Citation
Impact of rural electrification in Costa Rica

Material Information

Title:
Impact of rural electrification in Costa Rica
Creator:
Davis, John Michael
Publication Date:
Language:
English

Subjects

Subjects / Keywords:
Agricultural land ( jstor )
Agriculture ( jstor )
Electricity ( jstor )
Electrification ( jstor )
Farming ( jstor )
Farms ( jstor )
Land tenure ( jstor )
Neighborhoods ( jstor )
Rural sociology ( jstor )
Villages ( jstor )
Rural electrification--Costa Rica.

Record Information

Source Institution:
University of Florida
Holding Location:
University of Florida
Rights Management:
The University of Florida George A. Smathers Libraries respect the intellectual property rights of others and do not claim any copyright interest in this item. This item may be protected by copyright but is made available here under a claim of fair use (17 U.S.C. §107) for non-profit research and educational purposes. Users of this work have responsibility for determining copyright status prior to reusing, publishing or reproducing this item for purposes other than what is allowed by fair use or other copyright exemptions. Any reuse of this item in excess of fair use or other copyright exemptions requires permission of the copyright holder. The Smathers Libraries would like to learn more about this item and invite individuals or organizations to contact the RDS coordinator (ufdissertations@uflib.ufl.edu) with any additional information they can provide.
Resource Identifier:
22832544 ( ALEPH )
14107811 ( OCLC )

Downloads

This item has the following downloads:


Full Text


















THE IMPACT OF RURAL
ELECTRIFICATION IN COSTA RICA








By




J. MICHAEL DAVIS












A DISSERTATION PRESENTED TO THE GRADUATE COUNCIL OF THE UNIVERSITY OF FLORIDA IN PARTIAL FULFILLMENT
OF THE REQUIREMENTS FOR THE DEGREE OF
DOCTOR OF PHILOSOPHY.






UNIVERSITY OF FLORIDA 1974

















ACKNOWLEDGMENTS



This dissertation would have been impossible without the exceptional a ssistance given me by professors at the University of Florida, by the members of the University of Florida Rural Electrification Project team, and by many people of Costa Rica.

I owe a sincere debt of gratitude to my major professor, Dr. T. Lynn Smith, for preparing me to undertake a study as complex as the present one. Drs. E. Wilbur Bock, David Bushnell, Benjamin Gorman, and-Joseph Vandiver have been both esteemed teachers and willing advisers in the development of this dissertation.

Much of the pleasure I found in doing this study was derived from my association with stimulating and interesting colleagues. Dr. James E. Ross admirably directed the Rural Electrification Project. Galen C. Moses provided an exacting counterpoint to me. Dr. John V. D. Saunders was an urbane companion as well as a major factor in determining the content and direction of this project. Much of the analysis would have been substantially curtailed wi-thout the able computer programming provided by Oleh Wolowyna. Norman Markworth, Terry Jabaly, and Marfa Leon furnished uniformly superior coding.

*Victor Hugo Cdspedes and Alvaro Vargas of the Institute of

Economic Investigations, University of Costa Rica greatly facilitated the efforts in conducting the field survey. This project would not have been possible without the superb work of Vargas and his team


ii








of interviewers. Oscar Benavides of the Costa Rican Electricity Institute strongly supported the study. I would like to especially* thank Freddy Arroyo, manager of the rural electric cooperative of San Carlos and Alfredo Chavarrfa, our chauffeur, for both their support and friendship.

The use of the Northeast Regional Data Center of the University of Florida is acknowledged as is the generous cooperation of the Centers for Latin American Studies and Tropical Agriculture. This study was conducted under the auspicies of the Agency for International Development Grant Csd-3594. I could not have found a finer typist than Mrs. Marfa Ignacia Cruz.

This dissertation is ours, thanks, Mary. Would that I could blame my charming daughters Andrea and Nena for the mistakes contained herein. Alas, I cannot; I alone am responsible for these contents.


























iii













TABLE OF CONTENTS



ACKNOWLEDGMENTS....................... .............. ...... i

LIST OF TABLES ................ .............. v

LIST OF FIGURES ............. ......... ........ ...... ....... viii

ABSTRACT....................... .... ..... ... ..... ............ x

I INTRODUCTION,......... .. .. .... ...... ........... ..... 1

II A REVIEW OF THE LITERATURE........................o... 17

III PROCEDURES AND METHODOLOGY.............................. 36

IV SOCIAL CORRELATES ...... ........... ....... ............. 65

V MAN-LAND FACTORS....... ....... ..... .. ........ .... .... 140

VI THE IMPACT OF ELECTRIFICATION ON RURAL NEIGHBORHOODS AND COMMUNITIES ....... . .............. 183

VII SUMMARY AND CONCLUSIONS.................................. 217

APPENDIX A...................... ....... .................... 223

B IBL I OGRAPHY .... o................................ ...... .......... 252

BIOGRAPHICAL SKETCH ........ ................ ............... 261




















iv













LIST OF TABLES



IA Comparison of the Age Distributions of Heads
of Households by the Three Electric-Use Categories ... 73

2 A Comparison of the Distribution of Education
of Heads of Households by the Three ElectricUse Categories ... ........... .. .. .. ... .. .. .. .. .. 75

3 A Comparison of the Occupations of Heads of
Households by the Three Electric-Use Categories ..... 78

14 Percentages of Users of Electricity by 8
Occupational Categories....... ... .. ... 0 .. .. ... .... 8

5 Size of Households by Frequency of Occurrence
and Number of People ........ .. ....... .. ... .. ... 82

6 A Comparison of the Place of Birth of Heads of
Households by the Three Electric-Use Categories ..... 85

7 A Comparison of the Previous Place of Residence
of Heads of Households by the Three Electric-Use
Categories .......... .......................... 87

8 Length of Residence in Present House ................ 89

9 A Comparison of the Length of Residence in the
Present House of Heads of Households by the
Three Electric-Use Categories .................... 90

10 A Comparison of Those in the Level-of-Living
Scale (LEVEL) Categories by the Three ElectricUse Categories ...... ........ .... . ....... 95

11 A Comparison of Respondents in Electricityfree Level-of-Living Scale (LEVELNOE) Categories
by the Three Electric-Use Categories ................ 97

12 Scores of T-Tests for Difference between
Arithmetic Means and Levels of Significance
for Categories and Combinations of Categories
of The Electric-Use Characteristic by Electricityfree Level-of-Living Scale (LEVELN OE)............100


v







13 Percentages of USERS and NON-ADOPTERS by
Categories of Electricity-free Level-of-Living Scale (LEVELNOE) and Ratios of Percentages of
USERS to NON-ADOPTERS ............................. 101

14 A Comparison of Respondents in Present
Satisfaction-with-Life-Situation Index (SIT
PRES) Categories by the Three Electric-Use
Categories ................. ........... . .... .. 1

15 Arithmetic Means for Respondents of Satisfactionwith-Life Indexes for Categories and Combinations
of Electric-Use Categories ................... .- 113

16 Scores of T-Tests for Differences between
Arithmetic Means and Levels of Significance for
Categories and Combinations of Electric-Use
Categories by Satisfaction-with-Life-Situation
Indexes .... ...........o. .... o... .. ......... .. 115

17 A Comparison of Respondents in Past Satisfactionwith-Life-Situation Index (SIT PAST) Categories
by the Three Electric-Use Categories.............. 116

18 A Comparison of Respondents in Future
Satisfaction-with-Life-Situation Index (SIT FUT)
by the Three Electric-Use Categories .............. 118

19 A Comparison of Respondents in Total
Satisfaction-with-Life-Situation Index (SIT TOT)
Categories by the Three Electric-Use Categories... 120

20 A Comparison of Respondents According to MassMedia-Exposure Index (MMEI) by Electric-Use
Categories. .................... ........... o..... 134

21 A Comparison of Respondents According to
Categories of Electricity-free Level-of-Living
Scale (LEVELNOE) by Categories of Mass-Media
Exposure Index (MMEI) ........................... 136

22 A Comparison of Respondents According to
Grouped Categories of Total Satisfaction-withLife-Situation Index (SIT TOT) by Categories
of Mass-Media-Exposure Index (MMEI) ............... 138

23 A Comparison of the Size of Farms of Those
in the Three Electric-Use Categories .............. 156

24 Percentages of USERS, INACCESSIBLES, and NONADOPTERS by Size of Farm (SIZE FARM) Categories
and Ratios of Each to the Others ................ 159


vi








25 A Comparison of Size of Farm by Electricityfree Level-of-Living (LEVELNOE) Categories ......... 160

26 A Comparison of Type of Farming by Those
in the Three Electric-Use Categories ............... 163

27 A Comparison of Those Engaged in Agricultural
or Pastoral Activities by the Three ElectricUse Categories .. .. .. .. . .. .. .. .. .. ... .. .. .. . .. 165

28 A Comparison of Those in the Categories of
Type of Farming (TYPE FARM) by the Categories
of Size of Farm (SIZE FARM) ........................ 167

29 A Comparison of Those in the Categories of
Type of Farm (TYPE FARM) by Categories of
Electricity-free Level-of-Living Scale


30 Responses to Question Concerning Membership
in Organizations, Associations, and
Cooperatives by the Three Electric-Use
-Categories ..........................*............. 207

































vii












LIST OF FIGURES



Location ip Costa Rica of the Area Studied
in San CarlosL ........................................ 4

2 Map of the Area Studied ............................ 7

3 Age-Sex Pyramid for the Population Studied
in San Carlos ........................................ 69

4 Sex Ratios by Age Groups of Those Living in
Households in the Population Studied in San
Carlos ............................................... 71

5 Percentages of Each USERS, INACCESSIBLES,
and NON-ADOPTERS by Categories of Electricityfree Level-of-Living Scale (LEVELNOE) ................ 99

6 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESSIBLES,
NON-ADOPTERS, and Total Population by Number
of People per Household ............ ................. 103

7 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESSIBLES, NON-ADOPTERS, and Total Population by Years
of Education of Heads of Households .................. 105

8 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESSIBLES,
NON-ADOPTERS, and Total Population by Age
of Heads of Households ............................... 106

9 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESSIBLES,
NON-ADOPTERS, and Total Population by Size of
Farm Categories ...................................... 108

10 Mean Total Satisfaction-with-Life-Situation
Index (SIT TOT) Scores for USERS, INACCESSIBLES,
and NON-ADOPTERS by Age of Heads of Households ........ 123





viii








11 Mean Total Satisfaction-with-Life Situation
Index (SIT TOT) Scores for USERS, INACCESSIBLES,
and NON-ADOPTERS by Education of Heads of
Households .......... ............................... 125

12 Mean Total Satisfaction-with-Life-Situation
Index (SIT TOT) Scores for USERS, INACCESSIBLES,
and NON-ADOPTERS by Size of Farm Categories.......... 127

13 Mean Total'Satisfaction-with-Life-Situation
Index (SIT TOT) Scores for USERS, INACCESSIBLES,
and NON-ADOPTERS by Electricity-free Levelof-Living Scale (LEVELNOE) Categories ............... 129









































ix








Abstract of Dissertation Presented to the Graduate Council of the
University of Florida in Partial Fulfillment of the Requirement for the Degree of Doctor of Philosophy


THE IMPACT OF RURAL ELECTRIFICATION IN COSTA RICA

By

J. Michael Davis

June 1974



Chairman: Dr. T. Lynn Smith
Major Department: Sociology


This dissertation examines the impact of rural electrification on residents of the region of San Carlos, Costa Rica. The objectives of the study are to evaluate the sociocultural differences which may be attributable to the use or non-use of electricity; to develop sociological instruments which may be utilized effectively for evaluating the impact of rural electrification in different cultural and national settings; and to record benchmark data. A well-developed rural sociological frame of reference provides the conceptual perspective for the study.

A total of 452 heads of households were interviewed under the supervision of the author by trained Costa Rican interviewers. The data gathered from the survey research wer e supplemented by those amassed through personal observations. The data were drawn from respondents in a carefully selected area. It is one in which app oximately half of the residents were within reach of the distribution lines of a central source of electrical energy. In this subpopulation were both adopters and non-adopters of electricity. The


x







remainder of those studied resided beyond the reach of the lines. To insure validity of -the results of the study, an area was secured which was relatively homogeneous in all respects with the exception of the availability of electricity.

The substantive findings concerning the relationships between

rural electrification and other characteristics are grouped according to: social characteristics, man-land relations, and locality groupings.

Those heads of households who adopted the use of electricity

are likely to be younger, better educated, in occupations where they could profit from the use of electricity, and residentially more stable than are those who could have but who chose not to adopt electricity. These findings appear to be significant in that those who-had no access to electricity have characteristics intermediate between those who did and those who chose not to become consumers of electricity. Higher level of living, satisfaction with life situation and exposure to the mass media are found to be associated with the use of electricity compared with non-use.

in agricultural zones, such as rural San Carlos, the institutionalized relationships between man and the land are instrumental in determining the rate of adoption and uses of electricity. The con-.

centration of the population in quasi-line vi-Ilages and hamlets facilitated the installation of a electricity distribution system more than a settlement pattern in which the rural inhabitants are dispersed on scattered farmsteads. Operators of medium to large farms are more likely to become users of electricity than are those who farm smaller places. Those who engage in specific types of agricultural or pastoral production have more productive uses of



xi








electricity and appear more likely to adopt- the use of-electricity in their homes than do those engaged in other types of farming. Farm operators are more inclined to use electricity in their homes than are farm laborers. Evidence is presented to show the existence of an agricultural ladder i n San Carlos.

The themes of locality groups, levels of integration, and social participation are used to construct a framework for viewing the

impact of electrification on nucleated rural settlements. A theoretical typology of the locality group identified in the area is .presented. The process of obtaining electricity is shown to b e an integrative force until an area is energized at which time it ap-pears to retard community organization activities.. In a community the use of electricity both strengthens internal integration of the locality group'and causes an increased dependency upon larger communities.




























xii













CHAPTER I


INTRO AUCTION



This is a study of the impact of rural electrification in Costa Rica. It is an evaluation of the effect the adoption of the use of electricity has had on the residents of a rural sector of San Carlos. .The focus is on the differentials in selected variables and characteristics found between users and non-users of electricity.

The use of electric energy for both domestic and farm purposes is now accepted as indispensable in most rural areas of the United States. This is not, however, the case in vast regions of Latin America. In both Central and South America, the existence of electricity distribution lines is the exception rather than the rule. There are currently, however, major programs underway in several countries to extend new distribution lines into areas previously not having access to electrical energy.

The introduction of a technological innovation creates changes .in the lives of members of societies. This study is an attempt to examine some of the changes related to the introduction of electricity into a rural area.



Objectives


The primary objective of this study is to examine the impact of electrificat ion on the members of a rural society in Costa Rica. The


I





2


present endeavor is designed to provide an'evaluation of the sociocultural differences in rural communities and smaller locality groups which may be attributable to the utilization or lack thereof of electric energy. Specifically, an attempt is made to determine the correlates of the use or non-use of electricity and social characteristics, relationships between man and the land, and characteristics of various sizes of locality groups.

A second objective is to develop sociological instruments which

may be utilized effectively for evaluating the impact of rural electrification not only in Costa Rica, but also in other countries. These instruments, therefore, must be able to produce comparable measu-rements of characteristics which are manifested indifferent socio-cultural contexts.

The collection and recording of benchmark data is a third objective. The impact of rural electrification can be expected to change both as new methods of using electrical current are put into practice and as people become more accustomed to using this source of power. The instruments developed here are such that they can be employed again in the future. The data collected are considered as benchmark data in that hopefully they are only the first assembled in .a series of studies of the same population. It is hoped that a similar investigation of it will be carried out within three to five years so that temporal changes can be measured and evaluated.

This specific study is the application of a well-developed rural sociological frame of reference to the investigation of the impact of a particular technological innovation on a specific rural population in Costa Rica. The frame of reference has been developed by rural





3

sociologists in the United States. The earliest articulation of many of the concepts and methods of viewing society used in this presentation was set forth by Pitirim A. Sorokin, Carle C. Zimmerman, and Charles J. Galpin (1930). The conceptual framework of these authors was more fully developed and applied by T. Lynn Smith in, among other works, his analyses of the sociology of rural life (1940, 1949, and 1953). Smith also further refined and applied this frame of reference in his major studies of Brazil and Colombia*(1967a and 1972a).

Most of the previous applications of the conceptual framework used in this dissertation have dealt with analyses of members of societies in given political-administrative geographic areas. A major goal of the present endeavor is to incorporate a specific frame of reference to view the impact of a techn ological innovation on the members of a rural society.



Scope


This is a study of people living in a specific part of the Llanos of San Carlos in the Canto'n of San Carlos, Province of Alajuela, Costa Rica (See Figure 1). The primary data were gathered in an intensive survey research project during the month of August, 1972. The temporal scope of the data is limited to the period in which they were collected. These data are augmented by others derived from library research, personal observations, and consultations with experts in various fields.

Substantively this presentation assembles, evaluates, and

organizes some of the more significant data concerning the influences of the use of electrical energy in a rural area. The impact of the




















































-W 0

0 m cu u c




tn
0 lip*




c
0
-W
m
u





5


rural electrification is measured by examining the relationship between use or non-use of this type of power and several social and economic characteristics. The findings and discussion to be presented indicate that the analysis of the impact of electrification in a rural area is as yet an imprecise science. It is impossible to place a price tag on the value of having electricity. Rather, it is necessary to measure the force of this phenomenon by demonstrating its relationship

to other. variables.


Some Characteristics of the Area Studied.


The area being studied is situated in the Lianos of San Carlos.

The IlIano's are nestlIed i n a l arge flIat vallIey created by the t ri butari es leading into the RrIo Arenal, the V'o Peinas Blancas, and the Rro San Carlos. The region is bounded on to the west and south by the base of the Cordilleras of Tilaran and Platanar, parts of the mountain range which traverses the country. The eastern and northern sides have as their boundaries vast expanses of unoccupied territories consisting of virgin lowlands which extend to the Gulf of Mexico and to the international boundary with Nicaragua.

The area was only recently settled. Before World War 11, only

breaks in the forest existed where new roads'and fa rms now proliferate. The land is used for a variety of agricultural and pastoral enterprises. With reference to types of farming the region is polycultural. No one size of farm predominates in the zone; rather, farms of all sizes are to be found. In sum, this is an agricultural and pastoral area where a wide range of crops and animals are raised on farms which vary in size from very small to extremely large.





6


Farming and livestock raising are facilitated by topographic and climatic conditions'. Flat and gently rolling land predominates in the llanos. There are also hills and broken ground parallel to some of the major rivers. At the edge of the plains the configuration of theterrain becomes more mountainous. The change is not rapid; in fact, in the foothills nume rous wide valleys and sloping rises are found.

The climate may be described as moderate tropical. The mean annual rainfall of 3,602.6 mm., and the mean annual temperature of 25.70C. recorded in another district of San Carlos (Costa Rica, Direcci6n. General de Estad'Istica y Censos, 1969:8) approximate the meteorological conditions of the area studied. The climate imposes few hardships on the people. The residents of the area are neither obliged to use heavy clothing nor to insulate and heat their dwellings. Crops and animals apparently thrive in this climate as much as do human beings.

The precise area being studied is that between the small towns of Florencia and La Fortuna, both of which are located in the Canton of San Carlos (See Figure 2). The population studied includes the heads of the households, and the members of their families, who reside along the roads which connect these towns. Because there are numerous villages and hamlets in this area, it is necessary to mention briefly their geographic locations. The methods used for identifying the specific individuals of the population studied are discussed later.

Florencia is located 11 kilometers down the mountainside to the nd~rthwest of Ciudad Quesada, the capital of the Cantdfn of San Carlos. The only land route into the area of the study passes through Florencia and across the bridge over the R ro Peje which is at the edge of









































tn
co

4J (D
L. .0)
0 0 CD fu 41
L- LL. c
co



-0 c -0
M (1)
4J
V) Q)


a) 0

<
c

-C V) tn



31


(D -0 O) .%a) (a
U (n Ffu
c
LLJ w (D (D

u

co

U


V)


fu > 'n
tn tn
c L- (D
=3 a) c co Q <
4-J 4-J =3 4J L)
L. (L) 4-) V)
0 E L- 2 w
LL. (1) 0 0 _0 0 -1
U- LLJ tn
CL -0 u o C) m
-1 L- CD 0
C) _0
0 0
4-) 41

ro (a
.- c
u u (D
Ln c c V)
(1) a) W
U s- Lc 0 0
co
4-) U- LL.
th





8


the town. This bridge is one boundary of the region being examined.

Across the bridge from Florencia the road leading to La Fortuna forks into two routes. The longer of these passes through Villa F9tima de la Vieja (La Vieja) and the shorter one goes through Cuestillas before the two routes rejoin at Santa Clara. There is but one road between Santa Clara and Jabillos (also written Javillos). At Jabillos the route once again divides. One passes through San Pedro, San Isidro de Rro Pe~as Blancas (also known as San Isidro de la Tigra or simply as San Isidro), Chachagua (La Colonia), and San Francisco (known locally as El Burrito) before arriving at La Fortuna. The distance between Florencia and La Fortuna is 35 kilometers. Before reaching San Isidro de Rfo Pe~as Blancas, a branch road leads off to La Tigra and San Josd de ]a Tigra. The second route from Jabillos passes through La Vega, El Tanque, and Los Angeles before reaching La Fortuna. These locations are portrayed in Figure 2.


Research Design.


Since the research team was limited to a one-time cross sectional measurement, an appropriate research design was decided upon and an appropriate area for its application identified. The lower (southern) half of the area selected (See Figure 2) Js supplied with electric power generated by the Instituto Costarricense de Electricidad (Costa Rican Institute of Electricity) (ICE) and distributed by the Cooperativa de Electrificaci6n Rural de San Carlos (San Carlos Rural Electric Cooperative) (COOPELESCA). This area has had electricity for three to four years and is, in effect, an experimental area. The upper portion

of the San Carlos study area is not served by a central electric energy





9

distribution system. Since the entire area of the study is essentially homogeneous with regard to the characteristics discussed in the preceding section, this upper or northern portion serves as a control area in what is a naturally occurring experimental situation.

The characteristic of greatest importance in the study is

dichotomous: the use or non-use of electricity, referred to as the electric-use characteristic. From the standpoint of the use or nonuse of electricity, the respondents fall into three categories. The heads of the households for whom data were collected and who were served by the cooperative distribution system are labeled USERS. Those for whom data were collected and who lived within reach of COOPELESCA lines but who had not availed themselves of the opportunity of using electricity are designated as NON-ADOPTERS. Finally, those for whom data were collected, resided beyond the reach of the COOPELESCA lines, and did not utilize any source of electrical. energy are called INACCESSIBLES. Data were also collected for 32 heads of households who utilized a source of electricity other than COOPELESCA current; but because of the variety of types of electricity used, these cases were viewed as atypical and were eliminated from the analysis.

The research design took into account the possibility of encountering cases in all three of the categories, called electric-use categories. The impact of the use of electricity should be most clearly revealed by comparing those who are connected with the lines of the central source of power, the USERS, and those who, although they have had the opportunity, are not, the NON-ADOPTERS. The nonusers who do not have an opportunity to use this source of power, the INACCESSIBLES, should have characteristics which differ from those of





10


the USERS and NON-ADOPTERS. The INACCESSIBLES should have characteristics which approximate those which USERS and NON-ADOPTERS shared in common before they became differentiated by the adoption or nonadoption of the 'Use of electricity. The INACCESIBLES, then, comprise. a control group included in the research design.


Rural Electrification.


Until recently, in Costa Rica the opportunity to utilize electricity has been an urban phenomenon. While electricity has become a standard item of consumption in urban areas, in much of Costa Rica, as elsewhere in the countryside, it is a rarity. The influence of the use of electricity is studied only in rural areas in this research project.

Electricity shares a characteristic with other public utilities such as water and natural gas: it must be conveyed from its point of origin to the consumer. Major expenses are incurred in the process of constructing and maintaining the facilities needed for providing electric service. The costs increase drastically if the potential users are widely dispersed as in rural areas. Conversely, the expenses are lessened where large numbers of consumers are clustered together.. If for no other reason, the cost of transmitting electricity to scattered farmsteads has retarded the development and spread of rural electrification projects in Costa Rica.



Sources of Data


The primary data were collected through intensive* field research in Costa Rica. Most of this was done in August, 1972. The substan-








tive materials were amassed both through personal research efforts of the members of the University of Florida research team and through the work of a group of Costa Ricans who had been trained to administer survey schedules. Supplementary secondary data have been drawn from official publications of the Costa Rican government and from previous studies dealing with that country.


Personal Involvement.


During July, 1972 1 made my first trip to Costa Rica. The pur.pose of the journey was to select a site in which to conduct the present

research project In preparation for my travels I read a great -deal about the country, including Costa Rican Life by John and Mavis Biesanz (1944). This short time spent in the Central American nation was followed by a stay of one month later in the summer.

My principal purpose for being in Costa Rica was to get to know the people and to familiarize myself with the area to be studied. In order to accomplish this, I attempted to immerse myself in the life of the people in the area. In viewing the events which swirled around me I used a set of sociological spectacles which had been ground through my academic training.

As a former Peace Corps Volunteer who had worked in rural communities in Colombia, I had some familiarity with rural people in Latin America. This experience greatly facilitated my gathering of data.

Much of the data used here was supplemented by the information gathered through conversations with the people of San Carlos and recorded in my journal and on pads of paper. Rather than merely at-





12


tempting to talk with as many people as possible, I patterned my research along lines previously learned as a community organizer. An expedient means of initiating a constructive discussion with someone is to be presented to or introduced to that person by a (riend or acquaintance of his.

My primary contacts were two persons who were well known in the area. The first was Se or Freddy Arroyo, w1ho was then director of COOPELESCA. Se or Arroyo is a long-time resident of the area. He was the former head of the canton's police department, and delegate ,to the national assembly. Se or Arroyo not only presented me to several influential people, but also allowed me to use his name-freely as an aid in meeting others.

The second was Larry Halsey, a former Peace Corps Volunteer in

the village of El Tanque,, who gave me a long list of his former friends and acquaintances. Mr. Halsey had been a successful Volunteer who had made a wide circle of friends in the area. I became, in effect, a vehicle for carrying news of Larry to his friends. This helped me to quickly develop a rapport so that I could ask questions about various aspects of the community.

Because I was working in collaboration with Costa Ricans who

.were conducting interviews with the people of the area, I had an entrance -into most of the houses involved. As a supervisor of the interviewers, I frequently visited the respondents to check on the completed interviews. Almost without exception the people were pleased with the interviews they had granted. Since the workers had been courteous, many of the respondents were willing to talk more about the impact of electrification. Thus, the original interviews served to lay the foundation for more intensive discussions which I held with





13

the respondents

Not all of my conversations were with respondents. I attempted to contact the leaders of each of the communities studied, as well as those in Ciudad Quesada. Much of the information obtained in these talks serves as background material for this study.


Survey Research.


Major portions of the data used in this dissertation were gathered through the use of survey research. The instrument used was deve loped by a University of Florida research team consisting of the present author; Dr. John Saunders, professor of sociology of the University of Florida; and Galen C. Moses, an agricultural economist. The data were collected by trained Costa Ricans under a contract between the University of Florida and the Institute for Economic and Social Studies of

the University of Costa Rica.

The survey schedule is involved. Its construction and contents merit detailed discussion. Therefore, further comments on the survey schedule are deferred for a more complete presentation in Chapter III, Procedures and Methodology.



Methodology


The methodology used in this study is-varied. A substantial portion of it is drawn from that developed by rural sociologists. The remainder relies on the construction of scales and indexes used for categorizing data and on specific types of computer analysis. Because of the diversity in the sources and types of data, it is necessary to examine them using a variety of approaches.




14


The precise type of research population used in the research design is of singular consequence in the study. Because of this, special methodological consideration is given to the processes of the selection of the specific area and research population studied. Several.of the variables used are constructed-by synthesizing a wide array of data.

The importance of the methodology used here is such that it

warrants presentation, along with the procedures used in the collection of data, in a separate chapter. These matters, therefore, are not discussed further at this juncture; they are dealt with in Chapter Ill..



Importance of the Study


l.n many parts of the world, people are beginning to experience a shortage of fuel used to generate what is regarded as an indispensable source of energy. Available energy, including electricity, has been until recently taken for granted. The realization of the importance of various types of energy to members of societies is currently beginning to be appreciated. This study is of importance in that it is a pioneering investigation of the relationships between members of ,a society and electric energy.

The rural sociological frame of refe rence incorporated has been an invaluable too] for examining societies of various sizes both domestically and in foreign countries. It has not been previously used to examine the impact of a technological factor as it relates to other

characteristics of the members of a rural society. The present work, therefore, is breaking new ground in demonstrating the flexibility and new applicability of this frame of reference.





15

This study is the source of significant benchmark data for

future research. The area from La Fortuna to Los Angeles is presently without electricity. Within two years electrical distribution lines will be strung there. Through the procedures used in the field work for this study, the respond nts were identified. This study provides pre-electrification data of the potential customers living there. Within five years these data could be compared with those secured in a re-survey, using the same research instrument, of the same respondents after electricity had been brought to the area.

New field and analytic instruments and procedures for the study

of the impact of ru ra I e I ect r i f i cat i on we re deve I oped and a re p rBsented here. They are of importance in that they will facilitate future research.



Order of Presentation


This dissertation contains three basic parts: an introduction, a presentation of the findings, and a summary and conclusions. Included in the introductory portion are three chapters. The present chapter has emphasized some of the characteristics of the area studied. The following one, which is a review of the literature, is designed to trace the development of the frame of reference used and of the study of rural electrification. The chapter endeavors to-bring the reader to an awareness of the literary antecedents of the present work. Chapter III deals with the processes of gathering data and methodological considerations. It focuses on the construction of the survey schedule, the selection of the area studied, and the construction of variables and characteristics used in the analyses.





16


The substantive findings of this work are found in Chapters IV through VI. The first of these is concerned with the relationships between rural electrification and social characteristics of the respondents. Of primary importance are the-relationships between the use of electricity and family attributes, level of living, satisfaction with life situation, and exposure to the mass media.

Chapter V treats the relationships between rural electrification and selected aspects of man-land relations. The emphasis in this chapter is on settlement patterns, the size of landholdings, the types of farms, and land tenure. Chapter VI deals with the impact of the use of electricity on rural communities. Central to the chapter is a theoretical discussion on a typology of locality groups and the levels of integration of these groups. Also presented are findings on social participation and the importance of electrification as an influence on communal organizations.

The closing part of this dissertation is a summary and conclusions. In the concluding chapter implications of the findings are examined. An appendix is included. It is, in Spanish, a copy of the survey schedule used. Finally, the work closes with an extensive bibliography of the published literature cited and of some volumes which the present author considers to be invaluable in the study of rural sociology.













CHAPTER 11


A REVIEW OF THE LITERATURE



This sociological study of the impact.of rural electrification on the members of several Costa Rican communities utilizes a long established and well-tested frame of reference in examining a relatively new subject matter. The frame of reference has been developed mainly by rural sociologists and set forth in many of their publications. One purpose of this chapter is to trace the development of the essential antecedents in the body of literature which have led to the formation of the frame of reference used. Emphasis is placed on those aspects of the development of rural sociology which are of particular importance and on the previous adoptions of rural sociological techniques. for the study of Latin American societies. This review will serve to acquaint the reader with the literary foundations on which the present research project is based.

A second purpose of the chapter is to sketch the development of. the study of rural electrification and especially in regard to Latin America. The research into the impact of electrification in rural areas is somewhat less developed than is the field of rural sociology. The literature dealing with the subject is, consequently, not as voluminous.

This review of the literature deals with the principal components of the dissertation and is designed to highlight certain publications,


17





18

the findings of which have direct influence on the present subject.



The Development of Certain Aspects of Rural Sociology


At the heart of rural Sociology are the study of the institutionalized relationships between man and the land, also known as manland relations, and the study of communities and smaller locality groups. The development of these aspects of rural sociology occurred primarily in the United States. The following portion of the review .of the literature focuses on those currents of this process which have strongly influenced the present author's sociological frame of reference. There follows a discussion of these.aspects of rural sociology as they have both been used and developed in the study of several Latin American societies. Finally, special attention is given to the more pertinent sociological studies of Costa Rica. The Development of Rural Sociology,,


The first sociology textbook published in the United States contained a systematic analysis of the sociology of rural life. This work, An Introduction to the Study of Society by Albion W. Small and .George E. Vincent (1894) included a section entitled "The Natural History'of a Society." In this section, along with other rural sociological topics covered, was presented a discussion of the nature of the rural community.

The actual origin of the discipline of rural sociology was the result of the work of several ministers who were interested in ascertaining the reasons for the rapid decline arvind the turn of the





19

century of attendance at rural churches.1 Their work led to the creation of President Theodore Roosevelt's Commission on Country Life. The Commission's famous Report of the Country Life Commission. (1911) gave impetus to directing attention to rural.-problems and towards finding ways to better rural life.

Although Franklin H. Giddings himself made no major contributions to the body of the literature dealing with the study of rural life, his influence as-a teacher resulted in several pioneering studies of the rural community in the United States. The foremost of these is A Hoosier Village by Newell L. Sims (1912). Sims examined both the functions of the village and the institutions housed there which provide services not only to members of the nucleated village but also to residents of trie surrounding rural areas. Also deserving of mention are James M. Williams' An American Town (1906) and Warren H. Wilson's Quaker Hill (1908).

Rural sociology started to become established as a discipline

with the publication of textbooks on the subject. The first to be introduced were Constructive Rural.Sociology by John M. Gillette (1913) and Introduction to Rural Sociology by Paul L. Vogt (1917).

While the early texts were of importance to the study of rural life, rural sociology as such was still in need of concrete studies before it could forge ahead as a scientific discipline. A notable achievement in this respect was the publication of the short monograph The Social Anatomy of an Agricultural Community by Charles J. Galpin


1In this, and indeed in the entire chapter, I have relied heavily on three sources which have started the necessary work of depicting the history of rural sociology. For further elaboration on the review of the literature of rural sociology consult: T. Lynn Smith (1957b and 1972b) and Lowry Nelson (1969).





20


(1915). Galpin effectively dismantled the myth that the American farmer was a "'man without a community." Rather, Galpin demonstrated the existence of rural communities and showed how such communities could be defined and their boundaries delineated.

One of the primary conceptual tools fo r analyzing the community

is that of the "primary group." This concept was set forth in a major contribution to sociology, Social Organization, written by Charles H. Cooley (1925). The eminent sociologist Robert M. tiacIver also provided a theoretical underpinning for the study of the community. In his book Community Mactver (1920) concentrated on the community as. the main unit for sociological analysis.

The third decade of this century, which has been described as "A Decade of Progress" in rural sociology by Smith (1972b: 70-5), witnessed the continuation of Galpin's work with the publication of his Rural Life in 1920 and his Rural Social Problems in 1924+. The other principal textbook of this time period was Carl C. Taylor's Rural Sociology (1926).

The major rural sociological work to appear in the 1920's was The Principles of Rural-Urban Sociology by Pitirim A. Sorokin and Carl C. Zimmerman (1929). This book was followed by the monumental A Systematic Source Book in Rural Sociology which 5orokin and Zimmerman, with Galpin's assistance, published in three volumes between 1930 and 1932. This work, which ushered in "The Period of Maturation, 1930-1945", in rural sociology, in Smith's term (1972b: 75-84+), contained a synthesis of both American and European sociol ogical thinking. It systematically treated all aspects of rural life.

During the 1920's Edmund deS. Brunner as director of The Institute





21


for Social.and Religious Research began an impressive study of 177 villages. Some 140 of these villages were re-studied and the results were published at the beginning ofthe period of maturation by Brunner and John H. Koib'in their book Rural Social Trends (1933). Other studies of the rural community appeared about this same time. Robert M. MacIver presented a development of his earlier ideas on the community in both his Society: Its Structure and Change (1931) and Society: A Textbook of Sociology (1937).

Dwight Sanderson focused on the growth of the rural locality group as a unit of sociological analysis in his book The Rural Community: The Natural History of a Sociological Group (1932). In his The Changing Community Carle C. Zimmerman (1938) classified the types of characteristics which help define a locality group. Of interest to this dissertation is Zimmerman's emphasis on change in rural commun it ies.

In addition to contributing to the knowledge of typologies of communities, Lowry Nelson formulated a methodology for the study of individual communities. Although his methodology has been primarily applied to the study of Mormon villages, it has applicability to the examination of groupings in general. Of note are Nelson's A.Social. Survey of Escalante, Utah (1925), The Utah Farm Village of Ephraim (1928), The Mormon Village: A Study in Social Origin (1930), Some Social and Economic Features of American Fork, Utah (1933), and The Mormon Village: A Pattern and Technique of Land Settlement (1952).

In the 1940's several texts presenting new views of the discipline of rural sociology appeared. In 1940 Paul H. Landis published Rural Life in Process. Also in 1940 T. Lynn Smith presented the first of





22

an eventual three editions of his masterful The Sociology of Rural Life. This book contained- the first elaboration of Smith's contributions to the study of man-land relations. The Landis and Smith texts were

followed by a work which focused somewhat more on social organization, Rural Sociology and Rural Social Organization written by Dwight Sanderson (1942). In 1948 Lowry Nelson's Rural Sociology appeared. This was

succeeded a year later by a text which examined the regional variations in the types of farming, Rural Life in the United States by Carl C. Taylor et al. (1949).

Since the mid-point of the century there have been few major attempts to synthesize the knowledge of the field of rural sociology. However, three texts do deserve mention. In 1950 Charles P. Loomis and-J. Allan Beegle published Rural SocialSystems: A Textbook in Rural Sociology and Anthropology. Alvin L. Bertrand and Floyd L.

Corty edited a book which analyzes land tenure arrangements and appeared under the title of Rural Land Tenure in the United States (1962). T.

Lynn Smith and Paul E. Zopf, Jr. have written the most recent major text in the field. Their Principles of Inductive Rural Sociology (1970) is a fresh exposition of the various aspects of man-land relations.

Although more extensive commentary on the book is reserved for

later in this chapter, T. Lynn Smith's Colombia: Social Structure and the Process of Development (1967) deserves mention here. Smith has long been attempting to develop a schema for portraying the relationships between locality groups of sizes ranging from the small neighborhood at one end of the scale to the great megalopolis at the other. His work on categorizing locality groups in their respective levels





23


of integration is best expressed in his analysis of the social structure of Colombia.


The Study of Latin American Societies,


The scientific examination of Latin American societies is a recent phenomenon. This is not to say that little has been written about various aspects of these societies. In fact the literature abounds with fascinating travelogues, often brilliant histories, and countless discussions of documents and events. An example of this type of publication is the absorbing account written in the 1850's by Agustin. Codazzi's companion Manuel Ancizar entitled Peregrinacion de Alpha (1914). The specific scientific study of Latin American societies, however, and especially of rural onesj is a recent development. Most of the contributions to the body of literature have appeared in the

post Worl'd War I I era.

The pathfinders in the study of rural societies in Latin America were George M. McBride and Eyler N. Simpson. McBride's first book entitled The Land Systems of Mexico (1923) was a general treatise on the various types of land ownership in Mexico. He concentrated on the social and economic relationships which are contingent on the existence of the hacienda system of land ownership. Simpson's study served as a counterpoint to McBride's in that Simpson focused on the communal system of land ownership in his work The Elido: Mexico's WyOut (1937). McBride's second study, Chile: Land and Society, published in 1936, was a comprehensive analysis of the institutionalized relationships between man and the land in that country.

The Second World War gave impetus to the study of rural societies





24

in Latin America. The lack of knowledge of Latin America available in the United States at that time was appalling. An attempt to rectify that situation caused the formation in the United States Department of Agriculture of the Office of Foreign Agricultural' Relations (OFAR). This office in conjunction with the United States Department of State hired rural sociologists to conduct investigations in Latin American countries. Out of this endeavor came some of the standard studies of Latin American societies written by T. Lynn Smith, Carl C. Taylor, Nathan L. Whetten, Olen E. Leonard, and Lowry Nelson. 2

T. Lynn Smith went to Brazil. The results of his findings were published in Brazil: People and Institutions (1946); the fourtK edition of the work appeared in 1972. Included in this book is a complete analysis of the institutionalized relationships between man and the tand. One of its major contributions is the chapter entitled

"Systems of Agriculture," the first presentation of this aspect of the study of rural societies. Rather than limiting himself to the Brazilian half of the South American continent, Smith has also become

involved in examining rural societies. His contributions in the area will be discussed later.

Carl C. Taylor published Rural Life in Argentina (1948) based on .his field work in that country. In his book Taylor focused on the

importance of different types of farming in the several geographic regions of Argentina. Nathan L. Whetten has written two masterful books about Latin American societies. His first was Rural Mexico (1948). Not only did he analyze the demographic aspects of the Mexican

2 Lowry Nelson (1969: 142-9) has an extremely cogent discussion of the work of these sociologists in his book.on the evolution of rural sociology.





25


population, but he also closely examined the man-land relations. He furthered the study-of the ejido initiated by Simpson. In his second

work, Whetten turned his careful attention to Guatemala in the book entitled Guatemala: The Land and the People (1961).

Olen E. Leonard had been acquainted with rural life in Bolivia before he was sent to that country by OFAR. The results of his earlier studies appeared under the titles of Canton Chullpas: A Socioeconomic Study in the Cochabamba Valyof Bolivia (1948) and Santa Cruz: A Socioeconomic.Study Of an Area in Bolivia (1948). He had previously published Pichilingue: A Study of Rural Life in Coastal Ecuador (1947). As the result of his work with the Department of State and OFAR Leonard published Bolivia: Land, People, and Inst.itutions (1952) an analysis of the variations which exist between the three widely divergent portions of Bolivia.

The fifth of the rural sociologists who was sent to study in

Latin America was Lowry Nelson who wrote Rural Cuba (1950). In this

presentation of the findings from his work in Cuba, Nelson emphasized the importance of the family in Cuban society.

The continued interest in rural sociological topics relating to

Latin America by these five sociologists is strongly felt in the discipline. Of importance to this dissertation has been the on-going work of T. Lynn Smith in this area. In 1943 Smith and two officials of Colombia's Departamento Nacional de Tierras (National Department of Land's) undertook a study of a small rural community near Bogotg, Cc6lombia. This was the first in-depth examination of a rural community conducted in Latin America. Smith, Justo Diaz Rodriguez, and Luis Roberto Garcra published the results of their work in 1945 as Tabio:





26

A Study in Rural Social Organization. Smith's interest in Latin America has continued through the present, resulting in numerous publications. Several of these deserve special mention.

Agrarian Reform in Latin America (1965)- by Smith presented one of the foremost analysis of the need for and functions of agrarian reform. In it Smith clearly demonstrated that the term "land reform" is a misnomer for "agrarian reform." Smith's "Agricultural-Pastoral Conflict: A Major Obstacle in the Process of Rural Development," an article in the Journal of inter-American Studies (1969), is a concise exposition on the conflict between agricultural and pastoral enter..: prises which has continuously inhibited rural development in Latin

America. Studies of Latin American Societies (1970) is a compilation of m ny of Smith's major articles. Of interest for this dissertation

are the opening two chapters which deal.with the development of the sociological study of Latin American societies.

Not only has Smith made substantial contributions to the body of

literature of rural Latin American societies, but several of his students have utilized his frame of reference and have also produced critical documents in the area. Sam Schulman extensively viewed not only land tenure in Latin America but also traced its roots back through Spain and the Roman Empire. His findings are included in A

Sociological Analysis of Land Tenure in Latin America (1954). He further examined an important aspect of the land tenure system, that of the farm laborer who also has a small plot of land, in "The Colono System in Latin America" which appea red in Aural Sociology (1955) Thomas R. Ford in his Man and Land in Peru (1955) looked at the conflict between the indigenous and superimposed Spanish systems of





27.


man-land relations.

In his doctoral1 dissertation, A Sociological Study of the Relationships between Man and the Land-in the Department of Boyac, Colombia (1955) Orlando Flas-Borda applied Smith's frame of reference to the study of a portion of Colombia. In his Peasant Life in the Colombian Andes: A Sociological Study of Saucio (1955) Fals-Borda closely examined a rural community in Colombia.

In his "Man-Land Relations in Ecuador" which appeared in Rural

Sociology (1961a) John V. D. Saunders evaluated the regional differences in the man-land relations found in Ecuador. Saunders furthered his study of Ecuador with his thorough demographic analysis of that country, The People of Ecuador: A Demographic Analysis (1961b).

The following also utilized the Smith frame of reference in their doctoral dissertations or master's theses. Harold M. Clements published The Mechanization of Agriculture in Brazil (1969) ; Edgar G. Nesman wrote A Sociological Study of the Relations of Man to the Land in Nicaragua (1969); and J. Michael Davis composed A Sociological Study of Mand-Land Relations in the Department of Norte de Santander,

Colombia (1971).

Few comprehensive analyses of Latin American communities have been published. Foremost among those written- is the lengthy Estudio sobre las Condiciones del Desarrollo en Colombia by Fr. Louis Joseph Lebret et a]. (1958). Lebret's study is based on the examination of data collected through the use of survey schedules.

Everett M. Rogers has been in the vanguard of those looking at

both the process of modernization in Latin America and the importance of communication in affecting change. In 1969 Rogers and Lynne





28

Svenning published their findings of modernism versus traditionalism in their book Modernization Among Peasants: The Impact of Communication. In 1971 Rogers and M. Floyd Schoemaker stressed the traits of opinion leaders in their'work Communication of Innovations: A Cross-Cultural Approach.


The Study of Rural Societies in Costa Rica.


Costa Rica is a progressive country and has long enjoyed harmonious relations with the United States. For both of these reasons the country has long been something of a field laboratory for social scientists. Rural sociologists in particular have conducted several major research projects in the country.

