Academic literature on the topic 'Economic lot size'

In this thesis, we consider determining the economic lot sizes for a finite production rate assembly system with n facilities. Costs at each facility consist of a stationary positive echelon holding cost, and a fixed set up cost. The goal is to determine the production lot size at each facility in order to minimize the long-run total average cost of the system. Power-of-two policies, in which the lot size at each facility is a power of two times some base lot size, are considered. A 94%-effective power-of-two policy is determined from the optimal solution to a continuous relaxation problem by an O(n) algorithm, while a 98%-effective power-of-two policy is found using an O(n log n) algorithm. Near optimal solutions to the continuous relaxation problem are found by a subgradient optimization procedure and a cyclic coordinate descent method. Computational results suggest both methods are efficient for very large systems.

AbstractIn addition to economic and on-time order fulfillment, the monitoring of the plant performance and its related key performance indicators is a central task of logistics management and control systems. Currently, the determination and calculation of performance figures within the framework of site acceptance tests of automated logistics systems are plant-specific and, therefore, require a lot of manual effort. In this chapter, the authors develop a concept for the automated determination of performance indicators for storage and conveying systems. Based on a comprehensive literature review, structured expert interviews and including various perspectives from industrial applications the approach is designed. Further, the impact of the proposed concept on the logistics performance of the plant and the adequate selection of a maintenance strategy is discussed.

Nowadays, similar to worldwide trends, running has become very popular in the Czech Republic. Since the mid of 1990s, the business sector has become very active in this area. Private companies organise many road races for the public, including participation of top level runners (i.e. Prague International Marathon). In 2016, within the framework of the international project IRNIST, we realised an empirical descriptive study of the Mattoni ½ Marathon in Ústí nad Labem, a middle size town. The IRNIST questionnaire was used. Analysing data on 491 runners (of 2,238 runners finished the race) we found that concern-ing socio-economic status of respondents, 56.9% of runners have a university education, one third advanced secondary education; and 63% earn more than the average wage. Participant were able to spend quite a lot of money for participation costs. These results raise the issue if the privatization and commercialization of running for the masses does not cause limit for sport participation for all.

In case of ocean space utilization, the factors which have to be taken into consideration in order to form an international basic container route are geographical factors which are the position on a global scale, the economic scale of port hinterland, the ocean climatic condition for setting the route etc. as well as factors from the viewpoint of transport such as the volume of container cargo and both size of container ships and container terminals. It is important to consider these geographical factors not only in order to study the port placement from the global point of view but also to devise the port policy. Although there are many studies on factors from the viewpoint of transport, there is almost no study on these geographical factors. Then, the authors made a new simulation model and analyzed these geographical factors of the international container ports in all parts of the world. As a result of analysis, the authors got the conclusion that there were three port placement patterns. The first type is ‘the Continent Base Port Type’, which it is located in the continent and has the large economic hinterland. Typical ports of this type are Antwerp, LA, LB and Shanghai. The second type is ‘the Ocean Base Port Type’, which is located in the ocean space where geographical predominance is high. This type forms route hubs. Typical ports of this type are Singapore, Malta and Kaohsiung. The third type is ‘the Tight Hinterland Port Type’, which is located in an island and has the tight economic hinterland where the economic activities density is very high. This type has characteristics that the distance between the ports is short and there are a lot of numbers of ports, which is unique and special in the world. Japan’s ports are classified in the third type. Furthermore, Japan has a characteristic that there are many large-scale earthquakes and has to consider earthquake measures to reduce disaster risks. The authors will suggest the most suitable port placement theory in consideration of these characteristics in case of ocean space utilization.

