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11. Do Public Transfers Discourage Farmer Participation in Subsistence Crop Production? Empirical Evidence from Botswana

Author:
Khaufelo R. Lekobane and Tebogo B. Seleka
Publication Date:
08-2011
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
We analyze the impact of public food and cash transfers on farmer participation in Botswana’s subsistence arable agriculture. The results indicate that publicly provided social pensions and food packages (rations) reduce the probability of participation in subsistence crop farming. Engagement in paid off-farm employment, which is sometimes facilitated through a public works programme (PWP), also discourages farmer participation in the subsistence economy. Therefore, public food and cash transfers and the PWP yield work disincentive effects in Botswana’s subsistence agriculture. This is because transfers are usually consistent and regular in Botswana, impacting on household behaviour. The design of social protection policies should therefore consider such potential disincentive effects on the agricultural sector.
Topic:
Agriculture, Poverty, Labor Issues, Farming, Safety Net, Cash Transfers, and Dependency
Political Geography:
Africa and Botswana

12. Factors Underlying Communal Beef Cattle Marketing Decisions in Botswana: The Role of Public and Private Transfers

Author:
David Mmopelwa and Tebogo B. Seleka
Publication Date:
08-2011
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
This article examines factors underlying communal beef cattle marketing at a household level in Botswana, with emphasis placed on the role of public and private transfers. Results show that public and private transfers (pensions, remittances, government food rations, and food supplies from friends and relatives) discourage cattle marketing. Thus, while they are important sources of household food security, cash and food transfers may adversely impact on beef export performance in Botswana. It is therefore fundamental that public transfer programmes are well targeted to needy and poor households, in order to minimize their adverse effects on the cattle industry. On the positive side, the paper argues that public transfer programmes may assist poor farmers rebuild their cattle and other livestock inventory, contributing to transition out of inter-generational poverty.
Topic:
Poverty, Food Security, Cattle, Safety Net, Cash Transfers, and Meat Industry
Political Geography:
Africa and Botswana

13. Currency Reforms in Zimbabwe: an Analysis of Possible Currency Regimes

Author:
George Kararach, Phineas Kadenge, and Gibson Guvheya
Publication Date:
01-2010
Content Type:
Working Paper
Institution:
The African Capacity Building Foundation (ACBF)
Abstract:
The Government of Zimbabwe (GoZ) adopted a multiple currencies regime (MCR) in February 2009 and demonetized the Zimbabwean dollar in July 2009 after almost a decade of economic crisis. The MCR strategy resulted in stabilizing the Zimbabwean economy; however, there are remaining concerns that need to be addressed. The purpose of this paper is to explore various options of currency regimes that could be adopted in the short and medium term in order to consolidate Economic stabilization and recovery in Zimbabwe. The paper proposes that the optimal choice of a particular currency regime be based on a framework that takes into account the following: (a) the advantages and disadvantages of a particular regime, (b) the need for correct timing and sequencing of policy tools and reform actions, (c) the prior capacity conditions in the country, and (d) the political commitment to undertake the necessary reforms. It is imperative to note that these reforms are no quick fixes for designing economic stabilization and recovery programs needed in Zimbabwe. The Zimbabwean authorities and stakeholders need to fulfill the aforesaid preconditions for successful currency reform, before collectively selecting from among the various options.
Topic:
Monetary Policy, Reform, Central Bank, Fiscal Policy, Currency, and Safety Net
Political Geography:
Africa and Zimbabwe