John and Mavis Biesanz in 194,4 published a major sociological study of the peoples of Costa Rica entitled Costa Rican Life. The book was the result of their several years living with the Costa Ricans, and concentrated on an analysis of the family in that country. It is the standard sociological text on the subject.

In 1947 Charles P. Loomis joined the staff of the inter-American Institute of Agricultural Sciences located at Turrialba, Costa Rica. With help from Loomis, the Institute became a major center for sociQlogical research in Latin America. The major-sociological publication to be produced as the result of this research is Turrialba: Social Systems and the Introduction of Change edited by Loomis, et a] (1953). Two chapters included in the book should be mentioned. Roy A. Clifford viewed the differences found between large farm and small farm villages in his chapter entitled "Levels of Living in Hacienda and Small Farm Villages." Thomas L. Norris analyzed the economic systems which evolve around both large and small landholdings in his chapter




29


entitled "Levels of Living in Hacienda and Small-Farm Villages." Thomas L. Norris analyzed the economic systems which evolve around both large and small landholdings in his chapter "Economic Systems: Large and Small Land Holdings."

What could become the 'standard work on 'man-land relations in Central America, A Sociological Analysis of Man-Land Relations in

Central America, was written by W. Kennedy 'Upham (1969). His analyses of various aspects of the institutionalized relationships between man and the land in Costa Rica serve as models for several segments of

this dissertation. His work is of added value in that it incorporated the complete results of the Costa Rican 1963 Censo Agropecuario(census of agriculture).

The Agrarian Law Project, a joint venture being carried out by the United States Agency for International Development (AID) and the Universidad Nacional d.e Costa Rica (National University of Costa Rica), has conducted research into legal and economic problems in rural areas of Costa Rica. Two of the publications resulting from this project have made major contributions to the study of man-land relations in Costa Rica. David S. Clark wrote Renting, Sharecropping and other Indirect Land Tenure Forms in Costa Rica: A Legal and Economic Analysis (1971). Carlos Saenz P. and C. Foster Knight co-authored Tenure Security, Land Titling, and Agricultural Development in Costa

Rica (1971). Although both of these works emphasized legal aspects of man-land relations, they nevertheless add significantly to further the understanding of several of the sociocultural systems found in rural areas in Costa Rica.





30


The Development of the Study of
Rural Electrification


As indicated above the framework used in this dissertation is

that of rural sociology; the subject matter-is rural electrification. An important aspect of this chapter is therefore to sketch the devel opment of the study of rural electrification. The study of rural electrification is somewhat less developed than is the field of rural sociology. The literature dealing with the topic is, consequently, not as voluminous.


The Study of the Impact of Rural Electrification,


Basically three types of reports dealing with the impact of

rural electrification have been made available. The first type include those done either by employees of or by those sympathetic with the goals of the National Rural Electrification Cooperative Association (NRECA). This literature is naturally very supportive of the objectives of NRECA and especially of the betterment in rural life

which is attributable to the use of electricity. The second type includes those dealing with the mammoth rural electrification developments in conjunction with the Tennessee Valley Authority (TVA) projects. These investigations deal primarily with new uses of rural electricity rather than with the impact per se of the process of electrification. The third group consists of agricultural -economic studies of a rudimentary nature. They are addressed to the actual impact of rural electrification. Regardless of the multidirectional nature of the research on the subject, the body of published literature is small.

Electric Development as an Aid to Agriculture by Guy E. Tripp





31

(1926) is a compilation of six of his addresses on various aspects of rural electrification. The problems pointed out by Tripp had bei--n largely resolved in vast areas of the United States by 1944 when Frederick William Muller published his Public Rural Electrification. Muller wrote a scholarly account of the work of the United States Rural Electrification Administration (REA) and of the functioning of rural electric cooperatives in this country.

Rural Electrification by J. P. Schaenzer (1948) is of interest as the standard text on the subject of the use of electricity in the rural areas of the United States. It deals with the technical utilization of electric current. Nevertheless, an understanding of

the possible uses of electricity is necessary for comprehending the forcefulness of this technological advancement. Marquis Childs in

The Fanner Takes a Hand: The Electric Power Revolution in Rural America (1952) provided a first hand description of the development and spread of rural electrification in the United States. He, in effect, provided the standard with which foreign development can be compared.

Studies of the TVA have focused on the industrial uses of the electricity generated by the agency and on the rural grassroots involvement of the people in controlling the agency rather than on the impact of the electrification. David E. Lilienthal's TVA:

Democracy on the March (1944) is a polemical discussion of the history of the TVA and a justification of the grassroots organizations created by it. Philip Selznich, a sociologist, used the TVA as a setting for his work on the theory of organization in his TVA and the Grass Roots:

A Study in the Sociology of Formal Organization (1949). All references





32

to electrification in this book are tangent-ial.

In 1940 John Kerr Rose outlined the aspects of the study of the impact of rural electrification which he saw as pertinent to sociology in "Rural Electrification: A Field for Social Research" published in Rural Sociology. Unfortunately, until the present time sociologists have not answered the challenge posed by Rose to study this aspect of rural life. Several agricultural economists, most notably Joseph E. Davis, have, however, addressed themselves to answering many of the

questions raised by Rose. A report entitled Use of Electricity 2n Farms: A Summary Report of Ten Area Studies published by Davis (1956) summarized ten research projects concerning the impact and utili-zation of electricity on farms in different regions of the United States. The studies were individually published between 1950 and 1955. Davis

concluded that the use of electricity on farms is directly correlated with the type of farm and with the size of farm.


The Study of Rural Electrification in Latin America.


Widespread rural electrification is a recent phenomenon in Latin America. Rural electrification projects are infrequent and relatively new. Consequently, there has been little to investigate in this field of interest. Those few studies which have been done have dealt more with the construction of specific electrical distribution networks rather than with examining their impact.

in addition to the country being looked at in this dissertation, few other Latin American nations have any substantial rural electrification networks. The cooperative system of the distribution of rural electricity in Chile was depicted in the short paper entitled Rural





33

Electrification Cooperatives in Chile by Sergio Carvallo (1950). A pilot project for rural electrification in the Northeast of Brazil was described in a technical report by the Banco do Nordeste do Brasil (Northeast Bank of Brazil) entitled Electrificaqgo Rural no Nordeste: Alternativas de Localizaq5o de urm Projecto Piloto (1959).

One of the largest and best administered projects for the distribution of electricity in rural areas is that operated by Corporacion Aut6noma Regional del Cauca (Autonomous Regional Corporation of Cauca) (CVC) in the Cauca River Valley of Colombia. The foundation, growth, and current activities of the CVC were documented in The CVC: Challenge to Underdevelopment and Traditionalism by Antonio J. Posada, Jr. and Jeanne de Posada (1966). A second, although less ambitious, study conducted in Colombia is worthy of note. Augusto Torres, Stanley

Lichtenstein, and Paul Spector conducted a research project under the auspicies of AID on the impact of placing small generators in several

Colombian villages. Their report was entitled Social and Behavioral Impacts of a Technological Change in Colombian Villages (1968).

The one major publication on rural electrification projects is

Cooperative Rural Electrification: Case Studies of Pilot Projects in Latin America by James E. Ross. Ross provided benchmark data from examinations of either functioning or planned. rural electric distribution cooperatives in Colombia, Ecuador, Nicaragua, and Costa Rica. The data in this book were drawn mainly from feasibility and preelectrification studies and thus deal only tangentially with the impact of electric use in rural areas.





34


The Study of Rural Electrification in Costa Rica.


The progressive nature of Costa Rica is readily apparent in the field of rural electrification. The Instituto Costarricense de Electricidad (Costa Rican Electrical Institute) (ICE) is the centralized agency which governs both the generation and distribution of electrical current throughout the country outside of the capital city, San Jose. Because of its interest in both economic and social investigation, rural electrification has been examined in Costa Rica. The published literature, however, deals mainly with the construction of generating and distribution projects and with economic feasibility reports. The evaluation of the impact of energy in rural areas has been given secondary importance.

Typical of the ICE publications was Desarrollo de la Industria

El~ctrica de Costa Rica (1956). This pamphlet contained a well written section on the creation of ICE, a complete description of the generation and distribution of electrical energy in Costa Rica as of 1956, and a projection for increased electrical output through 1965.

Other studies of the subject have been published by the Conseio Interamericano Econmico y Social (Interamerican Economic and Social Council) of the Organization of American States. Among its publications is Resea del Primer Proyecto Piloto de Cooperativa Rural Eldetrica de San Josd de Naranjo, Costa Rica. This pilot project for rural electrification served as the model on which the other two rural electric cooperatives, including that of. San Carlos, were patterned.

The first study in Costa Rica which alluded to the impact of rural electrification was Estudio Agrfcola-econ6mico de la Cuenca Media del Rfo Grande by Oscar R. Benavides (1956). Benavides working under the





35


tutelage of Olen E. Leonard studied 371 farms in the Meseta Central of Costa Rica. Alt-hough the study concentrated on a man-land relations analysis of the farms, Benavides dld provide some information on the use of electricity in the rural areas.

An important contribution to the body of literature which pointed out the need for further analysis of the impact of rural electrification was made by Galen C. Moses. His study, Cooperative Rural Electrification in Costa Rica (1969), analyzed social and economic characteristics affected by both the present and expected electrical use in rural areas. Since his work focused on the projected utilization of

electric current, his treatment of the impact of centrally distributed current was limited. Ross edited and summarized the Moses study.as part of his Cooperative Rural Electrification: Case Studies of Pilot

ProL I in Lat'in America (1972).

Thi dissertation relies to a large extent on the pilot study

by Moses as a point of departure. This dissertation, however, attempts to break new ground in that it incorporates a well-developed rural sociological frame of reference in an attempt to isolate and examine those aspects of a rural society in Costa Rica which are altered or otherwise affected by the use of electrical power.












CHAPTER III


PROCEDURES AND METHODOLOGY



The process of scientific investigation involves, once the objectives of the research have been delineated, two main types of activities: observation and inference. Observation is bifurcated into: "(I) bare observation of uncontrolled phenomena and (2) experiment" (Smith, 1953:6). Inference is also divided into two types-: Induction and deduction. For observations and inferences to have meaning they must be arranged systematically. This involves classification and description. I The present research project incorporates a frame of reference which has as a basic tenet the application of the scientific method.

This chapter deals with the process of scientific investigation

involved in the collection of observed data and the systematic arrangement of data necessary for executing the process of inference. Central to this dissertation are the procedures of the collection of data, especially aspects dealing with the construction of the survey schedule and the -selection of the research population, and methodological considerations. Specifically, included in this chapter are sections on procedures and methodology used in the survey research.


I For a concise statement on "the scientific method," see Smith, 1953: 5-9.



36





37

Procedures


Much of the data analyzed in this dissertation was gathered by means of a survey. The survey instrument was developed for the

present study. Several facets of this instrument affected the types of data compiled. -The following discussion treats the more important of these factors: the process of development, components, and application.


The Schedule.


The survey schedule used in Costa Rica was developed between June and August, 1972. Dr. John Saunders, professor of sociology, and the present author discussed at length the types of information to be gather ed and the process which would be most effective in getting the data. For the preparation of the sociological portion of the survey schedule they relied upon extensive library research and upon their combined personal knowledge of rural electrification, Costa Rica, and sociological methodology.

It was decided that the desired data could be gathered most

expediently by means of a survey. Davis produced a tentative first draft of the schedule. There followed a series of re-writings of th e document which incorporated ideas and corrections supplied by both Saunders and another colleague on the project, Galen C. Moses, an agricultural economist. Although they all tempered and modified the contributions made by each other, Saunders and Davis are largely

responsible for the basic format of the instrument and those questions dealing with social aspects. Moses' input is clearly seen in the questions which deal with economic matters.





38

Davis and Saunders then translated the-schedule into Spanish.

This draft was taken to Costa Rica where it was modified substantially for the field pre- -.test. After this it was again revised to produce the final draft. Victor Hugo Cdspedes and Alvaro Vargas of the University of Costa Rica ai ed in making the final revisions. Of special importance was their familiarity with ways of making the questions intelligible to rural Costa Ricans, especially to those

living in San Carlos. The Spanish spoken in Costa Rica, as is the case in other Spanish-speaking Latin American countries, varies not only from region to region but also from urban to rural areas. Although the common language used in San Josd is by no means incomprehensible to a farmer living near La Fortuna, it is recognizable as being distinct. Cdspedes, a native of Ciudad Quesada, provided major assistance in insuring that the questions were phrased in the vernacular used in San Carlos.

A copy of the survey schedule is given in Appendix A. Before

discussing the actual contents of the document, it seems pertinent to present some considerations which strongly influenced both the style and content of the instrument. This exposition serves as an explanation of why the finished product emerged as it did and why various segments were included while other facets were necessarily excluded.

The fact that the schedules were to be returned to the United

States to be coded exerted a strong influence on their construction. Once the actual process of the data collecting was complete, it would

be impossible to return to resolve any problems which might arise in conjunction with any aspect of the interviewing process. On the other hand, problems of coding and analysis could be worked out in the





39

United States. As a result, when doubt arose as to the form of any portion of the schedule, considerations which might help to clarify a point either for the interviewer or the respondent took precedence over ease of analysis. A casualty of this consideration was any pre-coding of the schedule. It was decided that the configurations needed for pre-coding purposes would only confuse the interviewers. Consequently, they were eliminated from the final form of the schedule.

The schedules were designed so that theoretically each would

take approximately one hour to administer .2 This time I imitation dictated certain restrictions on both the type and number of specific. questions which could be included. For example, it would have been of interest to have gathered data on household expenditures. This, however, would have entailed adding a large number of questions including a seriesof time-consuming queries designed to inquire about precise disbursements for food, medical services, clothing, etc. This clearly was impractical. Furthermore, experience has shown that respondent fatigue sets in after about 45 minutes, affecting the quality of the data obtained.

To facilitate the work of the interviewers, a single schedule w as devised for use by all of the interviewers. In order to shorten the length of the interviews, the schedule i-ncluded a variety of filter questions, thereby often enabling the interviewer to bypass certain subsequent questions. No one individual was asked all of the questions contained in the schedule. For example, those who used electricity



2The actual length of the interviews varied between 25 minutes .and two hours. The average time was approximately 40 minutes.




40

were not asked to respond to queries dealing with the non-use of electricity; and merchants who owned no land were not questioned about agricultural production,(see Appendix A, p 230-241). Concise directions were given.to the interviewers during their training and were included in each of the schedules concerning the characteristics of

the respondents which governed the particular series of questions to either be asked or omitted.

As indicated by the term "survey schedule", the forms were filled out by trained interviewers and not by the respondents. The printed questions were asked by interviewers who wrote down the answers.

Few of the respondents ever saw the printed questions. The decision to conduct the interviews in this manner was made basically for three reasons. It had been expected that many of the heads of households would be functional illiterates, so that they would be unable to read the questions and write in the answers. Secondly, it was felt that

questionnaires filled in by respondents might be incomplete and illegible. Finally, and perhaps most importantly, by utilizing trained

workers a greater uniformity of response was obtained. The interviewers could detect abnormal or incomplete responses and were able, by probing, to secure more complete data.

One of the primary means of attaining the.desired ease of interviewing was to arrange the sequence of the questions so that there

would be a smooth transition from one serie's of questions to the next. In order to facilitate this, simple statements were used to introduce each section. Within each separate segment, the first questions elicited concrete information which the respondent could readily divulge. The more thought-provoking queries were placed n ear the end





41


of each section. For example, in that dealing with exposure to the mass media, the first question merely inquired if the respondent possessed a radio. Towards the end of the section he was asked to name the television programs which he considered to be useful (see Appendix A, p 227-228).

To construct demographic profiles of both users and non-users of electricity, major demographic data were sought from the head of the household and from all of its members. For each of those enumerated the following data were collected: relationship to head of the household, sex, age, last completed year of education, and occupation. The place of residence was obtained for children living away from home.

Additional demographic data-for the head of the household were sought. Questions were included about the place of birth, location of the last place of residence e, length of time lived in the present residence, and plans for any moves in the future. Queries were also made to ascertain the employment of the head of the household.

Exposure to various mass media has been found to be associated

with the adoption of technological innovations (Rogers and Schoemaker, 1971, and Ryan, 1969). Therefore, questions were asked about the time .spent listening to radios and watching television. Inquiries were also made about programs which were considered to be of value. Finally, information was secured about the number and types of newspapers and magazines read.

Although the area studied was devoted primarily to agricultural and pastoral activities, it was important to learn about the types of businesses which furnished services to the households surveyed.





42

Accordingly, data were obtained about business establishments located in the communities.

The impact and use of electricity in rural areas has been subject to little analysis. One of the few concrete findings is that the utilization of electricity is correlated with the type of farm and also the size of the farm (Joseph Davis, 1956). Therefore, a lengthy section of the schedule was devoted to questions concerning agricultural and pastoral enterprises.

The emphasis in the agricultural segment was on information useful for the study'of the complex institutionalized relationships between man and the land. This encompasses, for the present purposes, the following: land tenure, size of farms and -farm-like entities, and types of farming.

the influences' of the use of electricity were a priori viewed as being social as well as econo mic. The sense of social well-being or social contentment may be measured by examining one's satisfaction with his l ife situation. Questions were included for use in evaluating this phenomenon. The respondents were asked to compare their present situation in life (la situaci6n actual) with other real and hypothetical situations.

Social participation exists when people form a community or other

locality group. This phenomenon was of interest for three reasons. An objective was to evaluate people's awareness of the cooperative as a means for the distribution of electricity. Accordingly, an effort was made to gather information relating to knowledge of the functioning of cooperatives, and especially of the Cooperativa de Electrificaci6n Rural de San Carlos (COOPELESCA) Secondly, those





43


who paid for electricity supplied by COOPEUESCA were iPso facto members of that organization. One of the stated goals of cooperatives is to disseminate knowledge of cooperatives and to strive to create more cooperative efforts. Therefore, it was pertinent to see if this had transpired in San Carlos. And lastly, comprehension of the types and strengths of the various organizations, groups, and associations in a given community help give an understanding of it.

The analysis of socio-economic characteristics is a useful way of classifying the members of a community into workable categories .of those sharing similar traits. The accurate classification of the

socio-economic characteristics of the members of a society is, h reality, sufficient work for a large separate research project. Nevertheless, the need for this information dictated that appropriate data be compiled. A level-of-living scale was incorporated in the survey schedule. The scale, patterned after the work by Belcher (1972:208-220) examined the way in which fourteen different and

necessary household functions were performed. The scale is based upon the answers to fourteen questions dealing with such things as the storage of water, modes of transportation, and the type of lighting used.

This discussion on the sources of data has been designed to inform the reader of the ways in which the data used in this study were gathered. The use made of the collected data is discussed in the following section.





44


Procedures Used in Collecting the Survey Data.


The survey research data were collected by trained Costa Rican interviewers. The work was performed under a contract between the University of Florida and the Instituto de Investigaciones Econ6micas y Sociales (Institute for Economic and Social Studies) of the University of Costa Rica. The University of Florida research team consisted of the present author, Dr. John Saunders, and Galen C. Moses. Victor Hugo Cdspedes, the acting director of the Instituto, was in charge of making arrangements for hiring personnel, training the interviewers, and administering the filling out of approximately 500 interview schedules. Cdspedes employed Alvaro Vargas to serve as the field supervisor of the Costa Rican research team. Both Cdspedes and Vargas, who has his licentiate in economics, have had previous experience in research projects such as the present one.

The interviewers received three days of intensive training. Vargas conducted most of the training sessions which consisted of explaining the intricacies of the survey schedule, the goals of the research project and the manner in which the interviewers were to conduct themselves in the field. Emphasis was placed on establishing rapport with the respondents, on insuring that those interviewed would understand the various questions, on seeing that all efforts were made to prevent the premature termination of interviews, and on making certain that all respondents were satisfied at the end of their interviews. The training took into account the fact that the respondents would not be experienced in granting interviews. The interviewers were to help them through what would be a learning situation.





45


Thepeople of San Carlos would be assisting the research project by granting.the interviews. An effort was made to insure that the interviewers expressed appreciation for the cooperation that they received.

During the training period both the interviewers and trainers

were given every opportunity to suggest changes in the schedule. This training, therefore, constituted an initial pre-test of the schedule itself.

The interviewers pre-tested the instrument in the field in the Canton of Cartago. Although it would have been beneficial to have introduced the workers to the actual research area, it was feared that a premature entrance into the area of San Carlos might contaminate future responses. Consequently, a different rural area was chosen.

The day after the field test of the instrument, a final training

session was conducted. During this, the -interviewers were debriefed on their experiences and the completed schedules were closely

examined. Some modifications were made in the instrument as a result of points elaborated during the final training peri od.

On Wednesday, August 16, 1972 the interviewing team left San

Josd for Ciudad Quesada. The next day the interviewing began. Along with thorough supervision in the field, the 'interviewers received periodic training sessions. Each interviewer was required to recheck his work before turning it in. Inevitably, numerous errors went undetected in this process. Vargas and Davis then reviewed the forms. They talked with the workers, sometimes with the entire group, to discuss mistakes and how to avoid them in the future. All of the survey data were collected in a period of three weeks.




46


in the process of collecting the data, a major problem arose

related to the endeavor to canvass all of the heads of the households who satisfied the requirements for inclusion in the research population. It was frequently difficult to encounter them at home. This meant that at times it was necessary either to make repeated return visits or to interview someone other than the head of the household, usually the spouse.

The diligence of Vargas resulted in there being only two refusals out of 486 attempted interviews. One case was that of a cook who although she fixed a meal for several of the members of the research team, refused to answer questions in an interview. The second case was more dramatic: a man answered the door with a shotgun in his hands. He told the interviewer to leave and not return. The interviewer-readily compiled.



Methodology


The methodology used in this study has two main branches. First the selection of the precise research area and population is of singular importance. The process of this selection greatly influenced the findings. Secondly, the analyses rely on definite types of manipulation of the data.

In this section the more germane methodological considerations are discussed. Specifically this includes an examination of the process of the selection of both the research area and population, the principal characteristic of the study, the variables and the indexes constructed, the types of computer analysis, and the forms of





47

presentation of the results.


Selection of the Research Area.


This dissertation deals with a finite area. As such, characteristics of the area directly affect the results of the research project. The selection of the research area, therefore, a priori influenced the outcome of the research. In order to confront the

question of why San Carlos vis-a-vis some other area was selected, it is relevant to discuss the process by which the choice was made. This is a methodological consideration in that the process was a positive one in which several criteria had to be met before the final decision was reached.

The present project was conducted with funds from AID contract csd-3594. The contract stipulated that Costa Rica should be one of the countries in which research was carriedout. it was also strongly

suggested by AID that one of the rural electric cooperatives in that country be the supplier of electrical current for a major portion of the population studied. The major considerations for the selection of the study area were consequently a prerequisite of the project.

In Costa Rica there are three rural electric cooperatives, all of which were founded at approximately the same time, in 1968, with financial and technical assistance provided by AID. Since a primary

objective of the study was to secure data on the impact of rural electrification, it was not deemed necessary to collect data which would be representative of all areas of the country. There re, it was felt that an intensive examination of a portion of the area serviced by one of the cooperatives would suffice, and that, hopefully, that area would possess some characteristics which would





48

permit at least a degree of general izabi I ity.

The problem thus was reduced to a decision about which region was to be selected. It was imperative that the region studied be neither dominated by one type of monoculture nor the bastion of a' particular size of agricultural or pastoral units. Joseph Davis found that type of farming was an important correlate of the use of electricity in

rural areas of the United States (1956:10) For example, electricity can be profitably applied in milking and processing and storing milk

and milk products on dairy farms, but there is I ittle need for electric .power on small banana farms. Data collected in a sector given over to one type of monoculture, be it agricultural or pastoral, might

be decidedly limited in its application either to an area where a different type of monoculture is prevalent or to one characterized by the existence of polycultural enterprises.

Davis also noted that the size of farms was a determinant in

both the decision to use and in the consumption of electrical energy (1956:10-11). This is partially the result of the cost of installation of power I ines and the expense incurred in the use of the commodity. Whereas owners of smaller plots of land may not be able to afford such costs, this factor may be unimportant for the large land.owner. For the results of this study to be of value, it was determined that the area selected should contain a cross-sectional slice of various sizes of farms.

In addition to the above-mentioned criteria, strategically it

was imperative to receive substantive collaboration from the personnel employed by the cooperative to be studied. It was determined that in

San Carlos, perhaps more than in the other two possible areas, the





49


needed assistance would be forthcoming.

The San Carlos area was selected then because it has a diversity

of types of farming conducted on farms of various sizes, and because of the willingness of the staff of the rural electric cooperative to contribute to the research project. Once the broad region to be examined had been selected, however, definite decisions on exactly what portion was to be included had to be made. Although researchers

often do not mention them, cost, time, and logistical problems may be over-riding considerations in conducting social science research. In

the present case, only those areas accessible by jeep and near lodgings for the interviewers were considered.

in the selection of the precise zone of San Carlos to be studied, we relied heavily on the advice of people who knew most about the area. The opinion of Fredy Arroyo, manager of COOPELESCA and former congressional deputy from San Carlos was most useful. After eliminating, for a variety of reasons, al I areas that did not meet the stated criteria, the area between Florencia and La Fortuna was selected. The final decision to use this particular zone was made only after the research team had made a reconnaissance of it.


Selection of the Research Population.


About half of the estimated 500 interviews to be completed were to be with users of electricity and the other half with non-users. To insure consistency in the collection of the data, certain criteria had to be established governing the inclusion or exclusion of those to be interviewed. The criteria had to be impartially applicable to users and non-users alike.





50


Originally the intent had been to take a random sample of the

heads of households of an area. After careful consideration, however, it was decided to include all of the heads of the households in a

designated zone. This meant interviews with the entire universe rather than with a sample.

A methodological digression is in order here. The decision to

interview persons in all of the households in the area studied rather than in every Nth one proved to be economical in terms of time,* expenditures, and quality of data. General ly the interviewers were able to walk from one interview to the next. The very real possibility of interviews being conducted in houses not included in a sample was avoided. Furthermore, the problems of sampling errors and chance distributions of data were eliminated. Finally, because the purpose of the survey was to compare characteristics of users and non-users of electrical energy, and not to obtain data which were representative of a larger universe, the method was justified.

Because the users of electricity supplied by COOPELESCA were easily identifiable, the parameters of this population were drawn first. If a building had electricity lines leading to it from a

COOPELESCA distribution line, its occupants were classified as users of COOPELESCA-supplied energy.

The existence of a specific type of line between easily distinguishable poles and buildings is a precise indicator of either present or previous use of COOPELESCA-supplied electricity. In the study area, all of the COOPELESCA distribu tion iines parallel principal

roads. The established pattern of locating residences along the roads has facilitated the distribution of electricity. Because the dwellings





51

are generally located near the road, by driving along it one can see virtually all of the buildings which have been wired for electricity. Consequently, it was decided that visibility of a building from the road was an adequate criterion for use in the selection of the research population.

Some objections to this criterion may be raised. It could be

argued that it does not take into account geographic variations which may influence the distance one can see. Were the area one of extreme geographic fluctuations, the objection would, to a large degree, be valid. However, the area is rather uniformly flat. Thus, the geographic variations had no appreciable effect on the view from the roads. Secondly, it might be thought that topographical variatiQns would.significantly affect the selection of the research population. In only a few instances was the view of the houses along the road obscured by such things as trees or other buildings. In almost all cases, all or at least part of the building was visible from the road.

Before the field work on the survey was conducted, the present author made a complete inventory of the houses which were eligible for inclusion. For this purpose he used several maps which showed the location of all the dwellings. Both the maps and observations made. in situ showed only a small number of residences out of sight from the road. Special effort was made to insure that those few dwellings which might improperly have been excluded because they were invisible

from the road were included.

Another criterion was also used in the selection of residences. Because of the confounding influences which would have been introduced had a substantial number of users been connected to a source





52

of energy other than COOPELESCA, those surveyed had to-be beyond the reach of a major alternate source of electricity. When an entire zone had access to a source of electricity other than that suppl ied by COOPELESCA, all of its households were excluded from the survey. This eliminated the area serviced by the generating plant in the hacienda of Chachaguas and that provided with electricity by the small plant in La Fortuna.

Once the parameters of the users of electricity portion of the research population had been drawn, the non-users were selected. If a building that was accessible to COOPELESCA lines, did not have any electricity lines leading to it, its occupants were classified as nonusers of COOPELESCA suppl ied energy (NON-ADOPTERS). The occupants of all buildings off the COOPELESCA lines were classified simply as non-u sers of electric energy (INACCESS IBLES) The same criteria with respect to vis ibilIity from the road, etc. were applied in the selection of both the users and non-users of electricity. Consequently, it can be assumed that any biases resulting from the selection were evenly distributed between the two.

The portions of this study not involving the survey research were conducted in the same area.


Constructed Variables and Indexes.


A major task of social science research is the categorization

and classification of data which are to be analyzed. In order to fulfill these requirements and to facilitate the comprehension of the

presentation of results, several indexes and scales have been constructed. These constructs were built by incorporating the data





53

garnered from various questions asked in the survey schedule. In most cases a wide array of data has been compressed into a small number of categories.

The primary characteristic being examined is the use or non-use

of electricity, known as the electric-use characteristic. As has been previously mentioned, this characteristic is divided into the following categories: USERS, NON-ADOPTERS, and INACCESSIBLES. The primary characteristic is viewed in its relationships with other attributes and variables. The secondary variables which have been manipulated to form scales and indexes are deserving of special attention, and. are discussed in the following paragraphs.

it has been shown that the various components of mass media are usef~al as a means of disseminating information about innovations, particularly technological developments. (Rogers and Schoemaker, 1971, and Ryan, 1969). The means chosen for qualifying the influence of mass media was quantified by determining the amount of exposure to several types of media. The constructed mass-media-exposure index (tIME I) reflects the types of exposure, the intensity of exposure, and an evaluation of the importance of the exposure. Data were collected on four types of mass communications: radio, television, newspapers, and magazines.

The construction of the MMEI was based on responses to twelve questions. Queries were made concerning the frequency of listening to the radio and of watching television. Those who answered that they "seldom" or "never"' listened to the radio were given an index value of "0"'; the same procedure was followed w ith regard to the amount of time spent in watching television. Those who had their





54

radio turned on "from time to time" or "every day" received an index weight of "I''; the same was done with respect to watching televisedbroadcasts. The self-perceived importance of exposure to the radio was evaluated by'giving an index number of "I" to anyone who 'said that he listened to a program which he considered to be of value; the same was done for evaluating television programs. No attempt was made to appraise the intrinsic value of the programs.

The respondent was given an index value of "I" if he reported that he read newspapers. He also received an equal value if he said that he had magazines in the house. No attempt was made to differentiate between either newspapers or magazines of varying quality.

The MMEI was constructed with a range of from zero to six, with

the-lower figure indicating an absence of exposure. After preliminary appraisal, the seven point index was reduced to one having four category s by combining the zero and one groups, and the four, five, and six categories. This was done because of two considerations. The extremes of the range contained only a few cases. No one admitted to no exposure; only twenty-one respondents qualified for inclusion in the two groups representing maximum exposure. Secondly, the original index contained 6 bias which was eliminated in the shorter. version. Originally, to be placed in either-category five or six categories, the respondent had to indicate that he viewed television. Since there are no television sets in the area not serviced by COOPELESCA, the inhabitants of that zone were discriminated against. In the shortened index, a respondent could qualify for inclusion in the maximum category without being exposed to one of the four types of media, including television.





55


Level-of-living scales are commonly used in social science research as surrogate variables for measuring socio-economic status. In the present study such a scale was utilized as an indicator of the well-being of the households being studied.* The scale used is patterned on that developed by John C. Belcher (1972). This scale focuses on the actual utilization of material items to satisfy a

household function rather than solely on possession. The need to extract.valid cross-cultural comparisons was of paramount importance in selecting a model for the level of living scale used. The Belcher

scale embodies this capability. With this measure it is possible to compile both individual and collective scores which can be statistically compared with those of studies of other societies.

The level-of-living scale (LEVEL) used in this study is based on the responses to fourteen questions (see Appendix A, p 246-249) for

the list of questions used in the construction of LEVEL). There were six possible responses for each of the questions. Five of the accept able answers were rank ordered, from a response indicating the absence or minimal method of satisfying a function to the most advanced or more proficient means of fulfilling a function. The remaining response position was a residual category for which there

were no pre-coded answers. These non-coded 'responses were placed in the correct ordered categories during the coding process.

The responses to each of the fourteen questions were coded from one to five, with the five being reserved for the most technical or

expedient means of satisfying the particula-r function. The possible raw scores ranged from zero to seventy. After a preliminary analysis of the data, the level of living scale was constructed. The six





56

categories which comprise LEVEL are defined' as follows:' category one, less than 30 points; category two, from 30 to 314; category three, from 35 to 39; category four, from 40 to 44; category five, from 45 to 49;

and category six, 50 or more points.

Even the most cursory perusal of LEVEL reveals an obvious bias. Several of the responses to the questions used in the construction of

the scale necessitate the use of electrical' apparatuses. Consequently, in some instances non-users could not possibly score as high on LEVEL

as users of electricity. The level-of-living scale was subsequently modified to eTiminate the built-in electrical bias. Because they had responses which necessitated the use of electrical appliances, tlie following five questions were eliminated in the construction of a new scale: "How do you conserve perishable food?"; "What do you use to

clean your floor?"; "What facilities do you have for washing clothes?"; "W4hat system of lighting do you use?"; and "What facilities do you have for washing dishes?" (see Appendix A, p 246-249 for the responses). The new construct is the electricity-free level-of-living scale (LEVELNOE).

LEVELNOE was constructed by grouping the possible scores, which

could range from zero to forty-five, into five categories. The five categories which comprise LEVELNOE are defined as follows: category one, less than 20 points; category two, from 20 to 24; category three, from 25 to 29; category four, from 30 to 34; and the highest group, category five, 35 or more points.

Analysis of the social well-being of the inhabitants is an

important aspect of the study of any rural society. To measure the

well-being of those studied, several indexes were constructed for




57


determining the level of the respondent's satisfaction with his life's situation. Each of the indexes results from questions asking the

respondents to compare their current situaci6n (situation), a term widely used and understood in Latin America to refer to the set of circumstances surrounding one's own condition in life, with another situation (For the exact questions see Appendix A., p 243). Each

of the questions contains five Likert type scale categories. Categories one and two are for negative responses, with the former including answers of "much worse" and the latter those of "worse". Category three is for a neutral response of "same" The last groupings, categories four and five are positive responses for those indicating

"better" and "much better," respectively.

The present satisfaction-with-life-situation index (SIT PRES) is based on the response to the question asking the respondent to compare

his situation in life with those of his neighbors. The index is based on what is considered a self evaluation by the respondent of his social and economic status vis-l-vis that of his neighbors. The past satisfaction-with-life-situation index (SIT PAST) is based on the responses to two questions. The respondent was asked to compare his situation in life with that of his father and with his own five years

earlier. SIT PAST is an average of the answers to both questions. The intent using SIT PAST is to detect an indication of both social and economic mobility and changing levels of contentment.

Like SIT PAST, the future satisfaction-with-life-index (SIT FUT) is based on the responses to two questions, The questions specifically compare the present situation in life with what the respondents expect to have in five years and with what they expect the children





58

of today to have when they become adults. Once again, this construct is based on the average of the two questions. This index differs from the two already mentioned in that it is based on speculation rather than on comparisons with present or past realities. A s such, SIT FUT is undoubtedly influenced by such factors as political stability, marital relations, health, and optimism about the unknown, all things over which there is no control .

The total satisfaction-with-life-situation index (SIT TOT) is a statistical combination of the other three indexes. Because of the tendency of the negative and positive responses to cancel each other

out in this construct, a statistical regress ion-to-the-mean average is built into it. Nevertheless, because one's satisfaction with .life normally takes into account the present, past, and future, SIT TOT

is the most accurate representation of the actual contentment of the respondents. As such, SIT TOT is used more than are the other three indexes in the analyses.

San Carlos is an agricultural and pastoral area. To gain an

understanding of the area it is necessary to view some of the institut ional ized relIat ionsh ips between man and the l and One of the most important of the sociocultural systems included in the complex man-.

land relations is that of the size of landholdings. The size of landholdings, or size of farms and farm-like entities, refers to the area of the lands used primarily for pastoral or agricultural act ivities-which are held as definable units under various forms of ownersh-ip. The basic units studied are the finca, which may be translated as "farm," and the sub-farm. The latter is a farm-like. unit which is not sufficiently large to be included in a farm category.





59

The 212 agricultural-pastoral units enumerated in the survey
3
research ranged in size from less than one-half manzana to 800 manzanas. In order to meaningfully examine the relationships between size of,farm and other characteristics, it Was necessary to group these units into a manageable number of categories. The Costa Rican Censo Agropecuario (Census of Agriculture) lists twenty-three size-oflandholding categories (Direcci6n General de Estadfstica y Censos, 1965). Following the work of Smith (1953, 1967a, and 1972a) and Upham (1969) these were condensed into five categories. Farm-like units of less than two manzanas are included in the first category, The second through fourth classes contain, respectively, holdings of at least two but less than ten manzanas, at least ten but less than fifty manzanas, and at least fifty but less than 100 manzanas. The last category contains all holdings have 100 or more manzanas.

Two peculiarities of this system of classification should be noted. The limits of the smallest and largest entities are reflections more of the data collected than of conventional classifications of the size of landholdings. Because the data used were collected through survey research, the reported area of land must be viewed as an approximation. It obviously is not as exact as would have been the case if cadastral records had been secured. The inexactitude of the data is expected to be most pronounced in the reporting of the size of the smallest entities. To counter this, the upper limit of the lowest category was set at two manzanas rather than 1 .5 manzanas, a figure consistent with the categorizationused in the Censo AgropeOne manzana = 0.7 hectares = 1.7 acres





60


cuarlo (Costa Rica, Direcci6n General de Estadfstica y Censos, 1965).

Secondly, no huge landholdings, that is of over 1,000 manzanas, were enumerated. Only twelve large landholdings were encountered.

Consequently, rather than attempting to differentiate between large places of differing size, they were placed in a single category.

A variety of pastoral and agricultural pursuits flourish in San

Carlos. It was found, however, that most farms were devoted to either

one or a few types of enterprises. To facilitate the discussion of the type of production, it was necessary to categorize the landholdings into specific types of farms.

Data on the value of produce which would have been sufficiently accurate to be used for a classification of types of farms were not obtained through the use of the survey schedules. The classification utilized here is based instead on the proportion of the land in the landholdings devoted to certain crops or to the relative importance of livestock and pasture land versus area in crops.

if one crop predominated on a farm, that is, if it occupied more than half of the land in crops, that farm was classified as a type of farm based on that crop. if two or more crops were of nearly equal

importance, the type of farm reflected the polycultural nature of the farm. In those cases where pasture land occupied the majority of the

land and where livestock were grazed, the place was classified as pastoral In those instances where no clear-cut distinctions could be made, the unit was placed in the appropriate mixed-type of farm category.

The various type of farming classifications are grouped according to the following schema:





61

A. Agricultural

1. Coffee

2. Sugar Cane

3. Bananas and Other Plantains

4. Field Cr6ps

5. Root Crops

6. Mixed Coffee and Sugar Cane

7. Mixed Coffee and Plantains

B. Pastoral

.1. Livestock Ranch

2. Dairy Farm

C. General Agricultural and Pastoral

I General Primarily Livestock

2. General Primarily Crops

D. Miscellaneous and Other

This schema proved to be too specific for analytic purposes.

Subsequently, the types of farm were re-grouped into more generic categories as follows:

1. Coffee

2. Other Agricultural

3. General Primarily Agriculture

4. General Primarily Livestock

5. Livestock and Dairy

It should be emphasized that these schemes were formulated as a result of examining the compiled survey research data. There are, therefore, reflections of the specific types of farms found in the area studied.




62


Two demographic phenomena must be taken into consideration when discussing the distribution of the inhabitants of Costa Rica. The country has a heartland, the Meseta Central (central plateau), which has traditionally been the site of the concentration of the majority of the citizens. Secondly, Costa Rica is a land of urban centers, most of which are located in the Meseta Central in close proximity to the nation's capital, San Josd. Both of these factors were taken into account in the categorization of the compiled migration data.

A third consideration was also included in the classification of migration data. The region studied is but one of several geographic portions of the Cant6n of San Carlos. It was of interest to view the migratory currents between the area studied and the other part of San Carlos.

The following schema was devised for the classification of geographic locations in the analysis of migration:

1. The same distrito (a township-like entity)

2. Another distrito in San Carlos, except for Ciudad
Quesada

3. Ciudad Quesada

4. San Josd

5. Alajuela, Heredia, and Cartago (all urban centers)

6. Locations in the Valle Intermontano (Inter-mountain
Valley, the census term for Meseta Central) other than
San Josd, Alajuela, Heredia, and Cartago.

7. Non-Valle Intermontano other than San Carlos

8. Foreign

It should be noted that this plan would have to be revised to be applicable for studies conducted elsewhere in Costa Rica.





63

In addition to the constructed variables and indexes already presented, various other types of data are grouped and categorized in the analyses which f llow. lncl*uded in these data are those pertaining to land tenure, occupations, age, education, and marital status. The groupings of the data are conventional. As such they do not necessitate further r comment at this point. Analysis.


Both computer analysis and well-established methods for the

manipulation of data were employed in this study. Both were used in the examination of the data collected through the use of the survey schedules. Only tried and tested conventional analyses were performed for-the remainder of the data.

The survey research data were analyzed utilizing the IBM System/ 370-165 of the Northeast Regional Data Center located at the University of Florida. The data were recorded in two separate computer decks. The first, entitled the "main deck," contains either in final or summary form all of the information taken from the survey schedules. The "family history deck" contains the demographic data compiled for not only the head of the household but.also for all those living together in the house, children living elsewhere, and deceased children.

The present author prepared the code books for both the main deck and the family history deck. The process of coding embraced the first step-in categorizing the wide range of data obtained, in that, unstructured data had to be aggregated into a fixed number of categories to be manipulated.

The data were coded and transferred to computer cards. Four cards were used for each respondent in the main deck; one to six





64


cards, depending on the number of members of the household, were used for each case in the family history deck.

Most of the computer analysis utilized the Statistical Package for the Social Sciences (SPSS). The work was conducted primarily by Oleh Wolowyna, applications programmer for the rural electrification project. In addition to relying on the SPSS Crosstabs and Fastabs programs, frequency distributions and index construction were provided through the process of computer analysis. In many instances, the computer was used to aggregate the data so that they could be more easily examined.

Although the computer was used extensively, the final presentation relies more on the tried and tested techniques of crosstabulations and computation of percentages than on other types of analysis. The results of much of the analysis are presented graphically and in tabular form. This, it is felt, facilitates lucid presentation while enabling the reader to be exposed to the data.














CHAPTER IV


SOCIAL CORRELATES



The introduction of electricity into a rural area affects the lives of both those who adopt its use and those who elect not to do so. Some of these effects are examined in this chapter.

To give a better understanding of the specific population studied, the chapter begins with a demographic analysis of the respondents and their families. The analysis focuses on the variations in specific characteristics found between those in the different electric use categories, that is between USERS, INACCESSIBLES, and NON-ADOPTERS. The demographic characteristics are viewed as independent in their relationships. Because electricity has been available in the area studied for less than four years, it can be argued that the use or non-use of it has not been the antecedent of any demographic changes.

Attention is next paid to three evaluative measures: level of living, satisfaction with life situation, and exposure to the mass media. Emphasis is placed on the relationships between these constructs and the respondents placed in the three electric-use categories. In the analyses, the INACCESSIBLES are utilized as a control group. Significant differences found between the USERS and NON-ADOPTERS which also deviate from the characteristics of those in the control group are posited to have been influenced by the adoption or non-adoption of electricity.

65




66


Demographic Characteristics


A total of 452 households are included in the survey research portion of the study in Costa Rica. For our purposes a h-ousehold is

defined as including all persons living together in one dwelling, regardless of blood or marital relationships. It is a modified pa rentela family system. In addition to data for those actually residing in the houses where interviews were conducted, data were also collected for the children of the head of the household who lived elsewhere5 and for dead children.

The total research population numbers 3,510 people including deceased members of the household. An attempt was made to gather the following information for all of them: name, relationship to the head of the household, sex, age, marital status, last year of school

completed, principal occupation, and current school attendance. For children who lived away from home, data on their location were secured. Only name, sex, and age-at-death data were compiled for deceased

children. Additional information dealing with the migration history of the heads of the households was obtained.

Of the 3,258 people enumerated, 532 are children. who reside elsewhere. Thus, the total resident population to be discussed numbers 2,726 residents of the area of San Carlos.

This demographic analysis has three principal features. When

possible, characteristics of the entire population are analyzed. Of more importance, however, is the examination of the characteristics of the


1 For further commentary on the concept of the parentela see
Charles Wagley (1963) and T. Lynn Smith's concise analysis of Wagley's work (1972a:709-12).





67


heads of households. The research instrument was designed to aggregate. data corresponding to the heads of the households. Consequently, most of the discussion in this dissertation deals with them. Finally, when possible, relevant characteristics of both the total population and the 452 heads of families were sorted by the electric-use categories. In some instances, there are significant differences between those who use electricity supplied by COOPELESCA (USERS), those who have chosen not to use electricity (NON-ADOPTERS), and those who lack access to this source of energy (INACCESSIBLES).

In certain of the tabulations, the number of respondents varies because of incomplete answers or the elimination of faulty data.


Age and Sex.