Aircraft icing has been recognized as the most significant weather hazard that impacts aviation safety. A thin sheet of ice on lifting or control surfaces of an aircraft can adversely affect its flight performance by increasing drag and decreasing lift and thrust. The uncontrolled shedding of ice built up on surfaces may severely damage critical components. The occurrence of ice accretion is also a big challenge in terms of economic impact. The presence of ice can not only cause flight delays, but also reduce flight profits by increasing fuel consumptions and additional cost for de-icing operations. A better understanding of the physical mechanisms of water movement and the ice formation process on aircraft surfaces is very important and critical in ensuring safe and efficient operation of aircraft in cold weather. Generally there are two types of ice that can be deposited during flight: glaze ice and rime ice, which occur is dependent on weather conditions. Glaze ice is formed with high liquid water content (LWC) and large droplet size at temperatures just below the freezing point, and it has a smooth, clear and dense appearance. Rime ice forms with lower LWC and smaller droplet size at temperatures around or below −12 C°. It is a mixture of tiny ice particles, containing many micro bubbles and cracks, and it has a white rough appearance. These two types of ice may have significantly different effects on flight performance. However, most of the current de-icing approaches and practices do not consider this and operators potentially perform a lot of unnecessary actions. In this study, attenuation measurement of ultrasonic waves is performed to investigate the feasibility of characterization of ice types. Analysis investigates frequency dependent attenuation properties that are potentially closely related to ice acoustic properties and hence the micro-structure.

Formation or implementation of high-quality labor is an actual problem of the world economy and always considered in the theory and practice. Labor quality is the realization of increased productivity and performance of the work and responsibilities, also it is known as the main factor of economic growth in economics. Since 1991, the importance of labor quality for development of national economy and macroeconomic stability in Kyrgyzstan is growing and becoming actual in globalization and integration process, financial, informational, scientific and technical cooperation, is requiring researching. This problem studied by academics O. Bogomolov, L. Kudryavtsev, G.Kolodko, T.Koychuev and others. In economics labor defines as a set of three groups of labor skills and abilities of individuals. This group of skills combines the biological, economic and social side of man. Development of labor quality is considered at three levels: low, medium and high quality. In all states, there are complex of integrated structures that seek efficiency in own activity. In the transition period for Kyrgyzstan it is necessary to solve social problems, improve living standards. It’s necessary to abide execution of laws by from the President to the citizen, establish the subordination of society to laws, improve moral of public servants, gain people's trust in government, form up the economic culture, to eliminate the shadow economy and corruption. Economic culture must become an integral part of national ideology.

The global oil market dwarfs other commodity markets. Its size and role in the energy and industrial value chains underscore its significant economic and geopolitical impacts. Thus, the consequences of oil price fluctuations extend far beyond the oil industry and can be viewed as a barometer of trends in the global economy. Several oil price benchmarks currently compete in the global market. The most popular ones, such as Brent or West Texas Intermediate (WTI), are backed by a sufficient supply of the underlying crude. They also meet the criteria for efficient trading, hedging and speculating — including having sufficient liquidity, developed futures markets, low transaction costs and strong institutional support.

Creative industries are considered highly innovative and productive, constituting an important driver of economic change. For high-income countries, several studies discuss the positive spillovers of creative industries for the local economy, for instance by attracting creative workers, which can benet entrepreneurs and workers in other industries. Like many other activities, creative industries are likely to dier in low- and middle-income countries compared to high-income countries. Moreover, the existing evidence is based on correlations between variables likely to be endogenous. This paper contributes to the literature on the role of creative industries in driving economic change in two main ways. First, we make a rst attempt to control for endogeneity and identify the impact of creative industries on local economies. Second, we report evidence for a middle-income country. Using granular employment data, we study the agglomeration patterns of creative industries across Colombian cities between 2008 and 2017. Exploiting the co-location of creative industries with other industries, we estimate the relation between employment growth in creative and non-creative industries in the same city. Using a shift-share instrumental variable approach, we estimate the multiplier eect of employment growth in creative industries on the employment growth in the rest of the economy. Creative industries represented between 2.7 and 3.3 percent of Colombian employment in 2008 and 2017. We nd that creative industries agglomerate mainly in three large cities (Bogota, Medelln, and Cartagena) and in a few smaller cities. Such agglomeration is positively related to an increase in the employment of non-creative services industries. For a positive causal relation to materialize, creative industries should have a larger size or be more connected to other economic sectors. However, after controlling for endogeneity, we nd no signicant impact of an increase of creative industries employment on employment growth in other industries.

