Department of Agricultural Economics
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- ItemBoard independence and Corporate Social Responsibility (CSR) reporting in Malaysia(University of Wollongong, 2017) Ahmad, Nurulyasmin Binti Ju; Rashid, Afzalur; Gow, JeffThis study aims to examine the influence of board independence on corporate social responsibility (CSR) reporting by publicly listed companies in Malaysia. Content analysis was used to determine the extent of CSR reporting. A reporting index consisting of 51 items was developed based on six themes: General, Community, Environment, Human Resources, Marketplace and Other. An Ordinary Least Square (OLS) regression was used to examine the relationship between board independence and firm CSR reporting. The results indicate that the association between board independence and company CSR reporting is industry specific. Overall, the empirical evidence partially supports agency theory.
- ItemBoard meeting frequency and corporate social responsibility (CSR) reporting : evidence from Malaysia(Virtus Interpress, 2017) Ju Ahmad, Nurulyasmin Binti; Rashid, Afzalur; Gow, JeffThis study aims at determining the effectiveness of board meeting frequency on Corporate Social Responsibility (CSR) reporting by public listed companies on the Main Market of Bursa Malaysia. A CSR reporting index consisting of 51 items was developed based on six themes: General, Community, Environment, Human Resource, Marketplace and Other. A content analysis was used to determine the extent of CSR reporting. An Ordinary Least Square (OLS) regression was employed in determining the association between board meeting frequency and CSR reporting. The finding of the study is that advising tendency (frequency of board meetings) is not associated with CSR reporting. Overall this study strengthens the idea that advising tendency of the board is essential to companies in order to safeguard all stakeholders’ interests. Accordingly, regulators and policymakers should be more stringent in monitoring company’s conformance towards regulations. This study provides a new avenue of knowledge and contributes to the literature on the practices of the board of directors and corporate social responsibility reporting in the context of a semi-developed country.
- ItemClearing invasive alien plants as a cost-effective strategy for water catchment management : the case of the Olifants river catchment, South Africa(AOSIS Publishing, 2016) Morokong, Tshepo; Blignaut, James; Nkambule, Nonophile; Mudhavanhu, Shepherd; Vundla, ThulileInvasive alien plants have a negative impact on ecosystem goods and services derived from ecosystems. Consequently, the aggressive spread of invasive alien plants (IAPs) in the river catchments of South Africa is a major threat to, inter alia, water security. The Olifants River catchment is one such a catchment that is under pressure because of the high demand for water from mainly industrial sources and unsustainable land-use, which includes IAPs. This study considered the cost-effectiveness of clearing IAPs and compared these with the cost of a recently constructed dam. The methods used for data collection were semistructured interviews, site observation, desktop data analysis, and a literature review to assess the impact of IAPs on the catchment’s water supply. The outcomes of this study indicate that clearing invasive alien plants is a cost-effective intervention with a Unit Reference Value (URV) of R1.44/m3, which compares very favourably with that of the De Hoop dam, the URV for which is R2.93/m3. These results suggest that clearing invasive alien plants is a cost-effective way of catchment management, as the opportunity cost of not doing so (forfeiting water to the value of R2.93/m3) is higher than that of protecting the investment in the dam.
- ItemCost of illness for outpatients attending public and private hospitals in Bangladesh(BMC (part of Springer Nature), 2016) Pavel, M. D. Sadik; Chakrabarty, Sayan; Gow, JeffBackground: A central aim of Universal Health Coverage (UHC) is protection for all against the cost of illness. In a low income country like Bangladesh the cost burden of health care in tertiary facilities is likely to be significant for most citizens. This cost of an episode of illness is a relatively unexplored policy issue in Bangladesh. The objective of this study was to estimate an outpatient’s total cost of illness as result of treatment in private and public hospitals in Sylhet, Bangladesh. Methods: The study used face to face interviews at three hospitals (one public and two private) to elicit cost data from presenting outpatients. Other socio-economic and demographic data was also collected. A sample of 252 outpatients were randomly selected and interviewed. The total cost of outpatients comprises direct medical costs, non-medical costs and the indirect costs of patients and caregivers. Indirect costs comprise travel and waiting times and income losses associated with treatment. Results: The costs of illness are significant for many of Bangladesh citizens. The direct costs are relatively minor compared to the large indirect cost burden that illness places on households. These indirect costs are mainly the result of time off work and foregone wages. Private hospital patients have higher average direct costs than public hospital patients. However, average indirect costs are higher for public hospital patients than private hospital patients by a factor of almost two. Total costs of outpatients are higher in public hospitals compared to private hospitals regardless of patient’s income, gender, age or illness. Conclusion: Overall, public hospital patients, who tend to be the poorest, bear a larger economic burden of illness and treatment than relatively wealthier private hospital patients. The large economic impacts of illness need a public policy response which at a minimum should include a national health insurance scheme as a matter of urgency.