One of the most valuable methods for examining the age of a

population is to sub-divide it into major age categories: under 15

years, between 15 and 64 years, and 65 years of age and older. T. Lynn Smith provided the rationale for classifying a population in this manner when he stated:

The decision to employ these three particular categories was influenced by the following considerations: (1) certainly children should be separated from adults, and age fifteen is the most practicable point at which to draw the line between the two; -(2j in many countries
including the United States, sixty-five is the age
rather generally employed as the lower limit of eligibility for social welfare services, such as 'old assistance,' that established for the beginning of
voluntary or compulsory retirement, and that generally used for statistical purposes to separate the
[aged' portion of the population from the other; and
(3) if these two criteria are employed, the persons
in between the stated limits automatically constitute
a third category (1960a:155).

Nearly one-half, 49.8 percent, of the resident population is under





68

15 years of age. Only 3.1 percent is over 65 years of age. The remaining 47.1 percent of the inhabitants are in the productive yea s of life, i.e. between 15 and 64 years old. This, therefore, is a

population with a very large proportion of the people being under 15 years of age. On the other hand, the proportion of the elderly is very low.

The examination of the major age groups is an effective although gross method of viewing the age components of the population. A more detailed multi-dimensional method is the age-sex pyramid. According to T. Lynn Smith:

The primary factors with which one must reckon in
explaining the general configuration of any age-sex distribution, any specific features it may undergo,
are, of course, the same three that may be involved in
any population change, namely, births, deaths, and
migration (1960a:155).

Figure 3 graphically presents an age-sex configuration for the research population.

Both a preponderance of the young and a small number of the aged are evident in the age-sex pyramid. Of special interest is the fact

that children under five years of. both sexes are less numerous than children five to nine years old. it is probable that this reflects a dramatic drop in the birth rate in Costa Rica that occurred during

preceding five years. This decrease is partially due to the increased use of effective methods of birth control.

With the exception of the youngest age group, the size of the age cohorts of both males and females steadily decreases as age increases. This is the result partially of high birth rates in the past and also of high death rates.






69


















00




.2

E a)
LL
41

u

a.


C14





F===i F-=q
Mtn 0.0
0

+ _zr
0. L.) 4) Ln r-% %D LA fn 04 C14
4-1 < J-1 L Ln Ln o LrIN 0, N o Ln Cl)
Lr% cr% CWN C-4 C4
cn
LL 0
4-- c 0


E co I
>- C14
a

x
Ln
.2
-4- ca

4J
c a)
u






-00





C)





70

One of the most common means of analy2Nng demographic data is

through the use of sex ratio. The sex ratio is defined as the number

of males per 100 females in a given group. A ratio of 100.0 signifies numerical equality between the sexes.

The sex ratios of the various age groups in the population are

shown in Figure 4. The total population contains 1,435 males and 1,275 females yielding a sex ratio of 112.5. As is evident in Figure 4, males predominate in the younger age groups and in the older ones: The sex ratio of the population under five years old is 135.4; for ages f ive to n i ne, 118 .9; for ages 55 to 59, i t i s 141 .4; and for persons 65 years of age and older is 129.7. Although every effort was made to insure accurate data collection procedures, apparently either males are over-reported or females under-reported (probably the latter) among youngest members of the population. The high sex ratios of the older age groups, which might have been influenced by the small number of cases in them are, most probably, the result of migration into the area. These older people are generally heads of households. Many of them were single when they moved to the area when it was originally being settled. The consequence of this phenomenon is still reflected by the high sex ratio.

The ratios for ages 15 to 34 are of interest. In the 15-19 and

25-29 age groups females are unde r- represented. This probably is partly because of greater out-migration of males than of females and partly due to incorrect age reporting. For instance, it appears that women 20-24 might have been reported as being 15-19, while men 15-19 might have been reported as being 20-24. The variations between the age groups of 35 to 44 and 45 to 54 might-be the result of







71












0 %.0









Ln


tA



U'N

M C L
.E

E



0 ult
4- cn
0
0

0 co (-I

0 0
ch d
<



cn Lr., 04
0 4J tn

0 C14 x0 04

:3 1 ON
0




C)









0 Lf*%
L

(a 0 C> 0 C) C) -0
w C*4 CD cn c

x





72


the small numbers in the groups.

Data on the ages of the heads of households were collected from 413 respondents. These data are presented in condensed form in Table 1. The modal age group of the heads of households is 30 to 39 years. It contains nearly one-third, 31.7 percent, of all. Next in importance are the age groups 40 to 49 years, and less than 30 years, respectively. The youthfulness of this population encompasses the heads of households as well as their offspring. Over one-half of these adults are under 40 years of age and nearly three-fourths of them under 50.

The age of heads of households (AGE HEAD) was cross-tabulated with the electric-use characteristic (Table 1). No important differences were revealed. Further analysis was performed by calculating

the median age of those in the three categories (Table 1) The USERS as a group are sl lightly younger than the INACCESS IBLES The NONADOPTERS constitute the oldest grouping. The data give some indication that the younger heads of households are more likely to become users of electricity than are their older neighbors. However, because

of the sl ight variation found, inaccuracy in age reporting, and the 39 missing, cases, no great importance should be attached to these findings.


Education.


Major advances have been made in Costa Rica in providing a primary education to all segments of the pop ulation-. The results of governmental policies designed to make schooling available are clearly seen in the San Carlos area. Without exception, every rural neighborhood







73





%.0 co 0 m
0
m C C4 c; C
C:

0


CD 0

C co
C CO C
o 2 C c: I SO c) -:r




it

> r C:)
Ul% 0 cn 4j
Ul C
C

41
&

U-%
CO
11 %,D 04 Lr\ N 01% E
M '7
a 0 ill ul
0 0

m F- tn 4)
tn L- I4) cr\ Lf\
4J 4J &- >- -t _:r 04 r ,
0 1 0 cn U,\ -t Lr% C14 rn M
(M c C) CJ C-4 C14 C'4
(n
41

4j
(D <
0 0
.0 4) -C n
m __ 4) D 0'% ce\
F- 41 tA I Cf% .
:3 u 04 1 04 Lr\ a-, _t -t M
4- 0 C)
0 = n
4-J u
0 0 4J
tn
0 W 4j

cn
E 0
04 Cn 0 rn ulz 000
C-4 C-4 41
c 0





Ln
41 4J 41 41 4 0
C I- C &- C L- C

u -0 u -0 u -0 u -0
L- LE E E
CL) = 0
a- m CL z CL m
CL z tn 4J

Q

4-)

LLI Ln 0 t4-(n of I Ln 0
LLI
Q) 4-j
z 0- 0 (n
C) :3 0
0 LLI in m E
4J 0) tj < u
u 0 L) a) c
4J uj < m
(U En C) C)
Uj L)





74

in the area has a school with at least one teacher for.grades one through six. In Ciudad Quesada there were three secondary schools, and in Santa Clara there is an agricultural-vocational high school.

Data on the last year of school completed were collected for

3,164 members of the research population. Of these, 626 reported that they had had no formal schooling. Another 285 were children of preschool age. Thus, less than one-fifth, 19.8 percent, of the population over 4 years of age was reported as having no schooling and 9.0 percent as being too young to enter school.

Of those who had received some formal education, only 5.2'percent have had more than primary schooling. Less than one percent, (0,8) of those who had attended school had received more than a secondary education. Of those who have completed at least one year of school,

the largest proportions have completed either three or six years, 19.6 percent and 19.5 percent, respectively.

The data on educational attainment include information for

persons who have terminated their education and for children who are still in school Because of the large number of children of primary school age, it is to be expected that data on the last year of school completed would be concentrated on the lower rungs of the educational ladder. The predominance of those who have completed three and six years of education is, therefore, worthy of note. These figures include many adults who have completed their education.

information on the educational attainment of the heads of households is presented in Table 2. Those who reported having had no formal schooling are grouped with those who gave no information on this subject. Analysis revealed that most of those who did not respond to







75



4- m
0 c

11 .2 0-6 Lr! C Lr!
m 0 m
u
'n




C> C Ct
Lf G% 00
C 00 0 C) m C) UN
0 C) C) C) -.T





Ln +
*,--of C


C 4J 0 m
-W U-% 0,!-, C14 LA.--,
m
u 0 %con c; C 00
Ln
w u
4
0
u o
a -% CO M.--, Ln clj
0.2 4j -t LA m
m cn 1 0 U-% _:r -t Ln r-- C14
u A Cn C14 C-4 04

Cl w


-0 cl Lfl r.
m (A 04 Ul\ r-% U'\ rl
41 S- 04 1 00 cn r- -t Ln C14 cn C)
(D fa C14
'7

4- tn 0-0

0
.2 0 0
(A c -Z
L- :1 CO cn- CO C:)
m 0 fa t .00 00
E cn -t -t U,\ 0 In
E C: I- C14 cy.\ cn M
04- 0 0
0 4r
< (n




4- 4-J 44 -W 41
0
u u -0 u -0 u -0
L- E &- E &- E &- E
(D M a) =1 a) a)
0- CL a- a0 LLI
-j
tn m LLJ
u .2 V)
.: L- V)
0 LU
41 0) 1.01 <
u 4) a: I <
4) 4-J LU < :z
m (n = C) C)
uj u





76


the question on schooling probably did so because they were attempting to mask the fact that they were illiterate. Consequently, only a

small error was introduced by the grouping procedure used. This error is conservative in that the amount of schooling is viewed as being under-reported rather than as exaggerated. Because of the small number of those who have more than a primary education, all of

,those with seven or more years of schooling have been grouped together.

Nearly one-third, 31.0 percent, of the heads of households either reported no formal schooling or did not respond to the question. Another 23.7 percent may be viewed as either functionally illiterate

or barely literate in that they reportedly have completed only the first or second year of primary school. Thus, approximately one-half of the heads of households are either completely or nealy illiterate. Less than one out of twenty, 4.6 percent, have gone beyond the primary grades.

Table 2 also presents the data on education of the heads of

households cross-tabulated with the electric-use categories. The distribution of persons in the three categories clearly varies according to educational attainment. The modal number of years of schooling for the USERS is three to four. The corresponding datum for both INACCESSIBLES and NON-ADOPTERS, an he other hand, is zero. The USERS appear in proportionately smaller numbers among the lesser educated than do those in both categories of non-users. The USERS are also relatively more numerous than the non-users among the bettereducated. Over one-half, 57.3 percent, of the USERS have had three or more years of schooling, a level attained by only 37.9 percent of

the INACCESSIBLES and 35.7 percent of the NON-ADOPTERS. The analysis





77

of the med-ians also reveals that USERS are better educated than are the INACCESSIBLES Who, in turn, are better educated than.are the NO ADOPTERS.

It can be stated, then, that in this research population there is a positive association between use of electricity and educational

attainment. The education of the heads of households is viewed as independent in this relationship. That is.to say, it appears that higher education results in increased propensity to adopt the use of electricity.


Occupation.


The portion of San Carlos studied is a rural agricultural and stockraising area. This is dramatically shown in the occupations of the heads of households. More than three-quarters of them, 75.4 percent, are either farm laborers, farm operators, or farm administrators, as shown in Table 3. Teachers, merchants, and the unemployed comprise 16.1 percent of the total population. The remaining 38 individuals, or 8.5 percent, are engaged in 17 different types of employment,

-ranging from a guard in a school to the manager of an agricultural production marketing cooperative, andare placed in a single residual category.

The relationships between occupations of the heads of households and the use or non-use of electricity are revealed by the data present6d in Table 3. There is a positive association between the use of electricity and farm-operator status and a negative association between electricity use and farm-laborer status when comparing USERS and NON-ADOPTERS. There is almost no disparity in the relative im-







78






Ct- Ct Ct C
61% Co
Total C) 0 C C) M C> Ln
0 C






Other C) Co
a,% 0 102 C) Z, CO rn





Cri U-\ \.O C)
Unemployed \0 \ o Cn

u)

0
0
M U'\ C) -:r
Merchants



0
in I
O
C)
41 Teachers
4-J 4J

0- (D
u u
u C)
C) P Lrl L11
Farm Administrators U'\ \-0 LA \-D
C4 rn Ln Cn

41
4- (D IN
0 -C
4J
C 11 cc vt
0 >- Farm Operators C) 00 C'\ r
r" r- C) %.0 M 4,
Cn 7
Z

E
0
\,O
< ( C*4 C r- r CO
0 Farm Laborers -t r- -11 \D
C'4 -:r Cn

4
0


41 41 41 41
CD C C C C L.
4) (D a) 0 0 0 0 0)
u -0 u -0 u -0 u -0
E E L- E E
:3 0) D a) =)
CL CL CL M




CA
ui
tn
(n Of
tn ui
2 CL
&- Cn C)
0 LLJ M
4-1 tM <
u 4) <
4j LLI < I-fu C)
w L)





79


portance of these two groups among the INACCESSIBLES. The residences of more than three -quarters, 78.7 percent, of the farm operators living within reach of the COOPELESCA lines are connected with them, whereas only 51 .0 percent of the residences of farm laborers are so linked,

All of the teachers who have been able to connect with lines to bring electricity to their homes have done so. One of these when asked what was the major importance of electricity for her replied that it enabled her to grade papers at night. The teachers in the INACCESSIBLE group appeared to be under-enumerated. It is probable that the teachers who worked in this zone lived in the town of La Fortuna, which was excluded from the study area, and commuted daily to work.

Of the 23 merchants, including those having commercial establishments ranging in size from the small pulperfa (convenience store) to the almac~n (general store), who live within reach of COOPELESCA's electrical distribution lines, only one did not utilize electricity. Over half of the 25 unemployed household heads in the COOPELESCA area are NON-ADOPTERS. Many are retired farm laborers who live on gratuities received from relatives and neighbors and cannot afford electricity.

The highest rates of adoption are found among teachers and

merchants. Teachers are urban-oriented, accustomed to the use of electricity and have working hours that include the hours of darkness. Merchants can profit most immediately from the use of electric current. For instance, in a hot climate cold drinks 'sell better than those that are at room temperature. Next most likely to have electricity are farm operators, followed by farm laborers, and lastly come the unem-





80


played (See Tabl'e 4).



Table 4

Percentages of Users of Electricity by Occupational Categories

--------------Percent Adopting
Occupation Electricity


Teachers 100.0

Merchants 95.7

Farm Operators 75.4

Farm Laborers 51.0

Unemployed 36.0



Based on data in Table 3 for USERS and NON-ADOPTERS


It is evident, therefore, that the use of electricity is closely related to occupation. In general, the higher the occupational status

the. greater the adoption rate for electricity. Also, the greater the util ity of electricity for the achievement of occupational purposes the greater the adoption rate.


Size of Households.


A total of 2, 729 persons I ive in the 452 households enumerated. The normal family consists of a married couple and their offspring. In addition, however, there are many instances of three-generation families. Not infrequently blood relatives' such as brothers or sisters, uncles or aunts, and nephews and nieces of either the head of the household or his spouse also live in the household. In some cases





81


unrelated farm laborers, servants, or friends also reside in the household. Because of the tendency to have a wide range of relatives and unrelated persons living together,ithe average number of people sharing the same dwelling in the San Carlos area is large.

As is shown in Table 5 the size of households ranges from single residents to sixteen people living together. The distribution is moderately asymetrical and is skewed to the right.

Most persons live in households which have between three and

twelve members. Six-member households account for the largest number of people closely followed by those containing nine members. The mean size is 6.0. Three-fifths of the populatio n lives in households

having seven or more members.

The data were analyzed in an attempt to ascertain if there were significant differences between those in the three categories of the electric-use characteristic according to the size of households. The differences found were slight. The patterns of the size of household found for each of the categories were similar to those of the total group. The arithmetic means for each of the categories are as follows:.

5.9 for USERS, 6.1 for INACCESSIBLES, and 6.2 for NON-ADOPTERS. The average household of USERS has less than six persons in it and is. smaller than the mean size of families for either of the groups of nonusers of electricity. of the non-users, the NON-ADOPTERS have, on an

average, the larger families living in one dwell ing. The differences, however between the means of these groups probably are of little or no significance.





82


Table 5

Size of Households by Frequency of Occurrence and Number of People



Persons


Number of Cumulative
Size of Household Households Number- Percent Percent



115 15 0.6 100.0

2 38 76 2.8 99.4

3 47 141- 5.2 96.6

4 58 232 8.5 91.4


5 58 290 10.6 82.9

6 58 348 12.7 72.3

7 42 294 10.8 59.6

8 39 312 11.4 48.8


9 37 333 12.2 37.4

10 23 230 8.4 25.2

11 11 121 4.4 16.8

12 12 144 5.3 12.4


13 7 91 3.3 7.1

14 4 56 2.1 3.8

15 2 30 1 .1 1 .7

16 1 16 0.6 0.6


TOTAL 452 2,729 100.0





83


Marital Status.


More than four-fifths, 81.3 percent, of the heads of households

reported that they were currently married. Another 2.7 percent stated that they were living in common-law unions. Equal numbers of the heads of households, 35 or 7.2 percent, stated that they were either single or widowed. The remaining 1.6 percent of the respondents stated that they were separated, with one saying that she was divorced.

it is probable the 367 heads of households who stated that they were married included those married by either civil and/or religious authorities and those living in common-law unions. Also, there is reason to believe that some who listed themselves as being single are living in common-law unions.

Because of the concentration of the respondents in one category, the married, the examination of differences between users and nonusers of electricity according to marital status was not deemed to be of value.


Migration.


The Meseta Central is the central plateau where metropolitan San Josd is located and where the major historical development of

Costa Rica has occurred. Outlying areas such as San Carlos have until fairly recently been of minor importance. The rise in the relative importance of San Carlos has been accompanied by population growth. Although the natural increase of the.population has been responsible for some of the population growth in the area, much of it has been caused by immigration. In the following analysis of the migration patterns of the heads of the households two major trends are observed:




84


the extent to which population pressure in the Meseta Central is relieved, by people moving from there to San Carlos, and the importance of migration into the area in general.* Additional emphasis is placed on ruralurban migration differentials.

If. migrants are defined as persons born outside of San Carlos, 69.1 percent of the respondents are so classified (Table 6). They

were born, in nearly equal numbers, in the Meseta Central, (defined here as the areas'designated as being Valle Intermontano [intermountain valleyJ in the Costa Rican census) and in portions of the country other than the Meseta Central and San Carlos.

The vast majority of the respondents were born in rural areas. Only 6.3 percent were born in the uncontestably urban centers of

Ciudad Quesada and metropolitan San Jos4. Although it is possible that some of the remaining 93.7 percent of the heads of households were born in towns, the large majority of them were, no doubt, born in rural areas.

There is little variation in the place of birth according to

current use or non-use of electricity. However, higher proportions of the USERS were born in San Carlos than is the case with those in either of the two categories of non-users of electricity. The percentages of those born in San Carlos are as follows: USERS, 32.9; INACCESSIBLES, 28.8; and NON-ADOPTERS, 26.8. Since the USERS are more l ikely to be landholders, and perhaps owners of inherited land, and the NON-ADOPTERS more l ikely to be farm laborers, the differences appear to be related to occupational status.

If, on the other hand, migrants are defined as persons born in a district different from that in which they reside, then 88.0 percent







85






0 C) 0
r r cn
0 oly, 0 -t






-W m 01% C%4
-C (A u r : Clq r cn rn U-%
-W 0 C%4 rn rn
C) u




th a*t w-% C) Ln

LA __ rn





4-) (o
4" W
0 4j p m th OC) Cj
0 L- L. 41 0 UN cq (YN
IA 41 C-4 cn C14
44 =D Z 0) zz,
M: 0 c
U, 4- a- (a
CO 0 (n
4- 4J 0 u

u w
04
%D m U Cr"4 14 CC*4 C
0


cc 41
(D
4- X
0 4J tn
C)
0 C14 =3 tn Ln OC)
tn .- 4) Lr\ C-4 Ln
IA u L) M

fa
E = (n
0 0)
41
u
< 0 CCL cl C=
E L-' cn cn cr\
(0 4J N 04 C14 (n C14 Lr\
4- (n
0 1.2
tn

4J w 4-J 4-1
C s- L.
o) cu 0)
u -0 u -0 u -0 u -0
I- E
E E E
CL -a- CL 13




uj cn
tn
tn
in LLJ
F
C
0 LLI 0
41 0) (n L) <
u 0) Of L) I <
41
ui <
cu C) C)
LLI L)





86

of the population is classed as being migrants into the region. Again the proportions of migrants vary but little among electric use categories: 87.2 percent of USERS are migrants; and the corresponding figures for INACCESSIBLES and NON-ADOPTERS are 87.4 and 90.7, respectively.

A disproportionally large number of INACCESSIBLES are in the "other Costa Rica" category. Portions of the area inhabited by the INACCESSIBLES are in the Cant6n of San Ram6n. The imbalance found in this category is probably caused by an influx into the area of people born elsewhere in San Ram6n or in its vicinity rather than in or near the Cant6n of San Carlos.

Data were compiled on the previous place of residence of th( heads of households (Table 7). The same variation between the USERS and both of the groups of non-users of electricity which was noted

when discussing place of birth persists with regard to those who have moved to their present location from elsewhere in San Carlos. Once again, the INACCESSIBLES have been influenced by those who apparently have moved into the area from San Ram6n.

If migrants are defined as persons whose previous place of

residence was in a different district, then 43.3 percent of the population is classed as migrant. Once again there are but small differences in this percentage among those in the three categories of the electric use characteristic. Forty-one percent of USERS, 45.7 percent of INACCESSIBLES, and 43.8 percent of NON-ADOPTERS are classified as migrants. Approximately equal percentages of each of the categories had their previous place of residence outside of San Carlos.

Over one-half, 56.7 percent of the respondents were lifetime

residents of the district in which they were enumerated or had their







87





C> 0 C)

C "O c; N"D C *Ol C) 0- 0





C C
M m m
4J cl m
(A to ; CO C -t
4J 0 U I- ooz C14 U-%
0
U



U-% C14
'o C I,
4J

41
u c



0 41 in 41
Q 4) 0 fo (A
W tn L. 41 0 C14 00- cn
U -0 U) 4) 41 m %0
4- M: (L)
0 X: 0
CL a L.
0
tn 0 0)

0 4) 41 r- tn M
> :3 L) 11 L0 0 (A Lr\ C:)
:3 cn CN CTA rn Lr\
0 4j
4
0) 0
-C u
m 41 (n
F- -0
4- M 4-J w
0 a) u 0 M
c C-4 C-4
m OC) C.4 Ln Ln
04- a (n t Lr\ cn
0 L) :3 0)

0 C L) C
cc u m
CL c -C Lo
E a) I-0 -0
4J
< u cl C
00 00
E olio -t 00 %.0 Lr\ \.D Lr\
m 41 U\ Ln Ln U-\
t/) _tn





4j 4J 4J 4-1
C S- C c C
4) W CD 0) 0) d) 4) a)
u -0 u -0 u -0 u -0
L- E L- E s- E s- E
0- a- iL CL




ui V)
cn -j 1=
=> in LLI
U, a-: C
0 LLJ n
4j M u <
u a) tj I
4) 4J LLI <
tn C) 0
L)




Full Text
211
Because this researcher became more familiar with certain portions
of the area than with others, the following nuclei are the only ones
to be discussed: the electrified hamlets of La Vega and San Isidro;
the hamlets of Los Angeles and El Tanque which are simultaneously
users of an alternate source of electrical energy and striving to
obtain COOPELESCA electricity; the rural neighborhood of San Rafael
which is seeking to obtain a COOPELESCA distribution line; and the
village of La Fortuna which is electrified by an alternate source
of electrical energy but which needs improved electrical services.
When discussing the use of electricity, the village of La Fortuna
is an exceptional case. The village owns its own generating plant.
Because this plant had been operating efficiently, the villagers,
decided not to seek COOPELESCA power when the cooperative started
its operations. Since that time, however, the generator in La Fortuna
has been repeatedly in need of repairs and the entire distribution
system has become quite faulty. La Fortuna, because of the avail
ability of electricity, should be classified as a user of an alternate
source of electrical current. However, because the current generated
there is of low quality and because it is frequently interrupted, the
village is more accurately a modified non-user of electricity. The
villagers are seeking the services of COOPELESCA electricity. Con
sequently, the village must be classified as an area striving to
obtain electricity. The following excerpt from my journal deals with
some of the problems of the use of electricity in La Fortuna:
(August 19, 1972, Saturday, La Fortuna). On the way back
to the Hotel La Central, which is much too dilapidated
to be referred to as quaint, we were passed by a drunk
driving a flatbed truck. Don Alfredo, who is a very


BIOGRAPHICAL SKETCH
J. Michael Da.vis was born October 17, 1941, in Highland Park,
Michigan. In I960 he graduated from Phillips Exeter Academy, Exeter,
New Hampshire. He then attended Grinnell College, Grinnell, Iowa,
majored in history of the emergent nations, and was graduated with a
B.A. in history in 1964.
Following graduation he joined the Peace Corps and served three
years in Colombia. While there he was a community developer and a
Peace Corps Volunteer Leader. Upon returning to the United States he
worked as a community organizer in Minneapolis, Minnesota.
In September, 1969, Davis enrolled in the Graduate School of the
University of Florida. He was graduate research assistant to Dr. T.
Lynn Smith for the academic year and summer of 1969 to 1970. He was
awarded a National Defense Act Foreign Language Title VI Fellowship
for the academic years 1970-71 and 1971-72. In August 1971 he was
awarded a Master of Arts in Sociology from the University of Florida.
His thesis was entitled A Sociological Study of Man-Land Relations ?n
the Department of Norte de Santander, Colombia.
Davis is the co-author of "Opinion Leadership in Family Planning"
which was presented at the Population Association of America 1973
annual meeting and is to be published in the Journal of Health and
Social Behavior. He is also a co-author of Rural Electr? fication: An
Evaluation of Effects on Economic and Social Changes in Costa Rica
and Colombia prepared for The Agency for International Development.
261


Table 13
Percentages of USERS and NON-ADOPTERS by Categories of
Electricity-free Level-of-Llving Scale (LEVELNOE) and
Ratios of Percentages-of USERS to NON-ADOPTERS
1
2
LEVELNOE Categories
3
4
5
TOTAL
USERS (percentages)
2.2
15.7
36.2
31 .9
14.0
100.0
NON-ADOPTERS (percentages)
29.6
42.8
18.4
8.2
1 .0
100.0
Ratio of percentages of
USERS to NON-ADOPTERS
0.074
0.367
1 .967
3.890
14.000


175
have to accept the economic consequences of their actions. The
laborers, on the other hand, merely provide labor under the direction
of others. They have little participation in the decision-making
process and no control over it. Consequently they receive payment
only for the labor they perform.
Each of these major tenure classes has many subtypes. Whereas
the sub-divisions of farm operator are determined principally by the
distinctions between forms of ownership or types of rentals, the sub-
types of farm laborers reflect the form of payment for the specific
12
class of labor performed.
The data used for the present analysis were derived from the
survey research Unfortunately because of the structure of the
*
instrument used and also because of problems of an investigatory
nature, discussed below, data could not be compiled on several of the
possible varieties of tenure. Therefore, the analyses are restricted
to types of farm owner-operators, and to the categories of jornaleros
(wage hands) and farm administrators.
The kinds of owner-operators found are the consequences of the
three legal types of landholdings that exist in the area. These
include land held in escritura, places with legalized titles; that
held in derecho, properties without legalized titles; and that held
in precar?o. tracts illegally held by squatters. Land in derecho or
in escritura is legally possessed. The difference between the two
12
Schemas for the classification of those in the farm labor
force by type of tenure have been devised. The reader interested in
this aspect of man-land relations is referred to Sorokin, Zimmerman,
and Galpin (1930, 1:62), Smith (1953:280-285), and Davis (1971:111).


Figure 8
Mean Electricity-free Level-of-Livlng Scale (LEVELNOE)
Scores for USERS, INACCESSIBLES, NON-ADOPTERS, and
Total Population by Age of Heads of Households
LEVELNO^
15-29
30-39 40-49 -50-59
Age of Heads of Households
(In years)
60-over
o
cr>


10
the USERS and NON-ADOPTERS. The INACCESS I BLES should have charac
teristics which approximate those which USERS and NON-ADOPTERS shared
\
in common before they became differentiated by the adoption or non
adoption of the use of electricity. The INACCESIBLES, then, comprise,
a control group included in the research design.
Rural Electrification.
Until recently, in Costa Rica the opportunity to utilize electri
city has been an urban phenomenon. While electricity has become a
standard item of consumption in urban areas, in much of Costa Rica,
as elsewhere in the countryside, it is a rarity. The influence of the
use of electricity is studied only in rural areas in this research
project.
Electricity shares a characteristic with other public utilities
such as water and natural gas: it must be conveyed from its point of
origin to the consumer. Major expenses are incurred in the process
of constructing and maintaining the facilities needed for providing
electric service. The costs increase drastically if the potential
users are widely dispersed as in rural areas. Conversely, the expenses
are lessened where large numbers of consumers are clustered together..
If for no other reason, the cost of transmitting electricity to scat
tered farmsteads has retarded the development and spread of rural
electrification projects in Costa Rica.
Sources of Data
The primary data were collected through intensive field research
in Costa Rica. Most of this was done in August, 1972. The substan-


70
One of the most common means of analyzing demographic data is
through the use of sex ratio. The sex ratio is defined as the number
of males per 100 females in a given group. A ratio of 100.0 signifies
numerical equality between the sexes.
The sex ratios of the various age groups in the population are
shown in Figure 4. The total population contains 1,435 males and
1,275 females yielding a sex ratio of 112.5. As is evident in Figure 4,
males predominate in the younger age groups and in the older ones:
The sex ratio of the population under five years old is 135.4; for
ages five to nine, 118.9; for ages 55 to 59, it is 141.4; and for
persons 65 years of age and older is 129.7. Although every effort
was made to insure accurate data collection procedures, apparently
either males are over-reported or females under-reported (probably
the latter) among youngest members of the population. The high sex
ratios of the older age groups, which might have been influenced by
the small number of cases in them are, most probably, the result of
migration into the area. These older people are generally heads of
households. Many of them were single when they moved to the area
when it was originally being settled. The consequence of this phenome
non is still reflected by the high sex ratio.
The ratios for ages 15 to 34 are of interest. In the 15-19 and
25-29 age groups females are under-represented. This probably is
partly because of greater out-migration of males than of females and
partly due to incorrect age reporting. For instance, it appears
that women 20-24 might have been reported as being 15-19, while men
15-19 might have been reported as being 20-24. The variations between
the age groups of 35 to 44 and 45 to 54 might be the result of


25
A Comparison of Size of Farm by Electricity-
free Level-of-Living (LEVELNOE) Categories
160
26
A Comparison of Type of Farming by Those
in the Three Electric-Use Categories
163
27
A Comparison of Those Engaged in Agricultural
or Pastoral Activities by the Three Electric-
Use Categories
165
28
A Comparison of Those in the Categories of
Type of Farming (TYPE FARM) by the Categories
of Size of Farm (SIZE FARM)
167
29
A Comparison of Those in the Categories of
Type of Farm (TYPE FARM) by Categories of
Electricity-free Level-of-Living Scale
(LEVELNOE)
30
Responses to Question Concerning Membership
in Organizations, Associations, and
Cooperatives by the Three Electric-Use
Categories
207
vi i


236
100.Cules seran los principales problemas que Ud. tendra si le
faltare la electricidad durante todo un mes?
101.Para Ud. cules son los usos ms importantes de la electricidad?
(SI ES POSIBLE APUNTE'POR LO HENOS TRES USOS)
102. Cul de stos es el ms importante?
103. Adems de usar electricidad, qu cantidad de las siguientes cosas
utiliza Ud., por lo general durante una semana, y cunto cuestan?
(APUNTAR LA CANTIDAD, RECORDANDO 0UE DIFERENTES UNIDADES SERAN
UTILIZADAS PARA DIFERENTES COSAS. APUNTAR LA UNIDAD, P .E. DOCE
NAS, LITROS, ETC.)
Costo
Cantidad Unidad Unitario Uso
Velas
Canfn
Gas
Lea
Otros: es
pecificar
104.Cuntos medidores tiene Ud. para la electricidad que recibe?
Me permite apuntar los nmeros de los medidores?
(ABAJO APUNTE EL NUMERO DE CADA UNO DE LOS MEDIDORES Y EL CONSU
MO EN KWH PARA EL ULTIMO MES. ES MUY IMPORTANTE APUNTAR CORREC
TAMENTE SI EL MEDIDOR ES PARA USO RESIDENCIAL, COMERCIAL 0 AGRI
COLA) .


22
an eventual three editions of his masterful The Sociology of Rural Life.
This book contained the first elaboration of Smith's contributions to
v _
the study of man-land relations. The Landis and Smith texts were
followed by a work which focused somewhat more on social organization,
Rural Sociology and Rural Social Organization written by Dwight Sander
son (19^2). In 1948 Lowry Nelson's Rural Sociology appeared. This was
succeeded a year later by a text which examined the regional variations
in the types of farming, Rural L? fe in the Un?ted States by Carl C.
Taylor et aj_. (1949).
Since the mid-point of the century there have been few major at
tempts to synthesize the knowledge of the field of rural sociology.
However, three texts do deserve mention. In 1950 Charles P. Loomis
and J. Allan Beegle published Rural Social Systems: A Textbook ?n
Rural Sociology and Anthropology. Alvin L. Bertrand and Floyd L.
Corty edited a book which analyzes land tenure arrangements and appeared
under the title of Rural Land Tenure in the United States (1962). T.
Lynn Smith and Paul E. Zopf, Jr. have written the most recent major
text in the field. Their Principies of Inductive Rural Sociology
(1970) is a fresh exposition of the various aspects of man-land rela
tions.
Although more extensive commentary on the book is reserved for
later in this chapter, T. Lynn Smith's Colomb ? a: Soci al St ructure and
the Process of Development (1967) deserves mention here. Smith has
long been attempting to develop a schema for portraying the relation
ships between locality groups of sizes ranging from the small neighbor
hood at one end of the scale to the great megalopolis at the other.
His work on categorizing locality groups in their respective levels


48
permit at least a degree of general izab i 1 i t-y .
The problem thus was reduced to a decision about which region was
to be selected. It was imperative that the region studied be neither
dominated by one type of monoculture nor the bastion of a particular
size of agricultural or pastoral units. Joseph Davis found that type
of farming was an important correlate of the use of electricity in
rural areas of the United States (1956:10). For example, electricity
can be profitably applied in milking and processing and storing milk
and milk products on dairy farms, but there is little need for electric
power on small banana farms. Data collected in a sector given over
to one type of monoculture, be it agricultural or pastoral, might
be decidedly limited in its application either to an area where a
different type of monoculture is prevalent or to one characterized
by the existence of polycultural enterprises.
Davis also noted that the size of farms was a determinant in
both the decision to use and in the consumption of electrical energy
(1956:10-11). This is partially the result of the cost of installa
tion of power lines and the expense incurred in the use of the com
modity. Whereas owners of smaller plots of land may not be able to
afford such costs, this factor may be unimportant for the large land-
owner. For the results of this study to be of value, it was determined
that the area selected should contain a cross-sectional slice of
various sizes of farms.
In addition to the above-mentioned criteria, strategically it
was imperative to receive substantive collaboration from the personnel
employed by the cooperative to be studied. It was determined that in
San Carlos, perhaps more than in the other two possible areas, the


74
in the area has a school with at least one teacher for grades one
through six. In Ciudad Quesada there were three secondary schools,
and in Santa Clara there is an agricultural-vocationa1 high school.
Data on the last year of school completed were collected for
3,164 members of the research population. Of these, 626 reported that
they had had no formal schooling. Another 285 were children of pre
school age. Thus, less than one-fifth, 19.8 percent, of the population
over 4 years of age was reported as having no schooling and 9.0 percent
as being too young to enter school.
Of those who had received some formal education, only 5.2 percent
have had more than primary schooling. Less than one percent, (0,8)
of those who had attended school had received more than a secondary
education. Of those who have completed at least one year of school,
the largest proportions have completed either three or six years,
19.6 percent and 19.5 percent, respectively.
The data on educational attainment include information for
persons who have terminated their education and for children who are
still in school. Because of the large number of children of primary
school age, it is to be expected that data on the last year of school
completed would be concentrated on the lower rungs of the educational
ladder. The predominance of those who have completed three and six
years of education is, therefore, worthy of note. These figures in
clude many adults who have completed their education.
Information on the educational attainment of the heads of house
holds is presented in Table 2. Those who reported having had no
formal schooling are grouped with those who gave no information on this
subject. Analysis revealed that most of those who did not respond to


46
In the process of collecting the data, a major problem arose
related to the endeavor to canvass all of the heads of the households
who satisfied the requirements for Inclusion in the research popula
tion. It was frequently difficult to encounter them at home. This
meant that at times it was necessary either to make repeated return
visits or to interview someone other than the head of the household,
usually the spouse.
The diligence of Vargas resulted in there being only two refusals
out of 486 attempted interviews. One case was that of a cook who
although she fixed a meal for several of the members of the research
team, refused to answer questions in an interview. The second case
was more dramatic: a man answered the door with a shotgun in his
hands. He told the interviewer to leave and not return. The inter
viewer readily compiled.
Methodology
The methodology used in this study has two main branches. First
the selection of the precise research area and population is of
singular importance. The process of this selection greatly influenced
the findings. Secondly, the analyses rely on definite types of
manipulation of the data.
In this section the more germane methodological considerations
are discussed. Specifically this includes an examination of the
process of the selection of both the research area and population, the
principal characteristic of the study, the variables and the indexes
constructed, the types of computer analysis, and the forms of


222
press forward with the expansion of lines for distributing electricity
in the rural districts and every effort should be made to insure that
\
all of those within the reach of such lines should be able to avail
themselves of the opportunity of using electricity.


2
present endeavor is designed to provide an evaluation of the socio
cultural differences in rural communities and smaller locality groups
which may be attributable to the utilization or lack thereof of
electric energy. Specifically, an attempt is made to determine the
correlates of the use or non-use of electricity and social charac
teristics, relationships between man and the land, and characteristics
of various sizes of locality groups.
A second objective is to develop sociological instruments which
may be utilized effectively for evaluating the impact of rural electri
fication not only in Costa Rica, but also in other countries. These
instruments, therefore, must be able to produce comparable measurements
of characteristics which are manifested in.different socio-cultural
contexts.
The collection and recording of benchmark data is a third ob
jective. The impact of rural electrification can be expected to
change both as new methods of using electrical current are put into
practice and as people become more accustomed to using this source of
power. The instruments developed here are such that they can be
employed again in the future. The data collected are considered as
benchmark data in that hopefully they are only the first assembled in
a series of studies of the same population. It is hoped that a similar
investigation of it will be carried out within three to five years so
that temporal changes can be measured and evaluated.
This specific study is the application of a wel1-developed rural
sociological frame of reference to the investigation of the impact
of a particular technological innovation on a specific rural population
in Costa Rica. The frame of reference has been developed by rural


13
the respondents .
Not all of my conversations were with respondents. 1 attempted
to contact the leaders of each of the communities studied, as well as
those in Ciudad Quesada. Much of the information obtained in these
talks serves as background material for this study.
Survey Research.
Major portions of the data used in this dissertation were gathered
through the use of survey research. The instrument used was developed
by a University of Florida research team consisting of the present au
thor; Dr. John Saunders, professor of sociology of the University of
Florida; and Galen C. Moses, an agricultural economist. The data were
collected by trained Costa Ricans under a contract between the Univer
sity of Florida and the Institute for Economic and Social Studies of
the University of Costa Rica.
The survey schedule is involved. Its construction and contents
merit detailed discussion. Therefore, further comments on the survey
schedule are deferred for a more complete presentation in Chapter III,
Procedures and Methodology.
Methodology
The methodology used in this study is varied. A substantial
portion of it is drawn from that developed by rural sociologists.
The remainder relies on the construction of scales and indexes used
for categorizing data and on specific types of computer analysis.
Because of the diversity in the sources and types of data, it is
necessary to examine them using a variety of approaches.


154
attempt to more finely discriminate between holdings of different sizes.
The third category of the schema contains the places which may be de
fined as genuine family farms. These have at least ten but less than
fifty manzanas. The fourth category encompasses those larger places
which may be either family farms or small highly productive haciendas .
Included in this class are those units having from fifty to less than
one hundred manzanas.
The Censo Agropecuario 1 ists eleven separate classes of farms
which contain one hundred or more manzanas of land. The category of
the largest size of holdings includes those having at least 3,500
manzanas. In the present schema of the size of farms, the fifth'and
final category includes all of those units having one hundred or more
manzanas. Since the largest place enumerated contains only eight
hundred and twelve manzanas, and, indeed, few large entities were en
countered, all places of more than one hundred manzanas are grouped
together. These are considered as being haciendas The hacienda is
characterized as being a highly productive unit which utilizes nu
merous hired laborers. No data were gathered for any latifundia
through the process of survey research.
To summarize the classification of SIZE FARM: category one
contains the lotes of less than two manzanas; category two consists of
the minifundia with from two to less than ten manzanas; category
three is made up of the genuine family farms with at least ten but
less than fifty manzanas; category four embraces the larger family
sized farms having from fifty to less than one hundred manzanas; and
the fifth category is composed of haciendas with one hundred or more
manzanas of land.


LIST OF FIGURES
1 Location ip Costa Rica of the Area Studied
in San Carlos 4
2 Map of the Area Studied 7
3 Age-Sex Pyramid for the Population Studied
in San Carlos 69
4 Sex Ratios by Age Groups of Those Living in
Households in the Population Studied in San
Carlos 71
5 Percentages of Each USERS, INACCESS IBLES,
and NON-ADOPTERS by Categories of Electricity-
free Level-of-Living Scale (LEVELNOE) 99
6 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESS IBLES,
NON-ADOPTERS, and Total Population by Number
of People per Household 103
7 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESSIBLES,
NON-ADOPTERS, and Total Population by Years
' of Education of Heads of Households 105
8 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESS IBLES,
NON-ADOPTERS, and Total Population by Age
of Heads of Households 1 06
9 Mean Electricity-free Level-of-Living Scale
(LEVELNOE) Scores for USERS, INACCESS IBLES,
NON-ADOPTERS, and Total Population by Size of
Farm Categories 1 08
10Mean Total Sat isfaction-with-Life-Situation
Index (SIT TOT) Scores for USERS, INACCESSI BLES,
and NON-ADOPTERS by Age of Heads of Households 123
v i i i


172
arrangements. The present analysis begins-with a brief treatment of
the recent development of property rights and regulations. The second
part is devoted to an analysis of types of land tenure arrangements,
including an emphasis on the different forms of land ownership, and
an examination of the absolute and relative importance of the forms
of tenure in the research area. Because of the importance of the
subject, the phenomena of a working "agricultural ladder" is dealt
with in a separate sub-section. The concluding portion of this
analysis deals with rural electrification as a function of land tenure.
Major Developments.
Dr. W. Kennedy Upham, in his analysis.of the man-land relations
in Central America, contends that the state of land tenure today,
"represents a composite of the Indian and Iberian land tenure systems
which existed at the time of the Spanish conquest, modified by some
four and a half centuries of colonial and national experience" (1969:
168). Since the region of San Carlos remained virgin land during
much of the evolutionary period of property rights, it has not been
washed by many of the currents of change which have swept over the
nation during the past four and a half centuries. Therefore, rather
than digressing on a detailed discussion of these currents, it will
suffice to briefly highlight the two major facets of land tenure
9
which have current influence.
3 The reader who seeks a detailed discussion of the evolution of
property rights in Costa Rica and the other four Central American
countries is referred to Upham (1969:168-195).


25
population, but he also closely examined the man-land relations. He
furthered the study of the ejido initiated by Simpson. In his second
v
work, Whetten turned his careful attention to Guatemala in the book
entitled Guatemala: The Land and the People (1961).
Olen E. Leonard had been acquainted with rural life in Bolivia
before he was sent to that country by OFAR. The results of his
earlier studies appeared under the titles of Canton Chul1 pas: A Socio-
economi c Study ? n the Cochabamba Valley of Bol i vi a (19^+8) and Santa
Cruz: A Socioeconomic Study of an Area in Bol i vi a (1948). He had
previously published Pichi1inque: A Study of Rural Li fe in Coastal
Ecuador (19^7). As the result of his work with the Department of
State and OFAR Leonard published Bolivia: Land, People, and I nst.i tu-
tions (1952), an analysis of the variations which exist between the
three widely divergent portions of Bolivia.
The fifth of the rural sociologists who was sent to study in
Latin America was Lowry Nelson who wrote Rural Cuba (1950). In this
presentation of the findings from his work in Cuba, Nelson emphasized
the importance of the family in Cuban society.
The continued interest in rural sociological topics relating to
Latin America by these five sociologists is strongly felt in the dis
cipline. Of importance to this dissertation has been the on-going
work of T. Lynn Smith in this area. In 19^3 Smith and two officials
of Colombia's Departamento Nacional de Ti erras (National Department of
Lands) undertook a study of a small rural community near Bogot,
Colombia. This was the first in-depth examination of a rural community
conducted in Latin America. Smith, Justo Dfaz Rodriguez, and Luis
Roberto Garcfa published the results of their work in 19^5 as Tab io:


215
The activities which were transpiring .in Los Angeles, El Tanque,
and San Rafael were not reported on the survey schedules as being
part of the social participation. They must be accepted as comprising
a non-reported informal type of social participation. The processes
observed in these places were such that they would be compatible with
the goals of DINADECO, which are to seek the betterment of a neigh
borhood or community. Yet no DINADECO comm'ittees have been organized
in these places. It would seem that the project-specific, informal,
organizing taking place in these locales was too restricted to fit
under the generalized goals of a formal action-oriented, improvement
committee. Thus, the unification of these places in striving to
obtain electricity has an informal rather than a formalized social
integrative force.
The utilization of electricity, as compared with the non-use,
causes the members of smaller locality groups to be more closely
integrated into larger locality groups. Because the services of
COOPELESCA emanate from Ciudad Quesada, the users of the cooperative
electricity are more closely integrated into the community centering
on that city than are non-users. USERS pay their monthly electricity
bills in Ciudad Quesada, as well as purchase most of their electrical
appliances there. Also, since the COOPELESCA repair crews and meter
readers are housed in Ciudad Quesada, their work in the rural areas
heightens the contact between the city and those in the smaller
locality groups. This contact opens avenues of awareness of the
city for many of the rural dwellers.
The entrance into the electrified hamlets of machinery and goods
which require the use of electricity has made some of those living


204
the locality group centering on La Fortuna. His involvement in
community activities has drawn him into the communities of which
v
Ciudad Quesada, Majuela, and San Jos are the centers.
Rafael Delgado is a farmer, a tailor, and a rural policeman.
He lives in the rural neighborhood of Santa Rita. His occupations
exert major influences on his involvement in several locality groups.
As a farmer, Delgado is closely integrated into his rural
neighborhood. His house is situated on a small tract of land in
close proximity to several neighbors, all of whom are also farmers.
The rural neighborhood of Santa Rita has recently become more tightly
unified due to the united efforts of the residents to obtain electrical
service in their houses.
The rural neighborhood is at the edge of the small hamlet of
Tres Palmas. Not only is Delgado integrated into the community
centered on this hamlet due to his dependence on the stores of the
nucleus, but he is also dependent on the hamlet as an outlet for the
clothing he sews. As a producer of clothing sold locally he comes
into contact with potential buyers from an area much wider than that
of the neighborhood in which he resides.
Delgado's third occupation is that of a polica rural (rural
policeman). As such he is a member of the cantn1s police force and
is stationed in a specific area. His activities as an officer of the
law take him well beyond the confines of his own neighborhood. As
such he is part of his own incomplete community and, to a lesser
degree, of several neighboring incomplete communities. Because he is
a member of the cantn's police force, he is an integral part of the
community based on Ciudad Quesada.


