Crop-Specific EU Aid and Smallholder Food Security in Sierra Leone

The article analyses the viability of promoting crop-specific programs as a mean to improve smallholder net farm income and food security. The case study explores the relevance of European Union Stabilisation of Export Earnings (STABEX) funds in supporting Sierra Leone’s agricultural development agenda. By analysing the drivers of food security for a number of targeted smallholders in the two most important agricultural zones of Sierra Leone, it is possible to compare the suitability of crop-specific support (in rice, cocoa and coffee) versus general aid programs (public infrastructure, on and off farm diversification opportunities, sustainable practices, access to productive assets, etc.). The results indicate that crop diversification strategies are widespread and closely related to risk minimisation and enhanced food security among smallholders. Similarly, crop-specific programs mainly focusing on commercialisation tend to overlook important constraints associated to self-consumption and productivity

Gender Issues in Microfinance and Repayment Performance: The Case of a Nicaraguan Microfinance Institution

Conventional wisdom and increasing empirical evidence in microfinance hold that women are better risks than men. In the present work, a logit model controlling for a range of borrower and loan characteristics was carried out to assess the validity of this statement by comparing repayment rates. The study includes a sample of loans disbursed by a Nicaraguan microfinance institution during the years 2003-2004, a period characterized by high oil prices. A dichotomous dependent variable is created, taking the value of 1 if the credit turned out to be of the best quality i.e. an “A” credit by Nicaraguan regulations, and 0 otherwise. The dependent variable is regressed on variables summarizing the characteristics of the borrower and the loan to investigate the impact of gender on repayment performance. The results provide significant evidence that female client’s repayment performance is in fact better than that of male’s at the conventional levels of statistical significance. However, the results also show that the perceived difference in gender risk is lower than what popular wisdom would suggest when borrower characteristics and other exogenous economic variables are taken into account. With the present sample, we conclude that other characteristics of the borrower as well as changes in the economic environment can have a similar or larger impact on risk than gender when it comes to repayment performance

Reforma Agraria: Teoría y Práctica. La experiencia de Nicaragua

The Nicaraguan experience becomes a valuable case study since it allows us to analyze in detail the impact of an extensive modification to the property right system and to other relevant agricultural markets within a relatively short time period. Moreover, with this evidence it is possible to assess how policy making and enactment alter the institutional and socio-economic scenario and the behavior of agents (regarding their investment and production plans). Our findings indicate that incentives structures and carefully coordinated State intervention are of great importance in achieving sustained development. The Sandinista rural agenda involved detailed structural and marketing programs aimed at eliminating the previous latifundio structure, yet by the end of the 1980's national agriculture was stagnated. It will be argued in the present paper that the consequences of an uncoordinated Agrarian Reform deepened the imperfections of not only the land market but also the credit and labor markets in Nicaragua. A major conclusion is that without an adequate and legitimate policy environment that reduces uncertainty and maintains financial incentives, even abundant access to resources will not overcome economic paralysis.Keywords: Agrarian Reform / Policies / Sandinista Revolution / NicaraguaDOI: 10.5377/encuentro.v41i84.48Encuentro 2009/ Año XLI, N° 84, 21-43La experiencia nicaragüense se considera un valioso caso de estudio puesto que permite analizar en detalle el impacto de una exhaustiva modificación al sistema de propiedad privada y mercados relacionados a la agricultura que tuvo lugar en un relativamente corto periodo de tiempo. De esta manera, es posible evaluar cómo las políticas gubernamentales cambiaron el escenario institucional y económico, así como el comportamiento de los diferentes agentes (en lo referente a sus planes de producción e inversión). Nuestros hallazgos indican que la estructura de incentivos y una intervención estatal coordinada son aspectos cruciales para alcanzar un desarrollo sostenido. La agenda rural del Sandinismo incluía detallados programas estructurales encaminados a la eliminación del modelo latifundista antecesor, pero hacia finales de la década de los 80, la agricultura nacional se encontraba estancada. En el presente estudio se alega que las consecuencias de una reforma agraria descoordinada incrementaron las imperfecciones, no solamente del mercado de tierras, sino también del mercado laboral y crediticio en Nicaragua. Una importante conclusión radica en que sin un ambiente institucional adecuado y legítimo que reduzca la incertidumbre y mantenga los incentivos financieros intactos, el acceso abundante a recursos no conlleva necesariamente a una mayor actividad económica.Palabras clave: reforma agraria / políticas / Revolución Sandinista / NicaraguaDOI: 10.5377/encuentro.v41i84.48Encuentro 2009/ Año XLI, N° 84, 21-4

