Search results for: low income countries
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 1333

Search results for: low income countries

1333 Tax Incentives in Western Balkan Countries

Authors: H. Šimović, M. Mihelja Žaja

Abstract:

This paper provides an analysis of corporate income tax (CIT) incentives in the Western Balkan countries: Slovenia, Croatia, Serbia, Montenegro, Macedonia and Albania. Western Balkan countries, as other transition and developing countries, use large number of the corporate income tax incentives (CIT) to attract foreign investments and to stimulate economic activity. The main goal of this paper is to investigate how often these countries use CIT incentives and provide review of existing tax incentives in Western Balkan countries. Paper will focus on reduced CIT rates, tax holidays, and other investment incentives which imply incentives like accelerated depreciation, tax allowances and tax credits.

Keywords: tax incentives, tax rate, tax holidays, WesternBalkan countries

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1332 The Complementarities of Multi-Lateralism, Andregionalism and Income Convergence: ASEAN and SAARC

Authors: Kankesu Jayanthakumaran, Shao-Wei Lee

Abstract:

This paper proposes the hypothesis that multilateralism and regionalism are complementary, and that regional income convergence is likely with a like minded and committed regionalism that often has links geographically and culturally. The association between international trade, income per capita, and regional income convergence in founder members of ASEAN and SAARC, is explored by applying the Lumsdaine, and Papell approach. The causal relationships between the above variables are also studied in respective trade blocs by using Granger causality tests. The conclusion is that global reforms have had a greater impact on increasing trade for both trade blocs and induced convergence only in ASEAN-5 countries. The experience of ASEAN countries shows a two-way causal relationship between the flow from trade to regional income convergence, and vice versa. There is no evidence in SAARC countries for income convergence and causality.

Keywords: ASEAN-5, SAARC-5, trade liberalisation, incomeconvergence, structural breaks and causality.

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1331 Health Information Technology in Developing Countries: A Structured Literature Review with Reference to the Case of Libya

Authors: Haythem A. Nakkas, Philip J. Scott, Jim S. Briggs

Abstract:

This paper reports a structured literature review of the application of Health Information Technology in developing countries, defined as the World Bank categories Low-income countries, Lower-middle-income, and Upper-middle-income countries. The aim was to identify and classify the various applications of health information technology to assess its current state in developing countries and explore potential areas of research. We offer specific analysis and application of HIT in Libya as one of the developing countries. A structured literature review was conducted using the following online databases: IEEE, Science Direct, PubMed, and Google Scholar. Publication dates were set for 2000-2013. For the PubMed search, publications in English, French, and Arabic were specified. Using a content analysis approach, 159 papers were analyzed and a total number of 26 factors were identified that affect the adoption of health information technology. Of the 2681 retrieved articles, 159 met the inclusion criteria which were carefully analyzed and classified. The implementation of health information technology across developing countries is varied. Whilst it was initially expected financial constraints would have severely limited health information technology implementation, some developing countries like India have nevertheless dominated the literature and taken the lead in conducting scientific research. Comparing the number of studies to the number of countries in each category, we found that Low-income countries and Lower-middle-income had more studies carried out than Upper-middle-income countries. However, whilst IT has been used in various sectors of the economy, the healthcare sector in developing countries is still failing to benefit fully from the potential advantages that IT can offer.

Keywords: Developing Countries, Developed Countries, Factors, Failure, Implementation, Libya, Success.

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1330 Corruption, Economic Growth, and Income Inequality: Evidence from Ten Countries in Asia

Authors: Chiung-Ju Huang

Abstract:

This study utilizes the panel vector error correction model (PVECM) to examine the relationship among corruption, economic growth, and income inequality experienced within ten Asian countries over the 1995 to 2010 period. According to the empirical results, we do not support the common perception that corruption decreases economic growth. On the contrary, we found that corruption increases economic growth. Meanwhile, an increase in economic growth will cause an increase in income inequality, although the effect is insignificant. Similarly, an increase in income inequality will cause an increase in economic growth but a decrease in corruption, although the effect is also insignificant.