258
Sewel1, Wil1iam H -
19-40 The Construct ion and Standardization of £ Sea i e for the
Measurement of the Socio-economic Status of Ok1 ahorna Farm
Families. Oklahoma Agricultural Experiment Station
Technical Bulletin No. 9.
Simpson, Eyler N .
1937 The Ejido: Mexico's Way Out Chapel Hill: University of
North Carolina Press.
Sims, Newell L.
1912 A Hoosier Vi 1laqe. New York: Longmans, Green & Company.
Small, Albion W., and Goerge E. Vincent
1894 An Introduction to the Study of Society. New York:
American Book Company.
Smith, T. Lynn
1933 Farm Trade Centers in Louisiana. 1901-1931. Louisiana
Agricultural Experiment Station Bulletin 234.
1940 The Sociology of Rural Life. New York: Harper & Brothers .
1949 "Agricultural Systems and Standards of Living." Inter-
Ame rican Economic Affa? rs 3 (Winter) :1528 .
1953 The Sociology of Rural Life. 3rd ed. New York: Harper &
Brothers .
1957a Current Soci a I T rends and Problems in Latin America .
Gainesville: University of Florida Press.
1957b "Rural Sociology: A Trend Report and Bibliography."
Current Sociology 1 (March) :1-75 .
1960a Fundamentals of Populat ion Study Philadelphia: J. B.
Lippincott Co.
1960b Latin American Population Studies. Gainesville: University
of Florida Press .
1965 Agrarian Reform ?n Latin America. New York: Alfred A .
Knopf.
1967a Colombia: Social Structure and the Process of Development.
Gainesville: University of Florida Press.
1967b "Observaciones sobre el Estudio Socilogico de la Coopera
cin." Comn idades 1 (Spring) :152161 .
1967c The Process of Rural Development in Latin Ame rica.
Gainesville: University of Florida Press.


128
large holdings; the least satisfied are the NON-ADOPTERS with large
places.
A person's socio-economic well-being as indicated by the size of
his landholding is apparently influential in determining his satisfac
tion with life. However, when controlling for the size of farm, the
use or non-use of electricity becomes the more important factor in
determining level of satisfaction. As a second control for socio
economic status, the effects of the level of living on satisfaction
with life are examined. There is a direct association between level
of living and satisfaction with life. Those with the lowest LEVELNOE
scores have an arithmetic average of 4.0 on the SIT TOT, while those
with the highest LEVELNOE scores average 4.3 on the total satisfaction-
with-1ife-situation index.
The level-of-1iving scale was cross-tabulated with the electric-
use characteristic controlling for LEVELNOE. The results are graphi
cally presented in Figure 13. The relationships between the categories
of the electric-use characteristic are less straight forward than has
been found in the preceding analyses. The USERS and INACCESS IBLES
exhibit an inverse relationship. The USERS in the middle categories
of LEVELNOE are more satisfied than are the INACCESS IBLES; the reverse
is true for those in both the lowest and highest categories. For
all categories of the level of living scale the USERS are more
satisfied with life than are the NON-ADOPTERS. The difference is
small for those with the lowest level of living, increases for those
in the middle range, and begins to converge 'for those at the highest
level .
The relationship of USERS and NON-ADOPTERS is of special interest.


164
Prominent among the latter are instances where coffee and bananas
are grown together in the same plot. Coffee plants require shade.
In San Carlos, banana plants and other plantains are frequently used
to provide this. With selective cutting procedures they then furnish
a second cash crop in the coffee groves.
The second TYPE FARM category includes the other farms producing
crops. Places devoted to sugar cane, plantains, field crops, root
crops, and miscellaneous and other types of crops are grouped together
in this category. One plantain grown in the area is of special
interest. The local inhabitants refuse to eat guineo cuadrado (a
large plantain), yet they raise it for exportation to Nicaragua.-
Other crops prominently appearing on the places included in this
group are corn, beans, and yucca.
The general agricultural classification is reserved for those
general farms where, although there are both crops and livestock,
crops predominate. The general livestock places, on the other hand,
are general farms where livestock are more important than crops.
Although some chickens and pigs are raised in the area, beef cattle
account for most of the livestock production. The final category of
TYPE FARM includes those entities where livestock are of major
importance. It should be noted that on most of the spreads included
in this category, regardless of the relative importance of beef cattle
or dairy production, both were found.
The portion of San Carlos included in this study is more agricul
tural than pastoral A brief glance at Table 27 supports this state
ment. Slightly more than three-quarters, 75.7 percent, of the farms
that could be classified by type are devoted primarily to the produc-


53
garnered from various questions asked in the survey schedule. In most
cases a wide array of data has been compressed into a small number of
categories .
The primary characteristic being examined is the use or non-use
of electricity, known as the electric-use characteristic. As has been
previously mentioned, this characteristic is divided into the following
categories: USERS, NON-ADOPTERS, and INACCESS IBLES. The primary
characteristic is viewed in its relationships with other attributes
^ and variables. The secondary variables which have been manipulated
to form scales and indexes are deserving of special attention, and.
are discussed in the following paragraphs.
It has been shown that the various components of mass media are
useful as a means of disseminating information about innovations,
particularly technological developments (Rogers and Schoemaker, 1971,
and Ryan, 1969). The means chosen for qualifying the influence of
mass media was quantified by determining the amount of exposure to
several types of media. The constructed mass-media-exposure index
(MMEI) reflects the types of exposure, the intensity of exposure, and
an evaluation of the importance of the exposure. Data were collected
on four types of mass communications: radio, television, newspapers,
and magazines .
The construction of the MMEI was based on responses to twelve
questions. Queries were made concerning the frequency of listening
to the radio and of watching television. Those who answered that
they "seldom" or "never" listened to the radio were given an index
value of "0"; the same procedure was followed with regard to the
amount of time spent in watching television. Those who had their


133
the ability to categorize amounts of exposure. Two different aspects
of exposure enter into the present analysis: intensity and evaluation
of importance. For the broadcast media, intensity is measured ac
cording to the temporal length of exposure; for the written media
intensity is based on the number of publications in the home. The
evaluative portion of the instrument is based on an expression by the
respondent of the worth of programs listened to or watched. The
statements of the respondents on this aspect were taken at face value
without any interpretation on the part of the researchers. As men
tioned previously, the MME1 was so constructed that both users and
non-users of electricity could be placed, without prejudice, into
all categories of the index (See Chapter 111).
The general level of exposure to the various possible types of
mass media was low in the San Carlos area. As is shown in Table 20
nearly three-quarters, 74.1 percent, of the respondents scored in
the lower half of the MME1 This signifies that, at most, these
individuals were infrequently exposed to two of the four types of
mass media. In sum, the heads of the households were not in close
xontact with the messages spewed forth in newspapers and magazines
and over the radio and television.
Those who use electricity in their homes are likely to be more
highly exposed to various types of mass media, as indicated by their
higher scores on MMEI than are those in either of the two categories
of non-users. It can be seen from the data presented in Table 20
that whereas 34.6 percent of the USERS are in the upper two groupings
of MME1, only 20.1 percent and 19.4 percent of the INACCESSI BLES and
NON-ADOPTERS, respectively, are included in these same categories.


15
This study is the source of significant benchmark data for
future research. The area from La Fortuna to Los Angeles is presently
without electricity. Within two years electrical distribution lines
will be strung there. Through the procedures used in the field work
for this study, the respondents were identified. This study provides
pre-electrification data of the potential customers living there.
Within five years these data could be compared with those secured in
a re-survey, using the same research instrument, of the same respondents
after electricity had been brought to the area.
New field and analytic instruments and procedures for the study
of the impact of rural electrification were developed and are pre
sented here. They are of importance in that they will facilitate fu
ture research.
Order of Presentation
This dissertation contains three basic parts: an introduction,
a presentation of the findings, and a summary and conclusions. In
cluded in the introductory portion are three chapters. The present
chapter has emphasized some of the characteristics of the area studied.
The following one, which is a review of the literature, is designed
to trace the development of the frame of reference used and of the
study of rural electrification. The chapter endeavors to-bring the
reader to an awareness of the 1 iterary antecedents of the present work.
Chapter 111 deals with the processes of gathering data and methodo
logical considerations. It focuses on the construction of the survey
schedule, the selection of the area studied, and the construction of
variables and characteristics used in the analyses.


6
Farming and livestock raising are facilitated by topographic and
climatic conditions'. Flat and gently rolling land predominates in the
\
llanos. There are also hills and broken ground parallel to some of
the major rivers. At the edge of the plains the configuration of the
terrain becomes more mountainous. The change is not rapid; in fact,
in the foothills numerous wide valleys and sloping rises are found.
The climate may be described as moderate tropical. The mean
annual rainfall of 3,602.6 mm., and the mean annual temperature of
25.7C. recorded in another district of San Carlos (Costa Rica, Direc
cin General de Estadstica y Censos, 1969:8) approximate the
meteorological conditions of the area studied. The climate imposes
few hardships on the people. The residents of the area are neither
obliged to use heavy clothing nor to insulate and heat their dwellings.
Crops and animals apparently thrive in this climate as much as do
human beings.
The precise area being studied is that between the small towns
of Florencia and La Fortuna, both of which are located in the Canton
of San Carlos (See Figure 2). The population studied includes the
heads of the households, and the members of their families, who reside
along the roads which connect these towns. Because there are numerous
villages and hamlets in this area, it is necessary to mention briefly
their geographic locations. The methods used for identifying the
specific individuals of the population studied are discussed later.
Florencia is located 11 kilometers down the mountainside to the
northwest of Ciudad Quesada, the capital of the Canton of San Carlos.
The only land route into the area of the study passes through Floren
cia and across the bridge over the RTo Peje which is at the edge of


157
(categories three and four). Seventy-one of these entities are in
category three which indicates that they are larger than minifundia
but have less than 50 manzanas. The remaining 18 fall into category
four having at least 50 but less than 100 manzanas. Only 12 haciendas
of at least 100 manzanas were found.
The distribution of the size of farms by those in the electric
use categories is shown in Table 23. When the use of electricity is
examined according to the size of landholdings, an interesting aspect
is apparent. There are USERS, INACCESS IBLES, and NON-ADOPTERS in all
of the size of holdings categories. Nonetheless, there is some varia
tion in the size of the places of those in the different electric use
categories .
4
Not only is the group of minifundia the modal category for all
of those with farms, but it is also modal for those in each category
of the electric use characteristic. The small family-sized farm is
the second most frequent. INACCESSIBLES hold relatively fewer lotes
and more minifundia and family farms than is the case for those in
the other two electric-use categories. Those who have no access to
electricity fall between USERS and NON-ADOPTERS when cross-tabulated
with use or possession of the larger landholdings. As there were
only a small number of cases, SIZE FARM categories four and five are
combined for the remaining analyses.
A closer examination of the data reveals interesting variations
between USERS, NON-ADOPTERS, and INACCESS IBLES with regard to farm
size. The ratios of the percentage of the .total number of those in
a category of the electric use characteristic in a given classifica
tion of SIZE FARM to the percentage of those in another category in


192
to a halt. La Fortuna escaped damage, but the residents were evacu
ated and housed in tent villages in El Tanque and Los Angeles for
some three months before they were allowed to return to their homes.
Many never returned to La Fortuna; they re-settled far from the shadow
of the volcano. The village has yet to regain the momentum which had
seemed destined to carry it through a prolonged period of rapid growth.
The central portion of La Fortuna contains approximately 100 homes
containing some 600 people. The village is situated at the cutting
edge of Costa Rican national society. It functions as a frontier
settlement to provide the roughest varieties of the basic accouter
ments of civilization. Although it is a relatively small place, the
influence of La Fortuna is felt throughout most of the area being
studied. It serves as a service center for those in the adjacent
zones. The locality group of which La Fortuna is the nucleus is the
smallest complete community being examined. It is, nevertheless,
classified as a community rather than as a less complete form of
locality group. The services and institutions of the community meet
at least the minimum requirements of most of the people in the village
and in the area tributary to it.
La Fortuna is the seat of administrative-political authority for
a distrito (district). As such it has a district council and a
police chief. It is also the site of two subsidiary governmental
agencies. Branch offices of the Ministerio de Agricultura y Ganade
ra and of the Ministerio de Obras Pblicas (Ministry of Public
Works) are in the village. Two employees of the former, one of whom
works as an agricultural extension agent and the other as a promoter
of better family and domestic practices, are stationed in the village.


49
needed assistance would be forthcoming.
The San Carlos area was selected then because it has a diversity
of types of farming conducted on farms of various sizes, and because
of the willingness of the staff of the rural electric cooperative to
contribute to the research project. Once the broad region to be
examined had been selected, however, definite decisions on exactly
what portion was to be included had to be made. Although researchers
often do not mention them, cost, time, and logistical problems may be
over-riding considerations in conducting social science research. In
the present case, only those areas accessible by jeep and near lodgings
for the interviewers were considered.
In the selection of the precise zone of San Carlos to be studied,
we relied heavily on the advice of people who knew most about the
area. The opinion of Fredy Arroyo, manager of COOPELESCA and former
congressional deputy from San Carlos was most useful. After eliminating,
for a variety of reasons, all areas that did not meet the stated
criteria, the area between Florencia and La Fortuna was selected. The
final decision to use this particular zone was made only after the
research team had made a reconnaissance of it.
Selection of the Research Population.
About half of the estimated 500 interviews to be completed were
to be with users of electricity and the other half with non-users.
To insure consistency in the collection of the data, certain criteria
had to be established governing the inclusion or exclusion of those
to be interviewed. The criteria had to be impartially applicable to
users and non-users alike.


135
The relatively similar distribution of the INACCESSIBLES and NON
ADOPTERS according to MMEI indicates that the non-users are uniformly
\
less exposed regardless of the availability of electricity.
Transistorized, battery-operated radios are justifiably heralded,
as a major innovation, along with outboard motors, causing dramatic
change in the developing nations. Consequently, the importance of
the use of electric radios in San Carlos came as a minor surprise.
A radio was reported in more than eight out of ten households. This
ranged from a high of 88.1 percent of the USERS having radios to a
low of 70.^ percent for the NON-ADOPTERS. Approximately one-third
of the USERS owned electric radios rather than or in addition to
transistor models. Slightly more than one-tenth of all non-users, of
electricity reported that if they had electricity they would purchase
an electric radio. The preference indicated for owning electric
radios rather than trans isterized ones was made apparently because
electric radios generally have better capabilities at a lower operating-
cost than do battery-operated ones.
Higher MME I scores are shown to be positively associated with
the use of electricity. This is in part explained by the fact that
television depends, in most instances, on electricity for its recep
tion. An examination of the relationships which exist between expo
sure to the mass media and level of living as well as satisfaction
with life situation provides additional insight into understanding
the relationship between use of electricity and high MME1 scores.
' The results of the cross-tabulation of the MME1 with the
electricity-free level-of-1iving scale are presented in Table 21.
There is a strong positive association between level of living and


Table 17
A Comparison of Respondents In Past
SatIsfactlon-wlth-Llfe-S1tuatIon Index (SIT PAST)
Categories by the Three Electric-Use Categories
SIT PAST Categories
12 3^5
Electric-Use
Categories
(much
worse)
(worse)
(same)
(better)
(much
better)
TOTAL
USERS
Percent
1 .1
1 .6
22.7
40.0
34.6
100.0
Number
(2)
(3)
(42)
(74)
(64)
0 85)
INACCESS IBLES
Percent
2.4
8.3
20.7
42.0
26.6
100.0
Numbe r
(4)
04)
(35)
(71)
(45) .
(169)
NON-ADOPTERS
Percent
4.1
15.3
42.9
25.5
12.2
100.0
Number
(4)
05)
(42)
(25)
(12)
(98)
TOTAL
Percent
2.2
7.1
26.3
37.6
26 .8
100.0
Number
(10)
(32)
019)
(170)
(121)
(452)


225
5.Dnde viva Ud antes de mudarse para esta casa?
En una casa en la misma provincia
En una casa en el mismo cantn
En una casa en el mismo distrito '
Otro lugar, favor de especificar dnde
6. La ltima casa en la cual Ud. vivi estaba en:
Zona rural, campo
Pueblo
Ciudad
7. La ltima casa en la cual Ud. vivi tena electricidad? Si .
8. Cuntos cuartos o dormitorios hay en esta casa? cuartos
No


168
all livestock and/or dairy farms are operated by USERS.
The type of farm is but one of several sociocultural systems which
make up the way of life of agricultural people; the size of farm is
O
another of the systems (Smith 1969a:17). The interrelationship
between the type and the size of farms is strong, and one which must
be examined in order to gain an understanding of the influence of the
specific types of agricultural and pastoral production on the lives
of rural inhabitants.
The results of the cross-tabular analysis of TYPE FARM and SIZE
FARM are presented in Table 28. It is immediately apparent from these
data that the entities in the area devoted to crops are smaller than
those devoted to pastoral enterprises. In fact, only three agri-

cultural places encompass more than 50 manzanas of land, and only one
place typed as a livestock or dairy producer is a minifundium. The
modal size of all three of the agricultural types of farms is from two
to 9.9 manzanas; that of mixed-livestock places is from ten to 49.9
manzanas; and that of livestock places is from 50 to 99.9 manzanas.
It is shown that there are definite relationships between TYPE
FARM and SIZE FARM. The pastoral places are larger than are those
given over to mainly agricultural production. Previously it has been
demonstrated that, by itself, the size of.farm is not an adequate
indicator of level of living, a factor shown to be highly associated
with the use of electricity. Consequently, it is of interest to view
the relationship between TYPE FARM and the electricity-free level-of-
8 In this article Smith provides a complete enumeration and
cogent discussion of 12 rural socio-cultural systems.


Figure 10
SIT TOT
Mean Total Sat Isfactlon-wlth-LIfe-SItuatIon Index (SIT TOT)
Scores for USERS, INACCESSIBLES, and
NON-ADOPTERS by Age of Heads of Households
30-39
40-49
15-29
Age of Heads of Households
(In years)
50-59
60-over


160
Table 25
A Compsison of Size of Farms by
Electricity-free Level-of-Living Scale (LEVELNOE)
Categories
Size of Farms
(in manzanas)
LEVELNOE
1
2
3
4 & 5
TOTAL
Categories
(Under 2)
(2-9.9)
(10-49.9)
(50-over)
1 S- 2 (low)
Percent
47 .7
34.8
25.4
16.7
30.3
Number
00)
(31)
(18)
(5)
(64)
3 (medium)
Percent
33.3
39.3
39.4
30.0
37.4
Number
(7)
(35)
(28)
(9)
' (79)
4 & 5 (high)
Percent
19.0
25 .9
35.2
53.3
32.3
Number
(4)
(23)
(25)
(16)
(68)
TOTAL
Percent
100.0
100.0
100.0
100.0
100.0
Number
(21)
(89)
(71)
(30)
(211)


256
Nelson, Lowry
1925 A Soc? al Survey of Escalante, Utah. Provo: Brigham Young
University Studies No. 1.
1928 The Utah Farm V?11 age of Ephraim. Provo: Brigham Young
University Studies No. 2.
1930 The Mormon Vi 11 age: A Study in Sbc? a 1 Origins. Provo:
Brigham Young University Studies No. 3.
1933 Some Soc? al and Economic Features of American Fork, Utah.
Provo: Brigham Young University Studies No. 4.
1948 Rural Sociology. New York: American Book Company.
1950 Rural Cuba. Minneapolis: University of Minnesota Press.
1952 The Mormon V?11 age: A Pattern and Technigue of Land Sett 1ement
Salt Lake City: University of Utah Press.
1956 Rural Sociology, 2nd ed. New York: American Book Company.
1969Rural Sociology: 1ts Origins and Growth in the Uni ted
States. Minneapolis: University of Minnesota Press.
Nesmah, Edgar G.
1969 A Sociological Study of the Relat ? ons of Man to the Land
in Nicaragua. Gainesville: University of Florida. Ph.D.
dissertation in sociology.
Nie, Norman H, Dale H. Bent, and C. Hadlai Hull
1970 SPSS: Stat ? stical Package for the Soc? al Sciences. New
York: McGraw-Hill Book Company.
Norris, Thomas L.
1953 "Economic Systems: Large and Small Land Holdings." Pp. 89-
104 in Charles P. Loomis et al., Turr?alba: Social Systems and
the Introduction of Change. Glencoe, Illinois: The Free Press
Posada, Antonio J., Jr., and Jeanne de
1966 The CVC: Chali enge to Underdevelopment and T rad itionalism.
Bogot: Ediciones Tercer Mundo.
Rogers, Everett M. with Lynne Svenning
1969 Modern ization Among Peasants: The Impact of Communication.
New York: Holt, Rinehart and Winston, Inc.
Rogers, Everett and M. FI yd Schoemaker
1971Communication of Innovations: A Cross-Cultural Approach.
New York: The Free Press.
Rose, John Kerr
1940 "Rural Electrification: A Field for Social Research." Rural
Sociology 5 (December): 411-26.


Table 21
A Comparison of Respondents According to Categories of
Electricity-free Level-of-Ltving Scale (LEVELNOE) by Categories
of Mass-Media-Exposure
Index (MMEI)
MMEI
LEVELNOE Categories
Categories
1 2
345 TOTAL
(low)
(high)
1 (low)
Percent
9.3
41 .7
32.5
13.2
3.3
100 .0
Number
(14)
(63)
(49)
(20)
(5)
051)
2 (moderately low)
Percent
9.2
31 .5
32.6
21 .8
4.9
100.0
Number
07)
(58)
(60)
(40)
(9)
(184)
3 (moderately high)
Percent
3.8
19.0
46.8
25.3 .
5.1
100.0
Number
(3)
05)
(37)
(20)
(4)
(79)
4 (high)
Percent
0.0
21 .1
21 .1
28.9
28.9
100.0
Number
(0)
(8)
(8)
(11)
(H)
(38)
TOTAL
Percent
7.5
31 .9
34.1
20.1
6.4
100.0
Number
(34)
(144)
054)
(91)
(29) .
(452)
V-O
ON


202
to locality groups outside of San Carlos. He has a brother living
in the city of Alajuela. Because of the close contact between the
two, he is partially integrated into the community of Alajuela. As
a resident of the province of Alajuela and of the country of Costa
Rica, he is politically and administratively incorporated into the
provincial community centered on the city of Alajuela and the national
community centering on San Jos.
As a result of his activities as a neighborhood leader as well
as because of his knowledge of those living in his neighborhood,
Vargas is utilized as a contact person. Community organizers often
consult with Vargas to gauge reactions to their ideas and plans for
neighborhood action projects. Due to his willingness to try out new
agricultural techniques, Vargas was one of the first farmers in the
area to experiment with new methods for growing corn. Agents of the
J Ministerio de Agricultura y Ganadera monitor his progress and
frequently visit him and thus increase his integration into larger
locality groups.
Jorge Vargas is primarily a member of a small rural neighborhood,
secondarily a part of several larger communities, and thirdly a peri
pheral' member of other communities. In varying degrees of intensity
he is simultaneously integrated into several -locality groups.
Don Csar is a rural patriarch whose influence is based on the
knowledge he possesses and the ideas which he exchanges with others.
He is a farmer and both a local and regional leader. Don Csar is
an anomaly in that he is Protestant in a Catholic country.
Don Csar lives on a farmstead in a home fronting on a principal
road near the hamlet of Ro Tigrillo. He is part of a rural neigh-


129
Figure 13
Mean Total Satisfaction-with-Life-Situation
Index (SIT TOT) Scores for USERS, INACCESSI BLES,
and NON-ADOPTERS by Electricity-free Level-
of-Living Scale (LEVELNOE) Categories
SIT TOT
LEVELNOE Categories


239
109. Ud. usa electricidad en la casa pero no para la finca. Podra
decirme por qu?
\
110. Tiene Ud. planes de usar electricidad para la finca en el
futuro prximo? S No
111. Para qu utilizara Ud. electricidad en la finca? Hgame el
favor de expli car .
112. Qu equipo elctrico planea Ud. adquirir para la finca?
(APUNTAR EQUIPO)
PASE A PRETUNTA NUMERO 140
UTILIZACION DE LA ELECTRICIDAD EN LAS FINCAS
(EN ESTA SECCION LAS PREGUNTAS No. 113 AL No. 131 DEBEN SER LLENADAS
UNICAMENTE POR ENTREVISTADOS QUE TIENEN MEDIDORES PARA EL USO AGRI
COLA DE LA ELECTRICIDAD Y PARA AQUELLOS QUE RECIBEN ELECTRICIDAD PARA
FINES AGRICOLAS DE ALGUNA FUENTE QUE NO SEA LA COOPERATIVA ELECTRICA
DE SAN CARLOS)
113. Utiliza Ud. electricidad para alumbrar afuera? S
No H4
Cuntos bombillos utiliza para este ffn?
114. Utiliza Ud. electricidad para alumbrar las instalaciones de la
finca? S No
115. En qu construcciones tiene Ud alumbrado elctrico?
, 117
En ninguna ;
116. Cuntas bombillas utiliza para alumbrar estas instalaciones?
117.Tiene Ud. mquinas o equipos elctricos en su finca? S
119
No
118
Cules? Mencinelas, por favor


34
The Study of Rural Electrification in Costa Rica.
The progressive nature of Costa Rica is readily apparent in the
field of rural electrification. The Insti tuto Costarricense de Elec-
tr?cidad (Costa Rican Electrical Institute) (ICE) is the centralized
agency which governs both the generation and distribution of electrical
current throughout the country outside of the capital city, San Jose.
Because of its interest in both economic and social investigation,
rural electrification has been examined in Costa Rica. The published
literature, however, deals mainly with the construction of generating
and distribution projects and with economic feasibility reports. The
evaluation of the impact of energy in rural areas has been given
secondary importance.
Typical of the ICE publicat ions was Desarrollo de 1 a Industria
Elctrica de Costa Rica (1956). This pamphlet contained a wel1 written
section on the creation of ICE, a complete description of the genera
tion and distribution of electrical energy in Costa Rica as of 1956,
and a projection for increased electrical output through 1965.
Other studies of the subject have been published by the Consejo
Interamer?cano Econmico y Social (Interamerican Economic and Social
Council) of the Organization of American States. Among its publica
tions is Resea del Primer Proyecto Pi 1 oto de Cooperativa Rural Elc-
t rica de San Jos de Naran j o, Costa Rica. This pilot project for rural
electrification served as the model on which the other two rural elec
tric cooperatives, including that of San Carlos, were patterned.
The first study in Costa Rica which alluded to the impact of rural
electrification was Estudio Agrfcola-econmico de 1 a Cuenca Media del
RTo Grande by Oscar R. Benavides (1956). Benavides working under the


231
58. Su patrono es propietario, arrendatario (u otra persona)
Propietario Arrendatario Otro
59. Es Ud. quien maneja sus terrenos o su finca?
Sf 61 No
60. Quin maneja sus tierras para Ud.?
Un empleado
o mandador
un familiar
61. Cuntas manzanas de tierra son de su propiedad?
Mzs .
62. Es Ud. el nico dueo de esas tierras?
Sf 64 No
63. Quin ms es dueo de esas tierras?
Un familiar
Otro (especifique)
64. Arrend Ud ., alquil o utiliz en alguna otra forma otros terre
nos para la agricultura, durante el ltimo ao?
S No 67
65. Cuntas manzanas arrend, alquil o utiliz en alguna forma?
Mzs .
66. Qu arreglo o contrato hizo para poder usar esa tierra?
67. En su opinin, cunto vale una manzana de tierra, una con otra,
de la que Ud. est usando? C
En las preguntas que siguen, con respecto a la tierra, hgame el favor
de incluir todos los terrenos que Ud. acaba de mencionar.


ACKNOWLEDGMENTS
This dissertation would have been impossible without the excep
tional assistance given me by professors at the University of Florida,
by the members of the University of Florida Rural Electrification
Project team, and by many people of Costa Rica.
I owe a sincere debt of gratitude to my major professor, Dr. T.
Lynn Smith, for preparing me to undertake a study as complex as the
present one. Drs E. Wilbur Bock, David Bushnell, Benjamin Gorman,
and Joseph Vandiver have been both esteemed teachers and willing
advisers in the development of this dissertation.
Much of the pleasure I found in doing this study was derived from
my association with stimulating and interesting colleagues. Dr. James
E. Ross admirably directed the Rural Electrification Project. Galen
C. Moses provided an exacting counterpoint to me. Dr. John V. D.
Saunders was an urbane companion as well as a major factor in deter
mining the content and direction of this project. Much of the analy
sis would have been substantially curtailed without the able computer
programming provided by Oleh Wolowyna. Norman Markworth, Terry Jabaly,
and Marfa Leon furnished uniformly superior coding.
Victor Hugo Cspedes and Alvaro Vargas of the Institute of
Economic Investigations, University of Costa Rica greatly facilitated
the efforts in conducting the field survey. This project would not
have been possible without the superb work of Vargas and his team
i i


43
who paid for electricity supplied by COOPEL'ESCA were ipso facto
members of that organization. One of the stated goals of cooperatives
is to disseminate knowledge of cooperatives and to strive to create
more cooperative efforts. Therefore, it was pertinent to see if this
had transpired in San Carlos. And lastly, comprehension of the types
and strengths of the various organizations, groups, and associations
in a given community help give an understanding of it.
The analysis of socio-economic characteristics is a useful way
of classifying the members of a community into workable categories
of those sharing similar traits. The accurate classification of the
socio-economic characteristics of the members of a society is, m
reality, sufficient work for a large separate research project.
Nevertheless, the need for this information dictated that appropriate
data be compiled. A level-of-1iving scale was incorporated in the
survey schedule. The scale, patterned after the work by Belcher
(1972:208-220) examined the way in which fourteen different and
necessary household functions were performed. The scale is based
upon the answers to fourteen questions dealing with such things as
the storage of water, modes of transportation, and the type of
1 ighting used .
This discussion on the sources of data has been designed to in
form the reader of the ways in which the data used in this study were
gathered. The use made of the collected data is discussed in the
following section.


184
Locality Group Typology
The concept of locality groups of various sizes and degrees of
1
complexity is of central importance to this chapter. Involved is
a schema representing the various-sized social groupings of people
who are related or linked together through social interaction. The
theoretical structure of locality groups incorporates as its primary
components the concepts of the "neighborhood" and the "community"
In defining these terms, this author closely follows Smith (1967a:
287-327) who in turn has been influenced by the work of Galpin (1915)
and Maclver (1920, 1931, and 1937). The neighborhood is defined as
a place with a small number of people in which intimate face-to-face
contact is maintained almost on a daily basis (See Cooley, 1925).
Smith, defines a community as a geographic entity, that is, an area
of interaction with finite boundaries which includes, in Maclver's
words, "any circle of people who live together, who belong together,
so that they share, not this or that particular interest, but a
whole set of interests wide enough and complete enough to include
their lives in a community" (1931:9-10).
The community and the neighborhood are conceptualized terms
which are useful in defining certain types of locality groups. They
are, however, insufficient for describing the wide range of locality
groups which are in existence. Smith has contributed greatly towards
^ Much of the sections dealing with locality groups and levels
of integration has been developed as the result of a series of long
talks with Dr. T. Lynn Smith. I sincerely thank him for those ideas
of his which I have molded for inclusion in this chapter.


13 Percentages of USERS and NON-ADOPTERS by
Categories of Electricity-free Level-of-Living
Scale (LEVELNOE) and Ratios of Percentages of
USERS to NON-ADOPTERS 101
14 A Comparison of Respondents in Present
Sat isfaction-with-Life-Situation Index (SIT
PRES) Categories by the Three Electric-Use
Categories Ill
15 Arithmetic Means for Respondents of Satisfaction-
with-Life Indexes for Categories and Combinations
of Electric-Use Categories 113
16 Scores of T-Tests for Differences between
Arithmetic Means and Levels of Significance for
Categories and Combinations of Electric-Use
Categories by Satisfaction-with-Life-Situation
Indexes 115
17 A Comparison of Respondents in Past Sat is faction-
wi th-Life-Situation Index (SIT PAST) Categories
by the Three Electric-Use Categories 116
18 A Comparison of Respondents in Future
Satisfaction-with-Life-Situation Index (SIT FUT)
by the Three Electric-Use Categories 118
19 A Comparison of Respondents in Total
Satisfaction-with-Life-Situation Index (SIT TOT)
Categories by the Three Electric-Use Categories... 120
20 A Comparison of Respondents According to Mass-
Media-Exposure Index (MMEl) by Electric-Use
Categories 134
21 A Comparison of Respondents According to
Categories of Electricity-free Leve 1-of-Living
Scale (LEVELNOE) by Categories of Mass-Media
Exposure Index (MMEl) 136
22 A Comparison of Respondents According to
Grouped Categories of Total Satisfaction-with-
Li fe-S i tuat ion Index (SIT TOT) by Categories
of Mass-Media-Exposure Index (MMEl) 138
23 A Comparison of the Size of Farms of Those
in the Three Electric-Use Categories 156
24 Percentages of USERS, INACCESS I BLES, and NON
ADOPTERS by Size of Farm (SIZE FARM) Categories
and Ratios of Each to the Others 159
vi


244
146. Ahora dgame por favor, s¡ Ud. se ganara diez mil colones en la
lotera, qu hara con ellos? '
PARTICIPACION SOCIAL
147.
148.
149.
Pertenece Ud. algn club, asociacin, cooperativa u otro grupo?
S No 155
Cmo se llaman estos grupos?
Ha tenido usted alguna posicin de importancia en alguno de es
tos grupos? Por ejemplo: delegado, tesorero, presidente?
15T o 155
S
No
150.
a) Qu posicin tuvo o tiene Ud? b) Cmo se llama el grupo?
Posicin Grupo
(SI LA COOPERATIVA ELECTRICA DE SAN CARLOS FUE MENCIONADA POR EL ENTRE
VISTADO, HACER LAS PREGUNTAS No. 151 a No. 154)
151. Sabe Ud. el nombre de su delegado a la Cooperativa Elctrica
de San Carlos?
152
S
No
152. Cmo se llama?
153. Ha asistido Ud. a alguna reunin de la Cooperativa Elctrica de
160
San Carlos? S
No
154. A cuntas reuniones ha asistido Ud?
160
(SI LA COOPERATIVA ELECTRICA DE SAN CARLOS NO FUE MENCI ONADA ,POR EN
ENTRIVESTADO HACER LAS PREGUNTAS No. 155 a No. 160)
155. Es Ud. miembro de la Cooperativa Elctrica de San Carlos?
158
S
No


179
substantial number of young persons worked as either unpaid or minimally
reimbursed laborers on their family farms.
Only nine of the 16 farm administrators enumerated provided any
facts on the size of the places they supervised. As might be expected,
these holdings were relatively large; two-thirds of them contained at
least 50 manzanas of land.
The production of agricultural and pastoral goods is shown here
to be mainly the concern of those who list these activities as their
primary source of income. The fact that land ownership is closely
tied to farm operations is also evident in the analysis. Those who
own the land are the ones who produce goods and, apparently, provide
much of the labor. This knowledge coupled with the previously stated
*
findings on the size of the holdings enables one to draw the conclusion
that the area of San Carlos studied is one where owner-operated farms
of moderate size predominate.
Ml icultural Ladder.
The concept of an "agricultural ladder" has reference to the
step-wise, vertical occupational mobility structure sometimes found
among those engaged in agricultural or pastoral endeavors. Smith
discussed the concept as follows:
Generally speaking, the young farmer on his way to
ownership began work as an unpaid laborer on the
home farm and remained until the age of nineteen;
then he probably hired out to neighboring farmers
for a cash wage; after a brief interval in this
category, or the second rung of the agricultural
ladder, the young farmer amassed sufficient savings
to purchase a team and equipment and advanced to
the third rung of the ladder, the tenant or inde
pendent renter stage. Eventually farm ownership
was attained by all but a small proportion (1953:
580-581).


Abstract of Dissertation Presented to the Graduate Council of the
University of Florida in Partial Fulfillment of the
Requirements for the Degree of Doctor of Philosophy
THE IMPACT OF RURAL ELECTRIFICATION
IN COSTA RICA
By
J. Michael Davis
June 1974
Chairman: Dr. T. Lynn Smith
Major Department: Sociology
This dissertation examines the impact of rural electrification
on residents of the region of San Carlos, Costa Rica. The objectives
of the study are to evaluate the sociocultural differences which may
be attributable to the use or non-use of electricity; to develop
sociological instruments which may be utilized effectively for
evaluating the impact of rural electrification in different cultural
and national settings; and to record benchmark data. A we 11-developed
rural sociological frame of reference provides the conceptual per
spective for the study.
A total of 452 heads of households were interviewed under the
supervision of the author by trained Costa Rican interviewers. The
data gathered from the survey research were supplemented by those
amassed through personal observations. The data were drawn from
respondents in a carefully selected area. It is one in which ap
proximately half of the residents were within reach of the distribution
lines of a central source of electrical energy. In this sub
population were both adopters and non-adopters of electricity. The
x


94
to be the best available technique for assessing levels of living
between disparate social and national groups. Furthermore, real
rather than the symbolic performance is stressed.
The level-of-1iving scale (LEVEL) incorporated into this study
is patterned after that developed by Belcher. LEVEL is based on the
responses to fourteen questions included in the survey schedule (See
Appendix A, p246-249). The scale contains six categories as shown
in Table 10 .
The distribution of respondents according to the categories of
LEVEL for the total population approximates a bell-shaped curve.
Category three is the modal one embracing 23.2 percent of the
respondents. With the exception of category one, each of the groupings
contains at least one-tenth of those interviewed. The level-of-1iving
scale was cross-tabulated with the electric-use categories. A Chi-
Square test shows that the probabi 1ity of this distribution occurring
by chance is less than 0.001.
The USERS, those who use electricity supplied by C00PELESCA,
are clustered toward the upper end of the level of living scale. Of
the 185 USERS, only 40, or 21 .6 percent, are not in the upper half of
the LEVEL groupings. The INACCESSIBLES, those who are beyond the
reach of the C00PELESCA distribution system,- are concentrated in the
lower middle range of LEVEL. Only 27.8 percent of the INACCESS IBLES
are grouped in the upper three categories of LEVEL. The NON-ADOPTERS,
those who could but have not availed themselves of the opportunity of
utilizing C00PELESCA electricity, dispropor.t ional ly fall into the
lower reaches of the level-of-1iving scale. Over half, 57.2 percent,
of the NON-ADOPTERS are in the lowest two categories of LEVEL.


66
Demographic Characteristics
A total of 452 households are included in the survey research
portion of the study in Costa Rica. For our purposes a household is
defined as including all pe.rsons living together in one dwelling,
regardless of blood or marital relationships. It is a modified pa ren
te 1 a family system.' In addition to data for those actually residing
in the houses where interviews were conducted, data were also col
lected for the children of the head of the household who lived else
where, and for dead children.
The total research population numbers 3,510 people including de
ceased members of the household. An attempt was made to gather the
following information for all of them: name, relationship to the
head of the household, sex, age, marital status, last year of school
completed, principal occupation, and current school attendance. For
children who lived away from home, data on their location were secured.
Only name, sex, and age-at-death data were compiled for deceased
children. Additional information dealing with the migration history
of the heads of the households was obtained.
Of the 3,258 people enumerated, 532 are children who reside
elsewhere. Thus, the total resident population to be discussed
numbers 2,726 residents of the area of San Carlos.
This demographic analysis has three principal features. When
possible, characteristics of the entire population are analyzed. Of
more importance, however, is the examination of the characteristics of the
' For further commentary on the concept of the parentela see
Charles Wagley (1963) and T. Lynn Smith's concise analysis of Wagley's
work (1972a:709-12) .


79
portance of these two groups among the INACCESS IBLES. The residences
of more than three-quarters, 78.7 percent, of the farm operators
living within reach of the COOPELESCA lines are connected with them,
whereas only 51 .0 percent of the residences of farm laborers are so
1inked .
All of the teachers who have been able to connect with lines to
bring electricity to their homes have done so. One of these when
asked what was the major importance of electricity for her replied
that it enabled her to grade papers at night. The teachers in the
INACCESSIBLE group appeared to be under-enumerated. It is probable
that the teachers who worked in this zone lived in the town of La
Fortuna, which was excluded from the study area, and commuted daily
#
to work.
Of the 23 merchants, including those having commercial establish
ments ranging in size from the small pulperfa (convenience store) to
the almacn (general store), who live within reach of COOPELESCA1s
electrical distribution lines, only one did not utilize electricity.
Over half of the 25 unemployed household heads in the COOPELESCA area
are NON-ADOPTERS. Many are retired farm laborers who live on gratuities
received from relatives and neighbors and cannot afford electricity.
The highest rates of adoption are found among teachers and
merchants. Teachers are urban-oriented, accustomed to the use of
electricity and have working hours that include the hours of darkness.
Merchants can profit most immediately from the use of electric current.
For instance, in a hot climate cold drinks 'sell better than those that
are at room temperature. Next most likely to have electricity are
farm operators, followed by farm laborers, and lastly come the unem-


CHAPTER IV
SOCIAL CORRELATES
The introduction of electricity into a rural area affects the
1ives of both those who adopt its use and those who elect not to do
so. Some of these effects are examined in this chapter.
To give a better understanding of the specific population studied,
the chapter begins with a demographic analysis of the respondents and
their families. The analysis focuses on the variations in specific
characteristics found between those in the different electric use
categories, that is between USERS, INACCESSIBLES, and NON-ADOPTERS.
The demographic characteristics are viewed as independent in their
relationships. Because electricity has been available in the area
studied for less than four years, it can be argued that the use or
non-use of it has not been the antecedent of any demographic changes.
Attention is next paid to three evaluative measures: level of
living, satisfaction with life situation, and exposure to the mass
media. Emphasis is placed on the relationships between these
constructs and the respondents placed In the three electric-use
categories. In the analyses, the INACCESSIBLES are utilized as a
control group. Significant differences found between the USERS and
NON-ADOPTERS which also deviate from the characteristics of those

in the control group are posited to have been influenced by the adop
tion or non-adoption of electricity.
65


Table 23
A Comparison of the Size of Farm of Those
In the Three Electric-Use Categories
Size of Farm
(In manzanas)
1 2 3
4
5
TOTAL
Elect r1c-Use
(100
Categories (Under 2) (2-9.9) (10-49.9)
(50-99.9)
-over)
USERS
Percent
11 .5
39.6
32.3
10.4
6.2
100.0
Number
00
(38)
(31)
(10)
(6)
(96)
INACCESSIBLES
Percent
5.9
44.7
36.5
8.2
4.7
100.0
Numbe r
(5)
(38)
(31)
(7)
(4)
(85)
NON-ADOPTERS
Percent
19.4
41 .9
29.0
3.2
6.5
100.0
Number
(6)
03)
(9)
0)
(2)
(31)
TOTAL
Percent
10.4
41 .9
33.6
8.5
5.6
100.0
Number
(22)
(89)
(71)
08)
(12)
(212)
U1
ON


188
population of the city is listed as 15,467-and the total population
of the cantn is given as 49,326, in the Anuario Estadstico de Costa
Rica 19&9 (Costa Rica, Direccin General de Estadstica y Censos
1971:14). Thus, roughly one-third of the inhabitants of the cantn
are urban.
Although it is of moderate size, the urban nucleus called Ciudad
Quesada has several well-defined functions, the exercise of which
strongly affect the rural residents of a vast surrounding and tribu
tary area. The most important of these functions is that of a com
mercial and trade center. Located in the city are retail and whole
sale outlets and commercial services dealing in clothing, drugs,-
veterinary services, hardware, farm supplies, appliances, and so on.
Of importance to this study are the numerous appliance stores which
stock electrical apparatus ranging from the most simple one-burner
hot plates to the most elaborate component-parts of high-fidelity
record players and tape-recording units.
Closely allied with the commercial activities are the city's
financial services. A major branch of the Banco Nacional de Costa
Rica (National Bank of Costa Rica) and an agency of the Banco Anglo
(Anglican Bank) are located in it. In addition to the normal business
transactions, both of these banks have major programs of supervised
credit which they offer to agriculturalists. The Banco Nacional also
has a large warehouse for the storage of crops sold to the government
as part of the program of guaranteed minimum prices for crops.
Working with the supervised-credit program of the banks is the
staff of the regional office of the Ministerio de Agricultura
Ganadera (Ministry of Agriculture and Livestock) (MAG) located in


249
6 Otros: Explicar
180. Construccin del techo del frente
1 Paja
2 Caa, teja, madera
. i
3 Aluminio
4 Zinc
5 Asbesto cemento, hormign
6 Otros: Explicar
181 Facilidades para fregar los trastos
1 Ninguna, lava en quebrada, rfo
o arroyo
2 Vasija para fregar que se tiene
para varios usos
3 Vasija para fregar que se tiene
para la losa exclusivamente
4 Fregadero con desage
5 Lavadora elctrica de platos
6 Otros: Explicar
182. Facilidades para el aseo personal
1 Rfo, arroyo, llave pblica
2 Bao con "guacal"
3 Bao con agua fra
4 Bao con agua caliente
5 Tina y ducha
6 Otros: Explicar


35
tutelage of Olen E. Leonard studied 371 farms in the Meseta Central
of Costa Rica. Although the study concentrated on a man-land relations
analysis of the farms, Benavides did provide some information on the
use of electricity in the rural areas.
An important contribution to the body of literature which pointed
out the need for further analysis of the impact of rural electrifica
tion was made by Galen C. Moses. His study, Cooperative Rural Electri
fication in Costa Rica (1969), analyzed social and economic charac
teristics affected by both the present and expected electrical use in
rural areas. Since his work focused on the projected utilization of
electric current, his treatment of the impact of centrally distributed
current was limited. Ross edited and summarized the Moses study .as
part of his Cooperat ? ve Rural Elect rif? cat ion: Case Studies of Pilot
Projects in Latn Amer?ca (1972).
This dissertation relies to a large extent on the pilot study
by Moses as a point of departure. This dissertation, however, attempts
to break new ground in that it incorporates a wel1-developed rural
sociological frame of reference in an attempt to isolate and examine
those aspects of a rural society in Costa Rica which are altered or
otherwise affected by the use of electrical power.


