Journal of Economic Impact

Socioeconomic Factors Affecting the Adoption of Digital Devices at Household Level in Pakistan

Sahira Bano, Sofia Anwar, Abdul Quddoos — Sun, 03 Nov 2024 00:00:00 +0000

The effective use of digital devices has become an essential part of modern life. This study explores the socioeconomic determinants of the adoption of digital devices in Pakistan. The data has been obtained from the Pakistan Social Living Standard Measurement (PSLM) survey 2019–2020. A binary logistic regression model has been used. The dependent variable is the household adoption of digital devices i.e. computers, laptops, and tablets/iPads. Socioeconomic and demographic variables have been used as explanatory variables in the regression. The results conclude that the household adoption of digital devices is influenced by socioeconomic and demographic factors including gender, income, schooling years, and age. Receiving foreign remittances emerged as a positive predictor of the adoption of digital devices. Surprisingly, employed individuals are less likely to use digital devices. The study also highlighted a few behavioral factors that affect the adoption of digital devices. These factors i.e. lack of accessibility and affordability of devices, fears regarding security, and challenges associated with digital literacy, negatively affect the adoption of digital devices. Digital divide and digital inclusion have been studied for different economies due to their perceived benefits in modern lifestyles. As per our information, such household level analysis for Pakistan has not been performed. Pakistan has a lot of space for improvement in ICT infrastructure and accessibility. The study elucidates socioeconomic factors that can influence the implementation of digital technology, providing implications for policymakers, who seek to promote digital inclusion.

Economic Impact of Cotton-Raya Relay Cropping on Crop Yield and Soil Health: A Strategic Approach to Climate Resilience and Profit Maximization

Tue, 05 Nov 2024 00:00:00 +0000

Climate change, soil degradation, and depletion of natural resources challenge agricultural productivity and economic sustainability. Developing resilient agricultural systems is crucial for food security amid these changes. Relay cropping, where one plant species is inter-seeded into an established crop, maintains continuous plant cover, optimizes resource use, and enhances climate resilience. Therefore, the objective of research was to assess the economic benefits of relay cropping systems in enhancing crop yield and improving soil health. It aims to identify how these practices contribute to climate resilience and maximize farm profitability, offering strategic insights for sustainable agriculture in the face of climate change. Brassica (Raya/Mustard) was sown in standing cotton as a relay crop on first week of October- using 3 kg seed/acre, and also a sole crop to compare the results. Economic analysis over three seasons shows that relay cropping consistently achieved higher net profits compared to sole cropping. Results showed that in 2022-23, cotton relay cropping yielded higher with a net profit of Rs. 66,950, compared to sole cotton and a net profit of Rs. 39,200. Relay cropping also improved soil health, with higher soil organic matter levels observed; for example, in 2022-23, cotton relay cropping had 0.78% soil organic matter compared to 0.63% in sole cotton. Although sole cropping offered higher yields for Brassica, relay cropping resulted in better soil nutrient levels. Overall, the relay cropping system yielded a combined net profit of Rs. 130,630 in 2022-23. These findings highlight relay cropping’s potential to enhance farm profitability and sustainability by addressing resource use inefficiencies, reducing input costs, and stabilizing yields, making it a strategic choice for climate resilience and economic stability.

Synergizing Socioeconomic, Technological, and Environmental Factors Influencing the Adoption of High-Efficiency Irrigation Systems (HEIS): Insights from Highland Balochistan, Pakistan

Ameen Ullah, Raza Ullah, Syed Mohammad Khair, Asghar Ali, Abdus Samie — Sun, 01 Dec 2024 00:00:00 +0000

Water plays a crucial role in sustaining human life and facilitating global economic development. Balochistan, the largest province of Pakistan, faces severe water scarcity primarily because of the unregulated extraction of groundwater aquifers. The scarcity of water resources can be effectively addressed by increasing Water Use Efficiency (WUE) achievable through the adoption of High-Efficienscy Irrigation Systems (HEIS). Despite substantial efforts by both public and private sectors, the adoption rate of efficient techniques remains notably low. Evaluating the factors influencing the adoption of high-efficiency irrigation methods and their resultant impact on water use efficiency is the need of time. In this study, an effort was made to study HEIS and its characteristics including the factors affecting the adoption decision, operation duration, and the economics of HEIS. The present study focused, on three main river basins using a multistage sampling technique in highland Balochistan. Three key basins namely Nari River Basin (NRB), Zhob River Basin (ZRB), and Pishin Lora Basin (PLB) Out of 18 basins in Balochistan were selected purposively. These basins are currently dealing with the issue of depleted groundwater table at a rate of more than 5-15 feet annually in the majority of their aquifers. A representative sample size of 300 farmers was chosen using a proportionate stratified sampling technique. Logistic regression was employed to analyze the data and the study findings revealed that the availability of off-farm income and higher education level were found to have highly significant and positive relationships with the likelihood of adoption. Farmers' age and the level of water scarcity were additional significant factors. Along with them, installation costs, maintenance expenses, and technological complexity were key barriers to HEIS adoption. To increase farmers' willingness to accept technology in highland Balochistan, organizations should undertake extension and educational training to increase knowledge and awareness of HEIS.

