Measuring Economic Insecurity

We provide a systematic treatment of the notion of economic insecurity, assuming that an individual’s sentiment of insecurity depends on the current wealth level and its variations experienced in the past. We think of wealth as a comprehensive variable encompassing anything that may help in coping with adverse occurrences. The current wealth level could also be interpreted as incorporating the individual’s evaluation of future prospects. Variations in wealth experienced in the recent past are given higher weight than experiences that occurred in the more distant past. Two classes of measures are characterized with sets of plausible and intuitive axioms.

Relation entre le sentiment d'empowerment et l'insertion professionnelle de nouveaux directeurs et directeurs adjoint d'établissement d'enseignement primaire et secondaire

Cette recherche vise à augmenter les connaissances sur le processus d’insertion professionnelle des nouveaux directeurs et directeurs adjoints du primaire et du secondaire au Québec lors de la première année en fonction. Pour mieux connaître cette étape de la vie professionnelle, quatre dimensions du processus d’insertion professionnelle ont été étudiées : la nature de la tâche, le contexte d’exercice, le soutien et l’accompagnement et les caractéristiques motivationnelles. Le sentiment d’empowerment des nouveaux gestionnaires a été étudié simultanément afin d’examiner leur motivation à exercer la nouvelle fonction. La question générale de la recherche était de savoir si la mesure du sentiment d’empowerment utilisé pour traiter de la motivation pouvait apporter de l’information sur la façon dont se vit le processus d’insertion professionnelle des nouveaux directeurs et directeurs adjoints d’établissement d’enseignement. Les données ont été recueillies auprès de dix nouveaux directeurs et directeurs adjoints d’établissement. Une conception de l’insertion professionnelle en tant que processus ayant été retenue, chaque participant a été rencontré à trois moments au cours de l’année scolaire, soit quelques semaines après l’entrée en fonction, au milieu de l’année et à la fin de celle-ci. Lors de chaque rencontre, les participants ont été interrogés à l’aide d’une grille d’entrevue semi-dirigée sur les quatre dimensions du processus d’insertion professionnelle mentionnées précédemment. Ils complétaient par la suite un questionnaire pour mesurer le sentiment d’empowerment. Ce questionnaire est une adaptation validée par Boudreault (1990) d’un outil développé par Tymon (1988). La recherche tend à confirmer l’utilité du sentiment d’empowerment comme source d’information sur le déroulement du processus d’insertion professionnelle. Ainsi, des relations semblent possibles entre le sentiment d’empowerment et certains aspects étudiés. Il s’agit de relations qu’il faudra cependant analyser avec de plus grands échantillons pour les valider. Tout d’abord, concernant la nature de la tâche, les constats indiquent que les directeurs adjoints affichant les meilleurs sentiments d’empowerment géraient moins de dossiers différents et que la plupart des dossiers dont ils étaient responsables faisaient appel à des habiletés développées antérieurement lors d’affectation intérimaire ou lors de leur participation à des comités à titre d’enseignants. De plus, ces participants avaient moins de gestion de personnel à effectuer, et particulièrement au regard du personnel de soutien. Ensuite, une tendance marquée a ensuite été constatée en ce qui concerne le soutien et l’accompagnement. Il est apparu que les participants (directeurs et directeurs adjoints) avec les meilleurs sentiments d’empowerment étaient ceux qui bénéficiaient du meilleur soutien et accompagnement de leur supérieur immédiat. Puis, en ce qui a trait aux caractéristiques motivationnelles, les participants exprimant les meilleurs sentiments d’empowerment se sentaient plus capables d’accomplir leur tâche et remettaient moins en question l’exercice de leur fonction. La recherche a indiqué d’autres relations possibles entre le sentiment d’empowerment et certains aspects des dimensions de l’insertion professionnelle, qui bien que moins marquées dans l’échantillon, mériteraient d’être approfondies dans des travaux futurs. Il s’agit de la relation entre le sentiment d’empowerment et le climat organisationnel de l’établissement, de la marge de manœuvre consentie dans l’exercice de la fonction et de la motivation des directeurs adjoints à postuler à un poste de directeur. Finalement, la recherche a mis en lumière la conviction des nouveaux directeurs de vivre une nouvelle phase d’insertion professionnelle et la différence entre les tâches des directeurs adjoints du primaire et ceux du secondaire.

