Interlinked credit and farm intensification: evidence from Kenya

This paper addresses the potential for interlinked credit/input/output marketing arrangements for particular cash crops to promote food crop intensification. Using panel survey data from Kenya, we estimate a household fixed-effects model of fertiliser use per hectare of food crops, using an instrumental variables approach for addressing the endogeneity of participation in interlinked credit arrangements. Results indicate that households engaging in interlinked marketing programs for selected cash crops applied considerably greater fertiliser on other crops (primarily cereals) not directly purchased by the cash crop trading firm. These findings suggest that, in addition to the direct stimulus that interlinked cash crop marketing arrangements can have on small farmer incomes, these institutional arrangements may provide spill-over benefits for the productivity of farmers' other activities such as food cropping.     

Cash cropping and food crop productivity: synergies or trade‐offs?

The case for promoting export‐oriented cash crops in Africa has generally been based on their direct potential contribution to agricultural productivity and small farmer incomes. A relatively neglected avenue of research concerns the synergistic effects that cash cropping can have on other household activities, including food production. The conventional view that cash crops compete with food crops for land and labour neglects the potential for cash crop schemes to make available inputs on credit, management training, and other resources that can contribute to food crop productivity, which might otherwise not be accessible to farmers if they did not participate in cash crop programs. This article builds on previous research by hypothesising key pathways by which cash crops may affect food crop activities and empirically measuring these effects using the case of cotton in Gokwe North District in Zimbabwe. Analysis is based on instrumental variable analysis of survey data on 430 rural households in 1996. Results indicate that—after controlling for household assets, education and locational differences—households engaging intensively in cotton production obtain higher grain yields than non‐cotton and marginal cotton producers. We also find evidence of regional spill‐over effects whereby commercialisation schemes induce second round investments in a particular area that provide benefits to all farmers in that region, regardless of whether they engage in that commercialisation scheme. The study suggests that the potential spill‐over benefits for food crops through participation in cash crop programs are important to consider in the development of strategies designed to intensify African food crop production.     

Investment Opportunity Set and Voluntary Disclosure of Prospective Information: A Simultaneous Equations Approach

Abstract:   This paper examines empirically the relationship between the level of disclosure of prospective information and the investment opportunity set for firms in New Zealand. Using a systems (two‐stage least squares) approach that explicitly controls for potential endogeneity between disclosure and IOS, we find that the level of prospective information disclosure is significantly and positively related to IOS in both specifications in our simultaneous analysis. Further, we document that prospective information disclosure is positively related to firm size and new security offerings, and is not related to inside ownership and firm profitability. IOS is positively impacted by a firm's investments in fixed assets and its profitability. Finally, we find that forward looking disclosure levels are positively related to the proportion of outside directors on the board and negatively related to barriers to entry, but these findings are not robust across alternative model specifications.     

'Design-led' Urban Regeneration: a Critical Perspective

This paper develops a critical perspective on 'design-led' urban regeneration, which is a fuzzy term used to describe a diverse raft of economic development strategies. A definition of design is outlined and then utilised in an assessment of a number of local and regional design-led urban regeneration schemes. A more detailed critique of one such project, the North Staffordshire Design Initiative, is then undertaken. We argue that there is a lack of best practice models and empirical research to guide policy makers.     

The effect of management commitment to service quality on frontline employees' affective and performance outcomes: an empirical investigation of the New Zealand public healthcare sector

• Very little attention has been given to understand the antecedents of service recovery performance in a public healthcare setting. In this study, a cross-sectional survey investigates a model of service recovery performance. Frontline hospital employees completed a self-administered questionnaire on how factors characterising management commitment to service quality (MCSQ) affect their service recovery efforts. The results suggest the influence of MCSQ is mediated by frontline employees' affective commitment to their hospital. The research advances understanding of frontline service recovery performance in a public healthcare setting and the findings indicate that public healthcare managers can take actions on a number of fronts to assist progress towards the achievement of frontline service recovery excellence.

Copyright © 2006 John Wiley & Sons, Ltd.     

Market perceptions of discretionary accruals by debt renegotiating firms during economic downturn

This study addresses how a stock market prices earnings components around a sudden and severe economic downturn. In particular, the study examines the market valuation of discretionary accruals for debt renegotiating Malaysian firms during the Asian financial crisis. Our analysis shows that negative discretionary accruals for debt renegotiating firms are associated with higher market values of equity and are not related to the firms' future earnings. These findings are consistent with investors placing a positive value on the probability that negative accruals increase the likelihood that concessions can be extracted from lenders during renegotiation. In contrast, discretionary accruals for a control sample of non-debt renegotiating firms are not significantly associated with stock prices but are positively associated with future earnings.     

Just How Prepared Are You? An Application of Marketing Segmentation and Theory of Planned Behavior for Disaster Preparation

The threat of a disaster is very real for many, and preparation is vital. To identify differences in how people respond to disaster preparation, a segmentation approach may be useful. Based on a survey, cluster analysis and application of the theory of planned behavior, this study finds four segments in the population. The unprepared and uninterested segment may be encouraged by associating preparation tasks with benefits other than disaster resilience. Willing but could do more may respond to information highlighting that government support may not be enough in a disaster. For it’s just too difficult, barriers need to be addressed, lowering costs of preparation and changing perceptions of difficulty. Those in knowing, interested, and prepared could be encouraged to help spread the word of the importance of preparation. Further recommendations are made for the wider public policy context, including a call for more segmentation approaches to build understanding and resilience.     

Rural in-migration and agricultural development: Evidence from Zambia

While a considerable body of literature has developed in recent years around the drivers and consequences of rural out-migration in sub-Saharan Africa, relatively little work has been done to understand the impacts of migration into rural areas. We use nationally representative household survey data from Zambia to explore the relationship between rural in-migration and agricultural productivity outcomes in receiving communities. We document high levels of rural in-migration throughout Zambia—12% of rural household heads having moved from elsewhere within the previous 10 years—with two-thirds of rural in-migrants originating from other rural areas. Migrants are, on average, better endowed with capital resources than their nonmigrant neighbors and are more engaged with input and output markets. After controlling for other factors, we find that higher rates of rural in-migration are associated with greater agricultural productivity outcomes in receiving communities. These positive associations are particularly pronounced in more remote rural areas, and where in-migration originates from other rural areas. Taken together, our results suggest that rural in-migrants play an important role in the rural transformation processes underway in Zambia.