Open Access Original Research Article

The Role of Entrepreneurship in Sustainable Livelihood Strategies of Old Aged People; Evidence from Sargodha, Pakistan

Babak Mahmood, Nehdia Mahmood, Malik Muhammad Sohail, Sidra Saeed

Journal of Economics, Management and Trade, Page 1-16
DOI: 10.9734/BJEMT/2016/25336

In the last decade empirical studies have focused on the importance of entrepreneurship in old age. At the age of retirement, people hold good experience of any particular sector. This study explored the livelihood strategies of old age people in Sargodha city, taking into account the notion of poverty. Elderly people have to face number of social problems during their lives. They do not have proper access over the resources necessary to enhance their livings and survival. In this study, qualitative approach was used. In depth interviews and case study method were used to get an insight of this problem. This study is comprised of four case studies. Sample was selected through purposive sampling. SLA approach (Sustainable Livelihoods Approach) and DFID (Department for International Development) framework were used for the analysis of activities of case studies. Old age people reported different factors that affected their health, household’s wellbeing and increase their socio-economic insecurity.

 

Open Access Original Research Article

An Assessment of Work Related Factors on Clergy’s Performance: A Case Study of ACK Diocese of Nakuru

A. M. Mambo, A. Shitandi, N. Aming’a, L. Agasa

Journal of Economics, Management and Trade, Page 1-7
DOI: 10.9734/BJEMT/2016/19908

The purpose of this research was to assess the effect that work related factors have on the performance of the clergy in the ACK Diocese of Nakuru. The study sought to achieve the following objectives: To assess the effects of motivation on clergy work performance and service; to examine the effect that job satisfaction has on performance of the clergy; to investigate the influence that the reward system has on performance of the clergy; ACK Diocese of Nakuru. A descriptive research design was used in the study. The target population consisted of 70 employees but a sample size of 32 respondents was selected; these were clergy based at the A.C.K Diocese of Nakuru. Purposive Random sampling was used for the sample frame. Data was collected through administration of questionnaires. Data was adequately checked for reliability and verification and information was tabulated, coded and processed by computer using the SPSS software. The study found out that the clergy were generally satisfied with their jobs and were motivated by; salary, house allowance, adequate authority and sense of control and equal opportunities. The study recommends that the Diocese should design the following motivation policies that encourage the clergy performance; salaries increase, promotions, skills enhancements, opportunities for self advancement, integration and partnership.

 

Open Access Original Research Article

From the “Battle of the Sexes” to the “End of History and the Last Man”: An Alternative Analysis of the Current Global Economic Crisis

Ioannis- Dionysios Salavrakos

Journal of Economics, Management and Trade, Page 1-15
DOI: 10.9734/BJEMT/2016/25083

The paper points out that throughout economic history the international economy faced numerous crises due to various events (war, epidemics, physical catastrophes etc). However in spite of various crises the international economy has been able to grow and transform from feudal to commercial, capitalism, industrial capitalism and finally post-industrial capitalism, thus justifying the Schumpeterian assertion which pointed out that capitalism is the system which can re-birth from its ashes. We argue that this dynamic process was based on five principles: 1) a gradual establishment of a state apparatus and bureaucracy which promoted growth, 2) a constantly evolving human capital via education and training, 3) a leadership which promoted science and arts, 4) ethics based on Christian values which focused on human values and triggered the rise of a humanistic society, 5) Random external shock events with positive or negative economic ramifications.   

However the current crisis is totally different from those of the past since the West marginalized the above five principles and endorsed a technology / information driven growth model which is associated with quick decision making (thus high risk of error), absence of ethics (thus marginalization of human cohesion and solidarity) and a shift from the real sphere of the economy to the financial sphere creating immense private and state debts. This ongoing process is so destructive that affects even nature / biological issues. We argue that the deeper in-tacit factors are associated with the crisis thus making the current period totally different.    

 

Open Access Original Research Article

The Complementary Compound Truncated Poisson-Weibull Distribution for Pricing Catastrophic Bonds for Extreme Earthquakes

Emad Abdelgalil Ali Ismail

Journal of Economics, Management and Trade, Page 1-9
DOI: 10.9734/BJEMT/2016/26775

Aims: This paper aims at bridging the gap or managing the level of overall losses between economic losses and insured losses that are usually caused by extreme earthquakes, by calculating the price of catastrophic bonds. While examining the frequency of the event, it was observed that, at least, one accident occurred periodically, which resulted in maximum losses.