Table 7
A Comparison of the Previous Place of
Residence of Heads of Households by the
Three Electric-Use Categories
Electric-Use
Categories
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
i
San Carlos
Previous Place of Residence
Meseta Central
Other
Costa
Rica and
Fore i gn
TOTAL
(Same
District)
(Ciudad
Quesada)
(Other)
(Met ro
po 1 i tan
San Jos)
(Other)
USERS
Percent
59.0
4.4
13.1
3.2
11 .5
8.8
100.0
-
Number
(108)
(8)
(24)
(6)
(21)
06)
083)
INACCESSIBLES
Percent
54.3
1 .2
19.2
1 .8
6.2
17.3
100.0
Number
(88)
(2)
(31)
(3)
(10)
(28)
(162)
NON-ADOPTERS
Percent
56.2
5.2
15.6
6.3
6.3
10.4
100.0
Number
(54)
(5)
05)
(6)
(6)
(10)
(96)
TOTAL
Percent
56.7
3.4
15.9
3.4
8.4
12.2
100.0
Number
(250)
05)
(70)
05)
(37)
(54)
(441)
oo


Table 11
A Comparison of Respondents in ElectrJetty-free
Level-of-LIvIng Scale (LEVELNOE) Categories by the
Three Electric-Use Categories
Electric-Use
Categories
1
(low)
2
LEVELNOE Categories
3 4 5
(high)
TOTAL
Ar1thmet1c
Means
USERS
Percent
2.2
15.7
36.2
31 .9
14.0
100.0
3.4
Number
(4)
(29)
(67)
(59)
(26)
(185)
INACCESS IBLES
Percent
8.9
38.5
37.8
14.2
0.6
100.0
2.6
Number
(15)
(65)
(64)
(24)
(1)
(169)
NON-ADOPTERS
Percent
29.6
bl .8
18.4
8.2
1 .0
100.0
2.1
Number
(29)
(42)
(18)
(8)
(1)
(98)

TOTAL
Percent
10.6
30.1
33.0
20.1
6.2
100.0
2.8
Number
m
(136)
(149)
(91)
(28)
(452)
vo


59
The 212 agricultural-pastoral units enumerated in the survey
3
research ranged in size from less than one-half manzana to 800
manzanas. In order to meaningfully examine the relationships between
size of .farm and other characteristics, it was necessary to group
these units into a manageable number of categories. The Costa Rican
Censo Agropecuario (Census of Agriculture) lists twenty-three size-of-
landholding categories (Direccin General de Estadstica y Censos,
1965). Following the work of Smith (1953, 1967a, and 1972a) and
Upham (1969) these were condensed into five categories. Farm-like
units of less than two manzanas are included in the first categoryd
The second through fourth classes contain, respectively, holdings of
at least two but less than ten manzanas, at least ten but less than
*
fifty manzanas, and at least fifty but less than 100 manzanas. The
last category contains all holdings have 100 or more manzanas.
Two peculiarities of this system of classification should be
noted. The limits of the smallest and largest entities are reflec
tions more of the data collected than of conventional classifications
of the size of landholdings. Because the data used were collected
through survey research, the reported area of land must be viewed as
an approximation. It obviously is not as exact as would have been
the case if cadastral records had been secured. The inexactitude of
the data is expected to be most pronounced in the reporting of the
size of the smallest entities. To counter this, the upper limit of
the lowest category was set at two manzanas rather than 1.5 manzanas,
a figure consistent with the categorization-used in the Censo Agrope-
3
One manzana =0.7 hectares = 1 .7 acres


198
All four have certain characteristics in common. Each has at least
one store, a soccer field, and ten to twenty families living in a
small cluster.
In addition to the satellite hamlets already discussed, there is
one clear-cut example of an open-country rural neighborhood in the
study area. This is San Rafael which, although it is a satellite of
San Isidro de Rfo Peas Blancas, is of lesser importance than the
segmented rural neighborhoods previously discussed. San Rafael is
spread out along the main road between the cut-off to San Isidro
and the bridge over the Peas Blancas river. There are eleven families
in the area. San Rafael, in addition to being a natural primary
group in which there is daily face-to-face contact between residents
(Cooley, 1925:23), has its social solidarity strengthened by a task-
oriented issue. The families in San Rafael have made a collective
application to have one line installed to supply electrical current
to all of the houses in the neighborhood.
San Rafael is smaller than the small satellite hamlets found in
the area. It can be properly placed in the eleventh level of the
size of locality groups in Costa Rica. While there are undoubtedly
other examples of the rural neighborhood in the area studied, they
were not identified by this researcher.
The twelfth and final level of locality groups differentiated
by this author in Costa Rica is the isolated rural family living on
a scattered farmstead. Innumerable examples of this type of locality
group exist in the research area. It is, however, difficult to
differentiate between those families which are truly isolated and
those who appear to be separated but who are in reality an integral


24
in Latin America. The lack of knowledge of Latin America available
in the United States at that time was appalling. An attempt to rec
tify that situation caused the formation in the United States Depart
ment of Agriculture of the Office of Foreign Agricultural Relations
(OFAR). This office in conjunction with the United States Department
of State hired rural sociologists to conduct investigations in Latin
American countries. Out of this endeavor came some of the standard
studies of Latin American societies written by T. Lynn Smith, Carl
2
C. Taylor, Nathan L. Whetten, Olen E. Leonard, and Lowry Nelson.
T. Lynn Smith went to Brazil. The results of his findings were
publ i shed in Braz? 1 : People and Inst ?tut ions (1946) ; the fourth, edi-
tion of the work appeared in 1972. Included in this book is a com
plete analysis of the institutionalized relationships between man and
the land. One of its maj'or contributions is the chapter entitled
"Systems of Agriculture," the first presentation of this aspect of
the study of rural societies. Rather than limiting himself to the
Brazilian half of the South American continent, Smith has also become
involved in examining rural societies. His contributions in the area
will be discussed later.
Carl C. Taylor published Rural L ? fe ? n Argentina (1948) based on
his field work in that country. In his book Taylor focused on the
importance of different types of farming in the several geographic
regions of Argentina. Nathan L. Whetten has written two masterful
books about Latin American societies. His first was Rural Mexico
(1948). Not only did he analyze the demographic aspects of the Mexican
Lowry Nelson (1969: 142-9) has an extremely cogent discussion
of the work of these sociologists in his book on the evolution of
rural sociology.


30
The Development of the Study of
Rural Electrification
As indicated above the framework used in this dissertation is
that of rural sociology; the subject matter is rural electrification.
An important aspect of this chapter is therefore to sketch the develop
ment of the study of rural electrification. The study of rural elec
trification is somewhat less developed than is the field of rural
sociology. The literature dealing with the topic is, consequently,
not as voluminous.
The Study of the Impact of Rural Electrification .
Basically three types of reports dealing with the impact of

rural electrification have been made available. The first type in
clude those done either by employees of or by those sympathetic with
the goals of the National Rural Electrification Cooperative Associa
tion (NRECA). This literature is naturally very supportive of the
objectives of NRECA and especially of the betterment in rural life
which is attributable to the use of electricity. The second type in
cludes those dealing with the mammoth rural electrification develop
ments in conjunction with the Tennessee Valley Authority (TVA) projects
These investigations deal primarily with new uses of rural electricity
rather than with the impact per se of the process of electrification.
The third group consists of agricultural-economic studies of a
rudimentary nature. They are addressed to the actual impact of rural
electrification. Regardless of the multidirectional nature of the
research on the subject, the body of published literature is small.
Elect r? c Development as an Aid to Aqri cu 11 ure by Guy E. Tripp


255
1948a Cantn Chul 1 pas : A Socioeconomic Study in the Cochabamba
Valley of Bolivia. Washington, D.C.: U ,S. Department of
Agriculture (U.S.D.A.), Office of Foreign Agricultural
Relations.
1948b Santa Cruz: A Socioeconomic Study of £n Area in Bolivia .
Washington, D.C.: U .S Department of Agriculture (U.S.D.A.),
Office of Foreign Agricultural Relations.
1952 Bolivia: Land. People and Institutions. Washington, D.C.:
The Scarecrow Press.
Li 1ienthal, David E .
1944 TVA: Democracy on the March. New York: Harper and Brothers
Publishers .
Loomis, Charles P., and J. Allan Beegle
I95 Rural Sociology: A Textbook in Rura1 Sociology and Anthro
pology New York: Prentice-Hall, Inc.
Loomis, Charles P. et al .
1953 Turr1 a 1ba: Social Systems and the Introduction of Change .
Glencoe, Illinois: The Free Press.
MacIver, Robert M.
1920 Community: A Sociological Study. London: Macmillan and
Company, Ltd.
1931 Society: 1 ts Structure and Changes New York: R. Long
and R. R. Smith, Inc.
1937 Society: A Textbook for Sociology. New York: R. Long
and R. R. Smith, Inc.
McBride, George M.
1923 The Land Systems of Mexico. New York: American Geographi
cal Society.
1936 Chile: Land and Society. New York: American Geographical
Society.
Minore, J. Bruce
1972 "The Line-Village Structural Type of Rural Community and
its Effects Upon the Service Agencies of Local Organizations:
in Quebec, Canada." Presented at the III World Congress
on Rural Sociology, Baton Rouge, Louisiana.
Moses, Galen C .
969 Cooperative Rural Electrif?cation in Costa Rica Gainesville
University of Florida. M J\. thesis in agricultural economics
Muller, Frederick Wi11iam
1944 Public Rural Electrification. Washington, D.C.:
Council on Public Affairs.
American


153
determined, the classification of the remaining farms closely followed
established systems for categorizing the size of farms. The schema
adopted here relies heavily on the work carried out by Smith (1953:
297-324, 1967a:7-80, and 1972a:318-357), Upham (1969:53-162), and
Davis (1971:17-48).
The second category of the size of holdings includes those places
which should properly be referred to as mini fundia. They are the
small subsistence farms which rarely produce enough to allow the
cultivator to sustain his family. However, although most min?fundis-
tas (those who farm minifundia) must augment their earnings elsewhere,
their principal occupation is that of farmer. Minifundia are defined
here as those entities having two but less than ten manzanas.
The third and fourth categories include those places of a size
to be considered as family-sized farms. Smith notes of the term
"family-sized farms" that
Certainly it refers to the condition in which each
farm family has sufficient land to occupy its
members fully at agricultural pursuits, but not
enough land to necessitate the steady employment ^
of a great deal of supplementary labor (1953:301).
This size of holding is considered by many to be the optimum size in
that it causes the farmer to assume the roles of entrepreneur, worker,
and administrator.^
The family-sized farms are sub-divided into two groups in an
3 For more information on the subject of the family-sized farm
see Taylor, et_ a]_. (1949), Nelson (1965), and Smith and Zopf (1970).
^ Smith has an extremely cogent discussion of the rural social
system which evolves around the family-sized farms (1967a:8-24) .


Ffgure 7
LEVELNOE
4
3
Mean Electricity-free Level-of-Livlng Scale (LEVELNOE)
Education of Heads of Households
(in years)


37
Procedures
Much of the data analyzed in this dissertation was gathered by
means of a survey. The survey instrument was developed for the
present study. Several facets of this instrument affected the types
of data compiled. -The following discussion treats the more important
of these factors: the process of development, components, and applica
tion .
The Schedule .
The survey schedule used in Costa Rica was developed between June
and August, 1972. Dr. John Saunders, professor of sociology, and the
present author discussed at length the types of information to be
gathered and the process which would be most effective in getting the
data. For the preparation of the sociological portion of the survey
schedule they relied upon extensive library research and upon their
combined personal knowledge of rural electrification, Costa Rica,
and sociological methodology.
It was decided that the desired data could be gathered most
expediently by means of a survey. Davis produced a tentative first
draft of the schedule. There followed a series of re-writings of the
document which incorporated ideas and corrections supplied by both
Saunders and another colleague on the project, Galen C. Moses, an
agricultural economist. Although they all tempered and modified the
contributions made by each other, Saunders and Davis are largely
responsible for the basic format of the instrument and those questions
dealing with social aspects. Moses' input is clearly seen in the
questions which deal with economic matters.


246
NIVEL DE VIDA
(D. PODRA LLENAR LA MAYOR PARTE DE ESTA SECCION SIN HACER PREGUNTAS AL
ENTREVISTADO. FAVOR MARCAR LA CATEGORIA CORRECTA Y SUBRAYAR AQUELLA
PARTE DE LA CATEGORIA QUE SEA LA MAS CORRECTA. SI ES "OTRO", FAVOR DE
ESPECIFICAR)
169. Cmo conserva el agua en la casa?
1 Tarros o vasijas
2 Tinajas
3 Barriles o estaones
4 Caera
5 Caera con tanque y bomba
6 Otro: Explicar
170. Cmo recibe el agua en la casa?
1 Trayhdola
2 Pozo sin polea
3 Pozo con polea
4 Bomba de mano
5 Caera en la casa
6 Otro: Expl¡car
171. Cmo conserva los alimentos perecederos o que se daan fcilmen
te?
1 Ninguna
2 Mantiene el alimento en sitio fresco
3 Jarras, cajas
4 Nevera
5 Refrigeradora
6 Otro: Expli car
172.Qu facilidades tiene para cocinar?


2$4
Daz Arana, Juan Jos
1941 lfLas Cooperativas de Electricidad." Cursos y Conferencias.
20 (Winter): 769-786.
Fals-Borda, Orlando
1955a Peasant Li fe in the Colombian Andes: A Sociological Study
of Saucio. Gainesville: University of Florida Press.
1955b A Sociologica1 Study of the Relationships between Man and
the Land in the Department of Boyac. Colombia Gainesville:
University of Florida. Ph.D. dissertation in sociology.
Ford, Thomas R.
1955 Man and Land in Peru. Gainesville: University of Florida
Press .
Galpin, Charles J.
1915 The Social Anatomy of an Agricuitural Commun?ty. Madison:
University of Wisconsin Agricultural Experiment Station
Bulletin 34.
1920 Rural Life. New York: D. Appleton-Century Company.
1924 Rural Social Problems. New York: D. Appleton-Century
Company.
Gi1lette,
1913
John M.
Construct ive Rural Sociology .
Walton Company.
New York:
Sturgis and
1936 Rural Sociology. 3rd ed. New York: The Macmillan Company.
Instituto
1956
Costarricense de Electricidad (ICE)
Desarrol lo de J_a Industria Elctrica de Costa Rica San
Jos, Costa Rica: Instituto Costarricense de Electricidad.
Kuis ¡s, Roald A .
1967 Social and Economic Correlates of Rad io and Televis ion Set
Ownership in Costa Rica. Gainesville: University of
Florida. M J\. Thesis in Journalism and Communications.
Landis, Paul H.
1940 Rural Life in Process. New York: McGraw-Hill Book Company.
Lebret, Louis Joseph, et al .
1958 Estudio sobre las Condiciones del Pesa rrol1 o en Colombi a .
Bogot: AEDITA, Editores Ltda.-Cromos. 2 volmenes.
Leonard, Olen E.
1947 Pichi 1 ingue: A Study of Rural Li fe 1n Coastal Ecuador.
Washington, D.C.: U.S. Department of Agr icul ture, (U .S ,D .A .), Off ice
of Foreign Agricultural Relations.


Table 10
A Comparison of Those In the
Level-of-Living Scale (LEVEL) Categories
by the Three
Electric-
Use Categories
Electric-Use
Categories
1
(low)
2
LEVEL Categories
3 4
5
6
(high)
TOTAL
ArIthmetlc
Means
USERS
Percent
0.0
6.5
15.1
23.3
30.8
24.3
100.0
4.5
Number
(0)
(12)
(28)
(43)
(57)
(45)
(185)
INACCESS 1 BLES
Percent
11 .2
29.6
31 .4
18.9
8.9
0.0
100.0
2.8
Number
(19)
(50)
(53)
(32)
(15)
(0)
(169)
NON-ADOPTERS
Percent
22.5
34.7
24.5
7.1
7.1
4.1
100.0
2.5
Number
U2)
(34)
(24)
(7)
(7)
(4)
(98)
TOTAL
Percent
9.1
21 .3
23.2
18.1
17.4
10.9
100.0
3.5
Number
(41)
(96)
(105)
(82)
(79)
(49)
(452)
U1


61
A. Agricultural
1 Coffee
2. Sugar Cane
3. Bananas and Other Plantains
4. Field Crops
5. Root Crops
6. Mixed Coffee and Sugar Cane
7. Mixed Coffee and Plantains
B. Pastoral
1 Livestock Ranch
2.Dairy Farm
C. General Agricultural and Pastoral
1. General Primarily Livestock
2. General Primarily Crops
D. Miscellaneous and Other
This schema proved to be too specific for analytic purposes.
Subsequently, the types of farm were re-grouped into more generic
categories as follows:
1 Coffee
2. Other Agricultural
3. General Primarily Agriculture
4. General Primarily Livestock
5. Livestock and Dairy
It should be emphasized that these schemas were formulated as a
result of examining the compiled survey research data. There are,
therefore, reflections of the specific types of farms found in the
area studied


141
Settlement Patterns
The type of settlement pattern, or the ecological arrangement
of people on the land, is a vital aspect of man-land relations and
the ecological component of rural social organization. It is es
pecially pertinent to this study since the manner in which farm dwell
ings are placed on the land effects the delivery of social services,
both utilities and personal services, to rural inhabitants. In
this section the form of settlement is treated as a factor which
must be taken into account in viewing the placement of the distribu
tion lines needed to convey electrical energy in rural areas.
First, some of the major concepts of the study of settlement
patterns are presented. Next, the types found in the research area
are described. Finally, the extent to which the spatial arrange
ments of inhabitants influence the placing of electricity lines is
discussed .
Concepts .
The study of settlement patterns is just one part of the larger
study of social organization. Specifically, it is the ecological por
tion which, in the words of Sorokin, Zimmerman, and Galpin, is that which
shows the geographical milieu and the territorial distribution of the
habitats of the members of the group studied..." (Vol 1:263). T. Lynn
Smith, in his work on this aspect of the sociology of rural life,
states that there are three principal types of rural settlement
patterns: The village form of settlement, single farmsteads, and the


Table 6
A Comparison of the Place of Birth of
Heads of Households by the Three Electric-Use Categories
Electric-Use
Categories
San Carlos
Place
of Birth
4
(Metro-
politan
San Jos)
Meseta
Central
TOTAL
1
(Same
Di strict)
2
(Ciudad
Quesada
3
(Other)
5
(Other)
6
Other
Costa
Rica
USERS
Percent
12.8
5.0
15.1
2.8
36.9
27.4
100.0
Numbe r
(23)
(9)
(27)
(5)
(66)
(49)
(179)
INACCESS IBLES
Percent
12.6
2.4
13.8
1 .2
27.5
42 .5
100.0
Number
(21)
(4)
(23)
(2)
(46)
(71)
(167)
NON-ADOPTERS
Percent
9.3
5.1
12.4
3.1
33.0
33.0
100.0
Number
(9)
(5)
(12)
(3)
(32)
(32)
(97)
TOTAL
Percent
12.0
4.0
14.0
2.3
32.5
34.3
100.0
-
Number
(53)
(18)
(62)
(10)
(144)
(152)
(443)
oo
vn


150
non-user to extend the use of this source of energy to his agricultural
and pastoral activities.
Rural sociologists have long been interested in the importance
of the size of farms as a determinant of the social well-being of
rural residents. The present author has stated elsewhere that:
The institutionalized relationships between man and
the land in rural areas are influenced to a con
siderable degree by the absolute and relative
importance of the various sizes of farms and sub
farms. In order to understand the specific as
sociations between the size of rural places and the
other variables, each of which in reality is a
complex sociocultural system, important in the
study of man-land relations, it is imperative to
analyze this central variable (1971:17).
The variable being examined here, the size of farms and farm-like
entities, may be considered to refer to the size of land areas used
primarily for pastoral or agricultural activities which are held as
definable units under various forms of tenure.
The basic unit of land being studied is the finca which may be
translated as farm or sub-farm. The term finca is more exactly de
fined in the 1963 Costa Rican Censo Agropecuario (Census of Agriculture)
as follows:
A farm, for the purposes of the census, is
extension of land, of one or more manzanas
3
an
dedicated either partially or totally to agri
cultural or pastoral production, the labor for
which is executed, directed, or directly
administered either by a person alone or by one
receiving help from others.
b) A farm may consist of one or more parcels
either owned or belonging to someone else, not neces
One manzana (mz.) =0.7 hectares (ha.) = 1.7 acres (a.).
3


130
The widening of the gap between the two found In the middle range of
LEVELNOE merits further comment. The phenomenon being shown here
\
seems to be an expression of relative deprivation of NON-ADOPTERS
vis-^-vis USERS. The deprivation appears to be caused by non
adoption of a technical innovation, electricity. The NON-ADOPTERS,
it is posited, feel relatively deprived in relation to their neighbors
who are utilizing the new source of energy. Because the INACCESS IBLES
do not have the opportunity of obtaining electricity, they do not
express commensurate levels of relative deprivation as those shown by
the NON-ADOPTERS .
in summary, in the analysis of each of the satisfaction-with-
1ife-situation indexes, the USERS were more satisfied with life than
wer the non-users of electricity. With the exception of the SIT FUT,
USERS were statistically more satisfied than the INACCESS IBLES who in
turn were more satisfied than the NON-ADOPTERS. While age of the
head of the household does not influence the SIT TOT, education of
the head of the household, size of landholdings, and level of living
were each found to excert a direct influence on the total satisfac
tion with life situation index. In each of these instances, however,
the differences between users and non-users persisted when age,
education, size of farm, and level of 1iving were controlled.
We can, therefore, conclude that while some of the control
variables directly influence satisfaction with life, none of them
account for the differences found between users and non-users of
electricity and especially between USERS and NON-ADOPTERS according
to SIT TOT. It is, of course, conceivable that had other control
variables been used, one or more of them might have explained the


126
are more satisfied than are their peers who do utilize electricity
in their homes. For the rest of the population, however, regardless
of the amount of education, USERS are more content than INACCESSIBLES
who score higher on SIT TOT than do the NON-ADOPTERS.
The association between education of the head of the household
and the total satisfaction with life is minor. It is not strong enough
to adequately explain significant variation in SIT TOT scores. With
the exception of the very best educated, regardless of the influence
of years of schooling, the analysis shows that USERS are more
satisfied than are both types of non-users.
The measures were used as indicators of the influences of socio
economic well-being on satisfaction with life. The first deals with
#
the size of farms or landholdings. It should be noted that there
are only 212 agriculturalists and stockraisers in the total sample
of 452. There is a direct although minor association between the
size of the farm and the satisfaction with life. While those with
the smallest places have an average score of 4.1 for the SIT TOT.
The scores gradually increase until those with the largest landholdings
have an average score of 4.5. The analysis for SIZE FARM is presented
in Figure 12. Regardless of the size of the place, USERS are much
more satisfied than are the NON-ADOPTERS.. The gap between the two
is widest at each end of the continuum. The INACCESS IBLES closely
parallel the USERS in their SIT TOT scores when SIZE FARM is con
trolled. In the cases of smaller sizes of landholdings, the USERS
are the more content; this is reversed for'those with the larger
parcels of land. Although the analysis might be influenced by the
small number of cases, the most content are the I NACCESSI BLES with


148
of some of the amenities of urbanized life, such as small pul per fas
(convenience stores) and sometimes even schools, these clusters must
\
be accepted as a type of line village. Their restricted size and the
fact that they are often interrupted by large expanses of farm land
means that they cannot be termed as "true" line villages. They are,
rather, a hybrid variety best classified as quasi-line villages.
Delivery of Electricity.
Electricity, as is the case with water and gas, requires physical
constructions for its distribution. The spatial arrangement of po
tential customers is a major determinant in the placing of distribution
lines. There is less capital outlay and a greater return on the
investment when a service can be provided for a larger number of
customers in a concentrated area than is the case for the same number
in a larger geographic unit. In sum, electricity can be delivered
to the greatest number of rural residents at the lowest cost when they
live in villages. The same utilities can be provided to those living
on scattered farmsteads only at greater construction, maintenance, and
unit costs.
The selection of specific sites for the construction of the
facilities to provide utilities to rural inhabitants is, of course, a
function of political and economic as well as social considerations.
Nevertheless, the form of settlement pattern of the rural people can
be a major factor in the selection of a specific area. The extreme
dispersion of the families who live on farmsteads scattered over a
large area makes it difficult, and in some instances economically
impossible, to construct the distribution lines necessary to provide


77
of the medians also reveals that USERS are better educated than are
the INACCESS IBLES who, in turn, are better educated than are the NON
ADOPTERS.
It can be stated, then, that in this research population there
is a positive association between use of electricity and educational
attainment. The education of the heads of households is viewed as
independent in this relationship. That is to say, it appears that
higher education results in increased propensity to adopt the use of
electricity.
Occupation.
The portion of San Carlos studied is a rural agricultural and stock-
raising area. This is dramatically shown in the occupations of the
heads of households. More than three-quarters of them, 75.4 percent,
are either farm laborers, farm operators, or farm administrators, as
shown in Table 3. Teachers, merchants, and the unemployed comprise
16.1 percent of the total population. The remaining 38 individuals,
or 8.5 percent, are engaged in 17 different types of employment,
ranging from a guard in a school to the manager of an agricultural
production marketing cooperative, and are placed in a single residual
category .
The relationships between occupations of the heads of households
and the use or non-use of electricity are revealed by the data pre
sented in Table 3. There is a positive association between the use
of electricity and farm-operator status and a negative association
between electricity use and farm-laborer status when comparing USERS
and NON-ADOPTERS. There is almost no disparity in the relative im-


41
of each section. For example, in that dealing with exposure to the
mass media, the first question merely inquired if the respondent pos
sessed a radio. Towards the end of the section he was asked to name
the television programs which he considered to be useful (see
Appendix A, p 227-228).
To construct demographic profiles of both users and non-users of
electricity, major demographic data were sought from the head of the
household and from all of its members. For each of those enumerated
the following data were collected: relationship to head of the house
hold, sex, age, last completed year of education, and occupation.
The place of residence was obtained for children living away from
home .
Additional demographic data for the head of the household were
sought. Questions were included about the place of birth, location
of the last place of residence, length of time lived in the present
residence, and plans for any moves in the future. Queries were also
made to ascertain the employment of the head of the household.
Exposure to various mass media has been found to be associated
with the adoption of technological innovations (Rogers and Schoemaker,
1971, and Ryan, 1969). Therefore, questions were asked about the time
spent listening to radios and watching television. Inquiries were
also made about programs which were considered to be of value. Finally,
information was secured about the number and types of newpapers and
magazines read.
Although the area studied was devoted primarily to agricultural
and pastoral activities, it was important to learn about the types of
businesses which furnished services to the households surveyed.


190
area of San Carlos, the city is the site of a concentration of educa
tional institutions and administrative offices. In addition to the
Catholic high school, there are two other high schools and six
elementary schools in the city. The supervisor of all of the schools
located in San Carlos is housed in the city.
The city also is the focal point of the principal recreational
activities found in the region. Ciudad Quesada has several dance
halls, a swimming pool, and a semi-professional soccer team.
Ciudad Quesada serves as a regional center for the dissemination
of various types of mass communications. One radio station is
operating in the city. The major national newspapers published in
San Jos are circulated in the city and from it many copies are
distributed throughout the rural portions of the community. A small
local newspaper also is published in the city.
Of special importance to this study is Ciudad Quesada's position
as a center for the distribution of various types of energy. Gasoline
for vehicles and other types of engines, and kerosene for cooking
and lighting is distributed to the rural zones from the city. It
is also the location of the main offices of the rural electric
cooperative (C00PELESCA) which distributes electricity to the area
being studied. It is ironic that the headquarters of this organiza
tion should be housed in the city, a densely populated area which
does not receive the benefit of the high quality electricity which
the cooperative distributes.
All of the remaining locality groups tp be discussed are located
in the Llanos of San Carlos. Before examining them, it seems neces
sary to digress briefly. The political-administrat ive influence of


143
Although the impairment to their work is a disadvantage for farmers
living in villages, the social advantages are evident. Villagers not
only find it easy to maintain close contact with neighbors but also
are more likely to have ready access to economic and social services.
Stores, schools, churches, medical facilities, sewage, water, electrici
ty, and a host of other services are more easily obtained wherever a
number of residences are clustered together than they are in areas
where dwellings are widely dispersed. In general then, it could be
asserted that economic benefits accrue to those who live on scattered
farmsteads while superior social integration and cohesion are enjoyed
by those dwelling in villages.
The third principal type of rural settlement is in reality inter
mediary between, or a blend of, the types already discussed. This is
the line village form of settlement. According to Smith:
If some common base of departure is employed in laying
out the land, if the length of the holdings is great
in comparison with the width, and if the farm families
rather consistently locate their dwellings at the end
of their ribbonlike farms, a considerable aggregation
of dwellings can occur without sacrificing residence
on the farmstead (1953:213-214).
Those living in such an arrangement have the benefits of those living
on scattered farmsteads since they actually live on the land and thus
are close to their fields and animals. At the same time, their
neighbors are close by so that they enjoy most of the social contacts
and conveniences afforded to those living in villages. Indeed, a
contention of this study is that the line village combines the
economic advantages of the scattered farmstead with the social ad
vantages of the farm village. In addition the line village arrange
ment eliminates many of the disadvantages inherent in the other two


96
The relationships found between the use of electricity and level
of living have just been indicated. The very nature of this study as
an endeavor to examine the impact of electricity in rural areas, makes
it impossible to further use the level-of-1iving scale incorporated
in the above analysis. LEVEL itself is strongly influenced by the
use of electricity. That is to say that included in the questions
which when taken together comprise LEVEL are responses which could be
filled in only for those households that make use of electricity.
Therefore, because consumption of electric energy is a necessary
prerequisite for attaining high scores, only the electrified house
holds can score high on LEVEL. In the cross-tabulations used in the
remainder of this presentation, the continued use of this biased
scale would result in invalid conclusions.
To enhance the validity of conclusions to be drawn from this
study, an electricity-free level-of-1iving scale (LEVELNOE) was
devised. LEVELNOE was constructed by eliminating the five of the
fourteen questions used in LEVEL which contain references to
electricity (See Chapter III for the specific questions eliminated).
The distribution of the total population resembles a bell
shaped curve according to LEVELNOE. The middle category is modal
containing nearly one-third, 33.0 percent, of the respondents. (See
Table 11). Only slightly smaller is category two with 30.1 percent
of the cases. The data from the electricity-free 1evel-of-1iving
scale were cross-tabulated with those for the electric-use categories.
The Chi-Square test shows that the probability of the relationship
between LEVELNOE and the electric-use categories occurring by chance
approximates 0.001.


52
of energy other than COOPELESCA, those surveyed had to be beyond the
reach of a major alternate source of electricity. When an entire zone
had access to a source of electricity other than that supplied by
COOPELESCA, all of its households were excluded from the survey. This
eliminated the area serviced by the generating plant in the hacienda
of Chachaguas and that provided with electricity by the small plant
in La Fortuna.
Once the parameters of the users of electricity portion of the
research population had been drawn, the non-users were selected. If
a building that was accessible to COOPELESCA lines, did not have any
electricity lines leading to it, its occupants were classified as non
users of COOPELESCA supplied energy (NON-ADOPTERS) The occupants of
all buildings off the COOPELESCA lines were classified simply as
non-users of electric energy (INACCESSIBLES). The same criteria with
respect to visibility from the road, etc. were applied in the selec
tion of both the users and non-users of electricity. Consequently,
it can be assumed that any biases resulting from the selection were
evenly distributed between the two.
The portions of this study not involving the survey research
were conducted in the same area.
Constructed Variables and Indexes.
A major task of social science research is the categorization
and classification of data which are to be analyzed. In order to ful
fill these requirements and to facilitate the comprehension of the
presentation of results, several indexes and scales have been con
structed. These constructs were built by incorporating the data


Table 20
A Comparison of Respondents According to
Mass-Media-Exposure Index (MMEI) by Electric-Use Categories
Electric-Use
Categories
ii
ii
ii
II
II
II
II
II
II
II
1
(low)
MME1 Categories
2 3
4
(high)
TOTAL
USERS
Percent
30.3
35.1
20.5
14.1 '
100.0
Number
(56)
(65)
(38)
(26)
(185)
INACCESSIBLES
Percent
34.9
45.0
14.8
5.3
100.0
Number
(59)
(76)
(25)
(9)
(169)
NON-ADOPTERS
Percent
36.7
43.9
16.3
3.1
100.0
Number
(36)
(43)
(16)
(3)
(98)
fOTAL
Percent
33.4
40.7
17.5
8.4
100.0
Number
051)
(184)
(79)
(38)
(452)
KjJ
F-


63
In addition to the constructed variables and indexes already
presented, various other types of data are grouped and categorized '
\
in the analyses which follow. Included in these data are those per
taining to land tenure, occupations, age, education, and marital
status. The groupings of the data are conventional. As such they do
not necessitate further comment at this point.
Anaiysis .
Both computer analysis and well-established methods for the
manipulation of data were employed in this study. Both were used in
the examination of the data collected through the use of the survey
schedules. Only tried and tested conventional analyses were performed
for the remainder of the data.
The survey research data were analyzed utilizing the IBM System/
370165 of the Northeast Regional Data Center located at the University
of Florida. The data were recorded in two separate computer decks.
The first, entitled the "main deck," contains either in final or
summary form all of the information taken from the survey schedules.
The "family history deck" contains the demographic data compiled for
not only the head of the household but also for all those living
together in the house, children living elsewhere, and deceased children.
The present author prepared the code books for both the main deck
and the family history deck. The process of coding embraced the first
step in categorizing the wide range of data obtained, in that, unstruc
tured data had to be aggregated into a fixed number of categories to
be manipulated .
The data were coded and transferred to computer cards. Four
cards were used for each respondent in the main deck; one to six


16
The substantive findings of this work are found in Chapters IV
through VI. The first of these is concerned with the relationships
between rural electrification and social characteristics of the
respondents. Of primary importance are the relationships between the
use of electricity and family attributes, level of living, satisfaction
with life situation, and exposure to the mass media.
Chapter V treats the relationships between rural electrification
and selected aspects of man-land relations. The emphasis in this
chapter is on settlement patterns, the size of landholdings, the types
of farms, and land tenure. Chapter VI deals with the impact of the
use of electricity on rural communities. Central to the chapter is
a theoretical discussion on a typology of locality groups and the
levels of integration of these groups. Also presented are findings
on social participation and the importance of electrification as an
influence on communal organizations .
The closing part of this dissertation is a summary and conclu
sions. In the concluding chapter implications of the findings are
examined. An appendix is included. It is, in Spanish, a copy of the
survey schedule used. Finally, the work closes with an extensive
bibliography of the published literature cited and of some volumes
which the present author considers to be invaluable in the study of
rural sociology.


14
The precise type of research population used in the research
design is of singular consequence in the study. Because of this,
special methodological consideration is given to the processes of the
selection of the specific area and research population studied.
Several of the variables used are constructed by synthesizing a wide
array of data .
The importance of the methodology used here is such that it
warrants presentation, along with the procedures used in the collection
of data, in a separate chapter. These matters, therefore, are not dis
cussed further at this juncture; they are dealt with in Chapter III.
Importance of the Study
In many parts of the world, people are beginning to experience
a shortage of fuel used to generate what is regarded as an indispen
sable source of energy. Available energy, including electricity, has
been until recently taken for granted. The realization of the impor
tance of various types of energy to members of societies is currently
beginning to be appreciated. This study is of importance in that it
is a pioneering investigation of the relationships between members of
a society and electric energy.
The rural sociological frame of reference incorporated has been
an invaluable tool for examining societies of various sizes both
domestically and in foreign countries. It has not been previously used
to examine the impact of a technological factor as it relates to other
characteristics of the members of a rural society. The present work,
therefore, is breaking new ground in demonstrating the flexibility
and new applicability of this frame of reference.


207
Table 30
Responses to Question Concerning Membership iri
Organizations, Associations, and Cooperatives
by the Three Electric-Use Categories
Electric-Use Number of Organizations,
Categories Associations and Cooperatives
None
1
2
3
4-mo re
TOTAL
USERS
42 .4
46.2
7.5
2.7
1 .2
100 .0
(78)
(85)
(14)
(5)
(2)
(184)
INACCESSIBLES
89.9
10 .1
o.o
0.0
0.0
100.0
(151)
07)
(0)
(0)
(0)
(168)
NON-ADOPTERS
90.8
9.2
0.0
0.0
0.0
100.0
(89)
(9)
(0)
(0)
(0)
(98)
TOTAL
70.7
24.7
3.1
1.1
0.4
100.0
(318)
(111)
(14)
(5)
(2)
(450)


CHAPTER I I I
PROCEDURES AND METHODOLOGY
The process of scientific investigation involves, once the ob
jectives of the research have been delineated, two main types of
activities: observation and inference. Observation is bifurcated
into: "(1) bare observation of uncontrolled phenomena and (2) experi
ment" (Smith, 1953:6) Inference is also divided into two types-:
induction and deduction. For observations and inferences to have
meaning they must be arranged systematically. This involves classifi
cation and description.^ The present research project incorporates
a frame of reference which has as a basic tenet the application of the
scientific method.
This chapter deals with the process of scientific investigation
involved in the collection of observed data and the systematic arrange
ment of data necessary for executing the process of inference. Central
to this dissertation are the procedures of the collection of data,
especially aspects dealing with the construction of the survey schedule
and the selection of the research population, and methodological
considerations. Specifically, included in this chapter are sections
on procedures and methodology used in the survey research.
1 For a concise statement on "the scientific method," see Smith,
1953: 5-9.
36


182
conclusive. They would have to substantiated by further investigation
before positive assertions about the existence and functioning of an
agricultural ladder could be justified.
Rural Electrification as a Function of Land Tenure.
The two important land tenure categories in San Carlos were the
jornaleros and farm operators. Those in these two land tenure categories,
who have access to electricity have adopted it for domestic use at
differing rates. Of those within the reach of the electricity distri
bution lines, 78.7 percent of the farm operators are USERS compared
with only 51.0 percent of the farm laborers (See Table 3). The
latter figure, however, is deceptive. Some of the jornaleros live in
4
dwellings in which the electricity was installed by, and the monthly
utility bills are paid by, their employers. Thus, the percentage
of farm laborers who are USERS has been artificially inflated.
Farm operators are shown to be more likely to adopt the use of
electricity than are those in the other major land tenure category.
Because the use of electricity is too new in the area to have caused
change in land tenure arrangements, the adoption of electricity is
shown to be, in part, a function of land tenure. This finding has
significant implications. Farmers should be-able to profitably
harnass electric power in their agricultural and pastoral production.
If they become accustomed to the domestic use of electricity, they
should become more inclined to adopt it for productive uses. Secondly,
the finding provides a strong indicator for. the future expansion
of distribution lines. The higher the proportion of farm operators
vis-a-vis laborers in a population, the more likely that there will
be a high rate of the use of electric energy.


104
living scale found for those in the several electric-use categories
and does not explain the higher scores of USERS compared to the non
users on this scale.
It is accepted that one of the major factors influencing level
of living is educational attainment. The level of living is usually
positively associated with increases in the amount of education. The
respondents interviewed in Costa Rica are no exception (Figure 7).
The mean LEVELNOE scores for persons in each category of the electric-
use characteristic tend to increase with increases in the number of
years of schooling completed. The effect of education is especially
marked for persons who have completed five or more years of school .
When the heads of households with equal years of school were compared,
the USERS scored substantially higher on LEVELNOE than did either INAC
CESS IBLES or NON-ADOPTERS. It can, therefore, be concluded that
education' does not account for the differences in LEVELNOE found be
tween the persons in the three categories of the electric-use
characteristic.
The age of the head of the household (AGE HEAD) was also used
as a control variable for the comparison of the LEVELNOE scores of
those in the electric-use categories (Figure 8). Except for USERS
whose mean LEVELNOE scores tend to drop slightly with advancing age,
there is no clear relationship between age and the electricity-free
level-of-1iving scale. Even so, the decline in the LEVELNOE scores
of USERS with advancing age is slight. The differential in LEVELNOE
between USERS and others persists, however, regardless of the age
of the head of the household. Age, therefore, does not explain the
higher scores of USERS. INACCESS IBLES once again occupy an inter-


237
Nmero del Medidor Consumo
Residencia KWH
F i nca KWH
Establecimiento Comercial KWH
Otros (Explicar) KWH
105. Tiene Ud. medidor para la energa elctrica que utiliza en su
casa? S No
106. Tiene Ud. medidor para la energa elctrica que utiliza en su
establecimiento comercial? S No
107. Cules de los siguientes artculos elctricos utiliza Ud. en su
casa o en su establecimiento comercial?
Uti 1 izado en
Artculo Casa el negocio Ambos
* '
Bomb i 11 os
(APUNTAR CANTIDAD)
Tubos Fluorescentes
(APUNTAR CANTIDAD)
Radio elctrico (no de pilas)
Plancha
Mquina de coser elctrica
Calentador
Cocina elctrica
Refrigerador
Congelador separado
Televisor
Licuadora
Batidora ;
Lavadora
Tocadiscos


195
town. Because the generating equipment is sub-standard, there are
frequent brown-outs and black-outs. Many bitter experiences were
\
reported by residents who have had equipment such as television sets,
stoves, and refrigerators burned out as a result of fluctuations in
the current.
La Fortuna functions as a small religious center, having two
churches where people from the community are baptized, married, and
2
buried. The Catholic church is located on the central square. The
other church, a small Baptist chapel, is on a back street. The
religious ceremonies performed in these churches provide opportunities
for social interaction for residents of the area. For the rural
residents the religious activities serve as ready excuses for visiting
La Fortuna to talk with friends and to enjoy the entertainment
offered there.
As indicated above, La Fortuna was placed in the eighth level of
the schema of the size of locality groups in Costa Rica. The places
which-are now to be discussed are classified in the next lower, or
ninth, category in the schema. These are the incomplete or partial
communities centering on the hamlets of Los Angeles, El Tanque, La
Vega, San Isidro de Ro Peas Blancas (henceforth to be abbreviated
1 was fortunate to have had the opportunity of witnessing
and participating in part of a ceremony in the village. A young
rural couple came into La Fortuna to be married in the Catholic
church. They came from far enough away to necessitate an overnight
stay. After the wedding, the couple, the members of their respective
families, and others who attended the ceremony first held a private
dinner and then went to a public dance held in a small dance hall.
The rural participants not only had chance to renew acquaintances,
but they also were able to take part in some social activities in
the village. The villagers both provided the services and were able
to attend a good dance.


