Department of Economics

Permanent URI for this collection

Browse

Recent Submissions

Now showing 1 - 20 of 168
  • Item
    Determinants and constraints of women’s sole-owned tourism micro, small and medium enterprises (MSMEs) in Tanzania
    (Taylor and Francis online, 2022-02-01) Tryphone, Karline; Mkenda, Beatrice
    This paper explores the determinants and challenges affecting women sole owners of tourism-related enterprises. It identifies factors that determine sole ownership, assesses the extent to which women participate as sole owners and the challenges encountered in establishing and operating enterprises. Primary data on 475 women-owned enterprises is analysed using a probit model. We find that post-primary education, attendance of specialised training in tourism, engagement in other economic activities, and being previously employed reduces the likelihood of solely owning a business, while initiation of the business idea increases it. We recommend offering women entrepreneurial education to enable them acquire experience, develop right attitudes and foster networks for entrepreneurship. Furthermore, increasing awareness on availability and access to the Women Development Fund (WDF) and strengthening the enforcement of laws governing ownership of land could provide women with start-up capital and means to access formal loans that require collateral.
  • Item
    Climate change and post-harvest agriculture
    (Routledge; RFF Press, Taylor and Francis Group, 2018-03) Chegere, Martin Julius
    This chapter looks at the role of post-harvest losses (PHL) in adaptation to climate change in sub-Saharan Africa. An estimated 10%–20% of the total grain produced in that region is lost before the food reaches consumers. This loss is valued in billions of dollars a year and could meet the annual calorie needs of 48 million people. PHL also waste labor, land, water, fertilizer and energy, and generate unnecessary greenhouse gas emissions, when resources are used to produce, process, and transport food that will not reach consumers. Losses occur during post-harvest activities, such as drying, storing, and transporting grain. PHL can be quantitative (e.g., bags of grain break and spill, or pests eat the grain) and qualitative (e.g., loss in nutritional value due to spoilage). A number of causes of PHL will be exacerbated by hotter average temperatures, greater rainfall variability, and more frequent extreme weather events. These factors are compounded by inadequate post-harvest handling practices and inadequate facilities and infrastructure. PHL can be reduced by investing in cold and dry storage, rural roads, rural and wholesale market facilities, and processing facilities. Training of farmers on proper practices and use of strategies such as hermetically sealed bags can reduce PHL.
  • Item
    Post-harvest losses reduction by small-scale maize farmers: The role of handling practices
    (Elsevier, 2018-05) Chegere, Martin Julius
    Concerns about food insecurity have grown in Sub-Saharan Africa due to rapidly growing population and food price volatility. Post-harvest Losses (PHL) reduction has been identified as a key component to complement efforts to address food security challenges and improve farm incomes, especially for the rural poor. This study analyses the role of recommended post-harvest handling practices in PHL reduction; and conducts a cost-benefit analysis of adopting practices associated with lower losses. The study finds that maize farmers lose about 11.7 percent of their harvest in the post-harvest system. About two-thirds of this loss occurs during storage. The study shows that adoption of recommended post-harvest handling practices is highly correlated with lower PHL. Lastly the study finds that the cost of implementing some of the recommended practices outweighs the benefits associated with lower PHL. It then discusses the reasons why some farmers may not adopt some of the practices and points out some contributions to the literature.
  • Item
    Poverty Effects of Fuel and Food Price Changes in Tanzania
    (Dar es Salaam University Press, 2013) Chegere, Martin Julius; Kidane, Asmerom; Leyaro, Vincent
    Among the recent major welfare shocks in Tanzania and globally is the 2007-2010 food and fuel prices surge. While sharp increases in food prices have the potential of increasing real production in agriculture, higher fuel prices increase production costs that affect all sectors in the economy negatively; and both negatively affect real consumption. The simulation analysis using the 2007 Tanzania Household Budget Survey shows that both the poverty incidence and the poverty gap increased following the increase in fuel and food prices. Agricultural, rural; and poor and middle income households are identified to have suffered more than the others. Policy implications on substitution for less costing and domestically available fuels, and the increase of food crops productivity are suggested.
