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Open Access
Article
Publication date: 15 February 2024

Mercy T. Musakwa

In this study, the impact of access to electricity on poverty reduction for Botswana is examined using the annual data from 1990 to 2021. The study was motivated by the need to…

Abstract

Purpose

In this study, the impact of access to electricity on poverty reduction for Botswana is examined using the annual data from 1990 to 2021. The study was motivated by the need to establish if access to electricity could be a panacea on poverty reduction in Botswana. Given that the United Nations Sustainable Development Goals deadline is fast approaching, and Botswana being one of the signatories, is expected to end poverty in all its forms – Goal 1. Establishing the role that electrification plays in poverty alleviation, helps in refocusing Botswana’s poverty alleviation strategies on factors that have high impact on poverty. The main objective of this study, therefore, is to investigate the relationship between poverty alleviation and access to electricity in Botswana.

Design/methodology/approach

The study uses the autoregressive distributed lag (ARDL) approach to investigate the nature of the relations. Two poverty proxies were used in this study namely, household consumption expenditure and life expectancy.

Findings

The study found access to electricity to reduce poverty in the long run and in the short run, regardless of the poverty measure used. Thus, access to electricity plays an important role in poverty alleviation and Botswana is recommended to continue with the rural and urban electrification initiatives.

Originality/value

The study explores the impact of access to electricity on poverty reduction in Botswana, a departure from the current studies that examined the same relationship using energy consumption in general. This is on the back of increasing dependence of economic activities on electricity as a major source of energy.

Details

Journal of Humanities and Applied Social Sciences, vol. 6 no. 2
Type: Research Article
ISSN: 2632-279X

Keywords

Open Access
Article
Publication date: 18 October 2018

Asif Saeed, Attiya Y. Javed and Umara Noreen

This paper aims to investigate the relationship between microfinance institutions (MFIs) governance and performance.

3709

Abstract

Purpose

This paper aims to investigate the relationship between microfinance institutions (MFIs) governance and performance.

Design/methodology/approach

Using a sample of 215 MFIs from six South Asian countries over the period from 2005 to 2009, the authors examine the effect of chief executive officer (CEO) duality, board size, female CEO, urban market coverage, bank regulation and lending type on financial and social performance of MFIs.

Findings

The findings provide evidence that, on the one hand, empowered CEO, large board size and individual lending improve the MFI financial performance and, on another hand, bank regulation and serving in the urban market have a significant association with MFIs’ social performance. In an additional analysis, the authors also test this relationship before, during and after the financial crisis of 2007. During crisis period, MFIs’ individual lending reduces the operational cost and bank regulation increases the average loan size in South Asian MFIs.

Originality/value

Those studies that are presented in the literature review conclude their result on the bases of global, European, East African and specific to some countries sample. There is no study presented in the whole literature on South Asian sample, in which all countries really face the problem of poverty.

Details

Journal of Economics, Finance and Administrative Science, vol. 23 no. 46
Type: Research Article
ISSN: 2077-1886

Keywords

Open Access
Article
Publication date: 11 January 2022

Faharuddin Faharuddin, M. Yamin, Andy Mulyana and Y. Yunita

Using cross-sectional household survey data, this paper aims to determine the impact of food price increases on poverty in Indonesia.

6729

Abstract

Purpose

Using cross-sectional household survey data, this paper aims to determine the impact of food price increases on poverty in Indonesia.

Design/methodology/approach

This paper uses the quadratic almost ideal demand system applied to the 2013 Indonesian household survey data. The impact of food price increase on household welfare is calculated using a welfare measure, compensating variation.

Findings

Three food groups with the most outstanding price impact on poverty, rice, vegetables and fish, were studied. The 20% increase in the price of each food group causes an increase in the headcount ratio by 1.360 points (rice), 0.737 points (vegetables) and 0.636 points (fish). Maintaining food price stability for these food groups is very important because the more the price increases, the more the impact on poverty. Food price policies in rural areas are also more critical than in urban areas because the impact of food price increases in rural areas is higher.

Research limitations/implications

This paper does not consider the positive impact of rising food prices on food-producing households.

Practical implications

Implementing appropriate poverty alleviation policies through food policies for main food groups and social protection.

Social implications

Promoting rural development policies and agricultural growth.

Originality/value

This paper contributes to the existing literature by providing empirical results regarding the impact of domestic food prices increase on poverty in Indonesia.

Details

Journal of Asian Business and Economic Studies, vol. 30 no. 2
Type: Research Article
ISSN: 2515-964X

Keywords

Open Access
Article
Publication date: 29 January 2024

Clement Olalekan Olaniyi and Nicholas M. Odhiambo

This study examines the roles of cross-sectional dependence, asymmetric structure and country-to-country policy variations in the inflation-poverty reduction causal nexus in…

Abstract

Purpose

This study examines the roles of cross-sectional dependence, asymmetric structure and country-to-country policy variations in the inflation-poverty reduction causal nexus in selected sub-Saharan African (SSA) countries from 1981 to 2019.

