The Impact of Institutional Credit on Agricultural Production in Pakistan

Three main factors that contribute to agricultural growth are the increased use of agricultural inputs, technological change and technical efficiency. Technological change is the result of research and development efforts, while technical efficiency with which new technology is adopted and used more rationally is affected by the flow of information, better infrastructure, availability of funds and farmers’ managerial capabilities. Higher use and better mix of inputs also requires funds at the disposal of farmers. These funds could come either from farmers’ own savings or through borrowings. In less developed countries like Pakistan where savings are negligible especially among the small farmers, agricultural credit appears to be an essential input along with modern technology for higher productivity.

The Impact of Institutional Credit on Agricultural Production in Pakistan

Agricultural credit plays an important role in enhancing the agricultural productivity in developing countries like Pakistan. The study discusses various indicators of agricultural credit in Pakistan and presents results of estimated production function using institutional credit as one of the explanatory variables. Over the years, increased percentage of agricultural GDP has been disbursed as institutional credit. During the study period disbursement of institutional credit per cropped hectare also depicted an increasing trend in nominal terms. However, it declined in real terms from late 1980’s to early 1990s. Zarai Taraqiati Bank Limited (ZTBL)-- formerly known as Agricultural Development Bank of Pakistan (ADBP), provides the major share of institutional credit. The share of production loans in total loan advanced has been increasing during 1980-81 to 1986-87 and after mid 1990’s. It shows multiple shifts in credit policy from loans for fixed capital to advances for operational capital during the study period. The OLS estimates of the production function revealed that institutional credit affects agricultural production positively. Water availability at the farm gate, labor, and cropping intensity are the other important variables that affect agricultural output positively. However, the shocks like floods, cotton leaf curl virus (CLCV), and drought have caused significant decline in agricultural output during certain years.institutional credit; agricultural production; production function

Adoption of Recommended Varieties: A Farm-level Analysis of Wheat Growers in Irrigated Punjab

This study uses farm level data to analyse the determinants of adoption of recommended wheat varieties in irrigated Punjab, Pakistan. A notable proportion of wheat acreage is sown to non-recommended wheat varieties in the province. These cultivars had either lost (overtime) or did not have resistance against yellow rust. Farm size, education, and size of wheat enterprise on the farm are the important determinants of adoption of recommended wheat varieties while tractor ownership and irrigation source play a positive but insignificant role in the adoption decisions. Age and tenure proved to be less of a constraint towards adoption of the recommended wheat varieties. The likelihood of the adoption of recommended wheat varieties varied among tehsils, with the highest probabilities of adoption in Melsi and Arifwala tehsils of cotton-wheat zones I and II respectively.

Wheat Productivity, Efficiency, and Sustainability: A Stochastic Production Frontier Analysis

This paper uses the farm-level survey data to estimate the stochastic frontier production function incorporating inefficiency effects. Sufficient evidence of positive relationship between wheat productivity and higher and balanced use of fertiliser nutrients was present. The productivity showed an inverse relationship with the proportionate farm area allocated to rice production and illustrated no association with the proportion of farm area under cotton. The average technical efficiency at wheat farms was about 68 percent. An inverse relationship was observed between technical efficiency and farm size. The farmers with greater access to credit and located closer to the markets were found more efficient. The small farmers are not only producing at a lower level but are also operating relatively farther from the production frontier. The results also revealed that wheat growers in Punjab are comparatively more efficient than their counterparts in Sindh and NWFP.stochastic frontier production function; technical efficiency; small farmer; Pakistan; productivity

Adoption of Recommended Varieties: A Farm level Analysis of Wheat Growers in Irrigated Punjab

This study uses farm level data to analyse the determinants of adoption of recommended wheat varieties in irrigated Punjab, Pakistan. A notable proportion of wheat acreage is sown to non-recommended wheat varieties in the province. These cultivars had either lost (overtime) or did not have resistance against yellow rust. Farm size, education, and size of wheat enterprise on the farm are the important determinants of adoption of recommended wheat varieties while tractor ownership and irrigation source play a positive but insignificant role in the adoption decisions. Age and tenure proved to be less of a constraint towards adoption of the recommended wheat varieties. The likelihood of the adoption of recommended wheat varieties varied among tehsils, with the highest probabilities of adoption in Melsi and Arifwala tehsils of cotton-wheat zones I and II respectively.Adoption; wheat varieties; Punjab; Pakistan

MONETARY EXCHANGE RATE MODEL REVISITED: COINTEGRATION AND FORECASTING IN HETEROGENEOUS PANEL DATA

ABSTRACT This study re-examines the exchange rate-monetary fundamentals link with in a panel data framework. Pure time series and pooled time series-based tests fail to find empirical support for monetary exchange rate models (Sarantis (1994) and Groen (2000)). Using recently developed Panel Data Techniques; we would test the exchange rates and monetary fundamentals in a quarterly panel of 19 countries mostly from developed region extending from 1973.1 to 1997.1. Present analysis would be centered on three issues. First, we test whether exchange rates cointegrated with long run determinants predicted by economic theory. For this purpose, we would be employed Pedroni (1997) and Larsson et al (2001) panel cointegration tests for empirical validation of the study. Second, we will also test the short run implications of exchange rate model. These short run implications will be tested; through adapting the panel VEC model the short run identification schemes of Johansen and Juselius (1994). The last issue is to examine the ability for monetary fundamentals to forecast future exchange rate returns. The present endeavor will follow Mark and Sul (2001) approach for forecasting in the case of Panel Data Testing.Panel cointegration; Prediction; Exchange rates.

Double Truncated Transmuted Fréchet Distribution: Properties and Applications

In this paper, we modify the Mahmoud and Mandouh (2013) model by adopting double truncation technique. It is referred to as Double Truncated Transmuted Fréchet (DTTF) distribution. Diverse probabilistic and reliability measures are developed and discussed. The MLEs of parameters are derived and a simulation study is also made. The DTTF distribution is modeled by two real-time datasets and supportive rationalized results provide the evidence that DTTF distribution is a reasonably better fit model than its competing models. Keywords: Fréchet Distribution, Double Truncation, Hazard Function, Moments, MLE, Quadratic Rank Transmutation Map (QRTM), Rényi entropy, Order Statistics. DOI: 10.7176/MTM/9-3-02 Publication date: March 31st 201

Keputusan pembelian konsumen buku k13 PT Gramedia di Indramayu, Jawa Barat di tinjau dari perspektif brand equity dan relationship marketing

This study aims to determine the effect of brand equity and relationship marketing on consumer purchasing decisions for 2013 curriculum books at PT. Gramedia marketing area of Indramayu Regency. The research method used is descriptive quantitative with explanatory survey design. The population in the study was junior high school who purchased the 2013 curriculum books, totaling 75 schools. Collecting data using a questionnaire containing instruments or indicators for analysis. The data analysis technique used is multiple regression with t test and F test to test the research hypothesis. The results showed that brand equity and relationship marketing have a positive and significant influence on consumer purchasing decisions for 2013 curriculum books at PT. Gramedia marketing area of Indramayu Regency either simultaneously or partially. The limitation of this study is that the independent variables cannot provide comprehensive answers to answer purchasing decision problems. Research findings are empirical evidence that can be used as a review to improve purchasing decisions or relevant management topics