Optimising contributions of goat farming to household economic success and food security in three production systems in Ethiopia

The study aims to analyse factors affecting contributions of goat farming to household economic success and food security in three goat production systems of Ethiopia. A study was conducted in three districts of Ethiopia representing arid agro-pastoral (AAP), semi-arid agro-pastoral (SAAP) and highland mixed crop-livestock (HMCL) systems involving 180 goat keeping households. Gross margin (GM) and net benefit (NB1 and NB2) were used as indicators of economic success of goat keeping. NB1 includes in-kind benefits of goats (consumption and manure), while NB2 additionally constitutes intangible benefits (insurance and finance). Household dietary diversity score (HDDS) was used as a proxy indicator of food security. GM was significantly affected by an off-take rate and flock size interaction (P<0.001). The increment of GM due to increased off-take rate was more prominent for farmers with bigger flocks. Interaction between flock size and production system significantly (P<0.001) affected both NB1 and NB2. The increment of NB1 and NB2 by keeping larger flocks was higher in AAP system, due to higher in-kind and intangible benefits of goats in this system. Effect of goat flock size as a predictor of household dietary diversity was not significant (P>0.05). Nevertheless, a significant positive correlation (P<0.05) was observed between GM from goats and HDDS in AAP system, indicating the indirect role of goat production for food security. The study indicated that extent of utilising tangible and intangible benefits of goats varied among production systems and these differences should be given adequate attention in designing genetic improvement programs.

salud financiera y riesgo en los estados financieros de la empresa avianca del sector aeronautico

La globalización y la competitividad como realidad de las empresas, implica que los gerentes preparen a sus empresas de la mejor manera para sobrevivir en este mundo tan inestable y cambiante. El primer paso consta de investigar y medir como se encuentra la empresa en cada uno de sus componentes, tales como recurso humano, mercadeo, logística, operación y por último y más importante las finanzas. El conocimiento de salud financiera y de los riesgos asociados a la actividad de las empresas, les permitirá a los gerentes tomar las decisiones correctas para ser rentables y perdurables en el mundo de los negocios inmerso en la globalización y competitividad. Esta apreciación es pertinente en Avianca S.A. esto teniendo en cuenta su progreso y evolución desde su primer vuelo el 5 de diciembre de 1919 comercial, hasta hoy cuando cotiza en la bolsa de Nueva York. Se realizó un análisis de tipo descriptivo, acompañado de la aplicación de ratios y nomenclaturas, dando lugar a establecer la salud financiera y los riesgos, no solo de Avianca sino también del sector aeronáutico. Como resultado se obtuvo que el sector aeronáutico sea financieramente saludable en el corto plazo, pero en el largo plazo su salud financiera se ve comprometida por los riegos asociados al sector y a la actividad desarrollada.

GISQ, a multifunctional indicator of soil quality

We present here an indicator of soil quality that evaluates soil ecosystem services through a set of 5 subindicators, and further combines them into a single general Indicator of Soil Quality (GISQ). We used information derived from 54 properties commonly used to describe the multifaceted aspects of soil quality. The design and calculation of the indicators were based on sequences of multivariate analyses. Subindicators evaluated the physical quality, chemical fertility, organic matter stocks, aggregation and morphology of the upper 5 cm of soil and the biodiversity of soil macrofauna. A GISQ combined the different subindicators providing a global assessment of soil quality. Research was conducted in two hillside regions of Colombia and Nicaragua, with similar types of land use and socio-economic context. However, soil and climatic conditions differed significantly. In Nicaragua, soil quality was assessed at 61 points regularly distributed 200 m apart on a regular grid across the landscape. In Colombia, 8 plots representing different types of land use were arbitrarily chosen in the landscape and intensively sampled. Indicators that were designed in the Nicaragua site were further applied to the Colombian site to test for their applicability. In Nicaragua, coffee plantations, fallows, pastures and forest had the highest values of GISQ (1.00; 0.80; 0.78 and 0.77, respectively) while maize crops and eroded soils (0.19 and 0.10) had the lowest values. Examination of subindicator values allowed the separate evaluation of different aspects of soil quality: subindicators of organic matter, aggregation and morphology and biodiversity of macrofauna had the maximum values in coffee plantations (0.89; 0.72 and 0.56, respectively on average) while eroded soils had the lowest values for these indicators (0.10; 0.31 and 0.33, respectively). Indicator formulae derived from information gained at the Nicaraguan sites were not applicable to the Colombian situation and site-specific constants were calculated. This indicator allows the evaluation of soil quality and facilitates the identification of problem areas through the individual values of each subindicator. It allows monitoring of change through time and can guide the implementation of soil restoration technologies. Although GISQ formulae computed on a set of data were only valid at a regional scale, the methodology used to create these indices can be applied everywhere.