Profitability of Organic Versus Conventional Rice Production: An Evidence from South Asia

Muhammad Asim Yasin, Sami Ullah, Rafaqet Ali, Saad Munir — Sat, 07 Dec 2024 00:00:00 +0000

Rice, a staple and cash crop in South Asia, is vital for small-scale farmers, but concerns about the profitability of organic farming challenge its adoption despite its environmental benefits. The present study was conducted in the Rice-Wheat zone of three South Asian countries to make a comparison of profit efficiency in rice production under organic and conventional farming systems and to examine factors affecting profit efficiency. A multistage sampling technique was employed to collect cross-sectional data. Profit efficiency was determined by employing Cobb Douglas's functional form of stochastic profit frontier. Results show that the mean profit efficiency of organic rice growers is 0.89 less than conventional rice growers (0.910) in Pakistan. The mean profit efficiencies of organic growers are higher than conventional growers in Nepal and Bangladesh. Education and the role of the extension department are important factors in increasing the efficiency of organic and conventional farming while access to credit and experience in rice farming are significant in reducing inefficiencies in conventional rice farming. The study concludes that the education of farmers, the role of extension services, and easy credit access are key policy variables to improve profit efficiency.

Exploring the Relationship between CO2 Emission, Economic Growth, and Energy Consumption at Aggregate Level: A Panel Data Analysis

Muhammad Awais, Saleha Akram, Hassan Safdar — Wed, 11 Dec 2024 00:00:00 +0000

This article explores the relationship between CO2 emissions, economic growth, energy consumption, and, other control factors for the eight highest CO2-emitting countries (USA, Russia, Iran, China, Germany, India, Japan, and Canada) in 1995-2023. The m objective of the study is to determine how economic growth (GDP), energy consumption (EC), industrial production (IP), and other macroeconomic factors influence CO2 emissions. Using panel data analysis, this study applies various econometric techniques, including fixed and random effects models, Multicollinearity tests, heteroscedasticity tests, and cross-sectional dependence tests. Independent variables include GDP, Total energy use, Industrial output, Density of the population, and Trade while the dependent variable is CO2 emission. The results suggest that energy consumption positively correlates with CO2 emission, where, for each unit of energy consumption, CO2 emission increases by 0.0024 units. The outcomes also reveal a negative correlation of international trade with CO2 emissions implying that trade inhibits emissions. However, the relationship between GDP and, carbon emissions was formed to be statistically insignificant. Population density and industrial production have mixed effects on emissions, with industrial production showing a positive impact. The study emphasizes the importance of adopting cleaner energy sources, enhancing energy efficiency, and considering trade policies that might reduce emissions. The findings suggest that transitioning from coal and oil to cleaner energy sources, such as natural gas, could be an effective strategy for reducing carbon emissions without significantly hindering economic growth. The study provides valuable insights for policymakers in high-emission countries aiming to balance economic development with environmental sustainability.

Exploring the Nexus between Marketing Challenges and Distribution Channels: Insights from Chilli Growers in Taluka Kunri, District Umerkot, Sindh

Mon, 16 Dec 2024 00:00:00 +0000

This research is crucial to understanding the complex challenges of chilli growers in Taluka Kunri, District Umerkot. This significant chilli-producing region contributes 55% of the total production in Pakistan. Despite being a major contributor to the country's chilli output, growers face substantial obstacles such as price volatility, inadequate storage facilities, and a lack of cooperative marketing associations. These issues hinder their ability to secure favorable prices and manage produce effectively. The study employed a survey approach by targeting 100 chilli growers across the four randomly selected union councils of Taluka Kunri. The structured questionnaire was used to collect the data covering socioeconomic characteristics, marketing problems, and marketing channels. The sampling approach involved a random selection of 25 farmers from each union council, UC Chajro, UC Bustan, UC Memon Kunri, and UC Mai Bakhtawar. Statistical analysis was conducted using SPSS software, employing descriptive statistics and Likert scale analysis to quantify and interpret growers' perceptions and experiences. The research highlights a discrepancy between the most used marketing channels and those perceived as most beneficial. While multi-tiered channels are commonly used due to lower costs, direct sales from producers to consumers are seen as more advantageous despite higher expenses. This suggests that growers prioritize cost-effectiveness over potential returns. The strategy proposes implementing minimum support prices, improving infrastructure, enhancing access to credit and insurance, and promoting direct marketing channels. These measures aim to create a more sustainable and profitable environment for chilli production in Kunri District, addressing both immediate marketing challenges and long-term economic growth.