Keywords: Corruption, economic growth, income inequality, panel vector error correction model

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1329 The Impact of Trade on Social Development

Authors: Umut Gunduz, Mehtap Hisarciklilar, Tolga Kaya

Abstract:

Studies revealing the positive relationship between trade and income are often criticized with the argument that “development should mean more than rising incomes". Taking this argument as a base and utilizing panel data, Davies and Quinlivan [1] have demonstrated that increases in trade are positively associated with future increases in social welfare as measured by the Human Development Index (HDI). The purpose of this study is twofold: Firstly, utilizing an income based country classification; it is aimed to investigate whether the positive association between foreign trade and HDI is valid within all country groups. Secondly, keeping the same categorization as a base; it is aimed to reveal whether the positive link between trade and HDI still exists when the income components of the index are excluded. Employing a panel data framework of 106 countries, this study reveals that the positive link between trade and human development is valid only for high and medium income countries. Moreover, the positive link between trade and human development diminishes in lower-medium income countries when only non-income components of the index are taken into consideration.

Keywords: HDI, foreign trade, development, panel data.

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1328 The Role of ICT for Income Inequality: The Model and the Simulations

Authors: Shoji Katagiri

Abstract:

This paper is to clarify the relationship between ICT and income inequality. To do so, we develop the general equilibrium model with ICT investment, obtain the equilibrium solutions, and then simulate the model with these solutions for some OECD countries. As a result, generally, during the corresponding periods we confirm that the relationship between ICT investment and income inequality is positive. In this mode, the increment of the ratio of ICT investment to the aggregated investment in stock enhances the capital’s share of income, and finally leads to income inequality such as the increase of the share of the top decile income. Although we confirm the positive relationship between ICT investment and income inequality, the upward trend for that relationship depends on the values of parameters for the making use of the simulations and these parameters are not deterministic in the magnitudes on the calculated results for the simulations.

Keywords: ICT, inequality, capital accumulation, technology.

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1327 Studying the Effects of Economic and Financial Development as well as Institutional Quality on Environmental Destruction in the Upper-Middle Income Countries

Authors: Morteza Raei Dehaghi, Seyed Mohammad Mirhashemi

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The current study explored the effect of economic development, financial development and institutional quality on environmental destruction in upper-middle income countries during the time period of 1999-2011. The dependent variable is logarithm of carbon dioxide emissions that can be considered as an index for destruction or quality of the environment given to its effects on the environment. Financial development and institutional development variables as well as some control variables were considered. In order to study cross-sectional correlation among the countries under study, Pesaran and Friz test was used. Since the results of both tests show cross-sectional correlation in the countries under study, seemingly unrelated regression method was utilized for model estimation. The results disclosed that Kuznets’ environmental curve hypothesis is confirmed in upper-middle income countries and also, financial development and institutional quality have a significant effect on environmental quality. The results of this study can be considered by policy makers in countries with different income groups to have access to a growth accompanied by improved environmental quality.

Keywords: Economic Development, Environmental Destruction, Financial Development, Institutional Development, Seemingly Unrelated Regression.

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1326 A Model Suggestion on Competitiveness and Sustainability of SMEs in Developing Countries

Authors: Ahmet Diken, Tahsin Karabulut

Abstract:

The factor which developing countries are in need is capital. Such countries make an effort to increase their income in order to meet their expenses for employment, infrastructure, superstructure investments, education, health and defense. The sole income of the countries is taxes collected from businesses. The businesses should drive profit and return in order to be able to toll. In a world where competition exists, different strategies may be followed by business in developing countries and they must specify their target markets. İn order to minimize cost and maximize profit, SMEs have to concentrate on target markets and select cost oriented strategy. In this study, a theoretical model is suggested that SME firms have to act as cluster between each other, and also must be optimal provider for large scale firms. SMEs’ policy must be supported by public. This relationship can benefit large scale firms to have brand over the world, and this organization increases value added for developing countries.