189
Ciudad Quesada. MAG also provides general agricultural extension
service which give added importance to the city as a center for agri
cultural development.
Ciudad Quesada is a major center of surface transportation
facilities, both those for passengers and for freight. The location
of Ciudad Quesada in the transportation network has helped to increase
the number and patronage of its hotels and restaurants.
Partially because bus routes to San Jos and to various other
parts of San Carlos originate and terminate in Ciudad Quesada, it
has become the location for many businesses devoted to the repair
and maintenance of motor vehicles. The repair operations are by'no
means limited to buses. The maintenance of trucks and other vehicles,
and machines especially of jeeps and tractors, is of major importance
in the city.
Ciudad Quesada houses the only adequate medical and dental facili
ties for residents of the total community of San Carlos. The only
dental, surgical, and medical laboratory facilities for the city and
its service area are situated in the city, as is a hospital staffed
by ten physicians .
The city also functions as a religious and ceremonial center for
the surrounding area. A massive Catholic church is being constructed
on the central square of the city. The importance of the city as a
center of religious activities is enhanced by the existence of a
Catholic high school for girls. Although there are numerous Protestants
affiliated with various denominations in the area, there appeared to
be no Protestant clergyman in the city.
Although educational facilities are spread throughout the service


177
ownership a delicate topic to broach.
Due to the anticipation of hostile reactions to probing questions
concerning land tenure arrangements, none were included in the survey
schedule. This timorousness proved to be justified. Some of the
respondents appeared to feel that any information they might provide
concerning land ownership would be turned over to government officials.
Indeed, several farmers implied that because of their fear that such
data would be used for tax purposes or to find squatters, they pre
ferred not to discuss legalized tenure arrangements. Consequently,
material was not collected concerning the absolute and relative im
portance of those in the three major sub-types of farm owner-operators.
The two fundamental tenure classes found among the respondents
were farm operators and jornaleros. There were 15^ individuals who
stated that their primary source of income was derived from farming,
and there were 168 jornaleros. Next in importance was the category
of farm administrators which contained 16 respondents.
Farming and livestock raising was the principal activity, although
not the only one, of most of those who were farm operators. Fully
72.6 percent of those who used land for agricultural purposes and who
provided information on both occupation and size of landholding had
as their primary occupation the operation of a farm (See Table 3) .
A total of 27 farm laborers also have plots of land for agricultural
or pastoral production. These are small parcels of land; with one
exception, they contain less than 10 manzanas each. Thus, it appears
that some of the hired hands are able to augment their wages by working
their own small plots of land.
A total of 17 individuals who stated that their primary source


64
cards, depending on the number of members of the household, were used
for each case in the family history deck.
Most of the computer analysis utilized the Statistical Package
for the Social Sciences (SPSS). The work was conducted primarily
i
by Oleh Wolowyna, applications programmer for the rural electrifica
tion project. In addition to relying on the SPSS Crosstabs and
Fastabs programs, frequency distributions and index construction were
provided through the process of computer analysis. In many instances,
the computer was used to aggregate the data so that they could be
more easily examined.
Although the computer was used extensively, the final presenta
tion relies more on the tried and tested techniques of cross
tabulations and computation of percentages than on other types of
analysis. The results of much of the analysis are presented graphi
cally and in tabular form. This, it is felt, facilitates lucid
presentation while enabling the reader to be exposed to the data.


149
electric current. This service can be much' more easily extended to
those who live along the transmission lines which lead to the ur
banized areas .
The quasi-line village type of settlement pattern is one which
greatly facilitates the delivery of electrical energy. Although it
is not as easy to provide electricity to those living along the right
of way of major distribution lines as it is to those grouped in villages
due to the cost of installing numerous transformers, it is still much
easier than furnishing the power to those living in single farmsteads.
Thus, when rural inhabitants live in houses arranged in a line, es
pecially if they parallel a road, while not providing the optimum
conditions for ease of electrification, their form of settlement is
one which facilitates the distribution of electricity.
Size of Farms
A primary concern of this study was to examine closely the use
of electric energy on farms. Largely owing to the fact that elec
tricity has been available in the area for less than four years, only
two of the total of 212 farms and farm-1 ike entities in the area
studied utilized electric energy for agricultural or pastoral produc
tion. It was found, however, that ninety-six of those classified as
farmers or stock-ralsars did use electricity in their homes. The
following commentary on the relationship between the use of electricity
and the size of farms is presented in an attempt to facilitate the
understanding of the process of the adoption of electricity in rural
areas. It is reasoned that once electricity is available and a
farmer uses it in his dwelling that he will be more inclined than a


185
the development of a framework for viewing locality groups (1967a:
287-327, 1967b:83-85, and Smith and Zopf, 243-262). Included are
groups which range in size and complexity from the isolated farm
family and small neighborhood to the huge metropolitan community.
Although Smith has recognized and identified several locality groups,
including among others the rural neighborhood, the urban community,
and the metropolitan community, he stresses that, on a continuum of
locality groups ranging in size from X] to X ^ several discrete
groups have not been isolated. In the following segment an attempt
is made to isolate and describe types of locality groups more precise
than the neighborhood and the community found in San Carlos.
Size, of Local ity'Groups .
The largest community in Costa Rica is the metropolitan-based
one of which the nucleus is the national capital, San Jos. Relative
to the other metropolitan areas of the world, San Jos would have to
be ranked not with the largest but perhaps with those in the third or
fourth order of magnitude. Nevertheless, in Costa Rica, San Jos
is the primate city and as such its hinterland embraces the entire
country.
Smith, in an informative discussion of'the "functions of cities"
in Latin America, makes the following comment:
The functions of cities are legion; and to some extent
every one of the Latin American cities performs almost
all of them. Trade and commerce, manufacturing and
transportation, recreation and education, financial
and personal services, construction and maintenance,
administration and protection, religious and cultural
activities, and residence as such, are some of the
more important things which constitute the reasons for
the existence of cities in Brazil, Mexico, Argentina,


Table 14
A Comparison of Respondents In Present
Sat isfactlon-wlth-LIfe-S1tuation Index (SIT PRES) Categories
by the Three Electric-Use Categories
SIT PRES Categories
1 2345 TOTAL
. .. ¥
Electric-Use
Categories
(much
worse
(worse)
(same)
(better)
(much
better)
Â¥
USERS
Percent
0.5
7.0
54.1
30.8
7.6
.100.0
Number
(1)
(13)
(100)
(57)
(14)
(185)
INACCESSIBLES
Pe rcent
1 .8
11 .8
60.9
17.8
7.7
100.0
Number
(3)
(20)
(103)
(30)
(13)
(169)
NON-ADOPTERS
Percent
7.1
23.5
55.1
14.3
0.0
100.0
Number
(7)
(23)
(54)
(14)
(0)
(98)
TOTAL
Percent
2.4
12,4
56.9
22.3
6.0
100.0
Number
01)
(56)
(257)
(101)
(27)
(452)


260
Taylor, Carl C., et al .
1§49 Rural Li fe in the United States New York: Alfred A. Knopf
Torres, Augusto, et_ al
1968"Social and Behavioral impacts of a Technological Change
in Colombian Villages." Unpublished report. Washington,
D.C.: American Institutes for Research.
Tripp, Guy E.
1926 Electri-c Development as an A?d to Agr icul ture New York:
The Knickerbocker Press.
United States Bureau of the Census
1968 United States Census of Agriculture: 1964, "Types of Farms.1
Volume II, Chapter 10. Washington, D.C.: U. S. Government
Printing Office.
Upham, W. Kennedy
1969 A Sociological Analysis of Man-Land Relat ions in Cent ra1
Ame rica. Gainesville: University of Florida. Ph .D.
dissertation in sociology.
Vogt, Paul L.
1917 Introduct ion to Rural Sociology. New York: D. Appleton
and Company.
Wagley, Charles
I963, An Introduction to Brazil. New York: Columbia University
Press.
Whetten, Nathan L.
1948
Rural Mexico. Chicago: Uni
1961
Guatemala:
The
Land and the
Uni versity
Press

1iams,
James M.
1906
An American
Town
. New York:
dissertation in
sociology .
son, Warren H.
1908
Quaker Hill
: A
Sociological
Un ivers i ty .
Ph.
D. dissertat
Zimmerman, Carle C.
1936 Consumption and Standards of Living. New York: D. Van
Nostrand Company.
1938 The Changing Community. New York: Harper & Brothers.
Zimmerman, Carle C., and Richard E. DuWors (eds.)
1970Sociology of Underdevelopment. Vancouver, Canada: The
Copp Clark Publishing Company.


ideal types.
A somewhat modified form of the line village is found in San
Carlos. This type is perhaps best termed a quasi-line village, which
is defined here as small clusters of houses located along a line, in
this case a road, which, because they are interspersed with isolated
farmsteads, do not fully qualify for classification as line villages..
San Carlos Settlement Patterns.
The farm habitats of the San Carlos research area either are
scattered single farmsteads or grouped in quasi-line villages. No-
farm villages, per se. either of the pure or line variety, are found.
The hamlets and small nucleated groupings of houses encountered are
clusters of residences of those engaged in non-agricultural activities
rather than "farm" villages. These concentrations of families are
dealt with in more detail in the following chapter.
As mentioned previously, most of the rural houses in the area
are located within sight of the principal roads. In fact, the
majority of them are immediately adjacent to the roads. This appears
to be a result, in part, of the growth pattern of the region. The
llanos of San Carlos were populated relatively recently. Some of the
first settlers reported to this author that roads, or at least trails,
were laid out concurrently with the initial influx of settlers to
connect the first few dwellings. Apparently, subsequent settlers then
J. Bruce Minore in his study of line villages in Quebec, Canada
(1972) made a similar contention. Minore's work, in turn, reveals the
influence of the findings Smith presented in his study of Louisiana
farm trade centers (1933).


Table 1
A Comparison of the Age Distributions of
Heads of Households by the Three
Electric-Use Categories*
Electric-Use
Categories
I
(Under 30)
2
(30-39)
Age in Years
3
(40-49)
4
(50-59)
5
(60-over)
TOTAL
Median
Age
USERS
Percent
22.1
32.3
20.4
16.2
9.0
100.0
38.6
Numbe r
(37)
(54)
(34)
(27)
(15)
(167)
INACCESS 1 BLES
Pe rcent
20.9
29.8
25.9
15.2
8.2
100 .0
39.8
Number
(33)
(47)
(41)
(24)
(13)
(158)
NON-ADOPTERS
Percent
15.9
34.1
25.0
19.3
5.7
100.0
40.0
Number
(14)
(30)
(22)
(17)
(5)
(88)
TOTAL
Percent
20.3
31 .7
23.5
16.5
8.0
100.0
39.3
Number
(84)
(131)
(97)
(68)
(33)
(413)*
* Because some
respondents
did not report
the 1r age,
this figure
is smaller
than the grand total
found
In most of the tables.
'-j
LO


APPENDIX A


CHAPTER V
MAN-LAND FACTORS
The institutionalized relationships between man and the land,
or man-land relations, exert vital influences on the way of life of
rural people. To understand a rural society it is indispensable to
view the structures of the more important of the man-land relations
found in the area being studied. Since the focus of this disserta
tion is on the impact of rural electrification, a necessary component
of the study involves the man-land factors which are associated with
the use or non-use of electricity.
Included in this chapter are discussion on four facets of man-
land relations. In viewing settlement patterns, the emphasis is
placed on the forms found in San Carlos and on the influence of the
ecological arrangements of dwellings in determining the ease of
providing utilities to rural residents. Both size of farms and type
of farming are examined as factors which, in part, explain the adop
tion of or the failure to adopt the use of electricity. Finally, land
tenure arrangements are discussed with special attention given to the
types of arrangements found and the operation of an "agricultural
ladder" in the area.
140


232
68. Tiene Ud. pastos naturales?
S No
70
69.
Cuntas manzanas?
Mzs .
70.
Tiene Ud. pastos mejorados?
S No
72
71 .
Cuntas manzanas?
Mzs .
72. Cules son los tres productos que ms ingresos le dan a la finca?
Antelos abajo
73. Cul es la extensin que ocupan esos cultivos?
Cultivo No. de Manzanas
74.'Tiene Ud. ganadera u otros animales en sus tierras? S
76
No
75.Cuntas cabezas tiene de:
Ganado Vacuno
Ganado de Leche
Ganado de Carne
Chanchos
Caballos
Muas y Burros
Otros, especificar:
76. Cuntos empleados tiene Ud. en la finca que trabajan todo el ao?
No tiene ^
77. En promedio, cunto gana uno de estos jornaleros?
Colones Diarios Semanales
78.Cuntos trabajadores temporales emple' Ud. durante el ltimo ao?


Table 26
A Comparison of Type of Farming by Those
In the Three Electric-Use Categories
1
2
Type of Farming
3 4
5
TOTAL
Electric-Use
Categories
(coffee)
(other
agricul
ture)
(general (general
agrIcul- 1Ive-
ture) stock)
(1 Ive-
stock and
dairy).
USERS
Percent
26.6
9.6
31 .9
19.1
12.8
100.0
Numbe r
(25)
(9)
(30)
(18)
(12)
(94)
INACCESS IDLES
Percent
11 .0
41 .5
28.0
8.5
11 .0
100.0
Numbe r
(9)
(34)
(23)
(7)
(9)
(82)
NON-ADOPTERS
Percent
36.7
23.3
26.7
10.0
3.3
100.0
Number
(ID
(7)
(8)
(3)
(1)
(30)
TOTAL
Percent
21 .8
24.3
29.6
13.6
10.7
100.0
Number
(45)
(50)
(61)
(28)
(22)
(206)


171
activities in the part of San Carlos studied. They are, consequently,
basic considerations to be taken into account in evaluating the socio
economic factors influencing the adoption and use of electricity. It
has been shown that the various types of farming are found throughout
the region studied. Also, it has been demonstrated that relationships
exist between specific types of farming and size of farms and levels
of living. Owing to the unique interrelationship between size of
farm and type of farm, it must be concluded that an evaluation of the
one, without the other, is inadequate. When viewed together, however,
these two characteristics do much to explain life in rural areas.
Land Tenure
Of the institutionalized relationships between man and the land,
one of the most important is .that of the systems of land tenure. The
term land tenure refers to the sanctioned relations of man to the land
used for agricultural and pastoral activities. Although it revolves
around the property rights of the individual to the land, it encompas
ses both the legal and illegal holding of land. A concise definition
of the term is provided by Dr. Sam Schulman, in his comprehensive
study of land tenure in Latin America, as follows: "By land tenure
is meant those rights enjoyed by rural people in agricultural-pastoral
lands which they may own, use, or labor upon" (195^:6).
The study of land tenure can be meaningfully divided into two
major topics: the evolution of the patterns of rights to the land,
and an analysis of the absolute and relative number of agriculturalists
and livestock raisers classified in the various forms of tenure


19
century of attendance at rural churches.^ Their work led to the
creation of President Theodore Roosevelt's Commission on Country Life.
The Commission1s famous Report of the Count ry Li fe Commiss ? on (1911)
gave impetus to directing attention to rural problems and towards
finding ways to better rural life.
Although Franklin H. Giddings himself made no major contributions
to the body of the literature dealing with the study of rural life,
his influence as a teacher resulted in several pioneering studies of
the rural community in the United States. The foremost of these is
A Hoosier Vi 11 age by Newel 1 L. Sims (1912). Sims examined both the
functions of the village and the institutions housed there which pro
vide services not only to members of the nucleated village but also
to residents of tine surrounding rural areas. Also deserving of men
tion are James M. Williams' An American Town (1906) and Warren H.
Wilson's Quaker Hill (1908).
Rural sociology started to become established as a discipline
with the publication of textbooks on the subject. The first to be in
troduced were Constructive Rural Sociology by John M. Gillette (1913)
and Introduction to Rural Socioloqy by Paul L. Vogt (1917).
While the early texts were of importance to the study of rural
life, rural sociology as such was still in need of concrete studies
before it could forge ahead as a scientific discipline. A notable
achievement in this respect was the publication of the short monograph
The Soci al Anatomy of arn Agricultura! Community by Charles J. Galpin
' In this, and indeed in the entire chapter, I have relied heavi
ly on three sources which have started the necessary work of depicting
the history of rural sociology. For further elaboration on the review
of the literature of rural sociology consult: T. Lynn Smith (1957b
and 1972b) and Lowry Nelson (1969).


89
tion (Table 8). Two phenomena are immediately apparent: a substantial
Table 8
Length of Residence in Present House
Number of Years
Frequency
Percentage
Less than 1
102
23.0
1 and 2
98
22.1
3-5
87
19.6
6-10
75
16.9
11 +
82
18.4
TOTAL
444
100.0
number of the respondents moved recently into their present house and
a large number have lived in the same location for a long period of
time. Nearly one-quarter, 23.0 percent, of the respondents had lived
at their current address for less than one year. Another 22.1 percent
had lived in their present house for one to three years. At the other
extreme, 18,5 percent of the families had lived in the same place for
eleven or more years. An additional 16.9 percent of the families had
been in the same house for from six years to one decade.
The residential stability of the population in each of the
electric-use categories is not the same (Table 9). The pattern of
the INACCESS 1BLES most nearly parallels that for the total population.
Because persons who live beyond the reach of the C00PELESCA power
lines live in an area which has been colonized more recently, fewer


to promote conservation of natural resources, and to oversee the
development of small and medium-sized land holdings (Salas and Barahona,
1971:205-206). Specifically ITCO was charged with performing the
following dut¡es:
1. To terminate the practice of squatter occupation by
incorporating direct colonization and redistribution
of right to land;
2. To legalize the condition of the squatter, or land
parasite, and resolve the conflicts of squatter oc-
/ cupancy.;
3. To administer the State agricultural property, which
deserve to be dealt with (Salas and Barahona, 1971:
205-206).11
To summarize, Costa Rican land is held in fee simple and is regu
lated by the Land and Colonization Law of 1961. A major feature of
this law was the creation of 1TC0 which is charged with the resolution
.
of the problem of squatters and with the formulation and administra
tion of a program to secure a more equitable distribution rights to
the land. Since San Carlos was only recently opened to agricultural
and stock raising activities and because of the absolute and relative
importance of farm operators, these aspects of land tenure are
especially pertinent.
Forms of Land Tenure.
There are two fundamental forms of land tenure arrangements for
those in the agricultural labor force: farm operators and farm
laborers. A definite division of labor separates the two. The
former have as their major activities the responsibilities of manage
ment and the entrepreneurship function. They make the decisions and
11
Translated by J. Michael Davis


230
(LAS PREGUNTAS No. 47 A No. 51 SON PARA AQUELLOS QUE TIENEN
UN ESTABLECIMIENTO COMERCIAL COMO SU PRINCIPAL FUENTE DE
INGRESOS, VER PREGUNTA No. 30)
\
Tengo algunas preguntas que me gustarfa hacerle con respecto a su
negocio.
47. Qu tipo de negocio es? (Por ejem. PULPERIA, CANTINA)
48. Cuntas personas trabajan en su negocio?
49. De estas personas, cuntas son miembros de su familia?
De las personas que trabajan en su negocio:
50. Cuntos son empleados de tiempo completo?
51. Cuntos son empleados de tiempo parcial?
INFORMACION AGRICOLA
52. Cultiva algn pedazo de tierra por cuenta propia?
S 54 No
53. Cultiva Ud. algn pedazo de tierra que no sea de su propiedad?
Sf No 88
54. Es de su propiedad la tierra que Ud. trabaja?
Sf 59 No
55. Entonces es Ud mandador, o jornalero o productor por cuenta
propia?
fifi
Mandador Jornalero
Productor 99 Otro
56. C<5mo se llama el dueo de la finca?
57. Dnde reside?
Lugar
Direccin:


Table 28
A Comparison of Those In the Categories of
Type of Farming (TYPE FARM) by the
Categories of Size of Farm (SIZE FARM)
SIZE FARM
TYPE FARM Categories
Categories
(manzanas)
1
(coffee)
2
(other
agricul-
ture)
3
(general
agricul-
ture)
4
(general
1Ivestock)
5
(1 Ive
stock and
da I ry.)
TOTAL
1 (Under 2)
Percent
18.2
16.0
4.9
0.0
4.6
9.9
Number
(8)
(8)
(3)
(0)
(1)
(20)
2 (2-9.9)
Percent
59.1
44.0
50.8
26.9
9.1
43.3
Number
(26)
(22)
(31)
(7)
(2)
(88)
3 (10-49.9)
Percent
22.7
36.0
42.6
38.5
22.7
34.0
Number
(10)
(18)
(26)
(10)
(5)
(69)
4 (50-99.9)
Percent
o.o
4.0
1 .7
23.1
31 .8
7.9
Number
(0)
(2)
(1)
(6)
(7)
(16)
5 (100-over)
Percent
o.o
0.0
o.o
11 .5
31 .8
4.9
Number
(0)
(0)
(0)
(3)
(7)
(10)
TOTAL
Percent
100.0
100.0
100.0 '
100.0
100.0
100.0
Number
(44)
(50)
(61)
(26)
(22)
(203)
CTn


228
En otra parte, especificar
22. Escucha Ud. el radio? Sf Nunca
23. Con qu frecuencia escucha el radio?
Todos los das De vez en cuando Rara vez
24.
Escucha
No
Ud. algdn programa que considera
26
de til idad? S
25.
Cmo se
llama el (los programas?)
26.
Tiene Ud
I. revistas en su casa? S
No 28
27.
Cules?

00
CNJ
Lee Ud.
peridicos? S No
30
29.
Cules?
TRABAJO

Ahora me gustara hacerle varias preguntas con respecto a su trabajo.
30. Cmo gana Ud. la mayor parte de su dinero?
Como jornalero
Como agricultor
De un establecimiento comercial o de negocios favor explicar
de otras fuentes favor explicar
31 .
Adems de lo que Ud. acaba de mencionar, tiene otras fuentes de
ingreso?
Sf No
33
32. Qu otras fuentes de ingresos tiene Ud.? Favor explicar


131
observed differences in satisfaction with life situation between
users and non-users of electricity. Nevertheless, we can conclude
from this analysis that use of electricity is very probably a
determinant, although perhaps not the only one, of heightened satis
faction with life situation of USERS. It is also pertinent to ob
serve that the availability of electricity appears to have a depressing
effect on the satisfaction with life situation of those who do not
connect (NON-ADOPTERS) .
Exposure to the Mass Media
Ideas and thoughts, the basic building blocks of all social
processes, must be communicated between individuals to be dis
seminated. All social dynamics, and in fact social equilibrium,
depend on the transfer of concepts from a person to his fellow human
beings (See DeFluer, 1970:76-7). The modes of communications range
from the most intimate person-to-person contact among family members
to the simultaneous telecast of events to all parts of the world
via satellite. One form of communication, that of the mass media,
has been singled out in this study.
Various types of mass media spread their influence into San
Carlos. A score of radio stations emit signals which are received
2,3
and the national television network covers the area. The major
2
See Ronald A. Kuisis (1967) for both a thorough rev iew of the
literature dealing with various aspects of mass media and communica
tions in Latin America and for an analysis of radio and television
transmission in Costa Rica.
3 The field research for this study was conducted while the


196
as San Isidro), and La Tigra, respectively; All of these are incom
plete communities in that they provide only limited services to their
inhabitants; most specialized services must be obtained elsewhere.
They definitely are not neighborhoods because they do not qualify as
primary groups. They are too large for the residents to maintain
face-to-face contact with most of the others in the locality group.
All of these hamlet-centered locality groups have some similar
characteristics. Each hamlet has a primary school, a Catholic church,
a field for soccer, three or four stores, and an inspector de policfa
(rural policeman). Each is located either at a crossroads or at a
natural obstacle to land transportation. All have at least some-
electricity available. Three of them, La Vega, San Isidro, and La
Tigra, are supplied dependable electrical current by COOPELESCA. In
the other two, only a few houses and business establishments have
electricity, and that is produced by small privately-owned generators.
The functions of these hamlets are few. They have a few retail
stores which sell most of the goods required to satisfy common daily
needs. Each of the nuclei has at least one telephone connected with
Ciudad Quesada In addition, mail for rural dwellers is delivered to
the small centers. Recreation is one of their most important in
tegrative functions, and it consists of three types of activities.
Each of the nuclei of these partial communities has a soccer team.
Cold beverages, especially beer, are for sale in the hamlets, whereas
frequently they are not available in the pulperfas (small neighbor
hood stores) in the more rural zones. And finally, dances and other
fiestas are held in the larger bars in the hamlets.
Five locality groups classified as incomplete or partial com-


mild person, swore at him for endangering the lives
of others by driving while drunk. As we came to
the corner, the lights of the town started to
dim and sparks were flying from the electricity
lines. We rounded the corner and saw that the
drunk had backed Into a concrete electricity pole.
He had broken the pole at its base and only the
lines kept the pole from completely falling. As
the poles swayed, the live lines shorted out
against each other. One of the interviewers and
I were the first to arrive on the scene. We held
the pole up until it could be propped up with two
ladders.
When I returned to the hotel one of the drunken
truck driver's drunken buddies started talking with
me. He said stronger poles were needed in La Fortuna.
I told him that the poles were made of concrete and
were the strongest made. He countered by seriously
suggesting that poles which could withstand the
impact of trucks were needed. Sometimes you can't
win an argument.
(August 20, 1972, Sunday, La Fortuna). I feel like
paying the drunken truck driver's bail. He was
the best thing that could have possibly happened
for my work. The people of La Fortuna were really
ready to talk about electricity this morning. I
found out more in half a day this morning than I
would have normally uncovered in a hard week's
careful digging. I even taped two conversations.
I have come to the conclusion that the people
in town are in uniform agreement that there is no
question about the use of electricity. They are
de facto users of electricity. The only question
is over the quality of electricity they are going
to use.
I believe that the lack of electricity has
seriously hampered the growth of La Fortuna. By
jeep, La Fortuna is 2 hours from the nearest place
which offers adequate services for the needs of
rural residents. By bus it is from 3 1/2 to 5
hours. It's about 6 hours by loaded truck. The
. actual distance in this case is not important.
Rather the amount of time needed to make the trip
is of importance. La Fortuna is a logical site for
a major town providing services to people in the
surrounding area. But it is not providing these
services. The reason, I maintain, is that several
of these services require the use of a dependable
and inexpensive source of power.
A major indicator of the internal social integration of a


218
likely to connect. USERS tend to be younge'r than those in either
group of non-users of electricity. This showed that younger heads
of households are more inclined to become consumers of electricity
than are their older neighbors. Those who could profitably utilize
electricity in connection with their occupation are the most likely
to become consumers of electricity. Thus, merchants, teachers, and
farm operators are more prone to adopt the use of electricity than
are those in other occupations. The more residentially stable a
household, the more likely it is to be connected to an electricity
distribution line.
Users of electricity have the highest level of living as measured
by the level-of-1iving scale (LEVEL). In this, USERS are followed
by INACCESS 1 BLES and NON-ADOPTERS in that order. Similarly, users of
electricity are more inclined than others to express that they are
more satisfied with their life, as measured by the satisfaction-with-
1ife situation scales. According to this characteristic, USERS are
above INACCESS IBLES who in turn superseded NON-ADOPTERS.
In sum, the following profiles of USERS and NON-ADOPTERS can be
drawn. Those heads of households categorized as USERS are on the
average better educated, younger, in specific occupations, more
residential1y stable, have a higher level of living, and are more sat
isfied with their life situation than their neighbors who are not
using electricity. With the exception of select occupations in which
a comparison would have been meaningless, INACCESS IBLES held a position
between USERS and NON-ADOPTERS according to these characteristics.
The intermediary position of the INACCESS IBLES implies that some of
the differences might have been caused by the -introduction of elec-


114
The arithmetic means were statistically manipulated using the t-
test for difference between means. The results of this analysis and
the companion level of significance for the t-test scores is pre
sented in Table 16. There is a statistically significant difference
between the means of USERS and NON-ADOPTERS according to the SIT PRES.
It can therefore be stated that those in the research population who
use electricity are more content with their situation in life as
compared with their neighbors than are those who could but do not use
electricity. The same can be said of a comparison between those who
use electricity and all of those who do not. Although a difference
was found between those within the reach of centrally-distributed
electricity and those who do not have access to this source of
electricity, the variation is less significant than in the other
analyses .
Cross-tabulations, identical to that performed with SIT PRES,
were made between the electric-use categories and the past satisfaction
with-1ife-situation index and the future sat isfaction-with-1ife-
situation index. The results for SIT PAST are set forth in Table 17.
When asked to compare their situation in life with past times, the
respondents, regardless of classification of use or non-use of
electricity, provided answers ranging from much worse to much better.
There are, however, major distinctions in the associations based
on the categorization of the electric-use characteristic. Nearly
three quarters, 74.6 percent of the USERS feel that their life is at
least better than it was in the past. Only a slightly smaller
proportion of the INACCESSIBLES, 68.6 percent, expressed similar
sentiments. However, only about one-third,' 37.7 percent, of the


253
Clark, David S.
1971 Renting, Sharecropping and other Indirect Land Tenure
Forms in Costa Rica: A Legal and Economic Analysis San
Jos: University of Costa Rica, School of Law, Agrarian
Law Project.
Clements,
1969
Harold M., Sr.
The Mechanization of Agriculture in Brazi 1 .
University of Florida Press.
Gainesvilie:
Clifford, Roy A .
1953 "Levels of Living in Hacienda and Small-Farm Villages."
Pp 231-259 in Charles P. Loomis et^ aj_., Turr ial ba: Soc ? a 1
Systems and the Introduction of Change. Glencoe, Illinois:
The Free Press.
Commission on Country Life
1911 Report of the Commission on Country Life. New York:
Sturgis and Walton Company.
Consejo Interamericano Econmico y Social
1957 Resea del P rime r Proyecto Piloto de Coope rat iva Rural
Elctrica de San Jos de Naranjo, Costa Rica Washington
D.C.: Unin Panamericana.
Cooley, Charles H.
1925 Social Organization. New York: Charles Scribner's Sons.
Costa Rica
1965
1966
1971
. Direccin General de Estadstica y Censos (DGEC)
Censo agropecuario: 1963 San Jos: The Direccin
Censo de popuiacin: 1963 .
San Jos:
The Direccin
Anuario Estadstico: 1969.
San Jos:
The Direccin
Davis, J. Michael
1971 A Sociological Analysis of the Man-Land Relations in the
Department of Norte de Santander. Colombia Gainesville:
University of Florida. M.A. thesis in sociology.
Davis, Joseph E "
1956 Use of Electric?ty on Farms: A Summary Report of Ten Area
Studies Washington, D.C.: U.S. Department of Agriculture
(U.S.D.A.), Agricultural Research Service, Agriculture
Information Bulletin No. 161 .
DeFleur, Melvin L.
1970 Theories of Mass Communicat ion. 2nd ed New York; David
McKay Company, Inc.
Denzin, Norman K.
1970 Sociological Methods: A Sourcebook. Chicago: Aldine Pub
lishing Company .


Figure 11
SIT TOT
Mean Total Sat 1 sfact lon-wlth-L I fe-S.t tuat Ion Index (SIT TOT)
Scores for USERS, INACCESS IBLES, and
NON-ADOPTERS by Education of Heads of Households
None
1-2
3-4
5-6
7-over
N>
v-n
Education of Heads of Households
(In years)


20
(1915). Galpin effectively dismantled the myth that the American
*
farmer was a "man without a community." Rather, Galpin demonstrated
the existence of rural communities and showed how such communities
could be defined and their boundaries delineated.
One of the primary conceptual tools for analyzing the community
is that of the "primary group." This concept was set forth in a major
contribution to sociology, Social Organization, written by Charles H.
Cooley (1925). The eminent sociologist Robert M. Maclver also pro
vided a theoretical underpinning for the study of the community, in
his book Community Maclver (1920) concentrated on the community as-
the main unit for sociological analysis.
The third decade of this century, which has been described as "A
Decade of Progress" in rural sociology by Smith (1972b: 70-5), wit
nessed the continuation of Galpin's work with the publication of his
Rural Life in 1920 and his Rural Soc?al Problems in 1924. The other
principal textbook of this time period was Carl C. Taylor's Rural
Sociology (1926).
The major rural sociological work to appear in the 1920's was The
Principles of Rural-Urban Sociology by Pitirim A. Sorokin and Carl C.
Zimmerman (1929). This book was followed by the monumental A System-
atic Source Book in Rural SocIology which Sorokin and Zimmerman, with
Galpin's assistance, published in three volumes between 1930 and 1932.
This work, which ushered in "The Period of Maturation, 1930-1945" in
rural sociology, in Smith's term (1972b: 75-84), contained a synthesis
of both American and European sociological thinking. It systematically
treated all aspects of rural life.
During the 1920's Edmund deS. Brunner as director of The Institute


38
Davis and Saunders then translated the' schedule into Spanish.
This draft was taken to Costa Rica where it was modified substantially
for the field pre-test. After this it was again revised to produce
the final draft. Victor Hugo Cspedes and Alvaro Vargas of the
University of Costa Rica aided in making the final revisions. Of
special importance was their familiarity with ways of making the
questions intelligible to rural Costa Ricans, especially to those
living in San Carlos. The Spanish spoken in Costa Rica, as is the
case in other Spanish-speaking Latin American countries, varies not
only from region to region but also from urban to rural areas.
Although the common language used in San Jos is by no means incom
prehensible to a farmer living near La Fortuna, it is recognizable as
being distinct. Cspedes, a native of Ciudad Quesada, provided major
assistance in insuring that the questions were phrased in the ver
nacular used in San Carlos.
A copy of the survey schedule is given in Appendix A. Before
discussing the actual contents of the document, it seems pertinent to
present some considerations which strongly influenced both the style
and content of the instrument. This exposition serves as an explana
tion of why the finished product emerged as it did and why various seg
ments were included while other facets were necessarily excluded.
The fact that the schedules were to be returned to the United
States to be coded exerted a strong influence on their construction.
Once the actual process of the data collecting was complete, it would
be impossible to return to resolve any problems which might arise in
conjunction with any aspect of the interviewing process. On the other
hand, problems of coding and analysis could be worked out in the


158
the same class of landholdings are presented in Table 24. Whereas
11.5 percent of the. USERS are grouped in category one, some 19.4
percent of the NON-ADOPtERS are included in the same category. The
ratios of USERS to NON-ADOPTERS and of INACCESS IBLES to NON-ADOPTERS
increase in a linear fashion as the size of farm increases. When
comparing USERS to INACCESSIBLES, there is a curvilinear variation.
The ratios demonstrate that the properties of NON-ADOPTERS are higher
than those of USERS and INACCESS IBLES in the categories of the smaller
places and low in the categories of the larger pastoral and agricultural
entities. INACCESS IBLES have comparatively fewer small and large
places and more middle size farms than do USERS.
There are those in every class of the size of holdings who do
not use any source of electrical energy. There is, however, a direct
correlation between the tendency to use electricity in the home and
increasing size of landholdings. The indication is that large land
holders are more apt to use electricity than are their colleagues who
have smaller amounts of land. A partial explanation of this is found
in an examination of the relationships between the size of the farm
and the level of living.
As might be anticipated, there is a positive correlation between
SIZE FARM and level of living, as measured by-use of the electricity-
free level-of-1ivlng scale (LEVELNOE) The relationships between
these two variables is shown in Table 25. The larger the farm, the
higher level of living of the operator. Thus while 47.7 percent
of.those living on places of less than two manzanas have a low score
on LEVELNOE, 53.3 percent of those with the largest farms have high
levels of living.


21
for Social.and Religious Research began an impressive study of 177
villages. Some 140 of these villages were re-studied and the results
\
were published at the beginning of'the period of maturation by Brunner
and John H. Kolb in their book Rural Social Trends (1933). Other
studies of the rural community appeared about this same time. Robert
M. Maclver presented a development of his earlier ideas on the com
munity in both his Society: Its Structure and Change (1931) and
Society: A Textbook of Sociology (1937).
Dwight Sanderson focused on the growth of the rural locality
group as a unit of sociological analysis in his book The Rural Com
munity: The Natural History of a Sociological Group (1932). In his
The Changing Community Carle C. Zimmerman (1938) classified the t.ypes
of characteristics which help define a locality group. Of interest
to this dissertation is Zimmerman's emphasis on change in rural com
munities.
In addition to contributing to the knowledge of typologies of
communities, Lowry Nelson formulated a methodology for the study of
individual communities. Although his methodology has been primarily
applied to the study of Mormon villages, it has applicability to the
examination of groupings in general. Of note are Nelson's A Social
Survey of Escalante, Utah (1925) The Utah Farm Vi 11 age of Ephraim
(1928) The Mormon Vi 11 age: A Study i n Social Origins (1930) Some
Social and Economic Features of American Fork, Utah (1933), and The
Mormon Vi 11 age: A Pattern and Technique of Land Sett 1ement (1952).
In the 1940's several texts presenting new views of the discipline
of rural sociology appeared. In 1940 Paul H. Landis published Rural
Life in Process. Also in 1940 T. Lynn Smith presented the first of


Table 18
A Comparison of Respondents In Future
Satsfact¡on-w¡th-Life-S1tuation Index (SIT FUT)
Categories by the Three Electric-Use Categories
1 234 5 TOTAL
Electric-Use
(much
worse
(worse)
(same)
(better)
(much
better)
USERS
Percent
0.0
0.0
11 .9
41 .6
46 .5
100.0
Number
(0)
(0)
(22)
(77)
(86)
(185)
INACCESSIBLES
Percent
o.o
0.0
8.9
39.6
51 .5
100.0
Number
(0)
(0)
05)
(67)
(87)
(169)
NON-ADOPTERS
Percent
1 .0
0.0
13.3
40.8
44.9
100.0
Number
(1)
(0)
(13)
(40)
(44)
(98)
TOTAL
Percent
0.2
0.0
11 .1
40.7
48.0
100.0
Number
(1)
(0)
(50)
(184)
(217)
(452)


147
unsupervised manner. Parcels of land were claimed and delineated
without attempting to follow a definite plan. As a result the shape
of the tracts of land are determined more by topographic and personal
economic considerations than by design. Although the informal mode
of establishing the boundaries of the farms has precluded planned
line villages, it has not prevented the formation of quasi-line
villages.
Two aspects of the system used in dividing the land have caused
the establishment of modified line villages: topographical influences
and the juxtaposition of small and medium-size farms. In several
places the main road parallels either the base of the mountains or
the course of a large river. In such instances the portions of land
have two predetermined boundaries: the road and the side of the
mountain or the river. The plots squeezed between these obstacles
are often elongated. Consequently, it is not unusual to have several
farm houses in close proximity to one another, yet each located on
separate tracts, with the fields extending behind the buildings.
The second factor accounting for much of the creation of the
quasi-line villages is the interspersion of landholdings of varying
sizes. Thus, several smaller landholdings commonly border upon one
or two larger places. The houses of all of these farms are usually
located.next to the road. Similarly, the dwellings of farm laborers,
both those owning small tracts of land and the landless hired-hands
are situated in groups along the roads.
Both the tendency to locate along roadways and the clustering
of homes has created groupings of houses which form a unique settle
ment pattern. Due to the concentration of people and to the inclusion


Figure 9
Mean Electricity-free Level-of-LIving Scale (LEVELNOE)
Under 2 2-9.9 10-49.9 50-99.9 100-over
Size of Farm
(¡n manzanas)


1
2
3
4
5
6
7
8
9
10
11
12
LIST OF TABLES
A Comparison of the Age Distributions of Heads
of Households by the Three Electric-Use Categories... 73
A Comparison of the Distribution of Education
of Heads of Households by the Three Electric-
Use Categories 75
A Comparison of the Occupations of Heads of
Households by the Three Electric-Use Categories 78
Percentages of Users of Electricity by
Occupational Categories -80
Size of Households by Frequency of. Occurrence
and Number of People 82
A Comparison of the Place of Birth of Heads of
Households by the Three Electric-Use Categories 85
A Comparison of the Previous Place of Residence
of Heads of Households by the Three Electric-Use
Categories 87
Length of Residence in Present House 89
A Comparison of the Length of Residence in the
Present House of Heads of Households by the
Three Electric-Use Categories 90
A Comparison of Those in the Level-of-Living
Scale (LEVEL) Categories by the Three Electric-
Use Categor ies 95
A Comparison of Respondents in Electricity-
free Level-of-Living Scale (LEVELNOE) Categories
by the Three Electric-Use Categories 97
Scores of T-Tests for Difference between
Arithmetic Means and Levels of Significance
for Categories and Combinations of Categories
of The Electric-Use Characteristic by Electricity-
free Level-of-Living Scale (LEVELNOE) 100
v


33
Electrification Cooperati ves in Chile by Sergio Carvallo (1950). A
pilot project for rural electrification in the Northeast of Brazil
was described in a technical report by the Banco do Nordeste do B ras i 1
(Northeast Bank of Brazil) entitled ElectrifIcagao Rural no Nordeste:
Alternati vas de Local izaqao de um Pro jecto Piloto (1959).
One of the largest and best administered projects for the distri
bution of electricity in rural areas is that operated by Corporacin
Autnoma Regional del Cauca (Autonomous Regional Corporation of Cauca)
(CVC) in the Cauca River Valley of Colombia. The foundation, growth,
and current activities of the CVC were documented in The CVC: Chal 1enge
to Underdevelopment and T raditi onalism by Antonio J. Posada, Jr. and
Jeanne de Posada (1966). A second, although less ambitious, study
conducted in Colombia is worthy of note. Augusto Torres, Stanley
Lichtenstein, and Paul Spector conducted a research project under the
auspicies of AID on the impact of placing small generators in several
Colombian villages. Their report was entitled Social and Behavioral
I impacts of ja Techno! og? cal Change i n Col ombi an Vi 1 1 ages (1968) .
The one major publication on rural electrification projects is
Cooperative Rural Elect rification: Case Stud ies of Pilot Projects in
Latin America by James E. Ross. Ross provided benchmark data from
examinations of either functioning or planned, rural electric distribu
tion cooperatives in Colombia, Ecuador, Nicaragua, and Costa Rica. The
data in this book were drawn mainly from feasibility and pre
electrification studies and thus deal only tangentially with the im
pact of electric use in rural areas.


