Private rates of return to education of Africans in South Africa for 1995: a Double Hurdle model

2003 ◽  
Vol 20 (4) ◽  
pp. 515-528 ◽  
Author(s):  
Philip AE Serumaga-Zake ◽  
Willem A Naude´
Author(s):  
Sikhulumile Sinyolo ◽  
Maxwell Mudhara ◽  
Edilegnaw Wale

Background: Social grants have become an increasingly popular means of improving the welfare of poor households in South Africa and beyond. While the goals of these transfers are to alleviate current poverty as well as to improve human capital capacity, they also have unintended effects, positive or negative, on beneficiary households. A question that has not been adequately addressed in the literature is the role that social grants play in the efforts to commercialise smallholder farming.Aim: The aim of this study was to examine the impact of social grant dependency on the incentives of smallholder maize producers to participate in the market.Setting: The study was done in the rural areas of four districts (Harry Gwala, Umzinyathi, Umkhanyakude and Uthukela) in the KwaZulu-Natal province, South Africa.Methods: The study adopted a quantitative research design. A total of 984 households were randomly selected from the four districts, of which 774 had planted maize in the previous season. The analysis was done on the 774 farmers who had planted maize. The double-hurdle model was used for statistical analysis.Results: The results show a negative association between social grant dependency and market participation, suggesting that social grant-dependent households are more subsistent, producing less marketable surplus. Moreover, households with access to social grants sold less quantities of maize in the market, indicating reduced selling incentives.Conclusion: The study indicates that social grants reduce the incentives of smallholder farmers to commercialise their production activities. The results suggest that, while policies aimed at reducing transaction costs would increase smallholder market participation, attention should be paid on how to reduce social grants’ dis-incentive effects. To reduce spill over effects to unintended household members, the study recommends offering part of the grant as ‘in-kind support’, which is specific to the intended individual beneficiary.


2021 ◽  
Vol 13 (14) ◽  
pp. 7699
Author(s):  
Simphiwe Innocentia Hlatshwayo ◽  
Mjabuliseni Ngidi ◽  
Temitope Ojo ◽  
Albert Thembinkosi Modi ◽  
Tafadzwanashe Mabhaudhi ◽  
...  

Smallholder farmers face several challenges that limit their access to markets and prevent them from taking advantage of market opportunities. This study sought to provide observed information on households’ involvement in the output market and to analyse the determinants of the level of market participation among smallholder farmers in South Africa. Data (secondary) for this study were collected from a total of 1520 respondents who were selected through stratified random sampling. Descriptive statistics, t-test and a double-hurdle model were used to analyse factors influencing smallholder farmers’ decisions regarding participation in the agricultural market. The first-hurdle equation of the double-hurdle model showed that gender of the household, family member working on the farm, wealth index, and agricultural assistance had a positive significant impact on the decision of smallholder farmers to participate in the market, while household age and family member with HIV had a negative significant impact. The results of the second-hurdle model showed marital status, educational level of household, wealth index, and access to agricultural assistance had a negative significant effect on the extent of market participation among smallholder farmers, while household size, household age, and family member with HIV had a positive significant impact. The suggestions emanating from the results as to what factors need to be addressed to encourage smallholder farmers to participate in the market indicate that there is a need for government to hire sufficient and skilled extension workers who understand the market related issues. With the help of extension workers and policymakers, government need to organize smallholder farmers into groups that are easy to manage, train, and support. Smallholder farmers’ groups should have their farmers registered, visible, and easily accessible for coordinated government support services. They also need to do more workshops in rural areas to encourage young people to be involved in agriculture. This will lead to sustainable production, alleviation of poverty, improvement of the economy, and food security.