- ItemA cost-benefit analysis of using Rooikrans as biomass feedstock for electricity generation : a case study of the De Hoop nature reserve, South Africa(AOSIS Publishing, 2016) Mudavanhu, Shepherd; Blignaut, James; Nkambule, Nonophile; Morokong, Tshepo; Vundla, ThulileInvasive alien plants (IAPs) like Rooikrans (Acacia Cyclops) have several undesirable effects on both the natural environment and the social, economic and cultural wellness of society in the De Hoop nature reserve of the Western Cape Province. A few of these negative effects are: the change in coastal sediment dynamics, the change in seed dispersal dynamics, and the fact that it is overtaking native plants. However, Rooikrans can also potentially be used as biomass feedstock for electricity generation. Following a system dynamics modelling approach, the feasibility of using woody biomass from Rooikrans was investigated. The RE-model used data obtained from the Department of Environmental Affairs’ (DEA) Natural Resource Management (NRM) division, consulted with experts and conducted literature reviews with respect to the subject matter. Three scenarios were tested and the RE-model results showed that all scenarios have a positive cumulative Net Present Values (NPVs), with the exception of the baseline case scenario. This study shows that the production of electricity using Rooikrans woody biomass is a viable and feasible option in comparison with electricity production by diesel generators.
- ItemDevelopment of a richer measure of health outcomes incorporating the impacts of income inequality, ethnic diversity, and ICT development on health(BMC (part of Springer Nature), 2018) Rana, Rezwanul Hasan; Alam, Khorshed; Gow, JeffBackground: In the literature, measuring health outcomes usually entails examining one dependent variable using cross-sectional data. Using a combination of mortality and morbidity variables, this study developed a new, richer measure of health outcome. Using the health outcome index, this study investigated the impacts of income inequality, levels of ethnic diversity and information and communication technology (ICT) development on health using panel data. Methods: Partial least squares regression based on a structural equation model is used to construct a health outcome index for 30 OECD countries over the period of 2004 to 2015 using SmartPLS software. Then, panel corrected standard errors estimation and pooled ordinary least square regression with Driscoll and Kraay standard errors approaches were used to investigate the key determinants of health outcomes. Both methods are efficient when the panel data is heteroscedastic and the errors are cross-sectional dependent. Results: Income inequality, level of ethnic diversity and development in ICT access and use have an adverse effect on health outcomes, however, development in ICT skills has a significant positive impact. Moreover, OECD countries with a higher percentage of publicly funded healthcare showed better public health compared to countries where the percentage is smaller. Finally, rising incomes, development of technologies and tertiary education are key determinants for improving health outcomes. Conclusions: The results indicate that countries with higher levels of income inequality and more ethnically diverse populations have lower levels of health outcomes. Policymakers also need to recognise the adverse effect of ICT use on public health and the benefits of public healthcare expenditure.
- ItemThe development of vegetable enterprises in the presence of transaction costs among farmers in Omusati Region of Namibia : an assessment(Elsevier, 2020) Vink, Nick; Thomas, BenisiuThe paper investigates how transaction characteristics influence the development of vegetable enterprises among smallholder farmers in north-central Namibia. As transaction costs are difficult to measure the theoretical framework of analysis is based on transaction costs economics of new institutional economics. The results revealed that the spot market-based governance structure was the most preferred market arrangements by smallholders farmers in north-central Namibia because vegetable farmers struggle to meet the quality and quantity standards as required by the contractors market-based and commission market-based arrangements. The results also suggest that due to incomplete information, farmers and market agents suffer from high transaction costs. Skewed information distribution between farmers and marketing agents leads to slow development of vegetable enterprises. The study recommends that information shared to farmers must be packaged in an adequate manner to minimise transaction costs in the vegetable value chain.
- ItemDistribution and predictors associated with the use of breast cancer screening services among women in 14 low-resource countries(2020-09) Mahumud, Rashidul Alam; Gow, Jeff; Keramat, Syed AfrozAbstract Background: Breast cancer is one of the leading public health problem globally, especially in low-resource countries (LRCs). Breast cancer screening (BCS) services are an effective strategy for early determining of breast cancer. Hence, it is imperative to understand the utilisation of BCS services and their correlated predictors in LRCs. This study aims to determine the distribution of predictors that significantly influence the utilisation of BCS services among women in LRCs.