  • Item
    The Socio-Economic Implications of Structural Changes in Plantations in African Countries
    (1986) Lugogo, J. A.; Msambichaka, Lucian A.; Bagachwa, M. S. D.; Dadson, J. A.; Tano, K.
    ILO pub. Working paper, case studies of social implications and economic implications of structural change in plantations in Ghana, Cote d'Ivoire, Kenya and Tanzania - examines trends affecting agricultural production of cash crops and agricultural employment; comments on legislation regarding land ownership (inc. Land reform); considers agricultural price, agricultural income, wages and working conditions of plantation workers (incl. Rural women). Map, references, statistical tables, tables.
  • Item
    Agrarian Transformation and Rural Development in Tanzania
    (1983) Maeda, J. H. J.; Msambichaka, Lucian A.
  • Item
    Agricultural Credit in Tanzania: A Peasant Perspective / Le Crédit Agricole En Tanzanie - Le Point De Vue Des Agriculteurs
    (1987) Amani, Haidari K. R.; Msambichaka, Lucian A.; Hedlund, Stefan; Lundahl, Mats
    Cet article présente les résultats d'une enquête sur le crédit agricole qui s'est déroulée au mois de décembre 1984 dans les régions de Iringa, Dodoma et Morogoro en Tanzanie. On connait actuellement très peu de choses sur l'expérience des agriculteurs tanzaniens pour ce qui est la demande et l'offre de crédits. Au niveau gouvernemental, on met l'accent sur les besoins en crédits sans trop savoir si les agriculteurs partagent ce point de vue et sans connaître le volume des crédits disponibles dans les campagnes. Le plupart des agriculteurs interrogés n'ont pas d'épargne liquide ou n'épargnent que de petites sommes (il est bon d'ajouter toutefois que le bétail est une forme d'avoir très répandue). Il est indéniable qu'une demande de crédit existe et tout porte à croire que les prêts dont la finalité est la production agricole constituent la part la plus grande de cette demande. D'après les agriculteurs, le manque de capital nécessaire à la production agricole en limite son volume. Le quart seulement des agriculteurs interrogés reconnaissent avoir obtenu un prêt l'année précédant l'enquête et 40% de ces prêts proviennent de sources privées (non-officielles) avec, cependant, de grandes différences entre les régions. Les crédits officiels sont répartis de manière inégale entre les régions. Les connaissances sur les sources éventuelles de crédit à l'intérieur ou à l'extérieur des villages sont rudimentaires. Les possibilités d'emprunt sont ignorées par environ la moitié des agriculteurs interrogés. Les sommes à emprunter sont relativement petites — en règle générale inférieures à 1.000 shillings — et les prêts ne sont pas accordés pour plus d'un an dans la majeure partie des cas. Les taux d'intérêt sont bas pour les sources officielles comme privées et il n'existe aucun système de prêts à usure. Néanmoins, la majorité des agriculteurs interrogés préfère les crédits officiels au prêts accordés par des personnes privées.
  • Item
    Social Science Methods, Decision-Making and Development Planning
    (1984) Robinson, John; Cotta, Alain; Kassé, Mamadou M.; Msambichaka, Lucian A.; Bagachwa, M. S. D.; Mbele, A. V.; Podesta, Bruno
  • Item
    Agricultural Credit in Tanzania 1961-1966 / Le Crédit Agricole En Tanzanie 1961-66
    (1989) Lundahl, Mats; Msambichaka, Lucian A.