This paper uses administrative data from Value Added Tax (VAT) returns to provide insights on the impact of the COVID-19 pandemic in Rwanda. We show that the lockdown in Rwanda had a severe impact on the domestic economy, despite relatively low case numbers. However, the economy quickly rebounded after restrictions were lifted, with overall sales losses amounting to 5 per cent of GDP. Although in absolute terms, these losses are concentrated amongst the largest firms, in proportional terms, small firms have been worse affected. We also show that firms providing accommodation, food and transport services, as well as those based in the capital, have been particularly affected by the crisis. Overall, the decline in economic activity translates to a 5.1 per cent loss in VAT revenue for the government. Our results offer policy-makers evidence on the real impact of the crisis, both in aggregate terms and disaggregated by firm size, sector, and location. In a literature that has largely focused on higher-income countries, these results complement projections to inform appropriate policy responses in the specific context of low-income countries.

This rapid review synthesises evidence on the current size of the digital market, the countries promoting development of digital business and their approach through Trade Policies or Incentive Frameworks, and the current and potential size of the market with the UK / China / US / other significant countries. It draws on a variety of sources, including reports by international organisations (such as the World Bank and OECD), grey literature produced by think tanks and the private sector, and peer reviewed academic papers. A high proportion of estimates of the size of the digital economy come from research conducted by or for corporations and industry bodies, such as Google and the GSMA (which represents the telecommunications industry). Their research may be influenced by their business interests, the methodologies and data sources they utilise are often opaque, and the information required to critically assess findings is sometimes missing. Given this, the estimates presented in this review are best seen as ballpark figures rather than precise measurements. A limitation of this rapid evidence review stems from the lack of consistent methodologies for estimating the size of the digital economy. The OECD is attempting to develop a standard approach to measuring the digital economy across the national accounts of the G20, but this has not yet been finalised. This makes comparing the results of different studies very challenging. The problem is particularly stark in low income countries, where there are frequently huge gaps in the relevant data.

Wildlife exclusion fencing has become a standard component of highway mitigation systems designing to reduce collisions with large mammals. Past work on the effectiveness of exclusion fencing has relied heavily on control-impact (i.e., space-for-time substitutions) and before-after study designs. These designs limit inference and may confound the effectiveness of mitigation with co-occurring process that also change the rate of collisions. We used a replicated before-after-control-impact study design to assess fencing effectiveness along the Trans-Canada Highway in the Rocky Mountains of Canada. We found that collisions declined for common ungulates species (elk, mule deer and white-tailed deer) by up to 96% but not for large carnivores. The weak response of carnivores is likely due to combination of fence intrusions and low sample sizes. When accounting for background changes in collision rates observed at control sites, naïve estimates of fencing effectiveness declined by 6% at one site to 90% and increased by 10% at another to a realized effectiveness of 82%. When factoring in the cost of ungulate collisions to society as a whole, fencing provided a net economic gain within 1 year of construction. Over a 10-year period, fencing would provide a net economic gain of >$500,000 per km in reduced collisions. In contrast, control site may take upwards of 90 years before the background rates of collisions decline to a break even point. Our study highlights the benefits of long-term monitoring of road mitigation projects and provides evidence of fencing effectiveness for reducing wildlife-vehicle collisions involving large mammals.

Despite the significant challenges in mobilizing investors resources towards sustainable infrasctrure investments in Latin America and the Carribbean, an investment opportunity in low carbon and resilient assets exists and represents a critical step towards a sustainable economic recovery from the financial duress due to the COVID-19 pandemic and its impacts on health and economic systems of the region. This papers contribuition is two-fold: it attempts to estimate and size an ideal sustainable investable pipeline accross the region generated by several policies promoting public-private-partnerships (PPP) in the transport and energy sectors. Then it identifies and details different investment strategies and financial instruments available to institutional investors to invest in the region while mitigating the risks they perceived and hinder the mobilization of their resources. Such strategies discussed in the paper include: joint ventures with local counterparties, direct and active investments in the national markets, and/or access to markets via partnerships with development financial institutions.