Keywords: Competitiveness, sustainability, SMEs, developing countries.

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1325 Net Fee and Commission Income Determinants of European Cooperative Banks

Authors: Karolína Vozková, Matěj Kuc

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Net fee and commission income is one of the key elements of a bank’s core income. In the current low-interest rate environment, this type of income is gaining importance relative to net interest income. This paper analyses the effects of bank and country specific determinants of net fee and commission income on a set of cooperative banks from European countries in the 2007-2014 period. In order to do that, dynamic panel data methods (system Generalized Methods of Moments) were employed. Subsequently, alternative panel data methods were run as robustness checks of the analysis. Strong positive impact of bank concentration on the share of net fee and commission income was found, which proves that cooperative banks tend to display a higher share of fee income in less competitive markets. This is probably connected with the fact that they stick with their traditional deposit-taking and loan-providing model and fees on these services are driven down by the competitors. Moreover, compared to commercial banks, cooperatives do not expand heavily into non-traditional fee bearing services under competition and their overall fee income share is therefore decreasing with the increased competitiveness of the sector.

Keywords: Cooperative banking, dynamic panel data models, net fee, commission income, system GMM.

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1324 The Relationship between Military Expenditure, Military Personnel, Economic Growth, and the Environment

Authors: El Harbi Sana, Ben Afia Neila

Abstract:

In this paper, we study the relationship between the military effort and pollution. A distinction is drawn between the direct and indirect impact of the military effort (military expenditure and military personnel) on pollution, which operates through the impact of military effort on per capita income and the resultant impact of income on pollution. Using the data of 121 countries covering the period 1980–2011, both the direct and indirect impacts of military effort on air pollution emissions are estimated. Our results show that the military effort is estimated to have a positive direct impact on per capita emissions. Indirect effects are found to be positive, the total effect of military effort on emissions is positive for all countries.

Keywords: Military expenditure, military personnel, income, emissions of CO2 and panel data.

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1323 The Importance of Zakat in Struggle against Circle of Poverty and Income Redistribution

Authors: Hasan Bulent Kantarcı

Abstract:

This paper examines how “Zakat” provides fair income redistribution and aids the struggle against poverty. Providing fair income redistribution and combating poverty constitutes some of the fundamental tasks performed by countries all over the world. Each country seeks a solution for these problems according to their political, economic and administrative styles through applying various economic and financial policies. The same situation can be handled via “zakat” association in Islam. Nowadays, we observe different versions of “zakat” in developed countries. Applications such as negative income tax denote merely a different form of “zakat” that is being applied almost in the same way but under changed names. However, the minimum values to donate under zakat (e.g. 85 gr. gold and 40 animals) get altered and various amounts are put into practice. It might be named as negative income tax instead of zakat, nonetheless, these applications are based on the Holy Koran and the hadith released 1400 years ago. Besides, considering the savage and slavery in the world at those times, we might easily recognize the true value of the zakat being applied for the first time then in the Islamic system. Through zakat, governments are able to transfer incomes to the poor as a means of enabling them achieve the minimum standard of living required. With regards to who benefits from the Zakat, an objective and fair criteria was used to determine who benefits from the zakat contrary to the notion that it was based on peoples’ own choices. Since the zakat is obligatory, the transfers do not get forwarded directly but via the government and get distributed, which requires vast governmental organizations. Through the application of Zakat, reduced levels of poverty can be achieved and also ensure the fair income redistribution.

Keywords: Cycle of poverty, Islamic finance, income redistribution, zakat.

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1322 Regional Convergence in per Capita Personal Income in the US and Canada

Authors: Ilona Shiller

Abstract:

This study examines regional convergence in per capita personal income in the US and Canada. We find that the disparity in real per capita income levels across US states (Canadian provinces) has declined, but income levels are not identical. Income levels become more aligned once costs of living are accounted for in relative per capita income series. US states (Canadian provinces) converge at an annual rate of between 1.3% and 2.04% (between 2.15% and 2.37%). A pattern of σ and β-convergence in per capita personal income across regions evident over the entire sample period, is reversed over 1979-1989 (1976-1990) period. The reversal may be due to sectoral or region-specific shocks that have highly persistent effects. The latter explanation might be true for half of the US and most of Canada.