    The article deals with the history of formal agricultural credit in Tanzania during the first years of independence, up to the Arusha Declaration in 1967. During this period greater efforts than hitherto were made to reach the small African farmer and make him switch to improved methods of production. The period also saw the emergence of national policies in the monetary sector. Some old credit institutions were abolished and new ones were established. The foundations were laid for present rural lending policies. In quantitative terms little was achieved, however. In 1967-68 no more than 4,5 percent of all loans to rural households came from, inadequately functioning, public institutions
  • Item
    Zanzibar: overcoming the challenges of poverty reduction
    (2008) Moshi, Humphrey P. B.; Mbelle, Ammon V. Y
    The first part of this collective volume examines the political scene in Zanzibar and its potential for poverty reduction; the second examines the aspect of reform programmes; the third looks into issues of resource mobilization, hightlighting some key issues of particular interest to a small resource constrained island economy like that of Zanzibar; the fourth makes suggestions on how to accelerate progress in growth and attainment of the targets set by the Millennium Development Goals (MDG); and the fifth draws lessons from Zanzibar, citing experiences in Africa and outside. Contents: Overview (Humphrey P.B. Moshi & Ammon V.Y. Belle); Promoting political and social harmony for poverty reduction (Max Mmuya); Reform road map: an assessment (Semboja H.H. Haji); Mobilization of adequate financial resources to finance pro-poor growth (Robert R. Mabele & Godwin D. Mjema); Promoting and enhancing human resources capacity for sustained development (Hamisi H. Mwinyimvua & Deogratias P. Mushi); Pro-poor growth: Zanzibar growth strategy (Khamis Mussa Omar); Millennium development goals: scaling up investments in order to accelerate progress (Ammon V.Y. Mbelle); Chinese experience: lessons from the Chinese model on fragile economies of Africa (Humphrey P.B. Moshi); Regional experience on private sector development: galvanizing the economy and stimulating sustainable growth through promoting the private sector
  • Item
    Wages in Rwanda. WageIndicator Survey 2012.
    (2013) Besamusca, Janna; Tijdens, Kea; Tingum, Ernest N.; Mbassana, Marvin E.
    This WageIndicator Data Report presents the results of the face-to-face WageIndicator survey in Rwanda, conducted between the 27th of October and the 3rd of December 2012. The survey aimed to measure in detail the wages earned by Rwandan workers. In total 2,074 persons were interviewed in towns in all provinces of Rwanda. The workers lived in households with on average 4 members, including themselves. Almost half of the workers live with a partner and children. Some 4% of workers followed no formal education, two in ten stopped at elementary education, 44% completed secondary education. 6% followed post-secondary education and 26% followed tertiary education. On a scale from 1=dissatisfied to 10=satisfied, workers rate their satisfaction with life as a whole a 5.9 on average. In the sample, 29% of the workers were self-employed, 24% were employees on permanent contracts, 24% had fixed-term contracts, whereas 23% had no contract at all. On average, the workers had worked for 9.5 years. Over half of the people worked in an organization with 10 or fewer employees, one in three worked in an organization with 11-50 employees, 7% work in businesses of 51 to 100 employees and 11% work for businesses employing over a 100 people. Up to 55% of workers in the sample report being employed as managers (this group includes all business owners, including micro-enterprises), 12% are services and sales workers, 11% work in elementary occupations and 10% as clerical support workers. Over four in ten respondents work in trade transport and hospitality, 27% in agriculture, manufacturing and construction, 18% in the public sector and 15% work in commercial services. On average, the respondents work 60 hours per week and 5.9 days. Some 42% of workers report working shifts, 39% work evenings, 56% work Saturdays, while 36% works Sundays. Some 39% state that they are entitled to social security, whereas 46% contribute to social security. Less than two in ten workers state that they have no agreed working hours, 60% has agreed hours in writing and 22% verbally agreed hours. Up to 82% of workers report receiving their wage on time; 53% of workers received wages in a bank account, 46% cash in hand and 1% in kind. On a 5-point informality-index, ranging from 1=very informal to 5=very formal, 39% of workers are in the lowest category in the index, whereas 18% are in