Institutional change, transaction costs and efficiency: The case of the Nicaraguan coffee industry

This thesis analyses transaction costs emergence and impact within the Nicaraguan coffee istry under the Sandinista Regime (1979-1990). It is argued that traditional transaction cost economics requires adjustment to be successfiilly applied in developing countries since it gnores the role of governmental policies and institutional change. Although North linked transaction costs to economic development theories, it is yet not clear how these influence particular industrial an:angements. A framework combining Williamson's and North's theories is therefore devised to explain industry evolution in a developing economy by taking into account both power relations and incentives structures.EThOS - Electronic Theses Online ServiceGBUnited Kingdo

Tropical Agriculture in Latin America

In a world of environmental limits, sustainable and productive agriculture is crucial to foster socioeconomic development and food security, primarily in low income economies. The purpose of this paper is to examine the challenges and potential opportunities for Latin American countries which are characterised by tropical agriculture and (semi)subsistence farming. Policy support based on institutional coordination, investment in tropic-specific agricultural technology and the promotion of joint private- public initiatives are evaluated and identified as key factors to increase agricultural development

Farm viability of (semi)subsistence smallholders in Sierra Leone

This paper explores how different theoretical viewpoints on market integration and socioinstitutional settings alter farm viability assessments based on (semi)subsistence farm income measurements. The measurement of net farm income (NFI) is presented under two approaches: one based on Neoclassical Economics, and another from a Neo-Institutional perspective. Using data from Sierra Leone it is demonstrated that the assumptions about (output and input) market integration/participation, labour usage accounting and other institutional arrangements of (semi)subsistence farming affect NFI calculations. As a consequence, different farm viability readings emerge, directly influencing the outcome of policy decisions

Economics of Food Security: Selected Issues

The present article reviews selected key challenges regarding food security from both an academic and policy-oriented angle. In the analysis of the main constraints to achieve food access and availability in low and high-income societies, a detailed distinction is made between technological and institutional aspects. In the case of low-income economies, the emphasis is placed on the socio-economic situation and performance of small-scale farmers while in high-income economies the focus is shifted towards issues of price volatility, market stability and food waste. In both scenarios, productivity and efficiency in the use of resources are also considered. The objective of this assessment is to identify the type of policy support which would be most suitable to fulfil the increasing food demand. Innovation programmes and policies which integrate institutional coordination and technical support are put forward as strategic tools in the achievement of food security goals at regional and global level

Economics of Food Security: Selected Issues

The present article reviews selected key challenges regarding food security from both an academic and policy-oriented angle. In the analysis of the main constraints to achieve food access and availability in low and high-income societies, a detailed distinction is made between technological and institutional aspects. In the case of low-income economies, the emphasis is placed on the socio-economic situation and performance of small-scale farmers while in high-income economies the focus is shifted towards issues of price volatility, market stability and food waste. In both scenarios, productivity and efficiency in the use of resources are also considered. The objective of this assessment is to identify the type of policy support which would be most suitable to fulfil the increasing food demand. Innovation programmes and policies which inte- grate institutional coordination and technical support are put forward as strategic tools in the achievement of food security goals at regional and global level

CHALLENGES TO PARTICIPATORY DEVELOPMENT IN A RURAL CROSS-BORDER AREA OF THE WESTERN BALKANS

The World Bank, the Canadian International Development Agency (CIDA), USAID and the International Relief/Development Project (IRDP) concluded in different reports that participatory development programs are invariably more effective at addressing local needs and interventions are more often sustained given the engagement of local actors. The main objective of this paper is to present a detailed appraisal of the implementation process of a well-known participatory approach (the UNDP-designed Area-Based Development - ABD) in the challenging context of a rural, cross-border area (in the Western Balkans). Besides reviewing the theoretical and empirical advantages of participatory and endogenous development, this case study reflects the practical shortcomings related to the selection process of a target area and to obtaining commitment from different agents in a post-conflict zone. This article also highlights that adequate implementation of participatory practices is crucial to obtain accurate quantitative and qualitative data (to guide the development agenda) and secure the involvement of both local and (inter)national actors. The latter is an important factor in fostering long-term engagement to development strategies and the achievement of results that are relevant for the local community and in harmony with national policies and international agreements