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Growing consciousness about the nature of water used in growing cabbages and the manner in which sellers treat and/or wash cabbages has led some consumers to demand safe cabbages. This study sought to measure and model consumer's willingness to pay a premium for safe cabbages in six communities in Ghana. Findings indicate that 58.33 percent of the respondents are willing to pay about 76 percent more of the current price of a conventional cabbage as a premium for a safe cabbage. The binary Logit regression results also suggest that consumers who are concern about the nature of water used in growing cabbages, aware of the use of unwholesome water in growing cabbages, knows the source of water used in irrigating cabbages, works in the health sector and resides in a rich community is likely to pay a premium for safe cabbages. To identify key consumer characteristics that influence the payment of a high premium for safe cabbage, the Tobit regression model was used. The results revealed that high income earners, consumers who are concern about the nature of water used in growing cabbages, aware of the use of unwholesome water in growing cabbages, and resides in a rich community is likely to pay a high premium for safe cabbages. As such, marketing efforts should focus on reaching consumers who fit this profile. Further analysis shows that the mean premium price offered by consumers in the rich communities is greater than that offered by those in the poor communities at 1 percent significance level; hence distribution channels of safe cabbages are likely to emerge as a more successful avenue in the rich communities than the poor communities. [ABSTRACT FROM AUTHOR]

Purpose — The study aims at examining how macroeconomic indicators affect the performance of stock markets by using the Ghana Stock Exchange as a case study. Design/methodology/approach — Quarterly time series data covering the period 1991-2005 were used. Cointegration and the error correction model techniques are employed to ascertain both short-and long-run relationships. Findings — Findings of the study reveal that lending rates from deposit money banks have an adverse effect on stock market performance and particularly serve as major hindrance to business growth in Ghana. Again, while inflation rate is found to have a negative effect on stock market performance, the results indicate that it takes time for this to take effect due to the presence of a lag period; and that investors benefit from exchange-rate losses as a result of domestic currency depreciation. Originality/value — The single most important contribution of this study is its emphasis on macroeconomic variables and stock market performance in a small country, since most studies have concentrated on stock markets and economic growth in advanced economies. [ABSTRACT FROM AUTHOR]

The present study set out to examine corporate governance practices of SMEs in Ghana and whether there is any linkage between these governance practices and financial performance. We employed two levels of interaction to achieve our objectives: The first is an interview for a general understanding of governance issues in the SME sector and the subsequent design of a questionnaire for an exploration of the linkages between governance issues and firm financial performance by employing a linear model. The study reveals that governance structures in SMEs are jointly influenced by credit providers and business ethical considerations. The regression results show that board size, size of audit committees, corporate ethics and the proportion of outsiders on the audit committees have negative impact on financial performance while independence of the board and the presence of audit committees enhance firms' financial performance. The findings have some policy implications in that it shows that exporting SMEs are relatively profitable. It is recommended that in an attempt to promote exports, the legal and regulatory environment should be conducive for these firms. [ABSTRACT FROM AUTHOR]

Purpose -- The purpose of this paper is to examine the impact of capital structure on the performance of microfinance institutions. Design/methodology/approach -- Panel data covering the ten-year period 1995-2004 were analyzed within the framework of fixed- and random-effects techniques. Findings -- Most of the microfinance institutions employ high leverage and finance their operations with long-term as against short-term debt. Also, highly lever-aged microfinance institutions perform better by reaching out to more clientele, enjoy scale economies, and therefore are better able to deal with moral hazard and adverse selection, enhancing their ability to deal with risk. Originality/value -- This is the first study of its kind in the sector, especially within sub-Saharan Africa. [ABSTRACT FROM AUTHOR]