Considering the normative, systemic and procedural dimensions in indicator-based sustainability assessments in agriculture

This paper develops a framework for evaluating sustainability assessment methods by separately analyzing their normative, systemic and procedural dimensions as suggested by Wiek and Binder [Wiek, A, Binder, C. Solution spaces for decision-making – a sustainability assessment tool for city-regions. Environ Impact Asses Rev 2005, 25: 589-608.]. The framework is then used to characterize indicator-based sustainability assessment methods in agriculture. For a long time, sustainability assessment in agriculture has focused mostly on environmental and technical issues, thus neglecting the economic and, above all, the social aspects of sustainability, the multifunctionality of agriculture and the applicability of the results. In response to these shortcomings, several integrative sustainability assessment methods have been developed for the agricultural sector. This paper reviews seven of these that represent the diversity of tools developed in this area. The reviewed assessment methods can be categorized into three types: (i) top-down farm assessment methods; (ii) top-down regional assessment methods with some stakeholder participation; (iii) bottom-up, integrated participatory or transdisciplinary methods with stakeholder participation throughout the process. The results readily show the trade-offs encountered when selecting an assessment method. A clear, standardized, top-down procedure allows for potentially benchmarking and comparing results across regions and sites. However, this comes at the cost of system specificity. As the top-down methods often have low stakeholder involvement, the application and implementation of the results might be difficult. Our analysis suggests that to include the aspects mentioned above in agricultural sustainability assessment, the bottomup, integrated participatory or transdisciplinary methods are the most suitable ones.

Can sentiment surveys pre-empt real estate market activities?

We evaluate a number of real estate sentiment indices to ascertain current and forward-looking information content that may be useful for forecasting the demand and supply activities. Our focus lies on sector-specific surveys targeting the players from the supply-side of both residential and non-residential real estate markets. Analyzing the dynamic relationships within a Vector Auto-Regression (VAR) framework, we test the efficacy of these indices by comparing them with other coincident indicators in predicting real estate returns. Overall, our analysis suggests that sentiment indicators convey important information which should be embedded in the modeling exercise to predict real estate market returns. Generally, sentiment indices show better information content than broad economic indicators. The goodness of fit of our models is higher for the residential market than for the non-residential real estate sector. The impulse responses, in general, conform to our theoretical expectations. Variance decompositions and out-of-sample predictions generally show desired contribution and reasonable improvement respectively, thus upholding our hypothesis. Quite remarkably, consistent with the theory, the predictability swings when we look through different phases of the cycle. This perhaps suggests that, e.g. during recessions, market players’ expectations may be more accurate predictor of the future performances, conceivably indicating a ‘negative’ information processing bias and thus conforming to the precautionary motive of consumer behaviour.

Asymmetric response of demand-supply mismatch to investor's sentiment

We look through both the demand and supply side information to understand dynamics of price determination in the real estate market and examine how accurately investors’ attitudes predict the market returns and thereby flagging off extent of any demand-supply mismatch. Our hypothesis is based on the possibility that investors’ call for action in terms of their buy/sell decision and adjustment in reservation/offer prices may indicate impending demand-supply imbalances in the market. In the process, we study several real estate sectors to inform our analysis. The timeframe of our analysis (1995-2010) allows us to observe market dynamics over several economic cycles and in various stages of those cycles. Additionally, we also seek to understand how investors’ attitude or the sentiment affects the market activity over the cycles through asymmetric responses. We test our hypothesis variously using a number of measures of market activity and attitude indicators within several model specifications. The empirical models are estimated using Vector Error Correction framework. Our analysis suggests that investors’ attitude exert strong and statistically significant feedback effects in price determination. Moreover, these effects do reveal heterogeneous responses across the real estate sectors. Interestingly, our results indicate the asymmetric responses during boom, normal and recessionary periods. These results are consistent with the theoretical underpinnings.

Information content and forecasting ability of sentiment indicators: case of real estate market

We evaluate a number of real estate sentiment indices to ascertain current and forward-looking information content that may be useful for forecasting demand and supply activities. Analyzing the dynamic relationships within a Vector Auto-Regression (VAR) framework and using the quarterly US data over 1988-2010, we test the efficacy of several sentiment measures by comparing them with other coincident economic indicators. Overall, our analysis suggests that the sentiment in real estate convey valuable information that can help predict changes in real estate returns. These findings have important implications for investment decisions, from consumers' as well as institutional investors' perspectives.