2022 ◽  
Author(s):  
Aman Dassa ◽  
Abera Ifa ◽  
Efa Gobena

Abstract The study was aimed to analysis determinants of inorganic fertilizer use intensity on cereal crops among small holders in Toke Kutaye District, West Shewa Zone, Ethiopia. Correctional data were collected from 156 respondents using two stage random sampling methods. Data analyses were carried out using descriptive statistics and Double hurdle model. Result of the first hurdle reveals that out of twelve explanatory variables Sex ,Education, Off/non-farm income, Land size and Improved seed were determine positively whereas Age and Distance from nearest market determine small holders use of inorganic fertilizer negatively. The result of second stage of double hurdle model indicate that, out of twelve explanatory variables Sex, family size and Land size were positively affect extent (intensity) of inorganic fertilizer use whereas Age and Distance of household from nearest market determine use intensity negatively. Therefore, these results implied that there is a room to increase inorganic fertilizer use intensity on cereal crop productions. Hence, Farmers capacity to purchase this input beginning from lower income farmers to model farmers should be acknowledged; and should be designed the means to address those who have no ability to use inorganic fertilizer in their own farm through diverse development interventions.


2021 ◽  
Vol 12 (4) ◽  
pp. 111
Author(s):  
Gbenga Ekundayo ◽  
Ndubuisi Jeffery Jamani ◽  
Festus Odhigu

The paper examines environmental Disclosure Modelling in a Developing Economy using the Craigg double hurdle model and controlling for the role of corporate governance. This study employs the ex-post research design and investigates firm’s environmental disclosures in Nigeria, by controlling for corporate governance characteristics. The study employs a sample of 35 non-financial firms listed on the Nigerian Stock Exchange using the simple random sampling technique. Secondary data retrieved from the financial statements of the selected companies was used for the study. Both the Tobit and double-hurdle models were estimated but based on the Bayesian and Akaike’s information criteria for model selection, the double-hurdle model is preferred. The result reveals that though Board size is not a significant determinant of probability to disclose environmental information in annual reports (-0.0408, p=0.175), it is a significant determinant of the extent of environmental disclosure reports (0.1943, p=0.00) given that a firm has decided to disclose. Board independence is a significant determinant of both probability to disclose environmental information and extent of disclosure (-2.2373, p=0.00) with a negative coefficient. The Board gender diversity is not a significant determinant of probability to disclose environmental information in annual reports (-0.60076, p=0.461), it is a nevertheless a significant determinant of the extent of environmental disclosure reports (-3.5913, p=0.00) when firms then decide to disclose. Institutional ownership turns out to be a significant determinant of both the probability to disclose environmental information and extent of disclosure (0.0273, p=0.00) when firms choose to disclose. Finally, the truncated model results also reveals that though managerial ownership is not a significant determinant of probability to disclose environmental information in annual reports (-0.01352, p=0.148), it is nevertheless a significant determinant of the extent of environmental disclosure reports (-0.0206, p=0.001) when firms then decide to disclose.


2020 ◽  
Vol 50 (5) ◽  
Author(s):  
Nuray Demir ◽  
Abdulbaki Bilgic ◽  
Okan Demir ◽  
Adem Aksoy

ABSTRACT: In this study, we analyzed the role of individuals’ health-related factors along with socio-demographic and economic characteristics on both the likelihood of tobacco consumption and quantity demanded levels using two competitive econometric methods: double hurdle model versus hyperbolic sine double-hurdle model. Statistical tests confirmed the dependency errors between the prevalence rate of smoking and the consumption level, whilst the inverse-hyperbolic sine double-hurdle model data fits best in describing the normalization of the data and the two data generating processes: the probability and consumption levels of cigarettes. Also, the variance-covariance of the selected model as a function of additional exogenous variables are confirmed, while the error terms between the likelihood to smoke and the consumption levels are positive and statistically significant, indicating that holding control variables fixed, the uncontrolled variables out of the system that increase the prevalence rate of smoking also boost the consumption level, or vice versa. Many individual disease variables are significant in both equations, breaking new grounds in literature for identifying how both the prevalence rate of smoking and amount have shaped.


Sign in / Sign up

Export Citation Format

Share Document