221
dissertation be used for further studies of the influence of elec
tricity on the members of a rural society. Specifically, the present
study should be repeated in the area in three to five years. At that
time those who are currently USERS would have become habituated to
the use of electricity. Those living between La Fortuna and Los
Angeles who were INACCESSIBLES should have had the opportunity of
becoming USERS by that time. The sociological instrument developed
for the present study could be used in the replication. Since all
of the data from the present endeavor have been entered on computer
cards and saved, they could be compared with those collected in the
future.
This study has used a we 11-developed sociological frame of
reference to examine the impact of a particular technological in
novation on the members of a specific rural society. The changes
associated with or resulting from the adoption and non-adoption of
electricity are not viewed as being unique to the technological
phenomenon examined. It is posited that many relationships similar
to the findings presented herein might well be associated with the
introduction of other innovations. Before the anatomies of rural
societies can be understood, the influences of innovations on rural
residents must be comprehended. It is through the process of
examining these factors that better decisions necessary for their
implementation can be made.
The impact of rural electrification in San Carlos, Costa Rica
has been studied in this dissertation. The conclusion of the study
is that electricity is socially beneficial for rural residents. To
improve the quality of rural life, every endeavor should be made to


28
Svenning published their findings of modernism versus traditionalism in
their book Modernizat ion Among Peasants: The Impact of Communication .
In 1971 Rogers and M. Floyd Schoemaker stressed the traits of opinion
leaders in their work Communication of Innovations: A Cross-Cultural
Approach .
The Study of Rural Societies in Costa Rica.
Costa Rica is a progressive country and has long enjoyed harmonious
relations with the United States. For both of these reasons the country
has long been something of a field laboratory for social scientists.
Rural sociologists in particular have conducted several major research
projects in the country.
John and Mavis Biesanz in 1944 published a major sociological
study of the peoples of Costa Rica entitled Costa Rican Life. The
book was the result of their several years living with the Costa
Ricans, and concentrated on an analysis of the family in that country.
It is the standard sociological text on the subject.
In 1947 Charles P. Loomis joined the staff of the Inter-American
Institute of Agricultural Sciences located at Turrialba, Costa Rica.
With help from Loomis, the Institute became a major center for socio
logical research in Latin America. The major'sociological publication
to be produced as the result of this research is Turrialba: Social
Systems and the Introduction of Change edited by Loomis, et aj_. (1953) .
Two chapters included in the book should be mentioned. Roy A. Cl ifford
viewed the differences found between large farm and small farm
villages in his chapter entitled "Levels of Living in Hacienda and
Small Farm Villages." Thomas L. Norris analyzed the economic systems
which evolve around both large and small landholdings in his chapter


233
. No emple 0
79. En promedio, cunto gana uno de estos trabajadores?
\
Colones Diarios Semanales
80. Incluye este jornal la comida?
Sf No
81. Cules son los meses durante los cuales Ud. emplea trabajadores
temporales? Nombrar los meses
82. Qu instalaciones o construccin tiene Ud. en su finca?
No
Tipo
No.
Tipo
83. Cules de los siguientes tipos de mquinas y de equipo han sido
usados en esta finca durante el ltimo ao?
Tipo Cantidad Es propio?
(Sf o No)
Carreta tirada por un vehfculo
Carreta tirada por animales:
De dos ruedas
De cuatro ruedas
Automvil o jeep '
Camin: Tamao toneladas
Tractor: Tamao h ,p.
Otro: especificar
. (SI EL ENTREVISTADO UTILIZA UN TRACTOR, LLENAR ESTA SECCION)
84. Para qu fines utiliz Ud el tractor? Tiene Ud.:


23
of integration is best expressed in his analysis of the social struc
ture of Colombia.
\
The Study of Latin American Societies
The scientific examination of Latin American societies is a recent
phenomenon. This is not to say that little has been written about
various aspects of these societies. In fact the literature abounds
with fascinating travelogues, often brilliant histories, and countless
discussions of documents and events. An example of this type of
publication is the absorbing account written in the 1850's by Agustn
Codazzi1s companion Manuel Ancizar entitled Peregrinacin de Alpha
(191*0. The specific scientific study of Latin American societies,
however, and especially of rural ones* is a recent development. Most
of the contributions to the body of literature have appeared in the
post World War I 1 era.
The pathfinders in the study of rural societies in Latin America
were George M. McBride and Eyler N. Simpson. McBride's first book
entitled The Land Systems of Mexico (1923) was a general treatise on
the various types of land ownership in Mexico. He concentrated on the
social and economic relationships which are contingent on the existence
of the had enda system of land ownership. Simpson's study served as
a counterpoint to McBride's in that Simpson focused on the communal
system of land ownership in his work The Ejido: Mexi co's Way Out (1937).
McBride's second study, Ch?1e: Land and Society, published in 1936,
was a comprehensive analysis of the institutionalized relationships
between man and the land in that country.
The Second World War gave impetus to the study of rural societies


27
man-land relations.
In his doctoral dissertation A Sociological Study of the Rela-
tionships between Man and the Land ?n the Department of Boyac^,
Colombia (1955) Orlando Flas-Borda applied Smith's frame of reference
to the study of a portion of Colombia. In his Peasant Li fe in the
Colombian Andes: A Sociological Study of Saucio (1955) Fals-Borda
closely examined a rural community in Colombia.
In his "Man-Land Relations in Ecuador" which appeared in Rural
Sociology (1961a) John V. D. Saunders evaluated the regional differences
in the man-land relations found in Ecuador. Saunders furthered his
study of Ecuador with his thorough demographic analysis of that country,
The People of Ecuador: A Demographic Analysis (1961b).
The following also utilized the Smith frame of reference in their
doctoral dissertations or master's theses. Harold M. Clements
published The Mechanization of Agriculture ?n Brazi1 (1969); Edgar G.
Nesman wrote A Sociological Study of the Relat ions of Man to the Land
in Nicaragua (1969); and J. Michael Davis composed A Sociological
Study of Mand-Land Relations ?n the Department of Norte de Santander,
Colombia (1971).
Few comprehensive analyses of Latin American communities have
been published. Foremost among those written- is the lengthy Estudio
sobre 1 as Condiciones del Desarrol1 o en Colombia by Fr. Louis Joseph
Lebret et_ aj_. (1958). Lebret's study is based on the examination of
data collected through the use of survey schedules.
Everett M. Rogers has been in the vanguard of those looking at
both the process of modernization in Latin America and the importance
of communication in affecting change. In 1969 Rogers and Lynne


CHAPTER VI
THE IMPACT OF ELECTRIFICATION ON RURAL
NEIGHBORHOODS AND COMMUNITIES
Members of societies may be grouped according to social and
spatial dimensions. These groupings are referred to as "locality
groups" (Smith, 1967a:287-327). The size of locality groups varies
from one family on an isolated farm, through the rural neighborhood
and the sub-community, to the city and its hinterlands which make-up
the communities varying in size from the small to the large metropolitan.
Here the investigation concentrates on understanding those locality
groups which are larger than the small rural neighborhood but are
smaller than the urban community. That is to say, the focus is on
examining various types of social groupings in the rural setting.
Once these locality groups have been identified, an effort is made
to view the ways in which they and larger locality groups are linked
together. Next, the incidence and importance of social participation
is treated. The themes of locality groups, levels of integration,
and social participation constitute the building blocks with which
an attempt is made to show in valid perspective the impact of electri
fication on nucleated rural settlements.
183


181
in the different occupational categories. 'It was shown that the farm
laborers who do own some land possess small parcels and that the farm
operators tend to have larger pieces of land. This would seem to
suggest that, as the hired hands acquire more land, they transfer from
being jornaleros to farm operators.
The observations concerning the probable existence of a functioning
agricultural ladder are supported by the findings of Saenz and Foster
in their study of land tenure, land titling, and agricultural develop
ment. These authors selected as one of their study areas the Pital
portion of the llanos of San Carlos. In discussing this area they
make several germane comments on land tenure, and indirectly on'the
agricultural ladder, in San Carlos:
Compared with other farming regions in Costa Rica,
San Carlos is a dynamic area farm operators tend to
be more innovative, show more entrepreneurship, and
work harder at building their farms than in other
areas. Though many of the roads in the area are
unusable most of the year and though only an
average of 52% of the area of each farm is under
cultivation, the average gross value of farm pro
duction is the second highest of all the areas
studied. The main objective of people migrating
into this area is the acquisition of land to farm.
Part time wage labor is regarded by most as a
temporary undertaking to raise necessary cash for
farm and living expenses until the farm has become
fully self-supporting. 71% of all the farmers inter
viewed in this area were immigrants and expected
to build productive farms. Unlike farmers in
other areas, the immigrants have experienced enough
success so that their goals have not been revised
downward. This disequilibrium between expectations
and achievements is the source of the dynamism in
this area (1971:18-19).
It appears probable that in San Carlos young people can start
as hired hands, obtain a small parcel of land, and then proceed to be
come operators of small farms. The data, however, are by no means


201
The hamlet is located beyond the reach of the C00PELESCA distribution
lines. Thus, only the most limited supplies and services are
available there. Most social institutions and services for the
residents of the hamlet must be sought elsewhere.
As a resident of San Felipe, Vargas is a member of a closely-
knit group composed of the families of neighboring farmers. He is
one of the guiding forces in the effort to construct the new school,
and in fact has headed the drive to organize his neighbors to provide
free labor.
Although Vargas is primarily a member of a segmented neighbor
hood, he is integrated into several larger locality groups. Aside from
the few supplies which he can obtain in the small pulpera, he is
dependent for supplies on stores in El Tanque, La Fortuna, and Ciudad
Quesada. Specifically, he purchases fertilizer in La Fortuna and
veterinary supplies in Ciudad Quesada. He is, therefore, economically
integrated into these larger entities. Since it can be assumed that
he inevitably has friends and acquaintances in these larger locality
groups, he is also integrated through a friendship network into the
communities centering on these places.
Vargas, although he is by no means intemperate, does like to
drink, especially at dances. Normally he goes to El Tanque for his
drinking and to jail in La Fortuna when he consumes too much. This
is to say that he is integrated into the community of El Tanque for
his major recreational activities and into that of La Fortuna when
he has a confrontation with law enforcement officers.
Vargas is most strongly integrated into communities and neigh-
J borhoods located in San Carlos. He is, however, also related


161
Size of farm is shown to be correlated with LEVELNOE The corre
lation, however, is by no means perfect as demonstrated by the oc-
currance of some cases in all of the cells of the cross-tabulation
table. For instance, 19.0 percent f those with the smallest places
have high levels of living and 16.7 percent of those having the
largest farms are among those having the lowest scores on LEVELNOE.
Thus, it must be concluded that other considerations, in conjunction
with the size of the farm, influence the observed variations of level
of living of agriculturalists. The analysis of the type of farms,
which follows, provides a partial explanation of this variance.
Type of Farming
4
In the area of San Carlos studied there are varied pastoral and
agricultural activities. For meaningful discussions of the importance
of the types of agricultural and pastoral production found, it is
necessary first to categorize the production units according to type
of farming.
The examination of the type of farming presented here closely
follows the work of Dr. T. Lynn Smith. He defined "type of farming"
as: "a given combination of enterprises or the exclusive use of only
one enterprise in any of the agricultural or pastoral entities
logically entitled to be classified as a farm" (1972a:664). It should
be noted that Smith used the term "enterprise" to refer to "the socio
cultural systems which revolve around the production of either a given
crop or type of livestock" (Davis, 1972:72).
The United States Bureau of the Census utilizes the concept of
"types of farms" in the U.S. Census of Agriculture The type of


109
be counted as one of the social benefits of rural electrification in
the area of Costa Rica studied.
Satisfaction with Life Situation
In the preceding section the analysis focused on what the people
of San Carlos actually have, that is their level of living. Attention
is now turned to an examination of the extent of satisfaction with
life expressed by the respondents. The approach used is to analyze
associations between constructed indexes which measure, in various
ways, satisfaction with life situation and other variables and
characteristics .
A series of original indexes was constructed for use in analyzing
the levels of satisfaction with life situation. They are based on
data collected from questions asking the respondents to compare
their life's situations with other specified situations (See Appendix
A, p 243). The present satisfaction-with-1 ife-situation index (SIT
PRES) is based on responses to the question comparing one's life
with that of his negihbors Both the future satisfaction-with-1ife-
situation index (SIT FUT) and the past satisfaction-with-1ife-
situation index (SIT PAST) are based on responses to two questions.
SIT FUT is constructed on answers to queries concerning what the respond
ents expect their life situations to be in five years and what they
expect will be the situation of the children of today when they
reach maturity. SIT PAST is based on answers to questions asking
the respondents to compare their present life situation with their
own five years earlier and with that of their fathers. The total
satisfaction-with-1ife situation index (SIT TOT) is a combination of


139
unsatisfied with their situation in life.
It has been demonstrated that MME I is positively associated with
both level of living and satisfaction with life situation. Both
higher levels of living and higher satisfaction with life situation
previously have been shown to be positively associated with the use
of electricity. The findings then are that MMEI which is related
to the use of electricity is also related to at least two other
characteristics which are simultaneously positively associated with
the use of electricity. Exposure to mass media appears to be a
companion characteristic in its relationships with the other variables
studied. That is to say that although the positive association
between electricity use and MME I has been shown, this association is
mostprobably as much a result of higher level of living and perhaps
of satisfaction with 1 ife situation as of the use per se of electricity.
Likewise, the negative association between non-users of electricity
and exposure to the mass media is influenced by correspondingly
lower levels of living and lower satisfaction with life situation.


208
belonged to C00PELESCA, only 46 of these same respondents then stated
that they were members of the cooperative. The above discussion
underscores two points: (1) the lack of awareness of the members
of C00PELESCA of their membership, and (2) the fact that the USERS
are more Inclined than are the non-users of electricity to belong to
more than one organization.
The structure of C00PELESCA is such that every ten members have
an elected delegate who has a vote at the general assemblies. All
of the respondents who reported that they were members of C00PELESCA
were asked to'name their delegate. Eighty-three of them could not
do so. Thirty-two respondents listed a name which was assumed by
the researchers to be a valid delegate. Twenty-seven respondents
stated that Freddy Arroyo was their delegate. Arroyo Is the ad
ministrator of C00PELESCA and as such cannot be a delegate. Respon
dents were also asked if they had ever attended any of the C00PELESCA
assemblies. Only 18 percent of the USERS recalled having attended
such a meeting.
USERS, proportionally belong to more organizations than do the
others in the research population. A partial explanation of this
might be the result of a "spin-off" or ripple effect of membership
in C00PELESCA. Those few who are knowledgeable members of C00PELESCA
might also be more likely to be active members in other organizations.
This supposition is, however, neither confirmed nor rejected on the
basis of the available data.
The preceding discussion was limited to formal social participa
tion. Obviously, several facets of social participation were not
covered. Sports clubs, including in the omnipresent soccer teams,


72
the small numbers in the groups.
Data on the ages of the heads of households were collected from
413 respondents. These data are presented In condensed form in
Table 1 The modal age group of the heads of households is 30 to 39
years. It contains nearly one-third, 31.7 percent, of all. Next in
importance are the age groups 40 to 49 years, and less than 30 years,
respectively. The youthful ness of this population encompasses the
heads of households as well as their offspring. Over one-half of
these adults are under 40 years of age and nearly three-fourths of
them under 50.
The age of heads of households (AGE HEAD) was cross-tabulated
with the electric-use characteristic (Table 1). No important dif
ferences were revealed. Further analysis was performed by calculating
the median age of those in the three categories (Table 1). The USERS
as a group are slightly younger than the INACCESS IBLES The NON
ADOPTERS constitute the oldest grouping. The data give some indica
tion that the younger heads of households are more likely to become
users of electricity than are their older neighbors. However, because
of the slight variation found, inaccuracy in age reporting, and the
39 missing cases, no great importance should be attached to these
findings .
Education.
Major advances have been made in Costa Rica in providing a primary
education to all segments of the population-. The results of govern
mental policies designed to make schooling available are clearly seen
in the San Carlos area. Without exception, every rural neighborhood


137
exposure to the mass media. As can be seen, those with a low level
of living are more inclined to have a corresponding low MME I score;
concurrently, those with higher levels of living are more likely to
also score high on the mass-media-exposure index. As indicated by
the Chi-Square test, the probability of the distribution shown oc
curring by chance approximates 0.00. The association between the
two variables being examined is a strong one as shown by the raw
score of the Tauc test of 0.21 with the level of significance of 0.00.
No attempt is made to impute causality in the relationship found
between the MMEI and LEVELN0E. The assumption, however, can be made
that the causality would be circular: increased level of living -
should lead to increased exposure to the mass media which in turn
could lead to an increased level of living.
As has been shown previously there is a positive relationship
between the use of electricity and a high level of living. The
relationship found between MMEI and LEVELN0E would seem to indicate
that exposure to the mass media is a companion phenomenon positively
associated with level of living.
Not only is MME I positively association with LEVELN0E, it is
also directly related to sat isfaction-with-1ife situation total
score (SIT TOT). This relationship is shown in Table 22. The associa
tion, however, is not strong. Although those with higher degrees of
exposure to the mass media are more likely to have corresponding high
scores on SIT TOT, some of those with either moderately-high or
high levels of exposure also have expressed that they are relatively


2k2
Artculo Cant i dad Un i dad Costo Uso
Velas
Canfn
Gas ________ _
Lea
Otro: especificar
133.En esta casa ha tenido electricidad alguna vez? S
134. Hace cuntos aos, o meses? Aos Meses
135. Por qu ahora no tienen electricidad?
136. Cree Ud. que tener electricidad es una ventaja o una desventaja?
Ventaja Desventaja Por qu
137. En su opinin, qu cosas podra hacer Ud. con electricidad que
no puede hacer ahora sin ella? EXPLICAR:
En su casa
En su establecimiento comercial
En su finca
138. Si Ud. tuviera la oportunidad, utilizara electricidad en su
casa? S No lZt0- En su finca? S
140
No
(SI CONTESTA SI, UNA VEZ POR LO MENOS, PREGUNTAR:)
1319. Si Ud. tuviera electricidad cules seran los primeros' aparatos
elctricos que Ud. comprara?


250
EVALUAC ION DE LA ENTREVISTA
Hora en que termin la entrevista A.M. P.M.
(ES IMPORTANTE QUE TENGAMOS SU OPINION FRANCA CON RESPECTO A LA
ENTREVISTA. HAGANOS EL FAVOR DE LLENAR ESTA SECCION CON LA MAYOR
SINCERIDAD POSIBLE)
Muy Muy
Bueno Bueno Regular Malo Malo
Grado de cooperacin del entrevistado
Precisin de las respuestas
Su relacin o grado de confianza con
el entrevistado
Favor nombrar las personas que estaban presentes durante la entrevista.
Unicamente el entrevistado
Parentezco con el jefe de la famil
Otras peesonas:
ia Presente durante Presente du-
toda la entrevis- rante parte
ta de la entre
vista
Si la entrevista fu interrumpida, en qu punto fu interrumpida y por
qu fu interrumpida? Tambin, por favor, indique a qu horas y bajo
cules circunstancias la entrevista fu continuada y terminada.
Hganos el favor de comentar brevemente cualquier circunstancia especial
de esta entrevista. Ud. podr querer comentar, por ejemplo, respuestas
no usuales o respuestas que Ud. cree fueron falsas.


86
of the population is classed as being migrants into the region. Again
the proportions of migrants vary but little among electric use cate
gories: 87.2 percent of USERS are migrants; and the corresponding fi
gures for INACCESS IBLES and NON-ADOPTERS are 87.4 and 90.7, respectively.
A disproportionally large number of INACCESS IBLES are in the
"other Costa Rica" category. Portions of the area inhabited by the
INACCESS IBLES are in the Cantn of San Ramn. The imbalance found in
this category is probably caused by an influx into the area of people
born elsewhere in San Ramn or in its vicinity rather than in or near
the Cantn of San Carlos.
Data were compiled on the previous place of residence of the
heads of households (Table 7). The same variation between the USERS
and both of the groups of non-users of electricity which was noted
when discussing place of birth persists with regard to those who have
moved to their present location from elsewhere in San Carlos. Once
again, the INACCESS IBLES have been influenced by those who apparently
have moved into the area from San Ramn.
If migrants are defined as persons whose previous place of
residence was in a different district, then 43.3 percent of the popula
tion is classed as migrant. Once again there are but small differences
in this percentage among those in the three categories of the electric
use characteristic. Forty-one percent of USERS, 45.7 percent of
INACCESS IBLES, and 43.8 percent of NON-ADOPTERS are classified as mi
grants. Approximately equal percentages of each of the categories had
their previous place of residence outside of San Carlos.
Over one-half, 56.7 percent of the respondents were lifetime
residents of the district in which they were enumerated or had their


191
the city of San Carlos does not extend over the entire Llanos. The
zone extending from. San Isidro de Ro Peas Blancas through and in--
eluding San Francisco ¡ part of the cantn of San Ramn rather than
that of San Carlos. The influences emanating from San Ramn are
minimal, however, for all transportation and communications between
the portion of the study area in the cantn of San Ramn and its own
polit¡cal-administrat ive center must pass through Ciudad Quesada .
Therefore, there is reason for considering the area between San Isidro
and San Francisco as part of the San Carlos community rather than as
a separate entity.
As indicated above, the community of which Ciudad Quesada is the
nucleus is properly placed in the fourth level of locality groups.
The next community to be discussed is placed four levels below Ciudad
Quesada. It is the one that has at its center the village of La
Fortuna. 'There are at least three levels of locality groups, when
classified according to size and influence, that are missing in the
range between Ciudad Quesada and La Fortuna. These categories contain
those communities whose nuclei may be designated as small towns,
large towns, and small urban centers, respectively. Since no examples
of these missing classes are found in the San Carlos area, they are
not discussed further. La Fortuna is representative of the eighth
level of the size of locality groups in Costa Rica.
La Fortuna is a village situated at the foot of the Volcano
Arenal. The settlement was originally called Burrito (Little Burro),
bu-t the local entrepreneurs decided that La Fortuna (Good Luck) was
a more appropriate title for their village. The place grew rapidly
until August, 1964, when an erupt ion of the volcano brought the growth


Table 2
A Comparison of the Distribution of Education
of Heads of Households by the Three Electric-Use Categories
Years of Education
Electric-Use
CategorIes
1
(none, no
InformatIon)
2
0-2)
3
(3-4)
4
(5-6)
5
(7+)
TOTAL
Median
(Years of
school 1ng)
USERS
Percent
23.8
18.9
30.8
19.5
7.0
100.0
3.5
Number
(44)
(35)
(57)
(36)
(13)
(185)
INACCESSIBLES
Percent
34.3
27.8
24.3
10.0
3.6
100.0
2.1
'
Number
(58)
(47)
(41)
07)
(6)
(169)
NON-ADOPTERS
Percent
38.8
25 .5
25 .5
8.2
2.0
100.0
1 .9
Number
(38)
(25)
(25)
(8)
(2)
(98)
TOTAL
Percent
31 .0
23.7
27.2
13.5
4.6
100.0
2.5
Number
(144)
(107)
(123)
(61)
(21)
(452)


162
farming is determined by the value of the sale of farm products (1968,
"Types of Farms," Volume II, Chapter 10). The Costa Rican Direccin
General de Estadstica Censos (General Statistics and Census
Administration) in its Censo Agropecuario (Agricultural Census)
utilizes a much looser definition which specifically allows the
producer to type his own place. The exact method used is presented
as an instruction to the census enumerator as follows:
In this question you will note the census type or kind
of farm which the producer indicates. Thus, for
example: rice, if the principal crop is rice, livestock,
if the principal produce is livestock; etc. (Costa
Rica, Direccin General de Estadstica y Censos,
1965:XLL).7
The schema of categorizing farms by type used here, and previously
explained in Chapter III, attempts to be more systematic than the
definitional process used in the Costa Rican Censo Agropecuario can
be. Unfortunately, because of the limited space given to this subject
in the survey schedules, the schema used is not as comprehensive as
that used in the U.S_. Census of Agr iculture .
A classification schema for type of farming (TYPE FARM) containing
five categories was devised. Included in the first category are
those places given over primarily to coffee culture. Although the
llanos being studied are in the lowlands, coffee is the predominant
crop. More than one-fifth of all of the farms are classified as
coffee farms (See Table 26). Included in this category are units
which are devoted almost exclusively to coffee monoculture and, also,
those on which coffee is grown in conjunction with another crop.
t ..
^ Translated by J. Michael Davis.


176
types is based on the process of acquisition. According to Saenz and
Foster:
\
Unlike most Civil Law jurisdictions, the Costa Rican
Civil Code only permits acquisition of ownership
through prescripcin ordinaria, i.e., through 10
years of possession with a colorable title and a
good faith claim of ownership. The purpose of the
ordinaria rule is to cure legally defective titles.
A person who buys land and records a title that is
legally defective may nevertheless acquire owner
ship after 10 years of possession (197l:Part VI, 3).
It is through the ordinaria process that land held in derecho may
become possessed in escritura.
Futher light is shed by Upham on the meaning of the distinction
between these two forms of possession. In discussing his trip from
Boca de Arenal in San Carlos down the San Carlos River, he included
in his journal, the following insightful commentary on the legality of
land ownership in the area:
Most of the land along the way was held by 'derechos'
rather than by 'escritura'. This means that the
holders do not have registered titles, but do have
a generally recognized right to the land, often with
a bill of sale from a previous holder. To have a
registered title one has to pay a land surveyor to
make a plat of the property in question, spelling
out the boundaries clearly. Then one has to have a
lawyer process the claim legally. And with a
registered title goes the natural obligation to pay
land taxes which amount to one coln per manzana per
year. So the costs of getting a title, plus the
involvement with taxes, discourage those who could
get a title. And some have not got good grounds
. for a title (1969:252-253) .
Regardless of possession of a land title, those who have lived on a
place for ten years are regarded as the rightful owners. The juxta
position, however, of operators who have title; those who rightfully
own the land but do not have title; and those who are in the process
of establishing residency on the land, have made the subject of land


84
the extent to which population pressure in the Meseta Central is relieved
by people moving from there to San Carlos, and the importance of migra
tion into the area in general. Additional emphasis is placed on rural-
urban migration differentials.
If migrants are defined as persons born outside of San Carlos,
69.1 percent of the respondents are so classified (Table 6). They
were born, in nearly equal numbers, in the Meseta Central, (defined
here as the areas designated as being Valle Intermontano [inter
mountain valley^ in the Costa Rican census) and in portions of the
country other than the Meseta Central and San Carlos.
The vast majority of the respondents were born in rural areas.
Only 6.3 percent were born in the uncontestably urban centers of
0
Ciudad Quesada and metropolitan San Jos. Although it is possible that
some of the remaining 93.7 percent of the heads of households were
born in towns, the large majority of them were, no doubt, born in rural
areas.
There is little variation in the place of birth according to
current use or non-use of electricity. However, higher proportions of
the USERS were born in San Carlos than is the case with those in either
of the two categories of non-users of electricity. The percentages of
those born in San Carlos are as follows: USERS, 32.9' INACCESS IBLES,
28.8; and NON-ADOPTERS, 26.8. Since the USERS are more likely to be
landholders, and perhaps owners of inherited land, and the NON-ADOPTERS
more likely to be farm laborers, the differences appear to be related
to occupational status.
If, on the other hand, migrants are defined as persons born in a
district different from that in which they reside, then 88.0 percent


62
Two demographic phenomena must be taken into consideration when
discussing the distribution of the inhabitants of Costa Rica. The
country has a heartland, the Meseta Central (central plateau), which
has traditionally been the site of the concentration of the majority
of the citizens. Secondly, Costa Rica is a land of urban centers, most
of which are located in the Meseta Central in close proximity to the
nation's capital, San Jos. Both of these factors were taken into
account in the categorization of the compiled migration data.
A third consideration was also included in the classification of
migration data. The region studied is but one of several geographic
portions of the Cantn of San Carlos. It was of interest to view the
migratory currents between the area studied and the other part of
San Carlos .
The following schema was devised for the classification of
geographic locations in the analysis of migration:
1. The same distrito (a township-like entity)
2. Another distrito in San Carlos, except for Ciudad
Que s a da
3. Ciudad Quesada
4. San Jos
5. Alajuela, Heredia, and Cartago (all urban centers)
6. Locations in the Valle Intermontano (Inter-mountain
Valley, the census term for Meseta Central) other than
San Jos, Alajuela, Heredia, and Cartago.
7. Non-Valle Intermontano other than San Carlos
8. Foreign
It should be noted that this plan would have to be revised to be
applicable for studies conducted elsewhere in Costa Rica.



PAGE 1

7+( ,03$&7 2) 585$/ (/(&75,),&$7,21 ,1 &267$ 5&$ %\ 0,&+$(/ '$9,6 $ ',66(57$7,21 35(6(17(' 72 7+( *5$'8$7( &281&,/ 2) 7+( 81,9(56,7< 2) )/25,'$ ,1 3$57,$/ )8/),//0(17 2) 7+( 5(48,5(0(176 )25 7+( '(*5(( 2) '2&725 2) 3+,/2623+< 81,9(56,7< 2) )/25,'$

PAGE 3

$&.12:/('*0(176 7KLV GLVVHUWDWLRQ ZRXOG KDYH EHHQ LPSRVVLEOH ZLWKRXW WKH H[FHSn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n PLQLQJ WKH FRQWHQW DQG GLUHFWLRQ RI WKLV SURMHFW 0XFK RI WKH DQDO\n VLV ZRXOG KDYH EHHQ VXEVWDQWLDOO\ FXUWDLOHG ZLWKRXW WKH DEOH FRPSXWHU SURJUDPPLQJ SURYLGHG E\ 2OHK :RORZ\QD 1RUPDQ 0DUNZRUWK 7HUU\ -DEDO\ DQG 0DUID /HRQ IXUQLVKHG XQLIRUPO\ VXSHULRU FRGLQJ 9LFWRU +XJR &VSHGHV DQG $OYDUR 9DUJDV RI WKH ,QVWLWXWH RI (FRQRPLF ,QYHVWLJDWLRQV 8QLYHUVLW\ RI &RVWD 5LFD JUHDWO\ IDFLOLWDWHG WKH HIIRUWV LQ FRQGXFWLQJ WKH ILHOG VXUYH\ 7KLV SURMHFW ZRXOG QRW KDYH EHHQ SRVVLEOH ZLWKRXW WKH VXSHUE ZRUN RI 9DUJDV DQG KLV WHDP L L

PAGE 4

RI LQWHUYLHZHUV 2VFDU %HQDYLGHV RI WKH &RVWD 5LFDQ (OHFWULFLW\ ,QVWLWXWH VWURQJL\ VXSSRUWHG WKH VWXG\ ZRXOG OLNH WR HVSHFLDOO\n Y WKDQN )UHGG\ $UUR\R PDQDJHU RI WK UXUDO HOHFWULF FRRSHUDWLYH RI 6DQ &DUORV DQG $OIUHGR &KDYDUUID RXU FKDXIIHXU IRU ERWK WKHLU VXSSRUW DQG IULHQGVKLS 7KH XVH RI WKH 1RUWKHDVW 5HJLRQDO 'DWD &HQWHU RI WKH 8QLYHUVLW\ RI )ORULGD LV DFNQRZOHGJHG DV LV WKH JHQHURXV FRRSHUDWLRQ RI WKH &HQWHUV IRU /DWLQ $PHULFDQ 6WXGLHV DQG 7URSLFDO $JULFXOWXUH 7KLV VWXG\ ZDV FRQGXFWHG XQGHU WKH DXVSLFLHV RI WKH $JHQF\ IRU ,QWHUn QDWLRQDO 'HYHORSPHQW *UDQW &VGA FRXOG QRW KDYH IRXQG D ILQHU W\SLVW WKDQ 0UV 0DUID ,JQDFLD &UX] 7KLV GLVVHUWDWLRQ LV RXUV WKDQNV 0DU\ :RXOG WKDW FRXOG EODPH P\ FKDUPLQJ GDXJKWHUV $QGUHD DQG 1HQD IRU WKH PLVWDNHV FRQn WDLQHG KHUHLQ $ODV FDQQRW DORQH DP UHVSRQVLEOH IRU WKHVH FRQWHQWV L L L

PAGE 5

7$%/( 2) &217(176 $&.12:/('*0(176 X /,67 2) 7$%/(6 Y /,67 2) ),*85(6 YLLL $%675$&7 [ ,,1752'8&7,21r ,,$ 5(9,(: 2) 7+( /,7(5$785( ,,,352&('85(6 $1' 0(7+2'2/2*< ,962&,$/ &255(/$7(6 90$1/$1' )$&7256 9,7+( ,03$&7 2) (/(&75,),&$7,21 21 585$/ 1(,*+%25+22'6 $1' &20081,7,(6 9,,6800$5< $1' &21&/86,216 $33(1',; $ %,%/,2*5$3+< %,2*5$3+,&$/ 6.(7&+ OY

PAGE 6

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f &DWHJRULHV E\ WKH 7KUHH (OHFWULF 8VH &DWHJRU LHV $ &RPSDULVRQ RI 5HVSRQGHQWV LQ (OHFWULFLW\ IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV 6FRUHV RI 77HVWV IRU 'LIIHUHQFH EHWZHHQ $ULWKPHWLF 0HDQV DQG /HYHOV RI 6LJQLILFDQFH IRU &DWHJRULHV DQG &RPELQDWLRQV RI &DWHJRULHV RI 7KH (OHFWULF8VH &KDUDFWHULVWLF E\ (OHFWULFLW\ IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f Y

PAGE 7

3HUFHQWDJHV RI 86(56 DQG 121$'237(56 E\ &DWHJRULHV RI (OHFWULFLW\IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f DQG 5DWLRV RI 3HUFHQWDJHV RI 86(56 WR 121$'237(56 $ &RPSDULVRQ RI 5HVSRQGHQWV LQ 3UHVHQW 6DW LVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[ 6,7 35(6f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV ,OO $ULWKPHWLF 0HDQV IRU 5HVSRQGHQWV RI 6DWLVIDFWLRQ ZLWK/LIH ,QGH[HV IRU &DWHJRULHV DQG &RPELQDWLRQV RI (OHFWULF8VH &DWHJRULHV 6FRUHV RI 77HVWV IRU 'LIIHUHQFHV EHWZHHQ $ULWKPHWLF 0HDQV DQG /HYHOV RI 6LJQLILFDQFH IRU &DWHJRULHV DQG &RPELQDWLRQV RI (OHFWULF8VH &DWHJRULHV E\ 6DWLVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[HV $ &RPSDULVRQ RI 5HVSRQGHQWV LQ 3DVW 6DW LV IDFWLRQ ZL WK/LIH6LWXDWLRQ ,QGH[ 6,7 3$67f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV $ &RPSDULVRQ RI 5HVSRQGHQWV LQ )XWXUH 6DWLVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[ 6,7 )87f E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV $ &RPSDULVRQ RI 5HVSRQGHQWV LQ 7RWDO 6DWLVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[ 6,7 727f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV $ &RPSDULVRQ RI 5HVSRQGHQWV $FFRUGLQJ WR 0DVV 0HGLD([SRVXUH ,QGH[ 00(Of E\ (OHFWULF8VH &DWHJRULHV $ &RPSDULVRQ RI 5HVSRQGHQWV $FFRUGLQJ WR &DWHJRULHV RI (OHFWULFLW\IUHH /HYH RI/LYLQJ 6FDOH /(9(/12(f E\ &DWHJRULHV RI 0DVV0HGLD ([SRVXUH ,QGH[ 00(Of $ &RPSDULVRQ RI 5HVSRQGHQWV $FFRUGLQJ WR *URXSHG &DWHJRULHV RI 7RWDO 6DWLVIDFWLRQZLWK /L IH6 L WXDW LRQ ,QGH[ 6,7 727f E\ &DWHJRULHV RI 0DVV0HGLD([SRVXUH ,QGH[ 00(Of $ &RPSDULVRQ RI WKH 6L]H RI )DUPV RI 7KRVH LQ WKH 7KUHH (OHFWULF8VH &DWHJRULHV 3HUFHQWDJHV RI 86(56 ,1$&&(66 %/(6 DQG 121n $'237(56 E\ 6L]H RI )DUP 6,=( )$50f &DWHJRULHV DQG 5DWLRV RI (DFK WR WKH 2WKHUV YL

PAGE 8

$ &RPSDULVRQ RI 6L]H RI )DUP E\ (OHFWULFLW\ IUHH /HYHORI/LYLQJ /(9(/12(f &DWHJRULHV $ &RPSDULVRQ RI 7\SH RI )DUPLQJ E\ 7KRVH LQ WKH 7KUHH (OHFWULF8VH &DWHJRULHV $ &RPSDULVRQ RI 7KRVH (QJDJHG LQ $JULFXOWXUDO RU 3DVWRUDO $FWLYLWLHV E\ WKH 7KUHH (OHFWULF 8VH &DWHJRULHV $ &RPSDULVRQ RI 7KRVH LQ WKH &DWHJRULHV RI 7\SH RI )DUPLQJ 7<3( )$50f E\ WKH &DWHJRULHV RI 6L]H RI )DUP 6,=( )$50f $ &RPSDULVRQ RI 7KRVH LQ WKH &DWHJRULHV RI 7\SH RI )DUP 7<3( )$50f E\ &DWHJRULHV RI (OHFWULFLW\IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f 5HVSRQVHV WR 4XHVWLRQ &RQFHUQLQJ 0HPEHUVKLS LQ 2UJDQL]DWLRQV $VVRFLDWLRQV DQG &RRSHUDWLYHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV YL L

PAGE 9

/,67 2) ),*85(6 /RFDWLRQ LS &RVWD 5LFD RI WKH $UHD 6WXGLHG LQ 6DQ &DUORV 0DS RI WKH $UHD 6WXGLHG $JH6H[ 3\UDPLG IRU WKH 3RSXODWLRQ 6WXGLHG LQ 6DQ &DUORV 6H[ 5DWLRV E\ $JH *URXSV RI 7KRVH /LYLQJ LQ +RXVHKROGV LQ WKH 3RSXODWLRQ 6WXGLHG LQ 6DQ &DUORV 3HUFHQWDJHV RI (DFK 86(56 ,1$&&(66 ,%/(6 DQG 121$'237(56 E\ &DWHJRULHV RI (OHFWULFLW\ IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f 0HDQ (OHFWULFLW\IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f 6FRUHV IRU 86(56 ,1$&&(66 ,%/(6 121$'237(56 DQG 7RWDO 3RSXODWLRQ E\ 1XPEHU RI 3HRSOH SHU +RXVHKROG 0HDQ (OHFWULFLW\IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f 6FRUHV IRU 86(56 ,1$&&(66,%/(6 121$'237(56 DQG 7RWDO 3RSXODWLRQ E\
PAGE 10

0HDQ 7RWDO 6DWLVIDFWLRQZLWK/LIH 6LWXDWLRQ ,QGH[ 6,7 727f 6FRUHV IRU 86(56 ,1$&&(66,%/(6 DQG 121$'237(56 E\ (GXFDWLRQ RI +HDGV RI +RXVHKROGV r 0HDQ 7RWDO 6DWLVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[ 6,7 727f 6FRUHV IRU 86(56 ,1$&&(66,%/(6 DQG 121$'237(56 E\ 6L]H RI )DUP &DWHJRULHV 0HDQ 7RWDOn 6DWLVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[ 6,7 727f 6FRUHV IRU 86(56 ,1$&&(66,%/(6 DQG 121$'237(56 E\ (OHFWULFLW\IUHH /HYHO RI/LYLQJ 6FDOH /(9(/12(f &DWHJRULHV L[

PAGE 11

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n VSHFWLYH IRU WKH VWXG\ $ WRWDO RI KHDGV RI KRXVHKROGV ZHUH LQWHUYLHZHG XQGHU WKH VXSHUYLVLRQ RI WKH DXWKRU E\ WUDLQHG &RVWD 5LFDQ LQWHUYLHZHUV 7KH GDWD JDWKHUHG IURP WKH VXUYH\ UHVHDUFK ZHUH VXSSOHPHQWHG E\ WKRVH DPDVVHG WKURXJK SHUVRQDO REVHUYDWLRQV 7KH GDWD ZHUH GUDZQ IURP UHVSRQGHQWV LQ D FDUHIXOO\ VHOHFWHG DUHD ,W LV RQH LQ ZKLFK DSn SUR[LPDWHO\ KDOI RI WKH UHVLGHQWV ZHUH ZLWKLQ UHDFK RI WKH GLVWULEXWLRQ OLQHV RI D FHQWUDO VRXUFH RI HOHFWULFDO HQHUJ\ ,Q WKLV VXEn SRSXODWLRQ ZHUH ERWK DGRSWHUV DQG QRQDGRSWHUV RI HOHFWULFLW\ 7KH [

PAGE 12

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n WLRQ DQG H[SRVXUH WR WKH PDVV PHGLD DUH IRXQG WR EH DVVRFLDWHG ZLWK WKH XVH RI HOHFWULFLW\ FRPSDUHG ZLWK QRQXVH ,Q DJULFXOWXUDO ]RQHV VXFK DV UXUDO 6DQ &DUORV WKH LQVWLWXn WLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG DUH LQVWUXPHQWDO LQ GHWHUPLQLQJ WKH UDWH RI DGRSWLRQ DQG XVHV RI HOHFWULFLW\ 7KH FRQn FHQWUDWLRQ RI WKH SRSXODWLRQ LQ TXDVLOLQH YLOODJHV DQG KDPOHWV IDFLOLWDWHG WKH LQVWDOODWLRQ RI D HOHFWULFLW\ GLVWULEXWLRQ V\VWHP PRUH WKDQ D VHWWOHPHQW SDWWHUQ LQ ZKLFK WKH UXUDO LQKDELWDQWV DUH GLVSHUVHG RQ VFDWWHUHG IDUPVWHDGV 2SHUDWRUV RI PHGLXP WR ODUJH IDUPV DUH PRUH OLNHO\ WR EHFRPH XVHUV RI HOHFWULFLW\ WKDQ DUH WKRVH ZKR IDUP VPDOOHU SODFHV 7KRVH ZKR HQJDJH LQ VSHFLILF W\SHV RI DJULFXOWXUDO RU SDVWRUDO SURGXFWLRQ KDYH PRUH SURGXFWLYH XVHV RI

PAGE 13

HOHFWULFLW\ DQG DSSHDU PRUH OLNHO\ WR DGRSW WKH XVH RI HOHFWULFLW\ LQ WKHLU KRPHV WKDQ GR WKRVH HQJDJHG LQ RWKHU W\SHV RI IDUPLQJ )DUP RSHUDWRUV DUH PRUH LQFOLQHG WR XVH HOHFWULFLW\ LQ WKHLU KRPHV WKDQ DUH IDUP ODERUHUV (YLGHQFH LV SUHVHQWHG WR VKRZ WKH H[LVWHQFH RI DQ DJULFXOWXUDO ODGGHU LQ 6DQ &DUORV 7KH WKHPHV RI ORFDOLW\ JURXSV OHYHOV RI LQWHJUDWLRQ DQG VRFLDO SDUWLFLSDWLRQ DUH XVHG WR FRQVWUXFW D IUDPHZRUN IRU YLHZLQJ WKH LPSDFW RI HOHFWULILFDWLRQ RQ QXFOHDWHG UXUDO VHWWOHPHQWV $ WKHRn UHWLFDO W\SRORJ\ RI WKH ORFDOLW\ JURXS LGHQWLILHG LQ WKH DUHD LV SUHVHQWHG 7KH SURFHVV RI REWDLQLQJ HOHFWULFLW\ LV VKRZQ WR EH DQ LQWHJUDWLYH IRUFH XQWLO DQ DUHD LV HQHUJL]HG DW ZKLFK WLPH LW DSSHDUV WR UHWDUG FRPPXQLW\ RUJDQL]DWLRQ DFWLYLWLHV ,Q D FRPPXQLW\ WKH XVH RI HOHFWULFLW\ ERWK VWUHQJWKHQV LQWHUQDO LQWHJUDWLRQ RI WKH ORFDOLW\ JURXS DQG FDXVHV DQ LQFUHDVHG GHSHQGHQF\ XSRQ ODUJHU FRPPXQLWLHV [L L

PAGE 14

&+$37(5 ,1752'8&7,21 7KLV LV D VWXG\ RI WKH LPSDFW RI UXUDO HOHFWULILFDWLRQ LQ &RVWD 5LFD ,W LV DQ HYDOXDWLRQ RI WKH HIIHFW WKH DGRSWLRQ RI WKH XVH RI HOHFWULFLW\ KDV KDG RQ WKH UHVLGHQWV RI D UXUDO VHFWRU RI 6DQ &DUORV 7KH IRFXV LV RQ WKH GLIIHUHQWLDOV LQ VHOHFWHG YDULDEOHV DQG FKDUDFWHUn LVWLFV IRXQG EHWZHHQ XVHUV DQG QRQXVHUV RI HOHFWULFLW\ 7KH XVH RI HOHFWULF HQHUJ\ IRU ERWK GRPHVWLF DQG IDUP SXUSRVHV LV QRZ DFFHSWHG DV LQGLVSHQVDEOH LQ PRVW UXUDO DUHDV RI WKH 8QLWHG 6WDWHV 7KLV LV QRW KRZHYHU WKH FDVH LQ YDVW UHJLRQV RI /DWLQ $PHULFD ,Q ERWK &HQWUDO DQG 6RXWK $PHULFD WKH H[LVWHQFH RI HOHFWULFLW\ GLVWULn EXWLRQ OLQHV LV WKH H[FHSWLRQ UDWKHU WKDQ WKH UXOH 7KHUH DUH FXUn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

PAGE 15

SUHVHQW HQGHDYRU LV GHVLJQHG WR SURYLGH DQ HYDOXDWLRQ RI WKH VRFLRn FXOWXUDO GLIIHUHQFHV LQ UXUDO FRPPXQLWLHV DQG VPDOOHU ORFDOLW\ JURXSV ZKLFK PD\ EH DWWULEXWDEOH WR WKH XWLOL]DWLRQ RU ODFN WKHUHRI RI HOHFWULF HQHUJ\ 6SHFLILFDOO\ DQ DWWHPSW LV PDGH WR GHWHUPLQH WKH FRUUHODWHV RI WKH XVH RU QRQXVH RI HOHFWULFLW\ DQG VRFLDO FKDUDFn WHULVWLFV UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG DQG FKDUDFWHULVWLFV RI YDULRXV VL]HV RI ORFDOLW\ JURXSV $ VHFRQG REMHFWLYH LV WR GHYHORS VRFLRORJLFDO LQVWUXPHQWV ZKLFK PD\ EH XWLOL]HG HIIHFWLYHO\ IRU HYDOXDWLQJ WKH LPSDFW RI UXUDO HOHFWULn ILFDWLRQ QRW RQO\ LQ &RVWD 5LFD EXW DOVR LQ RWKHU FRXQWULHV 7KHVH LQVWUXPHQWV WKHUHIRUH PXVW EH DEOH WR SURGXFH FRPSDUDEOH PHDVXUHPHQWV RI FKDUDFWHULVWLFV ZKLFK DUH PDQLIHVWHG LQGLIIHUHQW VRFLRFXOWXUDO FRQWH[WV 7KH FROOHFWLRQ DQG UHFRUGLQJ RI EHQFKPDUN GDWD LV D WKLUG REn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

PAGE 16

VRFLRORJLVWV LQ WKH 8QLWHG 6WDWHV 7KH HDUOLHVW DUWLFXODWLRQ RI PDQ\ RI WKH FRQFHSWV DQG PHWKRGV RI YLHZLQJ VRFLHW\ XVHG LQ WKLV SUHVHQWDn WLRQ ZDV VHW IRUWK E\ 3LWLULP $ 6RURNLQ &DUOH & =LPPHUPDQ DQG &KDUOHV *DOSLQ f 7KH FRQFHSWXDO IUDPHZRUN RI WKHVH DXWKRUV ZDV PRUH IXOO\ GHYHORSHG DQG DSSOLHG E\ 7 /\QQ 6PLWK LQ DPRQJ RWKHU ZRUNV KLV DQDO\VHV RI WKH VRFLRORJ\ RI UXUDO OLIH A A DQG f 6PLWK DOVR IXUWKHU UHILQHG DQG DSSOLHG WKLV IUDPH RI UHIHUHQFH LQ KLV PDMRU VWXGLHV RI %UD]LO DQG &RORPELD D DQG Df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f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

PAGE 17

)LJXUH /RFDWLRQ ,Q &RVWD 5LFD RI WKH $UHD 6WXGLHG 3

PAGE 18

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n DQG IDUPV QRZ SUROLIHUDWH 7KH ODQG LV XVHG IRU D YDULHW\ RI DJULFXOWXUDO DQG SDVWRUDO HQWHUn SULVHV :LWK UHIHUHQFH WR W\SHV RI IDUPLQJ WKH UHJLRQ LV SRO\FXOWXUDO 1R RQH VL]H RI IDUP SUHGRPLQDWHV LQ WKH ]RQH UDWKHU IDUPV RI DOO VL]HV DUH WR EH IRXQG ,Q VXP WKLV LV DQ DJULFXOWXUDO DQG SDVWRUDO DUHD ZKHUH D ZLGH UDQJH RI FURSV DQG DQLPDOV DUH UDLVHG RQ IDUPV ZKLFK YDU\ LQ VL]H IURP YHU\ VPDOO WR H[WUHPHO\ ODUJH

PAGE 19

)DUPLQJ DQG OLYHVWRFN UDLVLQJ DUH IDFLOLWDWHG E\ WRSRJUDSKLF DQG FOLPDWLF FRQGLWLRQVn )ODW DQG JHQWO\ UROOLQJ ODQG SUHGRPLQDWHV LQ WKH ? OODQRV 7KHUH DUH DOVR KLOOV DQG EURNHQ JURXQG SDUDOOHO WR VRPH RI WKH PDMRU ULYHUV $W WKH HGJH RI WKH SODLQV WKH FRQILJXUDWLRQ RI WKH WHUUDLQ EHFRPHV PRUH PRXQWDLQRXV 7KH FKDQJH LV QRW UDSLG LQ IDFW LQ WKH IRRWKLOOV QXPHURXV ZLGH YDOOH\V DQG VORSLQJ ULVHV DUH IRXQG 7KH FOLPDWH PD\ EH GHVFULEHG DV PRGHUDWH WURSLFDO 7KH PHDQ DQQXDO UDLQIDOO RI PP DQG WKH PHDQ DQQXDO WHPSHUDWXUH RI r& UHFRUGHG LQ DQRWKHU GLVWULFW RI 6DQ &DUORV &RVWD 5LFD 'LUHFn FLQ *HQHUDO GH (VWDGVWLFD \ &HQVRV f DSSUR[LPDWH WKH PHWHRURORJLFDO FRQGLWLRQV RI WKH DUHD VWXGLHG 7KH FOLPDWH LPSRVHV IHZ KDUGVKLSV RQ WKH SHRSOH 7KH UHVLGHQWV RI WKH DUHD DUH QHLWKHU REOLJHG WR XVH KHDY\ FORWKLQJ QRU WR LQVXODWH DQG KHDW WKHLU GZHOOLQJV &URSV DQG DQLPDOV DSSDUHQWO\ WKULYH LQ WKLV FOLPDWH DV PXFK DV GR KXPDQ EHLQJV 7KH SUHFLVH DUHD EHLQJ VWXGLHG LV WKDW EHWZHHQ WKH VPDOO WRZQV RI )ORUHQFLD DQG /D )RUWXQD ERWK RI ZKLFK DUH ORFDWHG LQ WKH &DQWRQ RI 6DQ &DUORV 6HH )LJXUH f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n FLD DQG DFURVV WKH EULGJH RYHU WKH 57R 3HMH ZKLFK LV DW WKH HGJH RI