the highest category. The median net hourly wage of the total sample is 450 Rwandan francs (RWF); 26% of workers earn less than 150 francs per hour, another 24% earn between 150 and 450 francs, 29% earn between 450 and 1350 francs and the remaining 21% earn more than 1350 francs per hour. Employees with permanent contracts have by far the highest earnings (1008 RWF), whereas workers without contracts (128 RWF) have the lowest earnings. At 565 francs, employees on fixed term contracts earn above average wages, whereas the self-employed fall below it (418 RWF). Managers have the highest median wages (722 RWF). The lowest paid workers are skill service and sales workers (128 RWF) and workers in elementary occupations (139 RWF). The highest wages are earned in agriculture, manufacturing and construction (667 RWF), the lowest in commercial services (202 RWF). At 270 RWF, workers in firms with less than ten employees earn the lowest wages, whereas employees in firms of over a 100 employees earn the highest wages (1210 RWF). Those on the lowest end of the informality index earn only 192 RWF per hour, whereas those in the highest category earn wages 1155 francs. Men have slightly higher wages compared to women, and young workers have substantial lower wages than workers in the oldest age group. Workers with tertiary education earned 1369 RWF, compared to 98 RWF for workers without education. Only 49% of the sample is paid on or above the poverty line of 118.000 RWF per month. Workers without contracts were most vulnerable; just one in ten earn on or above the poverty line. In contrast, 79% of employees with permanent contracts, 57% of workers on fixed term contracts and 44% of self-employed do. Workers in firms employing between 51 and 100 people are most often paid above the poverty line (86%), compared to only 35% of workers in firms employing 10 people or less. Only 26% of the most informal workers are paid on or above the poverty line, compared to 84% of the most formal workers. Men are slightly more likely to paid above the poverty line than women (52% versus 47%). The older workers are, the more likely they are to be paid above the poverty line. Workers with tertiary education are paid on or above the poverty line in 92% of the cases, compared to just 15% of workers without formal education. Up to 63% of managers are paid above the poverty line, whereas only 14% of workers in elementary occupations and 19% of services and sales workers are. Workers in commercial services are most at risk of being paid poverty wages, while workers in agriculture, manufacturing and construction are most likely to be paid on or above the poverty line.
  • Item
    Wages in Benin. WageIndicator Survey 2012.
    (2013) Besamusca, Janna; Tijdens, Kea; Tingum, Ernest N.; Alinsato, Alastaire
    This WageIndicator Data Report presents the results of the face-to-face WageIndicator survey in Benin, conducted between the 15th and 19th of October 2012. The survey aimed to measure in detail the wages earned by Beninese workers, including the self-employed. In total 2,002 persons were interviewed in towns and cities of nine out of twelve departments of Benin. The workers in the survey live in households with on average 3.6 members, including themselves. Over half of both male and female workers live with a partner and children. Just over four in ten workers had diplomas from secondary education, 16% of workers followed no formal education, one in four stopped at elementary education and 16% followed tertiary education. Women are more likely to have no education and less likely to have enjoyed tertiary education. On a scale from 1=dissatisfied to 10=satisfied, respondents rate their satisfaction with life as a whole a 5.6 on average. In the sample, one in four workers are self-employed. Two in ten workers are employees with a permanent contract, three in ten workers have fixed-term contracts, whereas one in four have no contract at all. On average, respondents have worked for 11 years. Over six in ten people in the sample work in an organization with 10 or fewer employees (65%); the self-employed and workers without education do so almost exclusively. Ten per cent of workers are covered by a collective agreement, whereas 49% wish to be. Participation in schemes and bonuses is generally low, while health care schemes (11%) and pension schemes (10%) are most common. The average usual working week of respondents is 57 hours in 5.8 days. Four in ten workers regularly work shifts, two in three workers report working Saturdays, while three in ten work Sundays. Just 21% state that they are entitled to social security, whereas 31% contribute to it. Three in ten employees state that they have no agreed working hours, 36% has