- ItemEffects of economic growth, foreign direct investment and internet use on child health outcomes : empirical evidence from South Africa(Taylor & Francis, 2020-02) Salahuddin, Mohammad; Vink, Nick; Ralph, Nicholas; Gow, JeffThis study examines the effects of economic growth and foreign direct investment (FDI) on child health outcomes measured by Infant Mortality Rate (IMR) and Child Mortality Rate Under 5 (CMRU5) with several control variables such as corruption, inequality and HIV among others. It analyzes South Africa's annual time series data for the period 1985–2016. As variables were found with mixed order of integration, Autoregressive Distributed Lag (ARDL) model is applied to determine cointegration and estimate short-run and long-run coefficients. Results indicate that economic growth and FDI have negative significant effects on both indicators of child health outcomes in both the short run and the long run. This implies that both economic growth and FDI contribute towards reducing IMR and CMRU5 in South Africa and thus help improve child health outcomes. Toda and Yamamoto (TY) causality test confirms causal association between these variables. Policy implications are discussed.
- ItemFarm and retail prices in the South African poultry industry : do the twain meet?(International Food and Agribusiness Management Association, 2011) Mkhabela, Thulasizwe; Nyhodo, BonaniThe study intended to determine the producer (farm)-retail price transmission behavior in the South African poultry industry. At the heart of the study was to desire to establish whether there was symmetry or asymmetry in the price transmission. Using price data from 2000 to 2010 and employing both the Houck and Error Correction Model (ECM) approaches the study found that there was symmetry in the farm-retail price transmission of poultry in South Africa, where a change in farm price of chicken was observed to lead to a similar change in the retail price in South Africa. The price setting system in the poultry industry was further defined by estimating elasticities of price transmission and it was found that retail price is very sensitive to change in farm price, particularly falling prices.
- ItemFood security in rural areas of Limpopo Province, South Africa(Springer, 2013-02) De Cock, N.; D Haese, M.; Vink, N.; Van Rooyen, C. J.; Staelens, L.; Schonfeldt, H. C.; D Haese, L.Although South Africa is food secure as a nation, many households remain food insecure. The government has recognized several key food security challenges in the Integrated Food Security Strategy (IFSS). However, South Africa still lacks specific and accepted methods to measure food security and currently has no regulated way of monitoring the food security status of its population. This article reports on an investigation into the food security situation of rural households in the Limpopo Province. Qualitative and quantitative data were gathered across five districts in the province. The study sample eventually involved 599 households in the rural areas of Limpopo. This allowed a thorough description of household characteristics and livelihoods and an assessment of the food security and poverty levels in the area. The findings showed that 53 % of the sampled rural households declared themselves to be severely food insecure. Multivariate analyses were used to identify the main food security status. These determinants were mainly human capital (education, household size and dependency ratio), household income and district in which the households were situated. The findings indicated that policy priorities should be focused on the promotion of rural education and creating an enabling environment for the rural labour market.
- ItemHealth expenditure, child and maternal mortality nexus : a comparative global analysis(BioMed Central, 2018-07) Rana, Rezwanul Hasan; Alam, Khorshed; Gow, JeffBackground: This paper provides empirical evidence on how the relationship between health expenditure and health outcomes varies across countries at different income levels. Method: Heterogeneity and cross-section dependence were controlled for in the panel data which consist of 161 countries over the period 1995–2014. Infant, under-five and maternal mortality along with life expectancy at birth were selected as health outcome measures. Cross-sectional augmented IPS unit root, panel autoregressive distributed lag, Dumitrescu-Hurlin and Toda-Yamamoto approach to Granger causality tests were used to investigate the relationship across four income groups. An impulse response function modelled the impact on health outcomes of negative shocks to health expenditure. Results: The results indicate that the health expenditure and health outcome link is stronger for low-income compared to high-income countries. Moreover, rising health expenditure can reduce child mortality but has an insignificant relationship with maternal mortality at all income levels. Lower-income countries are more at risk of adverse impact on health because of negative shocks to health expenditure. Variations in child mortality are better explained by rising health expenditure than maternal mortality. However, the estimated results showed dissimilarity when different assumptions and methods were used. Conclusion: The influence of health expenditure on health outcome varies significantly across different income levels except for maternal health. Policymakers should recognize that increasing spending has a minute potential to improve maternal health. Lastly, the results vary significantly due to income level, choice of assumptions (homogeneity, crosssection independence) and estimation techniques used. Therefore, findings of the cross-country panel studies should be interpreted with cautions.