1.1 Macroeconomic summary Economic recovery has consistently outperformed the technical staff’s expectations following a steep decline in activity in the second quarter of 2020. At the same time, total and core inflation rates have fallen and remain at low levels, suggesting that a significant element of the reactivation of Colombia’s economy has been related to recovery in potential GDP. This would support the technical staff’s diagnosis of weak aggregate demand and ample excess capacity. The most recently available data on 2020 growth suggests a contraction in economic activity of 6.8%, lower than estimates from January’s Monetary Policy Report (-7.2%). High-frequency indicators suggest that economic performance was significantly more dynamic than expected in January, despite mobility restrictions and quarantine measures. This has also come amid declines in total and core inflation, the latter of which was below January projections if controlling for certain relative price changes. This suggests that the unexpected strength of recent growth contains elements of demand, and that excess capacity, while significant, could be lower than previously estimated. Nevertheless, uncertainty over the measurement of excess capacity continues to be unusually high and marked both by variations in the way different economic sectors and spending components have been affected by the pandemic, and by uneven price behavior. The size of excess capacity, and in particular the evolution of the pandemic in forthcoming quarters, constitute substantial risks to the macroeconomic forecast presented in this report. Despite the unexpected strength of the recovery, the technical staff continues to project ample excess capacity that is expected to remain on the forecast horizon, alongside core inflation that will likely remain below the target. Domestic demand remains below 2019 levels amid unusually significant uncertainty over the size of excess capacity in the economy. High national unemployment (14.6% for February 2021) reflects a loose labor market, while observed total and core inflation continue to be below 2%. Inflationary pressures from the exchange rate are expected to continue to be low, with relatively little pass-through on inflation. This would be compatible with a negative output gap. Excess productive capacity and the expectation of core inflation below the 3% target on the forecast horizon provide a basis for an expansive monetary policy posture. The technical staff’s assessment of certain shocks and their expected effects on the economy, as well as the presence of several sources of uncertainty and related assumptions about their potential macroeconomic impacts, remain a feature of this report. The coronavirus pandemic, in particular, continues to affect the public health environment, and the reopening of Colombia’s economy remains incomplete. The technical staff’s assessment is that the COVID-19 shock has affected both aggregate demand and supply, but that the impact on demand has been deeper and more persistent. Given this persistence, the central forecast accounts for a gradual tightening of the output gap in the absence of new waves of contagion, and as vaccination campaigns progress. The central forecast continues to include an expected increase of total and core inflation rates in the second quarter of 2021, alongside the lapse of the temporary price relief measures put in place in 2020. Additional COVID-19 outbreaks (of uncertain duration and intensity) represent a significant risk factor that could affect these projections. Additionally, the forecast continues to include an upward trend in sovereign risk premiums, reflected by higher levels of public debt that in the wake of the pandemic are likely to persist on the forecast horizon, even in the context of a fiscal adjustment. At the same time, the projection accounts for the shortterm effects on private domestic demand from a fiscal adjustment along the lines of the one currently being proposed by the national government. This would be compatible with a gradual recovery of private domestic demand in 2022. The size and characteristics of the fiscal adjustment that is ultimately implemented, as well as the corresponding market response, represent another source of forecast uncertainty. Newly available information offers evidence of the potential for significant changes to the macroeconomic scenario, though without altering the general diagnosis described above. The most recent data on inflation, growth, fiscal policy, and international financial conditions suggests a more dynamic economy than previously expected. However, a third wave of the pandemic has delayed the re-opening of Colombia’s economy and brought with it a deceleration in economic activity. Detailed descriptions of these considerations and subsequent changes to the macroeconomic forecast are presented below. The expected annual decline in GDP (-0.3%) in the first quarter of 2021 appears to have been less pronounced than projected in January (-4.8%). Partial closures in January to address a second wave of COVID-19 appear to have had a less significant negative impact on the economy than previously estimated. This is reflected in figures related to mobility, energy demand, industry and retail sales, foreign trade, commercial transactions from selected banks, and the national statistics agency’s (DANE) economic tracking indicator (ISE). Output is now expected to have declined annually in the first quarter by 0.3%. Private consumption likely continued to recover, registering levels somewhat above those from the previous year, while public consumption likely increased significantly. While a recovery in investment in both housing and in other buildings and structures is expected, overall investment levels in this case likely continued to be low, and gross fixed capital formation is expected to continue to show significant annual declines. Imports likely recovered to again outpace exports, though both are expected to register significant annual declines. Economic activity that outpaced projections, an increase in oil prices and other export products, and an expected increase in public spending this year account for the upward revision to the 2021 growth forecast (from 4.6% with a range between 2% and 6% in January, to 6.0% with a range between 3% and 7% in April). As a result, the output gap is expected to be smaller and to tighten more rapidly than projected in the previous report, though it is still expected to remain in negative territory on the forecast horizon. Wide forecast intervals reflect the fact that the future evolution of the COVID-19 pandemic remains a significant source of uncertainty on these projections. The delay in the recovery of economic activity as a result of the resurgence of COVID-19 in the first quarter appears to have been less significant than projected in the January report. The central forecast scenario expects this improved performance to continue in 2021 alongside increased consumer and business confidence. Low real interest rates and an active credit supply would also support this dynamic, and the overall conditions would be expected to spur a recovery in consumption and investment. Increased growth in public spending and public works based on the national government’s spending plan (Plan Financiero del Gobierno) are other factors to consider. Additionally, an expected recovery in global demand and higher projected prices for oil and coffee would further contribute to improved external revenues and would favor investment, in particular in the oil sector. Given the above, the technical staff’s 2021 growth forecast has been revised upward from 4.6% in January (range from 2% to 6%) to 6.0% in April (range from 3% to 7%). These projections account for the potential for the third wave of COVID-19 to have a larger and more persistent effect on the economy than the previous wave, while also supposing that there will not be any additional significant waves of the pandemic and that mobility restrictions will be relaxed as a result. Economic growth in 2022 is expected to be 3%, with a range between 1% and 5%. This figure would be lower than projected in the January report (3.6% with a range between 2% and 6%), due to a higher base of comparison given the upward revision to expected GDP in 2021. This forecast also takes into account the likely effects on private demand of a fiscal adjustment of the size currently being proposed by the national government, and which would come into effect in 2022. Excess in productive capacity is now expected to be lower than estimated in January but continues to be