agreed working hours in writing 36%, and 34% verbally agreed. Three in four workers are paid cash in hand and seven in ten workers report receiving their wage on time. On a 5-points informality-index, ranging from 1=very informal to 5=very formal, 43% of workers are in the lowest category in the index, whereas 10% are in the highest category. In the sample, 57% report being employed as managers, which includes many small business owners, 14% are services and sales workers and 9% as clerical support workers. Over four in ten respondents work in trade transport and hospitality, 32% in the public sector, 11% work in agriculture, manufacturing and construction and 12% in commercial services. The median net hourly wage of the total sample is 214 Franc (CFA). Two in ten workers earn less than 100 Franc per hour, 28% earn between 100 and 200 Franc, 26% earn between and 200 and 400 Franc and 27% earn more than 400 Franc per hour. Employees with permanent contracts have by far the highest earnings (427 CFA), whereas workers without a contract (132 CFA) have the lowest earnings. At 166 CFA, workers in firms with less than ten employees earn the lowest wages, whereas employees in firms of over a 100 employees earn the highest wages (463 CFA). Those on the lowest end of the informality scale earn only 144 CFA per hour, whereas those in the highest category earn wages far above that (median is 577 CFA). Men have higher wages compared to women, and young workers have substantial lower wages than workers in the oldest age group. Both workers with second cycle secondary education (289 CFA) and those with tertiary education (586 CFA) earn above average wages; workers without education earn the lowest wages (148 CFA). Managers have the highest median wages (260 CFA), service and sales workers the lowest (137 CFA). By industry, the highest wages are earned in agriculture, manufacturing and construction (262 CFA) and the public sector, health care, and education (258 CFA). Workers in commercial services (189 CFA) and in trade, transport, and hospitality (185 CFA) earn considerably less. The analysis shows that 70% of the sample is paid on or above the minimum wage rate of CFA 31,652 per month gross. Just four in ten workers without contracts earn the minimum wage rate, whereas 95% of employees with permanent contracts do. Workers in firms employing between 51 and 100 people are most often paid above the minimum wage (94%), compared to only 56% of workers in firms employing 10 or less people. Only 47% of the most informal workers are paid the minimum wage, compared to 99% of the most formal workers. Women are less likely to paid the minimum wage than men (68% versus 71%). The older and more highly educated workers are, the more likely they are to be paid above the minimum wage rate. Eight in ten managers and crafts workers are paid the minimum wage rate, whereas only 42% of those in elementary occupations do. Workers in commercial services are most at risk of being not paid above the minimum wage (only 53% are), while public sectors are most likely (81%).
  • Item
    Wages in Madagascar. WageIndicator Survey 2012.
    (2013) Besamusca, Janna; Tijdens, Kea; Tingum, Ernest N.; Ravelosoa, Rachel
    This WageIndicator Data Report presents the results of the face-to-face WageIndicator survey in Madagascar, conducted between the 23rd of November and the 14th of December 2012. The survey aimed to measure in detail the wages earned by workers in all provinces of Madagascar, including the self-employed. In total 2,018 persons were interviewed, 93% of whom lived in towns and cities. The workers in the survey live in households with on average 4 members, including themselves. Six in ten workers live with a partner and children. Just over half of the workers had diplomas from secondary education, 4% enjoyed no formal education, 16% stopped at elementary education and 27% followed tertiary education. On average, respondents had worked for 14 years. On a scale from 1=dissatisfied to 10=satisfied, interviewees rate their satisfaction with life as a whole an average 5.3. In the sample, 34% of the workers are self-employed, 30% are employees with a permanent contract, 10% have fixed-term contracts and 23% have no contract at all. Up to 66% of workers in the sample report being employed as managers. This group includes all business owners, including micro-enterprises. Some 9% are clerical support workers, 8% are skilled agricultural workers and 7% services and sales workers. Over four in ten respondents work in trade transport and hospitality and 38% in agriculture, manufacturing and construction; 5% work in commercial services and 17% in the public sector. Six in ten people work in an organization with 10 or fewer employees, 