- ItemThe opportunity cost of not utilising the woody invasive alien plant species in the Kouga, Krom and Baviaans catchments in South Africa(AOSIS Publishing, 2016) Vundla, Thulile; Blignaut, James; Nkambule, Nonophile; Morokong, Tshepo; Mudavanhu, ShepherdThis study estimates the opportunity costs of using woody invasive alien plants (IAPs) for value-added products by estimating the net economic return from the value-added industries in South Africa. By 2008, IAPs were estimated at the national level to cover an area of 1 813 million condensed hectares in South Africa. A market has formed around their use for value-added products (VAP) like charcoal, firewood and timber in the Kouga, Kromme and Baviaans River catchments in the Eastern Cape province of South Africa. The net economic return from these value-added industries was estimated for the purpose of several management scenarios, and was then used to estimate the opportunity costs if they were not used. A system dynamics model was used to value and analyse the Net Present Value of clearing in the study area and to estimate the opportunity cost of the non-use of VAP. The study showed that the inclusion of VAPs in the project would yield higher net present values for clearing. The findings from this study suggest that a cofinance option of the total economic returns from VAP for clearing costs is the best management scenario for reducing the costs of clearing and maximising the net economic returns from clearing. The net economic returns of VAPs by 2030 are estimated at R23 million without the co-finance option and R26 million with the option. The cumulative net income from VAPs with co-financing over the period of valuation is estimated to be R609 million.
- ItemPixelating crop production : consequences of methodological choices(Public Library of Science, 2019) Joglekar, Alison K. B.; Wood-Sichra, Ulrike; Pardey, Philip G.Worldwide, crop production is intrinsically intertwined with biological, environmental and economic systems, all of which involve complex, inter-related and spatially-sensitive phenomena. Thus knowing the location of agriculture matters much for a host of reasons. There are several widely cited attempts to model the spatial pattern of crop production worldwide, not least by pixilating crop production statistics originally reported on an areal (administrative boundary) basis. However, these modeled measures have had little scrutiny regarding the robustness of their results to alternative data and modeling choices. Our research casts a critical eye over the nature and empirical plausibility of these types of datasets. To do so, we determine the sensitivity of the 2005 variant of the spatial production allocation model data series (SPAM2005) to eight methodological-cum-data choices in nine agriculturally-large and developmentally-variable countries: Brazil, China, Ethiopia, France, India, Indonesia, Nigeria, Turkey and the United States. We compare the original published estimates with those obtained from a series of robustness tests using various aggregations of the pixelized spatial production indicators (specifically, commodity-specific harvested area, production quantity and yield). Spatial similarity is empirically assessed using a pixel-level spatial similarity index (SSI). We find that the SPAM2005 estimates are most dependent on the degree of disaggregation of the underlying national and subnational production statistics. The results are also somewhat sensitive to the use of a simple spatial allocation method based solely on cropland proportions versus a cross-entropy allocation method, as well as the set of crops or crop aggregates being modeled, and are least sensitive to the inclusion of crude economic elements. Finally, we assess the spatial concordance between the SPAM2005 estimates of the area harvested of major crops in the United States and pixelated measures derived from remote-sensed data.
- ItemRemote sensing evapotranspiration (SEBS) evaluation using water balance(Water Research Commission, 2011-06) Gibson, Lesley; Munch, Zahn; Carstens, Marilie; Conrad, JulianENGLISH SUMMARY : This report follows on from WRC Report 1690/1/09 (Gibson et al., 2009) entitled "Remote sensing as a tool for resource assessment towards the determination of the legal compliance of surface and groundwater use" which showed that due to many uncertainties and limitations with both the input data and methodology, it was not possible to determine the actual water consumption of individual farms or compliance to legislation. In this project, the aim was to address the uncertainties and limitations in WRC Report 1690/1/09 and thereby determine the efficacy or inefficiency of the method to highlight water-stressed catchments.
- ItemReshuffling the global R&D deck, 1980-2050(Public Library of Science, 2019) Dehmer, Steven P.; Pardey, Philip G.; Beddow, Jason M.; Chai, YuanBased on more recent science spending developments in countries such as China, Korea, India and Brazil, there is a growing sense that the world’s scientific deck of cards is in the midst of a major reshuffle. But it is not clear if this reordering is limited to just the top spenders, or, indeed, how these changes have been playing out over the longer term. The new, more comprehensive research and development (R&D) spending estimates presented and discussed here reveal that we are in the midst of a possibly game-changing, albeit partial and perhaps irregular, reshuffle of the global R&D deck. These changes have potentially profound domestic and international economic development implications over the medium to long term. Notably, the fortunes of many of the world’s poorer countries continue to look bleak. Using the evolving structure of past R&D spending to project forward, and absent marked changes in science policies and spending priorities, we foresee a continuing and substantial shift in the geography of R&D towards parts of Asia, along with a continuing large, and in many respects growing, gap between the world’s scientific haves and have-nots.