Maximizing Cereal Yields in South Asia: The Impact of Agricultural Inputs

Aemon Alam, Hamid Hasan, Hafiz Abdur Rehman, Rashid Rauf — Wed, 18 Dec 2024 00:00:00 +0000

Food security is a top priority of developing countries. Most of these countries are highly populated and face issues of low agricultural productivity and food poverty. In these nations, being self-sufficient in food supplies is a highly desired objective. This study aimed to determine the comparative impact of different inputs on the production of cereals in South Asia. The data used for the study is taken from the World Development Indicators (WDI), which spans the years 1990 to 2021. Owing to the nature of the data, the panel data model was used for analysis. All three-panel model techniques of pooled OLS, fixed effect, and random effects are employed for analysis. Nonetheless, fertilizer consumption, agricultural machinery in the form of tractors, and annual freshwater withdrawal are found to have a positive and significant impact on the output of cereal crops in the sample countries according to a large number of the model results. However, the results for the labor force and land are significant and inversely related to those for cereal crop production in the sample countries, which may be due to the predominance of capital-intensive agriculture. The results of this study will assist South Asian nations in addressing concerns about food supply and self-sufficiency more effectively. A lot of research has looked at how inputs affect agricultural productivity at the national or subnational level. In this study, the effects of several closely related agricultural inputs on "cereal production for entire South Asia" were examined. By changing investment, policy, market behavior, and overall agricultural productivity, the study will have a major economic impact on economies.

Navigating Poverty: The Role of Internal Migration and Remittances in Pakistan

Waqas Shair, Khurram Shahzad, Muhammad Tayyab, Muhammad Nadeem — Thu, 19 Dec 2024 00:00:00 +0000

Internal migration and remittance inflows play a critical role in shaping the socio-economic dynamics of households, particularly in developing countries like Pakistan. Understanding the factors driving migration and the subsequent impact of remittances on poverty is essential to designing policies that effectively address poverty and improve living standards for vulnerable populations. This study investigates the factors influencing the incidence of internal migration and compares poverty levels between households that receive internal remittances and those that do not. Additionally, it assesses the impact of remittance inflows on the poverty status of recipient households. The research utilizes data from the Pakistan Social and Living Standards Measurement–Household Integrated Economic Survey (PSLM – HIES 2018-2019). A logistic regression model was employed due to the binary nature of the dependent variables. The regression analysis identified various demographic factors of household heads and household characteristics that impact the incidence of internal migration. The analysis shows that households receiving internal remittances are less likely to be in poverty compared to those who do not receive remittances. The empirical analysis reveals a significant inverse relationship between the amount of monthly remittances received and the probability of household poverty. It also shows that remittances equivalent to the minimum wage can reduce the poverty incidence to below forty percent. The insights from this study are vital for the formulation of targeted social and economic policies aimed at harnessing the potential benefits of remittances in mitigating poverty among migrant-sending communities.

The Implications of Money Management for Investment- Decisions among University Undergraduates in Punjab

Asif Ali, Muhammad Bilal, Hira Ashfaq, Ashfaq Maan, Bilal Maan — Thu, 26 Dec 2024 00:00:00 +0000

Money management is essential for effective investment decisions and long-term economic well-being. This research study investigates the implications of money management for investment decisions among undergraduates of public-sector higher education institutions (HEIs) in the Punjab Province of Pakistan. This is particularly important in the present economic scenario of Pakistani HEIs, where undergraduates often lack the necessary skills for money management for better investment decisions. This study has used the multistage sampling technique for the study sample of undergraduate students. A comprehensive questionnaire was used for data collection from the selected respondents. The collected data were analyzed statistically and the major findings have been presented in this research paper. The results showed a significant relationship between money management and investment decisions among the public-sector university-undergraduates. Therefore, this research recommends the incorporation of money-management courses into the educational curricula to make investment-decision capabilities better, for future generations.

Income and Income Aspiration: Exploring the Impact on Life and Financial Satisfaction

Maliha Abdul Ghaffar, Waqas Shair, Haleema Afzal, Rizwan ul Hassan, Usman Bashir — Thu, 26 Dec 2024 00:00:00 +0000

This study examines the impact of income aspiration on subjective well-being, focusing on life satisfaction and financial satisfaction. It uniquely explores social media usage as a source of income aspiration, an aspect not previously studied. The study utilizes the most recent data from the 7th wave of the World Values Survey (WVS), which includes responses from over 92,000 participants across 66 countries. The estimates of the Ordinary Least Square (OLS) model indicate that income positively influences both life and financial satisfaction, with slightly greater benefits for men compared to women. However, income aspiration, amplified by social media usage, negatively impacts satisfaction by fostering unrealistic expectations and upward comparisons. This effect is more pronounced in men, suggesting they are more influenced by social media-driven comparisons, which diminish the psychological benefits of higher income. Social media moderates the relationship between income and satisfaction, reducing the perceived gains from income and increasing dissatisfaction, particularly among those prone to aspirational or comparative behaviors. This research provides guidance for developing interventions to reduce income inequality and promote realistic income expectations while offering insights to help individuals and counselors set achievable income goals, mitigating the negative effects of unattainable aspirations.