31% work in an organization with 11-50 employees, 5% work in businesses of 51 to 100 employees and 3% work for businesses employing over a 100 people. Some 73% of workers report receiving their wage on time and 70% of workers receive their wage cash in hand. The average usual working week of respondents is 51 hours spread out over 5.7 days. Up to 45% of workers report working shifts or irregular hours, 16% work in the evenings, two in three workers work Saturdays, while one in four works Sundays. While 11% of workers are covered by collective agreements, 65% wish to be. Some 35% state that they are entitled to social security. Nearly half of the employees have no agreed working hours, 31% has agreed working hours in writing, 22% only verbally. On a 5-points informality-index, ranging from 1=very informal to 5=very formal, 49% of workers are in the lowest category, whereas 20% are in the highest category. The median net hourly wage of the total sample is 662 Ariary (MGA). Employees with permanent contracts earn 1207 MGA on average, employees on fixed term contracts 961 Ariary, workers without contracts 427 Ariary and self-employed only 318 MGA. At 462 MGA, workers in firms with less than ten employees earn the lowest wages, whereas employees in firms of between 51 and 100 employees earn the highest wages (1195 MGA). Those on the lowest end of the informality scale earn only 328 MGA per hour, whereas those in the highest category earn 1443 MGA. Workers with tertiary education (1732 MGA) earn above average wages; workers without education earn the lowest wages (122 MGA). By occupational category, the graph shows that clerical support workers have the highest median wages (912 MGA respectively), followed by managers (750 MGA). The lowest paid workers are skilled agricultural workers (253 MGA) and service and sales workers (340 MGA). The highest wages are earned in the public sector, health care, and education (1386 MGA) the lowest in agriculture, manufacturing and construction (550 MGA). Almost half of the self-employed workers (46%) earn less than 250 MGA per hour, as do 35% of the employees without contracts; only 8% of fixed term employees and 4% of workers with permanent contracts do. Over half of the workers with tertiary education earn more than 1500 MGA per hour, whereas 9% workers with primary education and 7% of those without education do. Only 59% of the sample is paid on or above the minimum wage. Workers without contracts and the self-employed are the most vulnerable groups: just four in ten earn the minimum wage rate. In contrast, 88% of employees with permanent contracts and three in four workers on fixed term contracts earn at least the minimum wage. Workers in firms employing between 51 and 100 people are most often paid above the minimum wage (84%), while only 46% of workers in firms employing 10 or less people are. Only 38% of the most informal workers are paid the minimum wage, compared to 93% of the most formal workers. Women are slightly more likely to paid the minimum wage than men (60% versus 58%). The older workers are, the more likely they are to be paid above the minimum wage rate. Workers with tertiary education are paid on or above the minimum wage rate in 89% of the cases, compared to just 19% of workers without formal education. Seven in ten clerical support workers are paid the minimum wage rate, whereas only 36% of services and sales workers are. Workers in trade, transport and hospitality are most at risk of being not paid above the minimum wage (only 48% are), while public sectors are most likely (87%).
  • Item
    The Relationship between Firm Size and Technical Efficiency in East Africa Manufacturing Firms
    (2010) Niringiye, Aggrey; Luvanda, Eliab; Joseph, Shitundu
    The main objective of this study was to establish the relationship between firm size and technical efficiency in East Africa manufacturing firms. This study used a two step methodology to examine the relationships between technical efficiency and firm size in east Africa manufacturing firms. In the first step, technical efficiency measures were calculated using DEA approach. Secondly, using the GLS technique, a technical efficiency equation was estimated to investigate whether technical efficiency is increasing in firm size. Contrary to our expectation, the results showed a negative association between firm size and technical efficiency in both Ugandan and Tanzanian manufacturing firms. The existence of a positive association between size squared and technical efficiency and a negative association between firm size and technical efficiency in Ugandan and Tanzanian manufacturing firms suggests an inverted U- relationship between firm size and technical efficiency in these countries.