- ItemScientific selection: a century of increasing crop varietal diversity in US wheat(National Academy of Science, 2022-12-13) Chaia, Yuan; Pardey, Philip G.; Silverstein, Kevin A. T.A prevalent and persistent biodiversity concern is that modern cropping systems lead to an erosion in crop genetic diversity. Although certain trait uniformity provides advantages in crop management and marketing, farmers facing risks from change in climate, pests, and markets are also incentivized to adopt new varieties to address complex and spatially variable genetics, environment, and crop management interactions to optimize crop performance. In this study, we applied phylogenetically blind and phylogenetically informed diversity metrics to reveal significant increases in both the spatial and temporal diversity of the US wheat crop over the past century. Contrary to commonly held perceptions on the negative impact of modern cropping systems on crop genetic diversity, our results demonstrated a win-win outcome where the widespread uptake of scientifically selected varieties increased both crop production and crop diversity.
- ItemSuccessful mechanisation of smallholder agriculture - opportunities for cooperation and partnership between Africa and Japan(Farm Machinery Industrial Research Corp, 2013-10) Opara, Umezuruike LinusThis is an auspicious and opportune time to put a spot light on Africa’s economic relationship with Japan, and there are several good reasons to do so. As I am writing this article in the last week of May 2013, African leaders are meeting in Kyoto with their Japanese counterparts to discuss existing and economic ties. Over the decades, Japan has maintained a friendly economic relationship with Africa and African countries. The works of Japan’s international development agencies and organisations such as JICA and Sasakawa Africa Foundation are widely recognized for their efforts in promoting scientific cooperation and trade, and the adoption of modern agricultural technology in many African countries.
- ItemTowards a common understanding of 'emerging farmer' in a South African context using data from a survey of three district municipalities in the Eastern Cape Province(South African Society of Agricultural Extension, 2019-01) Zantsi, Siphe; Greyling, Jan C.; Vink, N.The objective of this study was to improve our understanding of the diversity among emerging smallholders using various commonly used indicators. These were reviewed and applied to a sample of 379 emerging smallholders situated in three major smallholding districts within the Eastern Cape Province of South Africa. It was found that the typical emerging farmer has the following profile: He is black, situated in a former homeland and is 58 years old. The typical farmer cultivates field crops as a secondary source of food and income, but keeps livestock as primary and secondary sources of income. The average emerging smallholder mostly grows maize for own consumption given a crop commercialisation index (CCI) of 0.66 and sells a greater portion of his cabbage and potatoes given CCIs of 0.73 and 0.83 respectively. The average emerging farmer earns a net income of R26 600 per year, but there is an income inequality, since the most successful farmer earns 26.7 times the average income. This translates to a Ghini coefficient of 0.48, which is high by international standards, but low compared to the South African average of 63.1. When speaking to fellow farmers, it was found that 78% of them feel constrained by farming in a homeland, but only 72% would be willing to move from their homeland, with most (45%) saying that they would only do so if they were provided with sufficient government support.
- ItemUnderstanding farmers' preferences for wastewater reuse frameworks in agricultural irrigation : lessons from a choice experiment in the Western Cape, South Africa(South African Water Research Commission, 2016-01) Vink, Nick; Saldias, Cecilia; Speelman, Stijn; Van Huylenbroeck, GuidoWastewater has emerged as an alternative source of water. Since the agricultural sector remains the largest water user world-wide, it is the main potential user of treated wastewater. However, while there are trade-offs in using wastewater, it may be the only option in water-scarce regions. South Africa has included water reuse as a policy option; hence the aim of this study is to understand farmers’ preferences regarding water reuse frameworks for irrigation. A choice modelling approach was applied to identify the elements defining these frameworks and to quantify their relative importance amongst farmers in the agricultural hinterland of Cape Town. The findings suggest that water reuse is acceptable to farmers in the area. Furthermore, they prefer options that guarantee good quality water and low levels of restrictions on use practices. Due to low trust in water service providers, farmers are willing to pay for a privately-managed scheme for water reuse, which suggests that the management model for implementing such schemes is important.