Livestock production is an integral component of almost all farming systems in the west Shewa zone. In the highlands and mid-altitudes livestock is mainly used for the supply of draught power and provision of food. Foreign income generated through the export of hides and skin is also an integral part of the country’s economy at the macro level. By-products of livestock in the form of manure are also of economic importance in the mixed crop livestock system for soil fertility improvement. The income generated from selling livestock and livestock products also forms the main income for the farming community in the highlands. In the low lands, livestock is the mainstay of the livelihoods of the pastoralists and agro-pastoralists. Despite its importance, the productivity and economic contribution of the sub-sector is challenged by various technical, socio- economic, political and institutional constraints.
Among the technical constraints, issues related to feed scarcity (quantitative and qualitative dimensions) are the overriding ones, primarily because of biological, economic and environmental issues. Biologically, the process of animal production is virtually a conversion of low quality products with limited alternative uses such as by-products into high quality products such as milk, meat and egg. In this process the quantity and quality of the livestock product is largely a function of the type of feed used and the art of feeding. There are substantial proofs that at the field level both production and reproductive performance are heavily constrained by the quantity and quality of feed. In economic terms, the feed cost usually accounts for 70% of the total cost of livestock production. This influences not only the productivity but also the feasibility of the enterprise. In terms of environmental issues, aspects of making livestock production compatible with resources are basically a function of provision of feed and an appropriate feeding system. Given appropriate management, livestock production is harmonious with the environment.
The recent turmoil in the capital markets has led experts and laymen alike to cast liquidity risk in the role of the culprit. Inexperienced and sophisticated players were all caught by surprise when markets dried up. Unsurprisingly, the first to go were the emerging markets in Asia and more recently in Russia. Then it spilled over into the US corporate debt market which was indeed much more surprising. Its most famous victim has been Long Term Capital Management (LTCM). Spreads appeared to widen out of the blue; but this could have been predicted.
More generally, it is a well acknowledged fact that the standard Value-at-Risk (VaR) concept used for measuring both market and credit risk for tradable securities lacks a rigorous treatment of liquidity risk. At best, the risk for large illiquid positions is adjusted upwards in an ad hoc fashion by utilizing a longer time horizon in the calculation of VaR that at best is a subjective estimate of the likely liquidation time of the position. This holding-period adjustment is usually carried out using the square root of time scaling of the variances and covariances rather than a recalculation of variances and covariances for the longer time horizon.
Welcome to the Home Loan U course in How to Become a Smart Home Buyer, from Quicken Loans. Here, you’ll learn the important advantages of becoming a pre-approved buyer, as well as information about mortgages and the home buying process. If you’re looking for the tools you need to find the right kind of mortgage and achieve your financial goals, you’re in the right place.
Let’s start with some terms you might hear more often now that you’re in the market. You can also bet they’ll come up in your first conversation with your Mortgage Insider. Simply put, a mortgage is a loan taken out to finance the purchase of a home. The paperwork that documents the mortgage is also a legal contract which states that you, the client, promise to pay back the loan on a monthly basis. Your monthly payment typically goes toward paying back the principal (or the amount of the loan) and interest. Your monthly payment may also include taxes and insurance.