  • Item
    Human Capital and Labor Productivity in East African Manufacturing Firms
    (2010) Niringiye, Aggrey; Luvanda, Eliab; Joseph, Shitundu
    The study uses firm level panel data to investigate relevant importance of human capital variables in explaining labor productivity in East African manufacturing firms. The study used generalized least squares to estimate the human capital model. Results indicate that proportion of skilled workers and average education in Uganda, training, proportion of skilled workers and education of the manager in Tanzania and average education and training in Kenya were positively associated with labour productivity. These results have important policy implications for the targeting policy prescriptions to increase manufacturing competitiveness.
  • Item
    Determinants of Export Participation in East African Manufacturing Firms
    (2010) Niringiye, Aggrey; Luvanda, Eliab; Joseph, Shitundu
    The main objective of this study was to analyze the determinants of export participation of agricultural manufacturing firms in East Africa. In order for East African agricultural manufacturing firms to achieve global competitiveness, they need to have an indication of the factors that influence their export participation. Regression results using probit estimation procedure indicate that capital, foreign ownership and training in Uganda, average education, location in Nakuru and proportion of unskilled workers in Kenya, and firm size and location in Arusha and Mwanza in Tanzania, positively influences export participation of agricultural manufacturing firms. To promote exports, Tanzania should design strategies to grow small firms into large ones using measures such as loan guarantee schemes for small and medium firms, tax holidays for joint ventures and mergers, etc. The Ugandan government should also provide incentives for capital imports such as maintaining the current zero rating of capital imports. Lastly, Ugandan government should design strategies aimed at attracting foreign direct investment, such as improving economic productivity through the provision of infrastructure and labour force training.
  • Item
    Export Participation and Technical Efficiency in East African Manufacturing Firms
    (2010) Niringiye, Aggrey; Luvanda, Eliab; Joseph, Shitundu
    The study analyzed two explanations for the positive association between export-participation status and efficiency, i.e., self-selection of the relatively more efficient firms into exporting, and learning-byexporting. Measures of firm-level efficiency using Data Envelopment Analysis (DEA) were estimated to investigate the relationship between export participation and firm-level efficiency. As a result of the binary nature of the export participation, probit technique w as used to estimate the export participation equation. No evidence of self-selection by the relatively more efficient firms into-exporting was found, as lagged efficiency does not affect the probability of exporting in East African manufacturing firms. One explanation is that factors other than technical efficiency may be playing a more prominent role as determinants of the export decision in East African manufacturing firms.
  • Item
    Firm Size and Technical Efficiency in East African Manufacturing Firms
    (2010) Niringiye, Aggrey; Luvanda, Eliab; Joseph, Shitundu
    The main objective of this study was to establish the relationship between firm size and technical efficiency in East African manufacturing firms. This study used a two-step methodology to examine the relationships between technical efficiency and firm size in East African manufacturing firms. In the first step, technical efficiency measures were calculated using DEA approach. Secondly, using GLS technique, a technical efficiency equation was estimated to investigate whether technical efficiency is increasing in firm size. Contrary to our expectation, the results show ed a negative association between firm size and technical efficiency in both Ugandan and Tanzanian manufacturing firms. The existence of a positive association between size squared and technical efficiency and a negative association between firm size and technical efficiency in Ugandan and Tanzanian manufacturing firms suggests an inverted U- relationship between firm size and technical efficiency in these countries.
  • Item
    Wages in Senegal. WageIndicator Survey 2012.
    (2012) Tijdens, Kea; Besamusca, Janna; Kane, A.; Tingum, Ernest N.