Keywords: regional convergence, regional disparities, per capita income.

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1321 Conceptual Overview of Housing Affordability in Selangor, Malaysia

Authors: M. S. Suhaida, N. M. Tawil, N. Hamzah, A. I. Che-Ani, M.M. Tahir

Abstract:

Socioeconomic stability and development of a country, can be describe by housing affordability. It is aimed to ensure the housing provided as one of the key factors that is affordable by every income earner group whether low-income, middle income and high income group. This research carried out is to find out affordability of home ownership level for first medium cost landed-house by the middle-income group in Selangor, Malaysia. It is also hope that it could be seen as able to contribute to the knowledge and understanding on housing affordability level for the middleincome group and variables that influenced the medium income group-s ability to own first medium-cost houses.

Keywords: Residential, Housing Affordability, Middle income.

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1320 A Panel Cointegration Analysis for Macroeconomic Determinants of International Housing Market

Authors: Mei-Se Chien, Chien-Chiang Lee, Sin-Jie Cai

Abstract:

The main purpose of this paper is to investigate thelong-run equilibrium and short-run dynamics of international housing prices when macroeconomic variables change. We apply the Pedroni’s, panel cointegration, using the unbalanced panel data analysis of 33 countries over the period from 1980Q1 to 2013Q1, to examine the relationships among house prices and macroeconomic variables. Our empirical results of panel data cointegration tests support the existence of a cointegration among these macroeconomic variables and house prices. Besides, the empirical results of panel DOLS further present that a 1% increase in economic activity, long-term interest rates, and construction costs cause house prices to respectively change 2.16%, -0.04%, and 0.22% in the long run.Furthermore, the increasing economic activity and the construction cost would cause strongerimpacts on the house prices for lower income countries than higher income countries.The results lead to the conclusion that policy of house prices growth can be regarded as economic growth for lower income countries. Finally, in America region, the coefficient of economic activity is the highest, which displays that increasing economic activity causes a faster rise in house prices there than in other regions. There are some special cases whereby the coefficients of interest rates are significantly positive in America and Asia regions.

Keywords: House prices, Macroeconomic Variables, Panel cointegration, Dynamic OLS.

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1319 The Effect of Outliers on the Economic and Social Survey on Income and Living Conditions

Authors: Encarnación Álvarez, Rosa M. García-Fernández, Francisco J. Blanco-Encomienda, Juan F. Muñoz

Abstract:

The European Union Survey on Income and Living Conditions (EU-SILC) is a popular survey which provides information on income, poverty, social exclusion and living conditions of households and individuals in the European Union. The EU-SILC contains variables which may contain outliers. The presence of outliers can have an impact on the measures and indicators used by the EU-SILC. In this paper, we used data sets from various countries to analyze the presence of outliers. In addition, we obtain some indicators after removing these outliers, and a comparison between both situations can be observed. Finally, some conclusions are obtained.

Keywords: Headcount index, poverty line, risk of poverty, skewness coefficient.

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1318 Creation of Greater Mekong Subregion Regional Competitiveness through Cluster Mapping

Authors: Danuvasin Charoen

Abstract:

This research investigates cluster development in the area called the Greater Mekong Subregion (GMS), which consists of Thailand, the People’s Republic of China (PRC), the Yunnan Province and Guangxi Zhuang Autonomous Region, Myanmar, the Lao People’s Democratic Republic (Lao PDR), Cambodia, and Vietnam. The study utilized Porter’s competitiveness theory and the cluster mapping approach to analyze the competitiveness of the region. The data collection consists of interviews, focus groups, and the analysis of secondary data. The findings identify some evidence of cluster development in the GMS; however, there is no clear indication of collaboration among the components in the clusters. GMS clusters tend to be stand-alone. The clusters in Vietnam, Lao PDR, Myanmar, and Cambodia tend to be labor intensive, whereas the clusters in Thailand and the PRC (Yunnan) have the potential to successfully develop into innovative clusters. The collaboration and integration among the clusters in the GMS area are promising, though it could take a long time. The most likely relationship between the GMS countries could be, for example, suppliers of the low-end, labor-intensive products will be located in the low income countries such as Myanmar, Lao PDR, and Cambodia, and these countries will be providing input materials for innovative clusters in the middle income countries such as Thailand and the PRC.