significant and affected by high levels of uncertainty, as reflected in the wide forecast intervals. The possibility of new waves of the virus (of uncertain intensity and duration) represents a significant downward risk to projected GDP growth, and is signaled by the lower limits of the ranges provided in this report. Inflation (1.51%) and inflation excluding food and regulated items (0.94%) declined in March compared to December, continuing below the 3% target. The decline in inflation in this period was below projections, explained in large part by unanticipated increases in the costs of certain foods (3.92%) and regulated items (1.52%). An increase in international food and shipping prices, increased foreign demand for beef, and specific upward pressures on perishable food supplies appear to explain a lower-than-expected deceleration in the consumer price index (CPI) for foods. An unexpected increase in regulated items prices came amid unanticipated increases in international fuel prices, on some utilities rates, and for regulated education prices. The decline in annual inflation excluding food and regulated items between December and March was in line with projections from January, though this included downward pressure from a significant reduction in telecommunications rates due to the imminent entry of a new operator. When controlling for the effects of this relative price change, inflation excluding food and regulated items exceeds levels forecast in the previous report. Within this indicator of core inflation, the CPI for goods (1.05%) accelerated due to a reversion of the effects of the VAT-free day in November, which was largely accounted for in February, and possibly by the transmission of a recent depreciation of the peso on domestic prices for certain items (electric and household appliances). For their part, services prices decelerated and showed the lowest rate of annual growth (0.89%) among the large consumer baskets in the CPI. Within the services basket, the annual change in rental prices continued to decline, while those services that continue to experience the most significant restrictions on returning to normal operations (tourism, cinemas, nightlife, etc.) continued to register significant price declines. As previously mentioned, telephone rates also fell significantly due to increased competition in the market. Total inflation is expected to continue to be affected by ample excesses in productive capacity for the remainder of 2021 and 2022, though less so than projected in January. As a result, convergence to the inflation target is now expected to be somewhat faster than estimated in the previous report, assuming the absence of significant additional outbreaks of COVID-19. The technical staff’s year-end inflation projections for 2021 and 2022 have increased, suggesting figures around 3% due largely to variation in food and regulated items prices. The projection for inflation excluding food and regulated items also increased, but remains below 3%. Price relief measures on indirect taxes implemented in 2020 are expected to lapse in the second quarter of 2021, generating a one-off effect on prices and temporarily affecting inflation excluding food and regulated items. However, indexation to low levels of past inflation, weak demand, and ample excess productive capacity are expected to keep core inflation below the target, near 2.3% at the end of 2021 (previously 2.1%). The reversion in 2021 of the effects of some price relief measures on utility rates from 2020 should lead to an increase in the CPI for regulated items in the second half of this year. Annual price changes are now expected to be higher than estimated in the January report due to an increased expected path for fuel prices and unanticipated increases in regulated education prices. The projection for the CPI for foods has increased compared to the previous report, taking into account certain factors that were not anticipated in January (a less favorable agricultural cycle, increased pressure from international prices, and transport costs). Given the above, year-end annual inflation for 2021 and 2022 is now expected to be 3% and 2.8%, respectively, which would be above projections from January (2.3% and 2,7%). For its part, expected inflation based on analyst surveys suggests year-end inflation in 2021 and 2022 of 2.8% and 3.1%, respectively. There remains significant uncertainty surrounding the inflation forecasts included in this report due to several factors: 1) the evolution of the pandemic; 2) the difficulty in evaluating the size and persistence of excess productive capacity; 3) the timing and manner in which price relief measures will lapse; and 4) the future behavior of food prices. Projected 2021 growth in foreign demand (4.4% to 5.2%) and the supposed average oil price (USD 53 to USD 61 per Brent benchmark barrel) were both revised upward. An increase in long-term international interest rates has been reflected in a depreciation of the peso and could result in relatively tighter external financial conditions for emerging market economies, including Colombia. Average growth among Colombia’s trade partners was greater than expected in the fourth quarter of 2020. This, together with a sizable fiscal stimulus approved in the United States and the onset of a massive global vaccination campaign, largely explains the projected increase in foreign demand growth in 2021. The resilience of the goods market in the face of global crisis and an expected normalization in international trade are additional factors. These considerations and the expected continuation of a gradual reduction of mobility restrictions abroad suggest that Colombia’s trade partners could grow on average by 5.2% in 2021 and around 3.4% in 2022. The improved prospects for global economic growth have led to an increase in current and expected oil prices. Production interruptions due to a heavy winter, reduced inventories, and increased supply restrictions instituted by producing countries have also contributed to the increase. Meanwhile, market forecasts and recent Federal Reserve pronouncements suggest that the benchmark interest rate in the U.S. will remain stable for the next two years. Nevertheless, a significant increase in public spending in the country has fostered expectations for greater growth and inflation, as well as increased uncertainty over the moment in which a normalization of monetary policy might begin. This has been reflected in an increase in long-term interest rates. In this context, emerging market economies in the region, including Colombia, have registered increases in sovereign risk premiums and long-term domestic interest rates, and a depreciation of local currencies against the dollar. Recent outbreaks of COVID-19 in several of these economies; limits on vaccine supply and the slow pace of immunization campaigns in some countries; a significant increase in public debt; and tensions between the United States and China, among other factors, all add to a high level of uncertainty surrounding interest rate spreads, external financing conditions, and the future performance of risk premiums. The impact that this environment could have on the exchange rate and on domestic financing conditions represent risks to the macroeconomic and monetary policy forecasts. Domestic financial conditions continue to favor recovery in economic activity. The transmission of reductions to the policy interest rate on credit rates has been significant. The banking portfolio continues to recover amid circumstances that have affected both the supply and demand for loans, and in which some credit risks have materialized. Preferential and ordinary commercial interest rates have fallen to a similar degree as the benchmark interest rate. As is generally the case, this transmission has come at a slower pace for consumer credit rates, and has been further delayed in the case of mortgage rates. Commercial credit levels stabilized above pre-pandemic levels in March, following an increase resulting from significant liquidity requirements for businesses in the second quarter of 2020. The consumer credit portfolio continued to recover and has now surpassed February 2020 levels, though overall growth in the portfolio remains low. At the same time, portfolio projections and default indicators have increased, and credit establishment earnings have come down. Despite this, credit disbursements continue to recover and solvency indicators remain well above regulatory minimums. 1.2 Monetary policy decision In its meetings in March and April the BDBR left the benchmark interest rate unchanged at 1.75%.

