.

Details

African Journal of Economic and Management Studies, vol. 14 no. 4
Type: Research Article
ISSN: 2040-0705

Keywords

Article
Publication date: 7 July 2020

Ujjwal Kanti Paul, Gurudas Das, Malabika Das and Tanuj Mathur

The existing literature on linking growers directly with the market mostly overlooks the case of smallholders. They grow commercial–perishable crops and have to rely on the…

Abstract

Purpose

The existing literature on linking growers directly with the market mostly overlooks the case of smallholders. They grow commercial–perishable crops and have to rely on the efficacy of the marketing system. The present paper intends to fill this void.

Design/methodology/approach

The paper studies the performance of two local markets among 216 pineapple producers and 50 traders using the structure–conduct–performance framework. Following which the authors attempt to unravel the determinants of growers' direct participation in the market and the impact of such involvement on the farm income using the Heckman two-stage treatment effect model.

Findings

The study analysis shows that the likelihood of growers’ direct participation in markets, found oligopolistic, increases with education, price information and family labor unit, while decreases with the growers' age, distance from market and the footfall of intermediaries at the farm gate. The second stage of the model has established a positive impact of participation on farm income.

Research limitations/implications

The small sample size could restrict generalization. The authors used only operating efficiency as an indicator of the performance of the marketing system due to the unavailability of district-level time series data on pineapple pricing.

Originality/value

This study shows that local food markets are oligopolistic. Growers fetch very less share in consumers' price and become vulnerable to food insecurity. The study highlights the determinants of growers' direct participation in the local market and the impact of such involvement on farm income.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 11 no. 3
Type: Research Article
ISSN: 2044-0839

Keywords

Article
Publication date: 24 May 2013

Nigel Poole, Fernando Álvarez, Nora Penagos and Roberto Vázquez

The purpose of this paper is to argue for appropriate formal education for rural young people in order to sustain and enhance viable rural communities.

Abstract

Purpose

The purpose of this paper is to argue for appropriate formal education for rural young people in order to sustain and enhance viable rural communities.

Design/methodology/approach

In reviewing the literature, it bridges the gap between thinking on education and development respectively, and links schooling with the concepts of livelihoods, human and social capital and life‐skills. By way of example, it summarises an empirical study of the content and delivery of tele‐education among indigenous communities in Chiapas, Mexico.

Findings

Developing and emerging economies and regions should prioritise effective and efficient rural education which incorporates practical and technical skills appropriate to the rural context in order to include young people in the agricultural development and agribusiness of rural areas. This means delivery of education that is rural, local and particular to the context, with appropriate technology, pedagogy and curriculum.

Research limitations/implications

The concepts and argument are of wide significance. The case study findings should not be readily generalised but the implications will relevant to many remote and marginalised communities where the rural economy is weak, opportunities are few and education resources are scarce.

Originality/value

The paper links different literatures and, by also drawing on empirical evidence consistent with the literature, makes a case for a significant reorientation of rural education towards appropriate life‐skills in order to create viable rural livelihoods.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 3 no. 1
Type: Research Article
ISSN: 2044-0839

Keywords

Article
Publication date: 28 March 2022

Godfrey Moses Owot, Kenneth Olido, Daniel Micheal Okello and Walter Odongo

The purpose of this study is to analyze trust perceptions between farmers and traders from a dyadic context in developing countries using mixed-method with a specific focus on…

Abstract

Purpose

The purpose of this study is to analyze trust perceptions between farmers and traders from a dyadic context in developing countries using mixed-method with a specific focus on fresh and dry commodities under contracted and non-contracted markets.

Design/methodology/approach

A mixed approach was employed. Cross-sectional data were collected from 202 farmers and 188 traders using questionnaires and an interview guide. The Mann–Whitney test was used to assess differences in trust perception. Differences in the excerpts were assessed through content analysis.

Findings

Results show differences in perception of trust between farmers and traders on integrity, benevolence and competence in marketing fresh and dry commodities. No detectable differences in trust perception between contract and non-contract markets were observed.

Research limitations/implications

Data are limited to Northern Uganda and were collected on trust perception. Besides, there is a scarcity of formal contracts and difficulty in having a matched dyad which could affect generalization.

Originality/value

This is the first study to analyze differences in trust perceptions using a mixed approach in a dyadic context between fresh and dry chains in different markets typologies in developing countries.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 13 no. 4
Type: Research Article
ISSN: 2044-0839

Keywords

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