Keywords: Greater Mekong Subregion, competitiveness, cluster, development.

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1317 Community Based Tourism and Development in Third World Countries: The Case of the Bamileke Region of Cameroon

Authors: Ngono Mindzeng Terencia

Abstract:

Community based tourism, as a sustainable tourism approach, has been adopted as a tool for development among local communities in third world countries with income generation as the main driver. However, an analysis of community based tourism and development brings to light another driving force which is paramount to development strategies in the difficult conditions of third world countries: this driving force is “place revitalization”. This paper seeks to assess the relevance of “place revitalization” to the enhancement of development within the challenging context of developing countries. The research provides a community based tourism model to development in third world countries through a three step process based on awareness, mentoring and empowerment at the local level. It also tries to examine how effectively this model can address the development problems faced by the local communities of third world countries. The case study for this research is the Bamiléké region of Cameroon, the breeding ground of community based tourism initiatives and a region facing the difficulties of third world countries that are great impediments to community based tourism.

Keywords: Awareness, empowerment, local communities, mentoring, place revitalization, third world countries.

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1316 Using “Eckel” Model to Measure Income Smoothing Practices: The Case of French Companies

Authors: Feddaoui Amina

Abstract:

Income smoothing represents an attempt on the part of the company's management to reduce variations in earnings through the manipulation of the accounting principles. In this study, we aimed to measure income smoothing practices in a sample of 30 French joint stock companies during the period (2007-2009), we used Dummy variables method and “ECKEL” model to measure income smoothing practices and Binomial test accourding to SPSS program, to confirm or refute our hypothesis. This study concluded that there are no significant statistical indicators of income smoothing practices in the sample studied of French companies during the period (2007-2009), so the income series in the same sample studied of is characterized by stability and non-volatility without any intervention of management through accounting manipulation. However, this type of accounting manipulation should be taken into account and efforts should be made by control bodies to apply Eckel model and generalize its use at the global level.

Keywords: Income, smoothing, “Eckel”, French companies.

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1315 Housing Loans Determinants before and during Financial Crisis

Authors: Josip Visković, Ana Rimac Smiljanić, Ines Ivić

Abstract:

Housing loans play an important role in CEE countries’ economies. This fact is based on their share in total loans to households and their importance for economic activity and growth in CEE countries. Therefore, it is important to find out key determinants of housing loans demand in these countries. The aim of this study is to research and analyze the determinants of the demand for housing loans in Croatia. In this regard, the effect of economic activity, loan terms and real estate prices were analyzed. Also, the aim of this study is to find out what motivates people to take housing loans. Therefore, primarily empirical study was conducted among the Croatian residents. The results show that demand for housing loans is positively affected by economic growth, higher personal income and flexible loan terms, while it is negatively affected by interest rate rise.

Keywords: CEE countries, Croatia, demand determinants, housing loans.

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1314 Uneven Development: Structural Changes and Income Outcomes across States in Malaysia

Authors: Siti Aiysyah Tumin

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This paper looks at the nature of structural changes—the transition of employment from agriculture, to manufacturing, then to different types of services—in different states in Malaysia and links it to income outcomes for households and workers. Specifically, this paper investigates the conditional association between the concentration of different economic activities and income outcomes (household incomes and employee wages) in almost four decades. Using publicly available state-level employment and income data, we found that significant wage premium was associated with “modern” services (finance, real estate, professional, information and communication), which are urban-based services sectors that employ a larger proportion of skilled and educated workers. However, employment in manufacturing and other services subsectors was significantly associated with a lower income dispersion and inequality, alluding to their importance in welfare improvements.