The city of Montero, through the cooperative utility COSMOL, has successfully implemented on-site sanitation services for part of its population, in parallel to sewer-based services. However, additional solutions, capacity development and strengthening of governance systems are needed to allow for increased sustainability, for both the sewered and non-sewered sanitation services in the city. Technical improvements are still needed in wastewater and excreta management and treatment, to reduce health and environmental impacts. However, optimizing the existing sanitation systems could increase environmental, health and hygiene sustainability. Urine-diverting dry toilets (UDDTs) have the potential to reduce environmental impact the most, once optimized and if urine and faeces are collected and treated for reuse. Local farmers have expressed demand for sanitation reuse products, as long as low price and quality can be guaranteed. From a household perspective, demand exists for high levels of service and maintenance by providers, no matter the type of system, to ensure simple maintenance by users. But the sanitation system still needs to be affordable, match cleanliness expectations, and remain free of odours, mosquitos and rodents. Upscaling on-site sanitation systems depends strongly on the support of the public institutions and resources available, including legal, economic and technical resources, as well as having a long-term vision.

This research studies the issues of intergenerational transfers in general and farm succession in particular in two different institutional environments. One is the relatively unregulated farm sector in the United States, and the other is the heavily regulated family farms in Israeli moshavim. Most of the analysis is based on modern economic theory dealing with inheritance and other intergenerational issues. However, we start with two background studies. One is a review of the legal system affecting farm succession in the moshav, which, as we claim throughout the report, is of major importance to the question in hand. The second is an ethnographical study aimed at documenting various inheritance and succession practices in different moshavim. These two studies provide insight for most of the economic studies included here. The theoretical studies mostly deal with various aspects of two major decisions faced by farmers: who will succeed them on the farm, and when will succession take place. The first decision clearly depends on the institutional structure: for instance, Israeli farmers are limited to one successor while American farmers are not. The second decision can be taken in three stages: sharing farm work with the successor, sharing farm management, and eventually transferring the ownership. The occurrence and length of each stage depend on the first decision as well as on the institutional structure directly. The empirical studies are aimed at analyzing the practices and considerations of Israeli and American farmers regarding various intergenerational transfers-related issues. We found that American farmers' decisions are mainly driven by the desire to let the farm prosper in future generations and by a preference for equal treatment of heirs, and not at all by old-age support considerations. In contrast, we demonstrate the significant effect of old-age support on the value of the transferred farm in a sample of Israeli farms. Using Israeli census data, we find that the time of farm ownership transfer responds to economic incentives. A smaller Israeli panel data set shows that controlling for the occurrence of succession, farm size rises with operator's age and eventually falls, while intensity of production seems to decline steadily. This explains another finding, that farm transfer contributed significantly to farm growth when farming was attractive to successors. This finding supports our main conclusion, that the succession decisions are of major importance to the viability and profitability of family farms over the long run.