Design/methodology/approach

To account for cross-sectional dependence, heterogeneity and policy variations across countries in the inflation-poverty reduction causal nexus, this study uses robust Hatemi-J data decomposition procedures and a battery of second-generation techniques. These techniques include cross-sectional dependency tests, panel unit root tests, slope homogeneity tests and the Dumitrescu-Hurlin panel Granger non-causality approach.

Findings

Unlike existing studies, the panel and country-specific findings exhibit several dimensions of asymmetric causality in the inflation-poverty nexus. Positive inflationary shocks Granger-causes poverty reduction through investment and employment opportunities that benefit the impoverished in SSA. These findings align with country-specific analyses of Botswana, Cameroon, Gabon, Mauritania, South Africa and Togo. Also, a decline in poverty causes inflation to increase in the Congo Republic, Madagascar, Nigeria, Senegal and Togo. All panel and country-specific analyses reveal at least one dimension of asymmetric causality or another.

Practical implications

All stakeholders and policymakers must pay adequate attention to issues of asymmetric structures, nonlinearities and country-to-country policy variations to address country-specific issues and the socioeconomic problems in the probable causal nexus between the high incidence of extreme poverty and double-digit inflation rates in most SSA countries.

Originality/value

Studies on the inflation-poverty nexus are not uncommon in economic literature. Most existing studies focus on inflation’s effect on poverty. Existing studies that examine the inflation-poverty causal relationship covertly assume no asymmetric structure and nonlinearity. Also, the issues of cross-sectional dependence and heterogeneity are unexplored in the causal link in existing studies. All panel studies covertly impose homogeneous policies on countries in the causality. This study relaxes this supposition by allowing policies to vary across countries in the panel framework. Thus, this study makes three-dimensional contributions to increasing understanding of the inflation-poverty nexus.

Details

International Trade, Politics and Development, vol. 8 no. 1
Type: Research Article
ISSN: 2586-3932

Keywords

Open Access
Article
Publication date: 14 January 2020

Carmen Ródenas, Mónica Martí and Ángel León

This paper aims to focus on non-poor households that during the Great Recession experienced economic stress (ES). That is, whose economic comfort was reduced taking into account…

1141

Abstract

Purpose

This paper aims to focus on non-poor households that during the Great Recession experienced economic stress (ES). That is, whose economic comfort was reduced taking into account their previous living standards. The paper seeks to determine how the crisis has affected this extensive (and key) social group.

Design/methodology/approach

The analysis has been performed in a dynamic way. The non-poor households ES situation and its changes are studied throughout the period 2008-2016 by taking the four-year intervals provided by the longitudinal Spanish Living Conditions Survey. The authors discuss and select the circumstances to determine whether ES has occurred. To identify which variables determine the probability of suffering ES the authors use a standard logit model.

Findings

The main variable is the tenure status of the dwelling: property with a mortgage or rented multiply the risk of ES by up to 3.5 times. ES falls as the household’s work intensity increases. However, an improvement in the employment situation cannot be associated with a reduction in ES probability. The main socio-demographic variables behave as predicted: woman householder, grow in the number of household members and bad health increase the risk of ES, and the higher the level of education of the householder, the lower the risk.

Originality/value

There are very few studies regarding the people above the poverty line. Exploring and analyzing the factors determining the sensitivity of the largest part of the population to the crisis is very relevant, as the pace of the economic recovery depends largely on them.

Details

Applied Economic Analysis, vol. 28 no. 82
Type: Research Article
ISSN: 2632-7627

Keywords

Open Access
Article
Publication date: 23 September 2022

Marco Balzano and Donata Vianelli

In this study the authors aim to explore the factors that contribute to the formation of locavorism as a form of consumer ideology.

1181

Abstract

Purpose

In this study the authors aim to explore the factors that contribute to the formation of locavorism as a form of consumer ideology.

Design/methodology/approach

In this study, the authors adopt an inductive approach by preselecting locavore consumers and conducting 43 semi-structured interviews, following the prescriptions of narrative-enquiry research.

Findings

The authors reveal that individual-level (i.e. values, beliefs and experiences) and social-level (i.e. groups, local communities and society) influences and exogenous factors can affect the formation of locavorism. Furthermore, the authors’ findings corroborate the concept advanced by prior studies that reinforcing loops exist among the three belief dimensions of locavorism.

Practical implications

Food producers can use these findings to shape their marketing strategies more effectively to target locavore consumers and/or stimulate the consumption of local food.

Social implications

Identifying the influences of social- and individual-level factors on the formation of locavorism can contribute to the understanding of demand shifts towards local food consumption. Additionally, by revealing the modes of thought that formulate the ideologies of locavore consumers, the authors offer guidance in the development of policies that can safeguard local economies and traditions and reduce transport pollution and food waste in favour of sustainable local consumption.

Originality/value

In the present article the authors explore the psychological and contextual mechanisms that contribute to the formation of locavorism.

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