Keywords: Employment, labour market, structural change, wages.

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1313 Affordability and Expenditure Patterns towards Sustainable Consumption in Malaysia

Authors: Affordability, Expenditure Patterns towards Sustainable Consumption in Malaysia

Abstract:

Safe drinking water is needed for survival. Households have to pay the water bill monthly. However, lower income households are sometimes unable to afford the cost. This study examines water access and affordability among households in Malaysia and the determinants of water affordability using cross-sectional data and multiple regression. The paper expects that the bill for basic water consumption is inversely related to average income. This means that policy makers need to redesign the water tariff to improve the quality of life of lower income households.

Keywords: Affordability, households, income, water tariff.

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1312 Factors Influencing B2c eCommerce Diffusion

Authors: R. Mangiaracina, A. Perego, F. Campari

Abstract:

Despite the fact that B2c eCommerce has become important in numerous economies, its adoption varies from country to country. This paper aims to identify the factors affecting (enabling or inhibiting) B2c eCommerce and to determine their quantitative impact on the diffusion of online sales across countries. A dynamic panel model analyzing the relationship between 13 factors (Macroeconomic, Demographic, Socio-Cultural, Infrastructural and Offer related) stemming from a complete literature analysis and the B2c eCommerce value in 45 countries over 9 years has been developed. Having a positive correlation coefficient, GDP, mobile penetration, Internet user penetration and credit card penetration resulted as enabling drivers of the B2c eCommerce value across countries, whereas, having a negative correlation coefficient,equal distribution of income and the development of traditional retailing network act as inhibiting factors.

Keywords: B2c eCommerce diffusion, influencing factors, dynamic panel model

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1311 Dual Role of Women and Its Influence on Farmers’ Household Income and Consumption Pattern: Study of Informal Women Workers in the District Mandalle, Pangkep, South Sulawesi Province

Authors: Ida Rosada, Nurliani

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Today, the number of women who seek additional income to help her husband is increasing. They do that in order to be able to express themselves in the midst of the family and society. Nonetheless, housewives are in charge of managing family’s income and prepare food for the family. The objective of this research is 1) to analyze the effect of the dual role of women to household income and 2) to analyze the effect of the dual role to consumption patterns. The study used a qualitative approach, data collection techniques are through observation, interviews, and documentation on farming households. The data was analysed qualitative descriptively. The results found that: 1) The revenue contribution of women who play double role in the informal sector amounted to 34.07% (less than 50%). 2) The main reason that the respondents worked in the informal sector is to be able to send their children to school (34%) and to improve household economy condition (28%). 3) After earning additional income, respondents said that they can contribute to increase the family’s income and to cover the family shortage (82%); 4) Respondents’ opinion to changes in food consumption after performing the dual role is the ability to purchase and provide the desired food (44%) and changing patterns of consumption per day (30%).

Keywords: Dual role, the informal sector, consumption patterns, household income.

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1310 Local Investment Climate and the Role of (Sustainable) FDI: The Case of Georgia

Authors: Vakhtang Charaia

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The article focuses on the role of FDI in Georgia’s economic development for the last decade. To attract as much FDI as possible a proper investment climate should be on the place - institutional, policy and regulatory environment. Well developed investment climate is the chance and motivation for both, local economy and foreign companies, to generate maximum income, create new work places and improve the quality of life. FDI trend is one of the best indicators of country’s economic sustainability and its attractiveness. Especially for small and developing countries, the amount of FDI matters, therefore most of such countries are trying to compete with each other through improving their investment climate according to different world famous indexes. As a result of impressive reforms since 2003, Georgian economy was benefited with large invasion of FDI, however the level of per capita GDP is still law in comparison to Eastern European countries and it should be improved. The main idea of the paper is to show a real linkage between FDI and employment ration, on the case of Georgian economy.