The EU societal awareness of landscape indicator: a review of its meaning, utility and performance across different scales

There is increasing recognition that agricultural landscapes meet multiple societal needs and demands beyond provision of economic and environmental goods and services. Accordingly, there have been significant calls for the inclusion of societal, amenity and cultural values in agri-environmental landscape indicators to assist policy makers in monitoring the wider impacts of land-based policies. However, capturing the amenity and cultural values that rural agrarian areas provide, by use of such indicators, presents significant challenges. The EU social awareness of landscape indicator represents a new class of generalized social indicator using a top-down methodology to capture the social dimensions of landscape without reference to the specific structural and cultural characteristics of individual landscapes. This paper reviews this indicator in the context of existing agri-environmental indicators and their differing design concepts. Using a stakeholder consultation approach in five case study regions, the potential and limitations of the indicator are evaluated, with a particular focus on its perceived meaning, utility and performance in the context of different user groups and at different geographical scales. This analysis supplements previous EU-wide assessments, through regional scale assessment of the limitations and potentialities of the indicator and the need for further data collection. The evaluation finds that the perceived meaning of the indicator does not vary with scale, but in common with all mapped indicators, the usefulness of the indicator, to different user groups, does change with scale of presentation. This indicator is viewed as most useful when presented at the scale of governance at which end users operate. The relevance of the different sub-components of the indicator are also found to vary across regions.

Natural disasters, economic growth and sustainable development in China: an empirical study using provincial panel data

Using a newly developed integrated indicator system with entropy weighting, we analyzed the panel data of 577 recorded disasters in 30 provinces of China from 1985–2011 to identify their links with the subsequent economic growth. Meteorological disasters promote economic growth through human capital instead of physical capital. Geological disasters did not trigger local economic growth from 1999–2011. Generally, natural disasters overall had no significant impact on economic growth from 1985–1998. Thus, human capital reinvestment should be the aim in managing recoveries, and it should be used to regenerate the local economy based on long-term sustainable development.

A monthly indicator of Brazilian GDP. The Brazilian business cycle and growth cycle

This paper constructs an indicator of Brazilian GDP at the monthly ftequency. The peculiar instability and abrupt changes of regimes in the dynamic behavior of the Brazilian business cycle were explicitly modeled within nonlinear ftameworks. In particular, a Markov switching dynarnic factor model was used to combine several macroeconomic variables that display simultaneous comovements with aggregate economic activity. The model generates as output a monthly indicator of the Brazilian GDP and real time probabilities of the current phase of the Brazilian business cycle. The monthly indicator shows a remarkable historical conformity with cyclical movements of GDP. In addition, the estimated filtered probabilities predict ali recessions in sample and out-of-sample. The ability of the indicator in linear forecasting growth rates of GDP is also examined. The estimated indicator displays a better in-sample and out-of-sample predictive performance in forecasting growth rates of real GDP, compared to a linear autoregressive model for GDP. These results suggest that the estimated monthly indicator can be used to forecast GDP and to monitor the state of the Brazilian economy in real time.

Probiotic in feeding of juvenile matrinxã (Brycon amazonicus): economic viability

Objetivou-se analisar a viabilidade econômica do uso do probiótico Bacillus subtilis na alimentação de matrinxã Brycon amazonicus, em tanques-rede. O experimento foi conduzido no Polo Regional do Vale do Ribeira, no município de Pariquera-Açu, São Paulo, Brasil, entre fevereiro e julho de 2009. Foram avaliados 960 peixes juvenis, divididos em 12 tanques-rede de 2,7 m³ (1,5 x 1,5 x 1,2 m) em uma área total de 600 m², com profundidade média de 1,50 m. Os testes foram conduzidos com um tratamento testemunha (T1), duas doses de probiótico (T2 = 5 g e T3 = 10 g kg-1 de ração) e quatro repetições. Os resultados mostraram que o T2 proporcionou melhor desempenho zootécnico e econômico da matrinxã na fase de engorda no sistema intensivo de criação.

Economic viability and selection of irrigation systems using simulation and stochastic dominance

Fundação de Amparo à Pesquisa do Estado de São Paulo (FAPESP)

The use of key indicators to assess Latin America’s long-term economic performance

Through the astute analysis of official statistics, we can gather a more complete picture of the economic performance of a given country, and understand more fully what have been its drivers, leading to a more effective use of national resources and a more efficient design of policy options. However, the myriad of information and numerical data across the system of macroeconomic statistics can be challenging to interpret in a straightforward manner. In order to synthetically assess economic performance across countries in Latin America we propose the use of a composite indicator, which builds upon the methodology of Khramov and Lee (2013) and incorporates key indicators from each of the pillars of macroeconomic statistics: the System of National Accounts, the Balance of Payments Statistics, Monetary and Financial Statistics and Public Finance Statistics. Through a composite examination of key statistical indicators in each country across their long-term trends, we can more fully understand the underlying macroeconomic dynamics.