Author: Jann Lay / Publishing Institution: German Institute of Global and Area Studies / Topic: Development

Author:: Jann Lay, Sarah Lindemann-Komarova, Sebastian Prediger, and Martin Ostermeier
Publication Date:: 03-2015
Content Type:: Working Paper
Institution:: German Institute of Global and Area Studies
Abstract:: The aim of this paper is to contribute to the ongoing discussion about the design of a post-2015 development framework by proposing indicators to monitor employment outcomes. Our analysis of the current MDG employment indicators shows that measurement problems, the inappropriate use of aggregate statistics, ambiguous interpretability, and assumptions that often do not hold true in the context of developing countries are major shortcomings of the current indicators. Based on this critique, we develop a new set of indicators for productive employment and decent work. We propose four indicators: (i) the growth of labor value added per worker, (ii) the working poverty rate, (iii) (a) the share of workers receiving less than an absolute labor income and (b) the share of workers receiving less than 60 percent of the median labor income. We demonstrate the empirical application of these indicators using the country cases of Uganda and Peru.
Topic:: Development
Political Geography:: Uganda and Peru

Author:: Jann Lay, Michael Grimm, and Simon Lange
Publication Date:: 01-2012
Content Type:: Working Paper
Institution:: German Institute of Global and Area Studies
Abstract:: Micro and small enterprises (MSEs) in developing countries are typically considered to be severely credit constrained. Additionally, high business risks may partly explain why the capital stocks of MSEs remain low. This article analyzes the determinants of the capital stocks of MSEs in poor economies focusing on credit constraints and risk. The analysis is based on a unique, albeit cross-sectional but backward-looking, micro data set on MSEs covering the economic capitals of seven West-African countries. The main result is that capital market imperfections indeed seem to explain an important part of the variation in capital stocks in the early lifetime of MSEs. Furthermore, the analyses show that risk plays a key role in capital accumulation. Risk-averse individuals seem to adjust their initially low capital stocks upwards when enterprises grow older. MSEs in risky activities owned by wealthy individuals even seem to over-invest when they start their business and subsequently adjust capital stocks downwards. As other firms simultaneously suffer from capital shortages, such behaviour may imply large inefficiencies.
Topic:: Development, Economics, International Trade and Finance, Markets, and Foreign Direct Investment
Political Geography:: West Africa

Author:: Jann Lay, Janosch Ondraczek, and Jana Stoever
Publication Date:: 07-2012
Content Type:: Working Paper
Institution:: German Institute of Global and Area Studies
Abstract:: We study the determinants of households' choices of lighting fuels in Kenya, including the option of using solar home systems (SHSs). The paper adds new evidence on the factors that influence the introduction and adoption of decentralized and less carbonâ€intensive energy sources in developing countries. We capitalize on a unique representative survey on energy use and sources from Kenya, one of the few relatively wellâ€established SHSs markets in the world. Our results reveal some very interesting patterns in the fuel transition in the context of lightingâ€fuel choices. While we find clear evidence for a crosssectional energy ladder, the income threshold for modern fuel use – including solar energy use – is very high. Income and education turn out to be key determinants of SHSs adoption, but we also find a very pronounced effect of SHSs clustering. In addition, we do not find a negative correlation between grid access and SHSs use.
Topic:: Development, Education, and Energy Policy
Political Geography:: Kenya and Africa

Refine your search