The economic and poverty impacts of maize research in West and Central Africa

This article assembles the results of three multicountry surveys on variety performance and adoption patterns to measure the impacts of maize research in West and Central Africa from 1981 to 2005, and uses cost data since 1971 to compute social rates of return on public investments in maize research in the region. Adoption of modern varieties increased from less than 5% of the maize area in the 1970s to about 60% in 2005, yielding an aggregate rate of return on research and development (R&D) investment of 43%. The estimated number of people moved out of poverty through adoption of new maize varieties rose gradually in the 1980s to more than one million people per year since the mid 1990s. Over half of these impacts can be attributed to international maize research at IITA and CIMMYT. The article concludes with a discussion of strategic options to enhance the impacts of maize research in the region.     

Achievements and gaps in tef productivity improvement practices in the marginal areas of Northern Ethiopia: implications for future research directions

Tef is the most important crop in Ethiopia and is well-adapted to growing environments, but grain yields are low. The government is therefore promoting the adoption of improved varieties, inorganic fertilizers and new planting techniques. This study gathered information on the use of new agronomic practices and barriers to their adoption through a semi-structured questionnaire administered to 60 farmers or respondents from each of 4 districts of Tigray region in northern Ethiopia viz Laelay-Maichew, Medebay-Zana, Ahferom and Alamata. Data were coded and analysed using SPSS software. Except for animal feed and crop rotation, there were significant differences between districts in the relative importance of several criteria for different uses. Improved varieties were used by the majority of respondents in all districts and fertilizers in all except Alamata where severe moisture stress dictated the choice of variety and reduced fertilizer application. Weed control was mainly by hand except in Alamata where chemical control was common because of the predominance of broad-leaved weeds. Transplanting maximized the yield of tef, but a cost–benefit analysis showed that row sowing was more profitable. The study concluded that new varieties better adapted to the likelihood of reduced rainfall and that respond efficiently to fertilizer inputs need to be developed. Until suitable technologies are available, high labour costs would in part dictate some agronomic practices, even if this led to lower yields.     

Privatization and capital formation in developing countries: an empirical analysis

The spur for privatization and its impact on economic performance have been analysed from many perspectives, including microeconomics, macroeconomics, and institutional economics. Previous research has focused on efficiency reasons for privatization at the level of the firm, and the relative performance of state‐owned enterprises and privately owned firms. This article investigates the macroeconomic facet of privatization with particular attention paid to the relation between privatization and capital formation in developing countries. Our study uses recent World Bank data on privatization for 105 countries over the time period 1988–2003. We explore the impact of privatization on capital formation by conducting two‐stage least squares and ordinary least squares estimations within three time frames. Our findings indicate that the effect of privatization on capital formation varies across regions and time frames. In general, privatization is neutral with regard to investment.     

Can information alone change behavior? Response to arsenic contamination of groundwater in Bangladesh

We study how effectively information induces Bangladeshi households to avoid a health risk. The response to information is large and rapid; knowing that the household's well water has an unsafe concentration of arsenic raises the probability that the household changes to another well within one year by 0.37. Households who change wells increase the time spent obtaining water fifteen-fold. We identify a causal effect of information, since incidence of arsenic is uncorrelated with household characteristics. Our door-to-door information campaign provides well-specific arsenic levels without which behavior does not change. Media communicate general information about arsenic less expensively and no less effectively.     

The role of Malawian local government in community development

The promotion of basic elements of good governance including community involvement through a decentralised local governance system has been at the centre stage since the advent of the multiparty democracy in Malawi in the 1990s. This article examines the role of Malawian local government in community development and analyses the context of community involvement in local governance. The article is primarily based on documentary research, which includes journal and newspaper articles, and interviews with senior district assembly officials and local people. The major conclusions drawn are that, firstly, the decentralisation process tends to feature the district assembly very highly, with little clarity on how community-based institutions are integrated into the local government system. Secondly, the political, socio-economic and administrative factors prevailing at the local level need to be addressed pragmatically for efficient and effective community participation in development.     

Unequal but essential: How subsistence consumer–entrepreneurs negotiate unprecedented shock with extraordinary resilience during COVID‐19

We use qualitative interviews to study subsistence consumers confronting the global, pervasive and extended challenges of COVID‐19, encompassing literally all realms of daily life. For subsistence consumers whose circumstances are filled with day‐to‐day uncertainty and a small margin of error to begin with, the pandemic has led to manifold uncertainties and a disappearing margin of error, with potentially lethal consequences. Their constraints to thinking and lack of self‐confidence arising from both low income and low literacy are magnified in the face of the complex, invisible pandemic and the fear and panic it has caused. Characteristic relational strengths are weakened with social distancing and fear of infection. Yet, subsistence consumers display humanity in catastrophe, and confront the uncontrollable by reiterating a higher power. Consumption is reduced to the very bare essentials and income generation involves staying the course versus finding any viable alternative. We derive implications for consumer affairs.     

Has Adoption of IFRS Increased Non–North American Institutional Investment in the Canadian Stock Markets?

We investigate whether non–North American (non‐NA) institutional investment in firms listed on the Canadian stock markets increased between the pre‐ and post‐IFRS adoption periods relative to such investment in firms listed on the U.S. stock markets. Prior to IFRS adoption, Canada had high‐quality financial reporting standards that were similar to the U.S. standards. As consequences of IFRS adoption, Canadian financial statements became more comparable with European and other IFRS country financial statements and less comparable with neighboring U.S. financial statements. Thus, a question of interest is whether the enhanced comparability with non‐NA companies was beneficial in terms of attracting non‐NA investment to Canadian companies versus U.S. companies. We find that there was no significant change in non‐NA institutional investment in Canadian firms relative to U.S. firms for the very largest (fifth quintile) and for smaller (first, second, and third quintiles) Canadian companies. However, intermediate‐sized Canadian companies in the fourth size quintile lost non‐NA institutional investment relative to their U.S. peer companies, suggesting that non‐NA investors cared more about comparability with U.S. peer companies than non‐NA peer companies for companies in this size quintile.     

Executive risk incentives,product market competition,and R&D

Prior studies have examined the relation between product market competition (PMC) and research and development (R&D) investments, while the impact of executive risk incentives on this relation remains unexplored. In this study, we find that Vega (the sensitivity of executives’ wealth to stock return volatility) weakens the negative relation between PMC and R&D. We also find that Vega strengthens the negative relation between PMC and firm performance when R&D investments grow higher. In sum, our results suggest that high‐Vega compensation portfolios in competitive environments may induce executives to overinvest in R&D projects, therefore hurting firm performance.