Study Design: This study is an empirical research based on maximum losses that are due to earthquake events per year, as obtained from the International Disaster Database and Munich Re.

Place and Duration of Study: The study analyzed 80 extreme earthquake events in the world, between 1906 and 2015.

Methodology: The Complementary risk method used in calculating a mixed probability distribution expresses the number of earthquakes and the maximum losses realized. Zero truncated Poisson distribution is used for frequency distribution and Last order Weibull distribution for losses. The data were analyzed using IBM SPSS (Statistical Package for Social Sciences) Statistics 22 and MathCad 2001 professional software.

Results: It was discovered that the maximum losses of earthquake were fitted with compound truncated Poisson-Weibull distribution. Expected values have been calculated for extreme earthquake losses, which exceed the specific descriptive measures. The expected values of extreme losses caused by earthquakes are a net premium, present value or net price of the catastrophic bonds. It was observed that the present value of catastrophic bonds decreases as the retention increases. Risk management of natural disaster (by transferring the losses to the financial markets) is one of the derivative methods considered as an alternative or complement to traditional insurance. The process of transferring losses to capital markets through the catastrophic bonds (to cover natural disasters) leads to greater coverage of these losses, by maintaining that natural disaster losses are relative to the size of the capital markets, and are less than the ratio to the size of the insurance markets, in addition to the possibility of providing the necessary funds for reconstruction.

 

Open Access Original Research Article

Remittance: Consumed or Invested? A Macro-Model of the Nigerian Economy

Innocent C. Ogbonna, Nkechinyere R. Uwajumogu, Augustine C. Odo

Journal of Economics, Management and Trade, Page 1-35
DOI: 10.9734/BJEMT/2016/25026

The increasing trend in remittance receipts, especially to developing countries has widened the opportunities for external sources of finance for investment and growth. However, while some literatures suggest that remittance matter for growth through investment, others contend that the relationship between remittance and growth depends on its end use. Given an import-dependent economy like Nigeria, it is necessary to examine the end-use of remittance – whether it is consumed or invested. Employing a quarterly time series data from 1986 to 2014 in a Keynesian dynamic macroeconomic framework, the results show that remittance significantly induces consumption and investment expenditure, as well as output growth in Nigeria. Specifically, when 1 unit remittance is received in Nigeria, it significantly induces consumption and investment spending by 3 units and 63 units respectively while output growth increases by 1012 units, ceteris paribus.

Open Access Review Article

The Role of Financial Institutions in Promoting Innovation of SMEs in Rwanda: An Empirical Review

Philippe Ndikubwimana

Journal of Economics, Management and Trade, Page 1-14
DOI: 10.9734/BJEMT/2016/26746

The government of Rwanda has set up an empowering environment to support SMEs and has attracted players with good local, regional, and international experience in using innovation and technology to expand business activities and increase economic growth. The majority of SMEs struggle to increase productivity, organizational effectiveness, sustained competitive advantage and satisfactory rate of return on investment. It is not an easy task to achieve such kind of objective in an economy where traditional and informal practices of business management are still applied. It is evident from research that innovative technology strategies are key resource for gaining competitive advantage, but it is challenging because some enterprises lack entrepreneurship and innovative skills. Consequently, many small businesses fail and close few days after their start up. One way in which SMEs should operate to remain economically viable and contribute to a sustainable economic growth is though innovation. The financial institutions play a role of intermediating people, business companies or enterprises in need of funds (borrowers) with lenders. This paper reviews empirical evidence on the contribution of SMEs to innovation, examining the role financial institutions and SMEs in promoting innovation, the role of SMEs in economic growth and challenges facing SMES.

 

Open Access Review Article

Characteristic Growth Factors of Small and Medium-Sized Enterprises from the Perspective of Selected Multidirectional and Varied Results of Empirical Research

B. Siuta-Tokarska

Journal of Economics, Management and Trade, Page 1-14
DOI: 10.9734/BJEMT/2016/25163

The paper indicates a relatively big share of firms of the SME sector in the economic development of countries and attention is paid to beneficial effects achieved from the growth of those firms. The author presents selected conclusions of empirical research into that problem in numerous countries, implemented from the point of view of the influence of various factors on the growth of firms of the SME sector including micro-, small and medium-sized business entities. It gives a picture of the conclusions resulting from empirical research and findings of many authors referring to the most significant growth factors of these businesses.