Keywords: Foreign Direct Investment, Sustainable Development, Corruption, Employment/Unemployment.

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1309 Determinants of the Income of Household Level Coir Yarn Labourers in Sri Lanka

Authors: G. H. B. Dilhari, A. A. D. T. Saparamadu

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Sri Lanka is one of the prominent countries for the coir production. The coir is one of the by-products of the coconut and the coir industry is considered to be one of the traditional industries in Sri Lanka. Because of the inherent nature of the coir industry, labourers play a significant role in the coir production process. The study has analyzed the determinants of the income of the household level coir yarn labourers. The study was conducted in the Kumarakanda Grama Niladhari division. Simple random sampling was used to generate a sample of 100 household level coir yarn labourers and structured questionnaire, personal interviews, and discussion were performed to gather the required data. The obtained data were statistically analyzed by using Statistical Package for Social Science (SPSS) software. Mann-Whitney U and Kruskal-Wallis test were performed for mean comparison. The findings revealed that the household level coir yarn industry is dominated by the female workers and it was identified that fewer numbers of workers have engaged in this industry as the main occupation. In addition to that, elderly participation in the industry is higher than the younger participation and most of them have engaged in the industry as a source of extra income. Level of education, the methods of engagement, satisfaction, engagement in the industry by the next generation, support from the government, method of government support, working hours per day, employed as a main job, number of completed units per day, suffering from job related diseases and type of the diseases were related with income level of household level coir yarn laboures. The recommendations as to flourish in future includes, technological transformation for coir yarn production, strengthening the raw material base and regulating the raw material supply, introduction of new technologies, markets and training programmes, the establishment of the labourers’ association, the initiation of micro credit schemes and better consideration about the job oriented diseases.

Keywords: Coir, Income, Sri Lanka.

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1308 Financial Technology: The Key to Achieving Financial Inclusion in Developing Countries Post COVID-19 from an East African Perspective

Authors: Yosia Mulumba, Klaus Schmidt

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Financial Inclusion is considered a key pillar for development in most countries around the world. Access to affordable financial services in a country’s economy can be a driver to overcome poverty and reduce income inequalities, and thus increase economic growth. Nevertheless, the number of financially excluded populations in developing countries continues to be very high. This paper explores the role of Financial Technology (Fintech) as a key driver for achieving financial inclusion in developing countries post the COVID-19 pandemic with an emphasis on four East African countries: Kenya, Tanzania, Uganda, and Rwanda. The research paper is inspired by the positive disruption caused by the pandemic, which has compelled societies in East Africa to adapt and embrace the use of financial technology innovations, specifically Mobile Money Services (MMS), to access financial services. MMS has been further migrated and integrated with other financial technology innovations such as Mobile Banking, Micro Savings, and Loans, and Insurance, to mention but a few. These innovations have been adopted across key sectors such as commerce, health care, or agriculture. The research paper will highlight the Mobile Network Operators (MNOs) that are behind MMS, along with numerous innovative products and services being offered to the customers. It will also highlight the regulatory framework under which these innovations are being governed to ensure the safety of the customers' funds.

Keywords: Financial inclusion, financial technology, regulatory framework, mobile money services.

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1307 Effectual Role of Local Level Partnership Schemes in Affordable Housing Delivery

Authors: Hala S. Mekawy

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Affordable housing delivery for low and lower middle income families is a prominent problem in many developing countries; governments alone are unable to address this challenge due to diverse financial and regulatory constraints, and the private sector's contribution is rare and assists only middle-income households even when institutional and legal reforms are conducted to persuade it to go down market. Also, the market-enabling policy measures advocated by the World Bank since the early nineties have been strongly criticized and proven to be inappropriate to developing country contexts, where it is highly unlikely that the formal private sector can reach low income population. In addition to governments and private developers, affordable housing delivery systems involve an intricate network of relationships between a diverse range of actors. Collaboration between them was proven to be vital, and hence, an approach towards partnership schemes for affordable housing delivery has emerged. The basic premise of this paper is that addressing housing affordability challenges in Egypt demands direct public support, as markets and market actors alone would never succeed in delivering decent affordable housing to low and lower middle income groups. It argues that this support would ideally be through local level partnership schemes, with a leading decentralized local government role, and partners being identified according to specific local conditions. It attempts to identify major attributes that would ensure the fulfillment of the goals of such schemes in the Egyptian context. This is based upon evidence from diversified worldwide experiences, in addition to the main outcomes of a questionnaire that was conducted to specialists and chief actors in the field.

