Syllabus

Dr. Thomas Koch / Abteilungsdirektor Strategische Projekte
DEG - Deutsche Investitions- und
Entwicklungsgesellschaft mbH - Köln
c/o Fakultät für Wirtschaftswissenschaft
Lehrstuhl für Internationale Wirtschaftsbeziehungen
Prof. Dr. Matthias Busse
Seminar in Development Economics:
March 18, 2015
Development, the Agriculture Enterprise Sector
and SME Finance
Summer Term 2015
Course No. 075 093
Course description
The course is geared towards an intensive dialogue between theory and practice of
development cooperation in the private enterprise sector. It stands for a balanced mix of
macroeconomic perspectives (agricultural development economics, financial sector
development) and microeconomic views (investment/finance of agri-enterprise and
SMEs). Seminar education experiences cover team work papers, presentations as well as
case studies (similar to Harvard Business School method) which foster basic skills of a
professional career of students in development cooperation workplaces.
Objective: Students will get to know theoretical models as well as practitioner´s problems
and possible solutions (or dilemmas?) for agri-enterprises and SMEs in developing
countries. The course will focus on current discussion topics related to private enterprise
food production in the agrisector as well as investment and finance risk assessment. In
addition, it covers SME access to finance difficulties and possible solutions. With
successful completion of this course, students will be able to assess development-projects
and put them into macroeconomic perspective of poverty reduction.
Content: The 2-day-block-seminar will deal with selected topics regarding the relationship
between poverty reduction, GDP growth and investment/finance in developing countries.
Enrolment
Enrolment is open to Master students (MSc in Economics, MSc in Management and
Economics, MSc in Management, MA in Development Management (MADM). Master
students may obtain 5 (ECTS) credit points for the module.
Enrolment in the seminar is limited to max. 16 students. To register for this course,
students have to show up on the first session of the seminar, that is,
Wednesday, April 8, 2015,
6.00-7.30 pm., GC 03/46
1
Dr. Thomas Koch / Abteilungsdirektor Strategische Projekte
DEG - Deutsche Investitions- und
Entwicklungsgesellschaft mbH - Köln
c/o Fakultät für Wirtschaftswissenschaft
Lehrstuhl für Internationale Wirtschaftsbeziehungen
Prof. Dr. Matthias Busse
March 18, 2015
Prerequisites
Some prior coursework in development economics is required.
Basic knowledge of German “Entwicklungszusammenarbeit” (Development Cooperation
+ Policy) is expected.
Successful seminar participation “Tutorial on scientific methods” is highly
recommended.
Block seminar times
Introduction to scientific methods
Friday, April 17, 2015; 8 a.m. – 2 p.m.; GC 03/46
Consulting / teaching support on
Tuesday, April 21, 2015; 6.00 – 7.30 p.m.; GC 3/145 (office of Prof. Busse)
Seminar schedule
Friday, June 19, 2015; 10 a.m. – 6 p.m., GC 03/46
Saturday, June 20, 2015; 10 a.m. – 4 p.m., GC 03/46
Seminar topics
1. MDG and Agri-Investment –
Is the Agri-sector “insignificant” for Developing Countries?
(individual country cases)
2. “Food crisis revisited”?: Agro-Prices – Demand and Supply Determinants, Index
Trend Analysis and Consequences in Developing Countries
3. Food Crisis and the “Land Grabbing”-Debate – Are Agri-Enterprises “neo-colonial
land grabbers” or “responsible investors”?
4. Climate Change – its Consequences on Agriculture and Poverty
5. The Economics of the Global Wine Market – Determinants of Supply and Demand
6. Agri-Finance and Financial Institutions – Risk and Risk Mitigation
Case Study: an Agri-Bank LAAD - Latin American Agribusiness Development
Corporation
7. Small and Medium Enterprises vs Micro-Enterprises in Developing Countries – is
there an empirical missing Middle in Access to Finance?
8. Venture Capital- and Venture Philanthrophy-Funds – are these Instruments to
improve Access to Finance for Small and Medium Enterprises?
General Discussion for all participants:
Which bottlenecks of development is more relevant – the agri- or the finance sector?