This rapid review synthesises the literature from academic, policy, and knowledge institution sources on how demography affects labour markets (e.g. entrants, including youth and women) and labour market outcomes (e.g. capital-per-worker, life-cycle labour supply, human capital investments) in the context of sub-Saharan Africa. One of the key findings is that the fast-growing population in sub-Saharan Africa is likely to affect the ability to get productive jobs and in turn economic growth. This normally happens when workers move from traditional (low productivity agriculture and household businesses) sectors into higher productivity sectors in manufacturing and services. In theory the literature shows that lower dependency ratios (share of the non-working age population) should increase output per capita if labour force participation rates among the working age population remain unchanged. If output per worker stays constant, then a decline in dependency ratio would lead to a rise in income per capita. Macro simulation models for sub-Saharan Africa estimate that capital per worker will remain low due to consistently low savings for at least the next decades, even in the low fertility scenario. Sub-Saharan African countries seem too poor for a quick rise in savings. As such, it is unlikely that a lower dependency ratio will initiate a dramatic increase in labour productivity. The literature notes the gender implications on labour markets. Most women combine unpaid care for children with informal and low productive work in agriculture or family enterprises. Large family sizes reduce their productive labour years significantly, estimated at a reduction of 1.9 years of productive participation per woman for each child, that complicates their move into more productive work (if available). If the transition from high fertility to low fertility is permanent and can be established in a relatively short-term period, there are long-run effects on female labour participation, and the gains in income per capita will be permanent. As such from the literature it is clear that the effect of higher female wages on female labour participation works to a large extent through reductions in fertility.