Keywords: Affordable housing, partnership schemes.

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1306 The “Ecological Approach” to GIS Implementation in Low Income Countries’ and the Role of Universities: Union of Municipalities of Joumeh Case Study

Authors: A. Iaaly, O. Jadayel, R. Jadayel

Abstract:

This paper explores the effectiveness of approaches used for the implementation of technology within central governments specifically Geographic Information Systems (GIS). It examines the extent to which various strategies to GIS implementation and its roll out to users within an organization is crucial for its long term assimilation. Depending on the contextual requirements, various implementation strategies exist spanning from the most revolutionary to the most evolutionary, which have an influence on the success of GIS projects and the realization of resulting business benefits within the central governments. This research compares between two strategies of GIS implementation within the Lebanese Municipalities. The first strategy is the “Technological Approach” which is focused on technology acquisition, overlaid on existing governmental frameworks. This approach gives minimal attention to capability building and the long term sustainability of the implemented program. The second strategy, referred to as the “Ecological Approach”, is naturally oriented to the function of the organization. This approach stresses on fostering the evolution of the program and on building the human capabilities. The Union of the Joumeh Municipalities will be presented as a case study under the “Ecological Approach” and the role of the GIS Center at the University of Balamand will be highlighted. Thus, this research contributes to the development of knowledge on technology implementation and the vital role of academia in the specific context of the Lebanese public sector so that this experience may pave the way for further applications.

Keywords: Ecological Approach, GIS, low income countries, technological approach.

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1305 An Evaluation of Buying Behaviors and Perceptions of Organic Vegetable Consumers in Chiang Mai Province

Authors: Somdech Rungsrisawat

Abstract:

The purpose of this research is to study of consumer perception and understanding consumer buying behavior that related between satisfied and factors affecting the purchasing. Methodology can be classified between qualitative and quantitative approaches for the qualitative research were interviews from middlemen who bought organic vegetables, and middlemen related to production and marketing system. A questionnaire was utilized as a tool to collect data. Statistics utilized in this research included frequency, percentage, mean, standard deviation, and multiple regression analysis. The result show the reason to decision buying motives is Fresh products of organic vegetables is the most significant factor on individuals’ income, with a b of –.143, t = –2.470, the price of organic vegetables is the most significant factor on individuals’ income, with a b of .176, t = 2.561, p value = .011. The results show that most people with higher income think about the organic products are expensive and have negative attitudes towards organic vegetable as individuals with low and medium income level. Therefore, household income had a significant influence on the purchasing decision.

Keywords: Consumer behaviors, Consumer perceptions, Organic Vegetable.

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1304 A New Method to Estimate the Low Income Proportion: Monte Carlo Simulations

Authors: Encarnación Álvarez, Rosa M. García-Fernández, Juan F. Muñoz

Abstract:

Estimation of a proportion has many applications in economics and social studies. A common application is the estimation of the low income proportion, which gives the proportion of people classified as poor into a population. In this paper, we present this poverty indicator and propose to use the logistic regression estimator for the problem of estimating the low income proportion. Various sampling designs are presented. Assuming a real data set obtained from the European Survey on Income and Living Conditions, Monte Carlo simulation studies are carried out to analyze the empirical performance of the logistic regression estimator under the various sampling designs considered in this paper. Results derived from Monte Carlo simulation studies indicate that the logistic regression estimator can be more accurate than the customary estimator under the various sampling designs considered in this paper. The stratified sampling design can also provide more accurate results.

Keywords:

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