2
Dr. Thomas Koch / Abteilungsdirektor Strategische Projekte
DEG - Deutsche Investitions- und
Entwicklungsgesellschaft mbH - Köln
c/o Fakultät für Wirtschaftswissenschaft
Lehrstuhl für Internationale Wirtschaftsbeziehungen
Prof. Dr. Matthias Busse
March 18, 2015
Seminar papers and presentations
Students are expected to form groups of two. Each group will be responsible for writing a
joint paper (max. 12 pages in length; including tables and figures), 2.5 cm margins
top/bottom/left/right, 1.5 line spacing, Times New Roman 12 point font). In addition, a
short executive summary of about 200 words (key question, methodology and main
results) should be included (max 1 page).
Papers + presentation are due one week before the block seminar presentation – Friday,
June 12, 2015. Please submit the paper / presentation electronically via e-mail to the
following e-mail address: [email protected]
Seminar presentations
English presentations should have a maximum (!) length of 30 min focusing on the
results of the seminar paper. The speakers can use any visual device (e.g. beamer,
handouts, short-cut movies, etc.) and should be able to answer questions during the
presentation (Please prepare a well structured presentation that is interesting and
educational for your audience!).
Discussions
Each student will be assigned to another topic (not his/her paper) which s/he should
briefly (5 min) discuss after the presentation. The discussion should be a critical reflection
of the paper and presentation (content, structure, unclear points) and come up with two
or three questions to start a discussion.
It is expected that all other students have briefly gone through the papers of the other
participants before the seminar, so that a good discussion can take place.
Grading
Seminar paper (50%), presentation of the paper (35%) and discussion (15%); additional
bonus points can be achieved by oral participation in the seminar (10%). Seminar paper
and the presentation will be in English.
Contact person for the seminar topics:
Dr. Thomas Koch – Director Strategic Projects / DEG
e-mail: [email protected]
3
Dr. Thomas Koch / Abteilungsdirektor Strategische Projekte
DEG - Deutsche Investitions- und
Entwicklungsgesellschaft mbH - Köln
c/o Fakultät für Wirtschaftswissenschaft
Lehrstuhl für Internationale Wirtschaftsbeziehungen
Prof. Dr. Matthias Busse
March 18, 2015
Literature
The papers below should guide participants towards conducting their research and
writing their seminar papers. It is expected, however, that students search for additional
literature.
General Reading:
• UNCTAD-United Nations Conference on Trade and Development (2009). World
Investment Report (WIR) 2009 – Transnational Corporations, Agricultural
Production and Development, in particular: part two, p. 91-194.
• IFC - International Finance Corporation (1999): Project Finance in Developing
Countries – Lessons of Experience number 7; in particular chapter 3 and 4.
1. MDG and Agri-Investment –
Is the Agri-Sector “insignificant” for Developing Countries?
(individual country cases to be selected)
•
•
UNCTAD-United Nations Conference on Trade and Development (2009). World
Investment Report (WIR) 2009 – Transnational Corporations, Agricultural
Production and Development, p. 101-104 and 111-117 and chapter IV b + c.
http://www.unctad.org/en/docs/wir2009_en.pdf
United Nations (2014): The Millennium Development Goals Report 2014, p. 1-15
and 48-53.
http://www.un.org/millenniumgoals/2014%20MDG%20report/MDG%202014%
20English%20web.pdf
2. “Food crisis revisited”?: Agro-Prices – Demand and Supply Determinants, Index
Trend Analysis and Consequences in Developing Countries
•
•
•
FAO Food Price Index (2015).
http://www.fao.org/worldfoodsituation/foodpricesindex/en/
Deutsche Bank Research (2009): Lebensmittel – Eine Welt voller Spannung
http://www.dbresearch.de/PROD/DBR_INTERNET_DEPROD/PROD0000000000248191.PDF
OECD/FAO (2012): Agricultural Outlook 2014-2023.
http://www.agri-outlook.org/
3. Food Crisis and the “Land Grabbing”-Debate – Are Agri-Enterprises “neo-colonial
land grabbers” or “responsible investors”?
•
Klaus Deininger and Derek Byerlee / Worldbank (2010): Rising Global Interest in
Farmland – can it yield sustainable and equitable benefits?