    This WageIndicator Data Report presents the results of the face-to-face WageIndicator survey in Senegal, conducted between the 13h of September and 2nd of October 2012. In total 1,948 persons from almost all administrative regions were interviewed; 56% were men and 47% were under 30 years old. The workers in the survey live in households with on average five members, four of ten live with children and partners. On a scale from 1 (low) to 10 (high), less than half of the respondents (43%) rate their satisfaction with life a six or lower and a high 32% score an 8 or higher. On average, the interviewees score a 7. Nearly half of the workers had certificates from secondary education (44%). Sixteen per cent of workers followed no formal education, 21% stopped at primary education, 14% had a bachelor or master university degree. On average, respondents worked for 10 years. More than half of the people in the sample work in an organization with 10 or fewer employees (54%). The average working week of respondents is more than 55 hours and they work six days per week. Six in ten workers regularly work shifts, three in ten work evenings, six in ten workers report working Saturdays, while four in ten work Sundays. The biggest group of interviewees worked in wholesale and retail trade (17%). Just over a tenth (10%) worked in human health and social work activities and just a little fewer in financial and insurance activities (9.6%). Nearly half of the workers in the sample are employed as managers, which includes all business owners. Sizeable groups of respondents work in services and sales (15%) and as plant and machine operators (5%). One in ten workers is self-employed (11%), two in ten workers are employees with a permanent contract (20%), almost three in ten have a fixed term contract (26%) and four in ten have no contract at all (41%). Three in ten workers (31%) state that they are entitled to social security. Almost half of all workers state that they have no agreed working hours (49%). One third get their wages transferred to a bank account, two thirds get them cash in hand. Up to 46% of workers are in what can be qualified as very informal jobs, without social security, agreed hours or contracts, whereas 13% are in the very formal jobs. The median net hourly wage of the total sample is 358.49 Senegal Franc (XOF). Workers in firms with less than ten employees earn a lot less than employees of bigger firms. The analysis also shows that the more informal a jobs is, the lower the net hourly wages. Those on the lowest end of the informality scale earn only 186 XOF per hour, whereas those in the highest end earn wages far above that (median is 962 XOF). Employees with permanent contracts have by far the highest earnings (747 XOF), whereas workers without a labour contract (171 XOF) have the lowest earnings. Median wages increase with every level of education. Payoffs are small for the first levels of education and increase as the level gets higher. Workers without formal education earn on average 153 XOF, whereas those with university education earn 866 XOF. Managers have the highest median wages (513 XOF), followed by clerical support workers (481 XOF) and technicians and associate professionals (268 XOF). The lowest paid workers are the plant and machine operators, and assemblers (141 XOF), followed by the elementary occupations (153 XOF) and the craft and related trades workers (164 XOF). Women have higher median earnings than men, but men have higher mean earnings (711 versus 643 XOF), pointing to the fact that men are more found in the upper tail of the wage distribution. The result of the analysis shows that 91% of the sample is paid on or above the poverty line of 41 XOF per hour (or 1.25 US Dollars per day), whereas 9% is paid below the poverty line. Only 85% of informal workers are paid above the poverty line compared to 99% of the most formal workers. Men are less often paid above the poverty line than women (89% versus 94%). Workers under 30 years are most vulnerable: 88% is paid on or above the poverty line, compared to 94% of workers above 50 years old. Workers in large firms are least often paid above the poverty line (82%), compared to 93% of workers in firms employing between 11 and 50 people. Self-employed workers are the single most vulnerable group, only just over four in five (83%) are paid more than the poverty line. Less than four in five workers with no education and slightly more than four in five workers with elementary education are paid above the poverty line, compared to 97% and 99% of workers who finished general secondary or university education respectively. More than nine in ten managers are paid above the poverty line and almost as many clerical support workers (94%). In contrast, four in five (81%) of the plant and machine operators, and assemblers earn more than the poverty line and just a few more (83%) skilled agricultural, forestry and fishery workers do. Workers in trade, transport and hospitality are most at risk of poverty (90% paid below the poverty line). Public sector workers are best of, 98% of them earning a wage above the poverty line.