Agriculture under Climate Stress: Drivers and Policy Implications for Sustainable Productivity in Punjab, Pakistan

Shagufta Rasheed, Nazia Tabasam, Sarfraz Hassan, Almazea Fatima — Thu, 26 Dec 2024 00:00:00 +0000

Global warming is intensifying the impact of climate change on agricultural productivity. This study aims to assess the relationship between non-climatic and climatic variables like the area under cultivation, fertilizer consumption, tractor and tube well, and average minimum and maximum temperature, wind, and precipitation, and the effects of these variables on agricultural productivity between 1991 and 2021, in Punjab Pakistan. In the first phase, we used the unit root tests to verify that the panel data was stationary. A Fixed Effects model was employed to identify the dynamic linkages of climatic and non-climatic factors with agricultural productivity. The outcomes of the study revealed that temperature and precipitation have a diverse impact on productivity. While the cultivated area and fertilizer consumption have a positive and significant impact on agricultural productivity. The empirical findings also showed that in comparison to non-climatic factors, climatic parameters—such as average maximum temperature—have a greater impact on productivity. Few recommendations are offered to deal with the effects of climate change based on the study's findings. Create such agriculture-specific adaptation plans for farmers who are resilient and capable of addressing climate change. Agriculture-related research and development ought to concentrate on key temperature-tolerant food crop varieties. Because of these tactics, the agriculture sector will be able to maintain long-term production and distribution efficiency.

The Role of Fermented Farmyard Manure in Promoting Soil Health and Economic Sustainability in Cotton Farming under Changing Climate

Mon, 30 Dec 2024 00:00:00 +0000

Climate change, soil degradation, and resource limitations pose significant challenges to cotton productivity and economic sustainability. Developing sustainable and resilient agricultural practices is essential to address these challenges and ensure long-term farm profitability. This study aimed to evaluate the impact of fermenter-applied farmyard manure (FYM) as a regenerative approach to enhance soil health, cotton yield, and economic returns under changing climatic conditions. Farmyard manure was applied through a fermenter at a rate of 2.76 tons acre?¹, and its effects were compared with conventional fertilizer treatments. Results demonstrated that fermenter-applied FYM significantly improved soil nutrient status, with nitrogen, phosphorus, potassium, and organic matter levels reaching 7.30 ppm, 8.27 ppm, 178 ppm, and 1.38%, respectively, compared to conventional treatments. Cotton yield was enhanced, achieving the highest seed cotton yield of 881 kg acre?¹ with reduced irrigation requirements (11 irrigations) under FYM treatments, surpassing conventional fertilizer yields of 742 kg acre?¹ in 2024. Fiber quality parameters including ginning outturn (37.9%) and staple length (28 mm), were consistently superior under FYM application. Economic analysis revealed that fermenter-applied FYM resulted in the highest net profit of Rs. 122,852 acre?¹ and a benefit-cost ratio (2.90) compared to Rs. 81,939 acre?¹ and a benefit-cost ratio of 2.08 with conventional fertilizers in 2024. These findings highlight the potential of fermenter-applied FYM to improve nutrient availability, water-use efficiency, and soil health while enhancing cotton yield and economic profitability. This approach offers a sustainable strategy for regenerative agriculture, promoting climate resilience and long-term economic stability in cotton farming systems.

Assessment of Consumer Segmentation and Value Preferences for Onion in Pakistan

Mon, 30 Dec 2024 00:00:00 +0000

This study aims to investigate the preferences of Pakistani customers for onion values, with an emphasis on the variables affecting their purchase decisions. An intercept survey with 273 respondents from three major Pakistani cities including Karachi, Lahore, and Faisalabad was conducted to gather data for this study. A well-structured questionnaire was used in the survey to provide thorough coverage of customer preferences and habits. The study used cluster analysis to identify three different consumer groups, or clusters that differed significantly in their decision-making. These differences were observed across critical dimensions, including search attributes, experiential factors, safety considerations, and marketing characteristics. The results indicated that Search attributes, including appearance and price, were vital for one group, but experience-related attributes, such as flavor and freshness, were essential for another. A third group emphasized safety considerations, encompassing cleanliness and traceability. These differences show the varied nature of customer behavior throughout the Onion value chain. The research emphasizes the necessity of aligning processes in the value chain with consumer preferences to improve consumer satisfaction and to address the changing customer needs successfully.