4
Dr. Thomas Koch / Abteilungsdirektor Strategische Projekte
DEG - Deutsche Investitions- und
Entwicklungsgesellschaft mbH - Köln
c/o Fakultät für Wirtschaftswissenschaft
Lehrstuhl für Internationale Wirtschaftsbeziehungen
Prof. Dr. Matthias Busse
•
•
•
March 18, 2015
http://siteresources.worldbank.org/INTARD/Resources/ESW_Sept7_final_final.p
df
Claire Schaffnit-Chaterjee (2012): Foreign investment in farmland – no lowhanging fruit. DB Research, November 13, 2012
http://www.dbresearch.com/PROD/DBR_INTERNET_ENPROD/PROD0000000000296807/Foreign+investment+in+farmland%3A+No+l
ow-hanging+fruit.PDF
Koch, Thomas (2011). Kontroverse land grabbing: Private Agrarinvestitionen –
wem nützen sie? In: Eins Dossier 5-2011, page 6-8
http://www.brot-fuer-die-welt.de/downloads/niemand-isst-fuer-sich-allein/landist-leben.pdf
Landgrabbing – Oxfam
http://www.oxfam.de/informieren/landgrabbing
4. Climate Change – its Consequences on Agriculture and Poverty
•
Hertel, Thomas and Rosch, Stephanie (2010): Climate Change, Agriculture and
Poverty, The World Bank Development Research Group Agriculture Rural
Development Team November, working paper 5468.
http://wwwwds.worldbank.org/servlet/WDSContentServer/WDSP/IB/2010/11/02/00015834
9_20101102135244/Rendered/PDF/WPS5468.pdf
5. The economics of the global wine market – determinants of supply and demand
case study: Argentina
•
•
Daten zur Weinproduktion/Angebot und Nachfrage vgl. OIV-webpage
http://www.oiv.int/oiv/info/enconjoncture
Data Analysis of Economist Intelligence Unit + Bloomberg to be provided at
beginning of seminar
5
Dr. Thomas Koch / Abteilungsdirektor Strategische Projekte
DEG - Deutsche Investitions- und
Entwicklungsgesellschaft mbH - Köln
c/o Fakultät für Wirtschaftswissenschaft
Lehrstuhl für Internationale Wirtschaftsbeziehungen
Prof. Dr. Matthias Busse
March 18, 2015
6. Agri-Finance and Financial Institutions – Risk and Risk Mitigation
Case Study: LAAD - Latin American Agribusiness Development Corporation
•
•
•
•
Wenner, Mark; Navajas, Sergio ed all. (2007): Managing Credit Risk in Rural
Financial Institutions in Latin America, Inter-American Development Bank-Best
Practice Series.
http://idbdocs.iadb.org/wsdocs/getdocument.aspx?docnum=1442364
Van Empel, Gerard (2010): Rural Banking in Africa: The Rabobank Approach. In:
IFPRI/World Bank, Innovations in Rural and Agriculture Finance, brief 4, July.
http://www.ifpri.org/sites/default/files/publications/focus18.pdf
LAAD (2014): annual report 2013. (2014 report to be published by April)
http://laadsa.com/downloads/Laad_2013_annual.pdf
GPFI/IFC (2012):
Innovative Agricultural SME Finance Models
http://www.mongolbank.mn/conference/books/02.pdf
7. Small and Medium Enterprises vs Microfinance in developing countries – is there an
empirical missing middle in access to finance?
• World Bank / IFC database (2012):
http://econ.worldbank.org/WBSITE/EXTERNAL/EXTDEC/EXTRESEARCH/EXT
PROGRAMS/EXTFINRES/0,,contentMDK:21454009~pagePK:64168182~piPK:6
4168060~theSitePK:478060,00.html
• Dalberg Consult (2011): Report on Support to SMEs in Developing
Countries through Financial Intermediaries.
http://dalberg.com/sites/dalberg.com/files/Dalberg_Proposal_SME%20Briefing
%20Paper_EIB_Draft_Version_V34.pdf
8. Venture Capital- and Venture Philanthropy-Funds – are these Instruments to improve
Access to Finance for Small and Medium Enterprises?
• Michael Schefczyk (2000): Finanzieren mit Venture Capital, Stuttgart
• Bob Zider (1998):
How Venture Capital Works; Harvard Business Review November
December 1998;
http://entrepreneurship.saddleback.edu/Resources/Financial%20Articles/
How%20Venture%20Capital%20Works.pdf
6

Download Report