PAGE 20

0DS RI WKH $UHD 6WXGLHG L VWDQFHV )ORUHQFLD )ORUHQFLD 6DQ

PAGE 21

WKH WRZQ 7KLV EULGJH LV RQH ERXQGDU\ RI WKH UHJLRQ EHLQJ H[DPLQHG $FURVV WKH EULGJH IURP )ORUHQFLD WKH URDG OHDGLQJ WR /D )RUWXQD IRUNV LQWR WZR URXWHV 7KH ORQJHU RI WKHVH SDVVHV WKURXJK 9LOOD )O WLPD GH OD 9LHMD /D 9LHMDf DQG WKH VKRUWHU RQH JRHV WKURXJK &XHVWLOODV EHIRUH WKH WZR URXWHV UHMRLQ DW 6DQWD &ODUD 7KHUH LV EXW RQH URDG EHn WZHHQ 6DQWD &ODUD DQG -DELOORV DOVR ZULWWHQ -DYLOORVf $W -DELOORV WKH URXWH RQFH DJDLQ GLYLGHV 2QH SDVVHV WKURXJK 6DQ 3HGUR 6DQ ,VLGUR GH 5IR 3HDV %ODQFDV DOVR NQRZQ DV 6DQ ,VLGUR GH OD 7LJUD RU VLPSO\ DV 6DQ ,VLGURf &KDFKDJXD /D &RORQLDf DQG 6DQ )UDQFLVFR NQRZQ ORFDOO\ DV (O %XUULWRf EHIRUH DUULYLQJ DW /D )RUWXQD 7KH f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f KDOI RI WKH DUHD VHOHFWHG 6HH )LJXUH f LV VXSSOLHG ZLWK HOHFWULF SRZHU JHQHUDWHG E\ WKH ,QVWLWXWR &RVWDUULFHQVH GH (OHFWULFLGDG &RVWD 5LFDQ ,QVWLWXWH RI (OHFWULFLW\f ,&(f DQG GLVWULEXWHG E\ WKH &RRSHUDWL YD GH (OHFWULILFDFLQ 5XUD GH 6DQ &DUORV 6DQ &DUORV 5XUDO (OHFWULF &RRSHUDW L YHf &223(/(6&$f 7KLV DUHD KDV ,UDG HOHFWULFLW\ IRU WKUHH WR IRXU \HDUV DQG LV LQ HIIHFW DQ H[SHULPHQWDO DUHD 7KH XSSHU SRUWLRQ RI WKH 6DQ &DUORV VWXG\ DUHD LV QRW VHUYHG E\ D FHQWUDO HOHFWULF HQHUJ\

PAGE 22

GLVWULEXWLRQ V\VWHP 6LQFH WKH HQWLUH DUHD RI WKH VWXG\ LV HVVHQWLDOO\ KRPRJHQHRXV ZLWK UHJDUG WR WKH FKDUDFWHULVWLFV GLVFXVVHG LQ WKH SUHn FHGLQJ VHFWLRQ WKLV XSMLHU RU QRUWKHUQ SRUWLRQ VHUYHV DV D FRQWURO DUHD LQ ZKDW LV D QDWXUDOO\ RFFXUULQJ H[SHULPHQWDO VLWXDWLRQ 7KH FKDUDFWHULVWLF RI JUHDWHVW LPSRUWDQFH LQ WKH VWXG\ LV GLFKRWRPRXV WKH XVH RU QRQXVH RI HOHFWULFLW\ UHIHUUHG WR DV WKH HOHFWULFXVH FKDUDFWHULVWLF )URP WKH VWDQGSRLQW RI WKH XVH RU QRQn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n FRXQWHULQJ FDVHV LQ DOO WKUHH RI WKH FDWHJRULHV FDOOHG HOHFWULFXVH FDWHJRULHV 7KH LPSDFW RI WKH XVH RI HOHFWULFLW\ VKRXOG EH PRVW FOHDUO\ UHYHDOHG E\ FRPSDULQJ WKRVH ZKR DUH FRQQHFWHG ZLWK WKH OLQHV RI WKH FHQWUDO VRXUFH RI SRZHU WKH 86(56 DQG WKRVH ZKR DOWKRXJK WKH\ KDYH KDG WKH RSSRUWXQLW\ DUH QRW WKH 121$'237(56 7KH QRQn XVHUV ZKR GR QRW KDYH DQ RSSRUWXQLW\ WR XVH WKLV VRXUFH RI SRZHU WKH ,1$&&(66, %/(6 VKRXOG KDYH FKDUDFWHULVWLFV ZKLFK GLIIHU IURP WKRVH RI

PAGE 23

WKH 86(56 DQG 121$'237(56 7KH ,1$&&(66 %/(6 VKRXOG KDYH FKDUDFn WHULVWLFV ZKLFK DSSUR[LPDWH WKRVH ZKLFK 86(56 DQG 121$'237(56 VKDUHG ? LQ FRPPRQ EHIRUH WKH\ EHFDPH GLIIHUHQWLDWHG E\ WKH DGRSWLRQ RU QRQn DGRSWLRQ RI WKH XVH RI HOHFWULFLW\ 7KH ,1$&&(6,%/(6 WKHQ FRPSULVH D FRQWURO JURXS LQFOXGHG LQ WKH UHVHDUFK GHVLJQ 5XUDO (OHFWULILFDWLRQ 8QWLO UHFHQWO\ LQ &RVWD 5LFD WKH RSSRUWXQLW\ WR XWLOL]H HOHFWULn FLW\ KDV EHHQ DQ XUEDQ SKHQRPHQRQ :KLOH HOHFWULFLW\ KDV EHFRPH D VWDQGDUG LWHP RI FRQVXPSWLRQ LQ XUEDQ DUHDV LQ PXFK RI &RVWD 5LFD DV HOVHZKHUH LQ WKH FRXQWU\VLGH LW LV D UDULW\ 7KH LQIOXHQFH RI WKH XVH RI HOHFWULFLW\ LV VWXGLHG RQO\ LQ UXUDO DUHDV LQ WKLV UHVHDUFK SURMHFW (OHFWULFLW\ VKDUHV D FKDUDFWHULVWLF ZLWK RWKHU SXEOLF XWLOLWLHV VXFK DV ZDWHU DQG QDWXUDO JDV LW PXVW EH FRQYH\HG IURP LWV SRLQW RI RULJLQ WR WKH FRQVXPHU 0DMRU H[SHQVHV DUH LQFXUUHG LQ WKH SURFHVV RI FRQVWUXFWLQJ DQG PDLQWDLQLQJ WKH IDFLOLWLHV QHHGHG IRU SURYLGLQJ HOHFWULF VHUYLFH 7KH FRVWV LQFUHDVH GUDVWLFDOO\ LI WKH SRWHQWLDO XVHUV DUH ZLGHO\ GLVSHUVHG DV LQ UXUDO DUHDV &RQYHUVHO\ WKH H[SHQVHV DUH OHVVHQHG ZKHUH ODUJH QXPEHUV RI FRQVXPHUV DUH FOXVWHUHG WRJHWKHU ,I IRU QR RWKHU UHDVRQ WKH FRVW RI WUDQVPLWWLQJ HOHFWULFLW\ WR VFDWn WHUHG IDUPVWHDGV KDV UHWDUGHG WKH GHYHORSPHQW DQG VSUHDG RI UXUDO HOHFWULILFDWLRQ SURMHFWV LQ &RVWD 5LFD f 6RXUFHV RI 'DWD 7KH SULPDU\ GDWD ZHUH FROOHFWHG WKURXJK LQWHQVLYH ILHOG UHVHDUFK LQ &RVWD 5LFD 0RVW RI WKLV ZDV GRQH LQ $XJXVW 7KH VXEVWDQ

PAGE 24

WLYH PDWHULDOV ZHUH DPDVVHG ERWK WKURXJK SHUVRQDO UHVHDUFK HIIRUWV RI WKH PHPEHUV RI WKH 8QLYHUVLW\ RI )ORULGD UHVHDUFK WHDP DQG WKURXJK WKH ZRUN RI D JURXS RI &RVWD 5LFDQV ZKR KDG EHHQ WUDLQHG WR DGPLQLVWHU VXUYH\ VFKHGXOHV 6XSSOHPHQWDU\ VHFRQGDU\ GDWD KDYH EHHQ GUDZQ IURP RIILFLDO SXEOLFDWLRQV RI WKH &RVWD 5LFDQ JRYHUQPHQW DQG IURP SUHYLRXV VWXGLHV GHDOLQJ ZLWK WKDW FRXQWU\ 3HUVRQDO ,QYROYHPHQW 'XULQJ -XO\ PDGH P\ ILUVW WULS WR &RVWD 5LFD 7KH SXUn SRVH RI WKH MRXUQH\ ZDV WR VHOHFW D VLWH LQ ZKLFK WR FRQGXFW WKH SUHVHQW UHVHDUFK SURMHFW ,Q SUHSDUDWLRQ IRU P\ WUDYHOV UHDG D JUHDWnGHDO DERXW WKH FRXQWU\ LQFOXGLQJ &RVWD 5LFDQ /LIH E\ -RKQ DQG 0DYLV %LHVDQ] Af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n PXQLWLHV LQ &RORPELD KDG VRPH IDPLOLDULW\ ZLWK UXUDO SHRSOH LQ /DWLQ $PHULFD 7KLV H[SHULHQFH JUHDWO\ IDFLOLWDWHG P\ JDWKHULQJ RI GDWD 0XFK RI WKH GDWD XVHG KHUH ZDV VXSSOHPHQWHG E\ WKH LQIRUPDWLRQ JDWKHUHG WKURXJK FRQYHUVDWLRQV ZLWK WKH SHRSOH RI 6DQ &DUORV DQG UHn FRUGHG LQ P\ MRXUQDO DQG RQ SDGV RI SDSHU 5DWKHU WKDQ PHUHO\ DW

PAGE 25

WHPSWLQJ WR WDON ZLWK DV PDQ\ SHRSOH DV SRVVLEOH SDWWHUQHG P\ UHn VHDUFK DORQJ OLQHV SUHYLRXVO\ OHDUQHG DV D FRPPXQLW\ RUJDQL]HU $Q H[SHGLHQW PHDQV RI LQLWLDWLQJ D FRQVWUXFWLYH GLVFXVVLRQ ZLWK VRPHRQH LV WR EH SUHVHQWHG WR RU LQWURGXFHG WR WKDW SHUVRQ E\ D IULHQG RU DFTXDLQWDQFH RI KLV 0\ SULPDU\ FRQWDFWV ZHUH WZR SHUVRQV ZKR ZHUH ZHOO NQRZQ LQ WKH DUHD 7KH ILUVW ZDV 6HRU )UHGG\ $UUR\R ZKR ZDV WKHQ GLUHFWRU RI &223(/(6&$ 6HRU $UUR\R LV D ORQJWLPH UHVLGHQW RI WKH DUHD +H ZDV WKH IRUPHU KHDG RI WKH FDQWRQn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n WUDQFH LQWR PRVW RI WKH KRXVHV LQYROYHG $V D VXSHUYLVRU RI WKH LQWHUn YLHZHUV IUHTXHQWO\ YLVLWHG WKH UHVSRQGHQWV WR FKHFN RQ WKH FRPSOHWHG LQWHUYLHZV $OPRVW ZLWKRXW H[FHSWLRQ WKH SHRSOH ZHUH SOHDVHG ZLWK WKH LQWHUYLHZV WKH\ KDG JUDQWHG 6LQFH WKH ZRUNHUV KDG EHHQ FRXUWHRXV PDQ\ RI WKH UHVSRQGHQWV ZHUH ZLOOLQJ WR WDON PRUH DERXW WKH LPSDFW RI HOHFWULILFDWLRQ 7KXV WKH RULJLQDO LQWHUYLHZV VHUYHG WR OD\ WKH IRXQGDWLRQ IRU PRUH LQWHQVLYH GLVFXVVLRQV ZKLFK KHOG ZLWK

PAGE 26

WKH UHVSRQGHQWV 1RW DOO RI P\ FRQYHUVDWLRQV ZHUH ZLWK UHVSRQGHQWV DWWHPSWHG WR FRQWDFW WKH OHDGHUV RI HDFK RI WKH FRPPXQLWLHV VWXGLHG DV ZHOO DV WKRVH LQ &LXGDG 4XHVDGD 0XFK RI WKH LQIRUPDWLRQ REWDLQHG LQ WKHVH WDONV VHUYHV DV EDFNJURXQG PDWHULDO IRU WKLV VWXG\ 6XUYH\ 5HVHDUFK 0DMRU SRUWLRQV RI WKH GDWD XVHG LQ WKLV GLVVHUWDWLRQ ZHUH JDWKHUHG WKURXJK WKH XVH RI VXUYH\ UHVHDUFK 7KH LQVWUXPHQW XVHG ZDV GHYHORSHG E\ D 8QLYHUVLW\ RI )ORULGD UHVHDUFK WHDP FRQVLVWLQJ RI WKH SUHVHQW DXn WKRU 'U -RKQ 6DXQGHUV SURIHVVRU RI VRFLRORJ\ RI WKH 8QLYHUVLW\ RI )ORULGD DQG *DOHQ & 0RVHV DQ DJULFXOWXUDO HFRQRPLVW 7KH GDWD ZHUH FROOHFWHG E\ WUDLQHG &RVWD 5LFDQV XQGHU D FRQWUDFW EHWZHHQ WKH 8QLYHUn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

PAGE 27

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n FXVVHG IXUWKHU DW WKLV MXQFWXUH WKH\ DUH GHDOW ZLWK LQ &KDSWHU ,,, ,PSRUWDQFH RI WKH 6WXG\ ,Q PDQ\ SDUWV RI WKH ZRUOG SHRSOH DUH EHJLQQLQJ WR H[SHULHQFH D VKRUWDJH RI IXHO XVHG WR JHQHUDWH ZKDW LV UHJDUGHG DV DQ LQGLVSHQn VDEOH VRXUFH RI HQHUJ\ $YDLODEOH HQHUJ\ LQFOXGLQJ HOHFWULFLW\ KDV EHHQ XQWLO UHFHQWO\ WDNHQ IRU JUDQWHG 7KH UHDOL]DWLRQ RI WKH LPSRUn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

PAGE 28

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n VHQWHG KHUH 7KH\ DUH RI LPSRUWDQFH LQ WKDW WKH\ ZLOO IDFLOLWDWH IXn WXUH UHVHDUFK 2UGHU RI 3UHVHQWDWLRQ 7KLV GLVVHUWDWLRQ FRQWDLQV WKUHH EDVLF SDUWV DQ LQWURGXFWLRQ D SUHVHQWDWLRQ RI WKH ILQGLQJV DQG D VXPPDU\ DQG FRQFOXVLRQV ,Qn FOXGHG LQ WKH LQWURGXFWRU\ SRUWLRQ DUH WKUHH FKDSWHUV 7KH SUHVHQW FKDSWHU KDV HPSKDVL]HG VRPH RI WKH FKDUDFWHULVWLFV RI WKH DUHD VWXGLHG 7KH IROORZLQJ RQH ZKLFK LV D UHYLHZ RI WKH OLWHUDWXUH LV GHVLJQHG WR WUDFH WKH GHYHORSPHQW RI WKH IUDPH RI UHIHUHQFH XVHG DQG RI WKH VWXG\ RI UXUDO HOHFWULILFDWLRQ 7KH FKDSWHU HQGHDYRUV WREULQJ WKH UHDGHU WR DQ DZDUHQHVV RI WKH LWHUDU\ DQWHFHGHQWV RI WKH SUHVHQW ZRUN &KDSWHU GHDOV ZLWK WKH SURFHVVHV RI JDWKHULQJ GDWD DQG PHWKRGRn ORJLFDO FRQVLGHUDWLRQV ,W IRFXVHV RQ WKH FRQVWUXFWLRQ RI WKH VXUYH\ VFKHGXOH WKH VHOHFWLRQ RI WKH DUHD VWXGLHG DQG WKH FRQVWUXFWLRQ RI YDULDEOHV DQG FKDUDFWHULVWLFV XVHG LQ WKH DQDO\VHV

PAGE 29

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n VLRQV ,Q WKH FRQFOXGLQJ FKDSWHU LPSOLFDWLRQV RI WKH ILQGLQJV DUH H[DPLQHG $Q DSSHQGL[ LV LQFOXGHG ,W LV LQ 6SDQLVK D FRS\ RI WKH VXUYH\ VFKHGXOH XVHG )LQDOO\ WKH ZRUN FORVHV ZLWK DQ H[WHQVLYH ELEOLRJUDSK\ RI WKH SXEOLVKHG OLWHUDWXUH FLWHG DQG RI VRPH YROXPHV ZKLFK WKH SUHVHQW DXWKRU FRQVLGHUV WR EH LQYDOXDEOH LQ WKH VWXG\ RI UXUDO VRFLRORJ\

PAGE 30

&+$37(5 ,, $ 5(9,(: 2) 7+( /,7(5$785( 7KLV VRFLRORJLFDO VWXG\ RI WKH LPSDFW RI UXUDO HOHFWULILFDWLRQ RQ WKH PHPEHUV RI VHYHUDO &RVWD 5LFDQ FRPPXQLWLHV XWLOL]HV D ORQJ HVWDEn OLVKHG DQG ZHOOWHVWHG IUDPH RI UHIHUHQFH LQ H[DPLQLQJ D UHODWLYHO\ QHZ VXEMHFW PDWWHU 7KH IUDPH RI UHIHUHQFH KDV EHHQ GHYHORSHG PDLQO\ E\ UXUDO VRFLRORJLVWV DQG VHW IRUWK LQ PDQ\ RI WKHLU SXEOLFDWLRQV 2QH SXUSRVH RI WKLV FKDSWHU LV WR WUDFH WKH GHYHORSPHQW RI WKH HVVHQn WLDO DQWHFHGHQWV LQ WKH ERG\ RI OLWHUDWXUH ZKLFK KDYH OHG WR WKH IRUPDn WLRQ RI WKH IUDPH RI UHIHUHQFH XVHG (PSKDVLV LV SODFHG RQ WKRVH DVSHFWV RI WKH GHYHORSPHQW RI UXUDO VRFLRORJ\ ZKLFK DUH RI SDUWLFXODU LPSRUWDQFH DQG RQ WKH SUHYLRXV DGDSWLRQV RI UXUDO VRFLRORJLFDO WHFKn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

PAGE 31

WKH ILQGLQJV RI ZKLFK KDYH GLUHFW LQIOXHQFH RQ WKH SUHVHQW VXEMHFW 7KH 'HYHORSPHQW RI &HUWDLQ $VSHFWV RI 5XUDO 6RFLRORJ\ $W WKH KHDUW RI UXUDO VRFLRORJ\ DUH WKH VWXG\ RI WKH LQVWLWXn WLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG DOVR NQRZQ DV PDQ ODQG UHODWLRQV DQG WKH VWXG\ RI FRPPXQLWLHV DQG VPDOOHU ORFDOLW\ JURXSV 7KH GHYHORSPHQW RI WKHVH DVSHFWV RI UXUDO VRFLRORJ\ RFFXUUHG SULPDULO\ LQ WKH 8QLWHG 6WDWHV 7KH IROORZLQJ SRUWLRQ RI WKH UHYLHZ RI WKH OLWHUDWXUH IRFXVHV RQ WKRVH FXUUHQWV RI WKLV SURFHVV ZKLFK KDYH VWURQJO\ LQIOXHQFHG WKH SUHVHQW DXWKRUnV VRFLRORJLFDO IUDPH RI UHIHUn HQFH 7KHUH IROORZV D GLVFXVVLRQ RI WKHVH DVSHFWV RI UXUDO VRFLRORJ\ DV WKH\ KDYH ERWK EHHQ XVHG DQG GHYHORSHG LQ WKH VWXG\ RI VHYHUDO /DWLQ $PHULFDQ VRFLHWLHV )LQDOO\ VSHFLDO DWWHQWLRQ LV JLYHQ WR WKH PRUH SHUWLQHQW VRFLRORJLFDO VWXGLHV RI &RVWD 5LFD 7KH 'HYHORSPHQW RI 5XUDO 6RFLRORJ\ 7KH ILUVW VRFLRORJ\ WH[WERRN SXEOLVKHG LQ WKH 8QLWHG 6WDWHV FRQn WDLQHG D V\VWHPDWLF DQDO\VLV RI WKH VRFLRORJ\ RI UXUDO OLIH 7KLV ZRUN $LL QW URGXFW "RQ WR WKH 6WXG\ RI 6RFLHW\ E\ $OELRQ : 6PDO DQG *HRUJH ( 9LQFHQW f LQFOXGHG D VHFWLRQ HQWLWOHG 7KH 1DWXUDO +LVWRU\ RI D 6RFLHW\ ,Q WKLV VHFWLRQ DORQJ ZLWK RWKHU UXUDO VRFLRn ORJLFDO WRSLFV FRYHUHG ZDV SUHVHQWHG D GLVFXVVLRQ RI WKH QDWXUH RI WKH UXUDO FRPPXQLW\ 7KH DFWXDO RULJLQ RI WKH GLVFLSOLQH RI UXUDO VRFLRORJ\ ZDV WKH UHVXOW RI WKH ZRUN RI VHYHUDO PLQLVWHUV ZKR ZHUH LQWHUHVWHG LQ DVFHUn WDLQLQJ WKH UHDVRQV IRU WKH UDSLG GHFOLQH DURXQG WKH WXUQ RI WKH

PAGE 32

FHQWXU\ RI DWWHQGDQFH DW UXUDO FKXUFKHVA 7KHLU ZRUN OHG WR WKH FUHDWLRQ RI 3UHVLGHQW 7KHRGRUH 5RRVHYHOWnV &RPPLVVLRQ RQ &RXQWU\ /LIH 7KH &RPPLVVLRQV IDPRXV 5HSRUW RI WKH &RXQW U\ /L IH &RPPLVV RQ f JDYH LPSHWXV WR GLUHFWLQJ DWWHQWLRQ WR UXUDO SUREOHPV DQG WRZDUGV ILQGLQJ ZD\V WR EHWWHU UXUDO OLIH $OWKRXJK )UDQNOLQ + *LGGLQJV KLPVHOI PDGH QR PDMRU FRQWULEXWLRQV WR WKH ERG\ RI WKH OLWHUDWXUH GHDOLQJ ZLWK WKH VWXG\ RI UXUDO OLIH KLV LQIOXHQFH DV D WHDFKHU UHVXOWHG LQ VHYHUDO SLRQHHULQJ VWXGLHV RI WKH UXUDO FRPPXQLW\ LQ WKH 8QLWHG 6WDWHV 7KH IRUHPRVW RI WKHVH LV $ +RRVLHU 9L DJH E\ 1HZHO / 6LPV f 6LPV H[DPLQHG ERWK WKH IXQFWLRQV RI WKH YLOODJH DQG WKH LQVWLWXWLRQV KRXVHG WKHUH ZKLFK SURn YLGH VHUYLFHV QRW RQO\ WR PHPEHUV RI WKH QXFOHDWHG YLOODJH EXW DOVR WR UHVLGHQWV RI WLQH VXUURXQGLQJ UXUDO DUHDV $OVR GHVHUYLQJ RI PHQn WLRQ DUH -DPHV 0 :LOOLDPVn $Q $PHULFDQ 7RZQ f DQG :DUUHQ + :LOVRQnV 4XDNHU +LOO f 5XUDO VRFLRORJ\ VWDUWHG WR EHFRPH HVWDEOLVKHG DV D GLVFLSOLQH ZLWK WKH SXEOLFDWLRQ RI WH[WERRNV RQ WKH VXEMHFW 7KH ILUVW WR EH LQn WURGXFHG ZHUH &RQVWUXFWLYH 5XUDO 6RFLRORJ\ E\ -RKQ 0 *LOOHWWH f DQG ,QWURGXFWLRQ WR 5XUDO 6RFLRORT\ E\ 3DXO / 9RJW f :KLOH WKH HDUO\ WH[WV ZHUH RI LPSRUWDQFH WR WKH VWXG\ RI UXUDO OLIH UXUDO VRFLRORJ\ DV VXFK ZDV VWLOO LQ QHHG RI FRQFUHWH VWXGLHV EHIRUH LW FRXOG IRUJH DKHDG DV D VFLHQWLILF GLVFLSOLQH $ QRWDEOH DFKLHYHPHQW LQ WKLV UHVSHFW ZDV WKH SXEOLFDWLRQ RI WKH VKRUW PRQRJUDSK 7KH 6RFL DO $QDWRP\ RI DUQ $JULFXOWXUD &RPPXQLW\ E\ &KDUOHV *DOSLQ n ,Q WKLV DQG LQGHHG LQ WKH HQWLUH FKDSWHU KDYH UHOLHG KHDYLn O\ RQ WKUHH VRXUFHV ZKLFK KDYH VWDUWHG WKH QHFHVVDU\ ZRUN RI GHSLFWLQJ WKH KLVWRU\ RI UXUDO VRFLRORJ\ )RU IXUWKHU HODERUDWLRQ RQ WKH UHYLHZ RI WKH OLWHUDWXUH RI UXUDO VRFLRORJ\ FRQVXOW 7 /\QQ 6PLWK E DQG Ef DQG /RZU\ 1HOVRQ f

PAGE 33

f *DOSLQ HIIHFWLYHO\ GLVPDQWOHG WKH P\WK WKDW WKH $PHULFDQ r IDUPHU ZDV D PDQ ZLWKRXW D FRPPXQLW\ 5DWKHU *DOSLQ GHPRQVWUDWHG WKH H[LVWHQFH RI UXUDO FRPPXQLWLHV DQG VKRZHG KRZ VXFK FRPPXQLWLHV FRXOG EH GHILQHG DQG WKHLU ERXQGDULHV GHOLQHDWHG 2QH RI WKH SULPDU\ FRQFHSWXDO WRROV IRU DQDO\]LQJ WKH FRPPXQLW\ LV WKDW RI WKH SULPDU\ JURXS 7KLV FRQFHSW ZDV VHW IRUWK LQ D PDMRU FRQWULEXWLRQ WR VRFLRORJ\ 6RFLDO 2UJDQL]DWLRQ ZULWWHQ E\ &KDUOHV + &RROH\ f 7KH HPLQHQW VRFLRORJLVW 5REHUW 0 0DFOYHU DOVR SURn YLGHG D WKHRUHWLFDO XQGHUSLQQLQJ IRU WKH VWXG\ RI WKH FRPPXQLW\ LQ KLV ERRN &RPPXQLW\ 0DFOYHU f FRQFHQWUDWHG RQ WKH FRPPXQLW\ DV WKH PDLQ XQLW IRU VRFLRORJLFDO DQDO\VLV 7KH WKLUG GHFDGH RI WKLV FHQWXU\ ZKLFK KDV EHHQ GHVFULEHG DV $ 'HFDGH RI 3URJUHVV LQ UXUDO VRFLRORJ\ E\ 6PLWK E f ZLWn QHVVHG WKH FRQWLQXDWLRQ RI *DOSLQnV ZRUN ZLWK WKH SXEOLFDWLRQ RI KLV 5XUDO /LIH LQ DQG KLV 5XUDO 6RF"DO 3UREOHPV LQ 7KH RWKHU SULQFLSDO WH[WERRN RI WKLV WLPH SHULRG ZDV &DUO & 7D\ORUnV 5XUDO 6RFLRORJ\ f 7KH PDMRU UXUDO VRFLRORJLFDO ZRUN WR DSSHDU LQ WKH nV ZDV 7KH 3ULQFLSOHV RI 5XUDO8UEDQ 6RFLRORJ\ E\ 3LWLULP $ 6RURNLQ DQG &DUO & =LPPHUPDQ f 7KLV ERRN ZDV IROORZHG E\ WKH PRQXPHQWDO $ 6\VWHP DWLF 6RXUFH %RRN LQ 5XUDO 6RF,RORJ\ ZKLFK 6RURNLQ DQG =LPPHUPDQ ZLWK *DOSLQnV DVVLVWDQFH SXEOLVKHG LQ WKUHH YROXPHV EHWZHHQ DQG 7KLV ZRUN ZKLFK XVKHUHG LQ 7KH 3HULRG RI 0DWXUDWLRQ LQ UXUDO VRFLRORJ\ LQ 6PLWKnV WHUP E f FRQWDLQHG D V\QWKHVLV RI ERWK $PHULFDQ DQG (XURSHDQ VRFLRORJLFDO WKLQNLQJ ,W V\VWHPDWLFDOO\ WUHDWHG DOO DVSHFWV RI UXUDO OLIH 'XULQJ WKH nV (GPXQG GH6 %UXQQHU DV GLUHFWRU RI 7KH ,QVWLWXWH

PAGE 34

IRU 6RFLDODQG 5HOLJLRXV 5HVHDUFK EHJDQ DQ LPSUHVVLYH VWXG\ RI YLOODJHV 6RPH RI WKHVH YLOODJHV ZHUH UHVWXGLHG DQG WKH UHVXOWV ? ZHUH SXEOLVKHG DW WKH EHJLQQLQJ RInWKH SHULRG RI PDWXUDWLRQ E\ %UXQQHU DQG -RKQ + .ROE LQ WKHLU ERRN 5XUDO 6RFLDO 7UHQGV f 2WKHU VWXGLHV RI WKH UXUDO FRPPXQLW\ DSSHDUHG DERXW WKLV VDPH WLPH 5REHUW 0 0DFOYHU SUHVHQWHG D GHYHORSPHQW RI KLV HDUOLHU LGHDV RQ WKH FRPn PXQLW\ LQ ERWK KLV 6RFLHW\ ,WV 6WUXFWXUH DQG &KDQJH f DQG 6RFLHW\ $ 7H[WERRN RI 6RFLRORJ\ f 'ZLJKW 6DQGHUVRQ IRFXVHG RQ WKH JURZWK RI WKH UXUDO ORFDOLW\ JURXS DV D XQLW RI VRFLRORJLFDO DQDO\VLV LQ KLV ERRN 7KH 5XUDO &RPn PXQLW\ 7KH 1DWXUDO +LVWRU\ RI D 6RFLRORJLFDO *URXS f ,Q KLV 7KH &KDQJLQJ &RPPXQLW\ &DUOH & =LPPHUPDQ f FODVVLILHG WKH W\SHV RI FKDUDFWHULVWLFV ZKLFK KHOS GHILQH D ORFDOLW\ JURXS 2I LQWHUHVW WR WKLV GLVVHUWDWLRQ LV =LPPHUPDQnV HPSKDVLV RQ FKDQJH LQ UXUDO FRPn PXQLWLHV ,Q DGGLWLRQ WR FRQWULEXWLQJ WR WKH NQRZOHGJH RI W\SRORJLHV RI FRPPXQLWLHV /RZU\ 1HOVRQ IRUPXODWHG D PHWKRGRORJ\ IRU WKH VWXG\ RI LQGLYLGXDO FRPPXQLWLHV $OWKRXJK KLV PHWKRGRORJ\ KDV EHHQ SULPDULO\ DSSOLHG WR WKH VWXG\ RI 0RUPRQ YLOODJHV LW KDV DSSOLFDELOLW\ WR WKH H[DPLQDWLRQ RI JURXSLQJV LQ JHQHUDO 2I QRWH DUH 1HOVRQnV $ 6RFLDO 6XUYH\ RI (VFDODQWH 8WDK f 7KH 8WDK )DUP 9L DJH RI (SKUDLP f 7KH 0RUPRQ 9L DJH $ 6WXG\ L Q 6RFLDO 2ULJLQV f 6RPH 6RFLDO DQG (FRQRPLF )HDWXUHV RI $PHULFDQ )RUN 8WDK f DQG 7KH 0RUPRQ 9L DJH $ 3DWWHUQ DQG 7HFKQLTXH RI /DQG 6HWW HPHQW f ,Q WKH nV VHYHUDO WH[WV SUHVHQWLQJ QHZ YLHZV RI WKH GLVFLSOLQH RI UXUDO VRFLRORJ\ DSSHDUHG ,Q 3DXO + /DQGLV SXEOLVKHG 5XUDO /LIH LQ 3URFHVV $OVR LQ 7 /\QQ 6PLWK SUHVHQWHG WKH ILUVW RI

PAGE 35

DQ HYHQWXDO WKUHH HGLWLRQV RI KLV PDVWHUIXO 7KH 6RFLRORJ\ RI 5XUDO /LIH 7KLV ERRN FRQWDLQHG WKH ILUVW HODERUDWLRQ RI 6PLWKnV FRQWULEXWLRQV WR Y B WKH VWXG\ RI PDQODQG UHODWLRQV 7KH /DQGLV DQG 6PLWK WH[WV ZHUH IROORZHG E\ D ZRUN ZKLFK IRFXVHG VRPHZKDW PRUH RQ VRFLDO RUJDQL]DWLRQ 5XUDO 6RFLRORJ\ DQG 5XUDO 6RFLDO 2UJDQL]DWLRQ ZULWWHQ E\ 'ZLJKW 6DQGHUn VRQ Af ,Q /RZU\ 1HOVRQnV 5XUDO 6RFLRORJ\ DSSHDUHG 7KLV ZDV VXFFHHGHG D \HDU ODWHU E\ D WH[W ZKLFK H[DPLQHG WKH UHJLRQDO YDULDWLRQV LQ WKH W\SHV RI IDUPLQJ 5XUDO /" IH LQ WKH 8Q"WHG 6WDWHV E\ &DUO & 7D\ORU HW DMB f 6LQFH WKH PLGSRLQW RI WKH FHQWXU\ WKHUH KDYH EHHQ IHZ PDMRU DWn WHPSWV WR V\QWKHVL]H WKH NQRZOHGJH RI WKH ILHOG RI UXUDO VRFLRORJ\ +RZHYHU WKUHH WH[WV GR GHVHUYH PHQWLRQ ,Q &KDUOHV 3 /RRPLV DQG $OODQ %HHJOH SXEOLVKHG 5XUDO 6RFLDO 6\VWHPV $ 7H[WERRN "Q 5XUDO 6RFLRORJ\ DQG $QWKURSRORJ\ $OYLQ / %HUWUDQG DQG )OR\G / &RUW\ HGLWHG D ERRN ZKLFK DQDO\]HV ODQG WHQXUH DUUDQJHPHQWV DQG DSSHDUHG XQGHU WKH WLWOH RI 5XUDO /DQG 7HQXUH LQ WKH 8QLWHG 6WDWHV f 7 /\QQ 6PLWK DQG 3DXO ( =RSI -U KDYH ZULWWHQ WKH PRVW UHFHQW PDMRU WH[W LQ WKH ILHOG 7KHLU 3ULQFLSLHV RI ,QGXFWLYH 5XUDO 6RFLRORJ\ f LV D IUHVK H[SRVLWLRQ RI WKH YDULRXV DVSHFWV RI PDQODQG UHODn WLRQV $OWKRXJK PRUH H[WHQVLYH FRPPHQWDU\ RQ WKH ERRN LV UHVHUYHG IRU ODWHU LQ WKLV FKDSWHU 7 /\QQ 6PLWKnV &RORPE D 6RFL DO 6W UXFWXUH DQG WKH 3URFHVV RI 'HYHORSPHQW f GHVHUYHV PHQWLRQ KHUH 6PLWK KDV ORQJ EHHQ DWWHPSWLQJ WR GHYHORS D VFKHPD IRU SRUWUD\LQJ WKH UHODWLRQn VKLSV EHWZHHQ ORFDOLW\ JURXSV RI VL]HV UDQJLQJ IURP WKH VPDOO QHLJKERUn KRRG DW RQH HQG RI WKH VFDOH WR WKH JUHDW PHJDORSROLV DW WKH RWKHU +LV ZRUN RQ FDWHJRUL]LQJ ORFDOLW\ JURXSV LQ WKHLU UHVSHFWLYH OHYHOV

PAGE 36

RI LQWHJUDWLRQ LV EHVW H[SUHVVHG LQ KLV DQDO\VLV RI WKH VRFLDO VWUXFn WXUH RI &RORPELD ? 7KH 6WXG\ RI /DWLQ $PHULFDQ 6RFLHWLHV} 7KH VFLHQWLILF H[DPLQDWLRQ RI /DWLQ $PHULFDQ VRFLHWLHV LV D UHFHQW SKHQRPHQRQ 7KLV LV QRW WR VD\ WKDW OLWWOH KDV EHHQ ZULWWHQ DERXW YDULRXV DVSHFWV RI WKHVH VRFLHWLHV ,Q IDFW WKH OLWHUDWXUH DERXQGV ZLWK IDVFLQDWLQJ WUDYHORJXHV RIWHQ EULOOLDQW KLVWRULHV DQG FRXQWOHVV GLVFXVVLRQV RI GRFXPHQWV DQG HYHQWV $Q H[DPSOH RI WKLV W\SH RI SXEOLFDWLRQ LV WKH DEVRUELQJ DFFRXQW ZULWWHQ LQ WKH nV E\ $JXVWQ &RGD]]LV FRPSDQLRQ 0DQXHO $QFL]DU HQWLWOHG 3HUHJULQDFLQ GH $OSKD r 7KH VSHFLILF VFLHQWLILF VWXG\ RI /DWLQ $PHULFDQ VRFLHWLHV KRZHYHU DQG HVSHFLDOO\ RI UXUDO RQHVr LV D UHFHQW GHYHORSPHQW 0RVW RI WKH FRQWULEXWLRQV WR WKH ERG\ RI OLWHUDWXUH KDYH DSSHDUHG LQ WKH SRVW :RUOG :DU HUD 7KH SDWKILQGHUV LQ WKH VWXG\ RI UXUDO VRFLHWLHV LQ /DWLQ $PHULFD ZHUH *HRUJH 0 0F%ULGH DQG (\OHU 1 6LPSVRQ 0F%ULGHnV ILUVW ERRN HQWLWOHG 7KH /DQG 6\VWHPV RI 0H[LFR f ZDV D JHQHUDO WUHDWLVH RQ WKH YDULRXV W\SHV RI ODQG RZQHUVKLS LQ 0H[LFR +H FRQFHQWUDWHG RQ WKH VRFLDO DQG HFRQRPLF UHODWLRQVKLSV ZKLFK DUH FRQWLQJHQW RQ WKH H[LVWHQFH RI WKH KDG HQGD V\VWHP RI ODQG RZQHUVKLS 6LPSVRQnV VWXG\ VHUYHG DV D FRXQWHUSRLQW WR 0F%ULGHnV LQ WKDW 6LPSVRQ IRFXVHG RQ WKH FRPPXQDO V\VWHP RI ODQG RZQHUVKLS LQ KLV ZRUN 7KH (MLGR 0H[L FRnV :D\ 2XW f 0F%ULGHnV VHFRQG VWXG\ &K"H /DQG DQG 6RFLHW\ SXEOLVKHG LQ ZDV D FRPSUHKHQVLYH DQDO\VLV RI WKH LQVWLWXWLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG LQ WKDW FRXQWU\ 7KH 6HFRQG :RUOG :DU JDYH LPSHWXV WR WKH VWXG\ RI UXUDO VRFLHWLHV

PAGE 37

LQ /DWLQ $PHULFD 7KH ODFN RI NQRZOHGJH RI /DWLQ $PHULFD DYDLODEOH LQ WKH 8QLWHG 6WDWHV DW WKDW WLPH ZDV DSSDOOLQJ $Q DWWHPSW WR UHFn WLI\ WKDW VLWXDWLRQ FDXVHG WKH IRUPDWLRQ LQ WKH 8QLWHG 6WDWHV 'HSDUWn PHQW RI $JULFXOWXUH RI WKH 2IILFH RI )RUHLJQ $JULFXOWXUDO 5HODWLRQV 2)$5f 7KLV RIILFH LQ FRQMXQFWLRQ ZLWK WKH 8QLWHG 6WDWHV 'HSDUWPHQW RI 6WDWH KLUHG UXUDO VRFLRORJLVWV WR FRQGXFW LQYHVWLJDWLRQV LQ /DWLQ $PHULFDQ FRXQWULHV 2XW RI WKLV HQGHDYRU FDPH VRPH RI WKH VWDQGDUG VWXGLHV RI /DWLQ $PHULFDQ VRFLHWLHV ZULWWHQ E\ 7 /\QQ 6PLWK &DUO & 7D\ORU 1DWKDQ / :KHWWHQ 2OHQ ( /HRQDUG DQG /RZU\ 1HOVRQ 7 /\QQ 6PLWK ZHQW WR %UD]LO 7KH UHVXOWV RI KLV ILQGLQJV ZHUH SXEO L VKHG LQ %UD]" 3HRSOH DQG ,QVW "WXW LRQV f WKH IRXUWK HGL WLRQ RI WKH ZRUN DSSHDUHG LQ ,QFOXGHG LQ WKLV ERRN LV D FRPn SOHWH DQDO\VLV RI WKH LQVWLWXWLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG 2QH RI LWV PDMnRU FRQWULEXWLRQV LV WKH FKDSWHU HQWLWOHG 6\VWHPV RI $JULFXOWXUH WKH ILUVW SUHVHQWDWLRQ RI WKLV DVSHFW RI WKH VWXG\ RI UXUDO VRFLHWLHV 5DWKHU WKDQ OLPLWLQJ KLPVHOI WR WKH %UD]LOLDQ KDOI RI WKH 6RXWK $PHULFDQ FRQWLQHQW 6PLWK KDV DOVR EHFRPH LQYROYHG LQ H[DPLQLQJ UXUDO VRFLHWLHV +LV FRQWULEXWLRQV LQ WKH DUHD ZLOO EH GLVFXVVHG ODWHU &DUO & 7D\ORU SXEOLVKHG 5XUDO / IH Q $UJHQWLQD f EDVHG RQ KLV ILHOG ZRUN LQ WKDW FRXQWU\ ,Q KLV ERRN 7D\ORU IRFXVHG RQ WKH LPSRUWDQFH RI GLIIHUHQW W\SHV RI IDUPLQJ LQ WKH VHYHUDO JHRJUDSKLF UHJLRQV RI $UJHQWLQD 1DWKDQ / :KHWWHQ KDV ZULWWHQ WZR PDVWHUIXO ERRNV DERXW /DWLQ $PHULFDQ VRFLHWLHV +LV ILUVW ZDV 5XUDO 0H[LFR f 1RW RQO\ GLG KH DQDO\]H WKH GHPRJUDSKLF DVSHFWV RI WKH 0H[LFDQ /RZU\ 1HOVRQ f KDV DQ H[WUHPHO\ FRJHQW GLVFXVVLRQ RI WKH ZRUN RI WKHVH VRFLRORJLVWV LQ KLV ERRN RQ WKH HYROXWLRQ RI UXUDO VRFLRORJ\

PAGE 38

SRSXODWLRQ EXW KH DOVR FORVHO\ H[DPLQHG WKH PDQODQG UHODWLRQV +H IXUWKHUHG WKH VWXG\ RI WKH HMLGR LQLWLDWHG E\ 6LPSVRQ ,Q KLV VHFRQG Y ZRUN :KHWWHQ WXUQHG KLV FDUHIXO DWWHQWLRQ WR *XDWHPDOD LQ WKH ERRN HQWLWOHG *XDWHPDOD 7KH /DQG DQG WKH 3HRSOH f 2OHQ ( /HRQDUG KDG EHHQ DFTXDLQWHG ZLWK UXUDO OLIH LQ %ROLYLD EHIRUH KH ZDV VHQW WR WKDW FRXQWU\ E\ 2)$5 7KH UHVXOWV RI KLV HDUOLHU VWXGLHV DSSHDUHG XQGHU WKH WLWOHV RI &DQWRQ &KXO SDV $ 6RFLR HFRQRPL F 6WXG\ Q WKH &RFKDEDPED 9DOOH\ RI %RO L YL D Af DQG 6DQWD &UX] $ 6RFLRHFRQRPLF 6WXG\ RI DQ $UHD LQ %RO L YL D f +H KDG SUHYLRXVO\ SXEOLVKHG 3LFKLLQTXH $ 6WXG\ RI 5XUDO /L IH LQ &RDVWDO (FXDGRU Af $V WKH UHVXOW RI KLV ZRUN ZLWK WKH 'HSDUWPHQW RI 6WDWH DQG 2)$5 /HRQDUG SXEOLVKHG %ROLYLD /DQG 3HRSOH DQG QVWL WX WLRQV f DQ DQDO\VLV RI WKH YDULDWLRQV ZKLFK H[LVW EHWZHHQ WKH WKUHH ZLGHO\ GLYHUJHQW SRUWLRQV RI %ROLYLD 7KH ILIWK RI WKH UXUDO VRFLRORJLVWV ZKR ZDV VHQW WR VWXG\ LQ /DWLQ $PHULFD ZDV /RZU\ 1HOVRQ ZKR ZURWH 5XUDO &XED f ,Q WKLV SUHVHQWDWLRQ RI WKH ILQGLQJV IURP KLV ZRUN LQ &XED 1HOVRQ HPSKDVL]HG WKH LPSRUWDQFH RI WKH IDPLO\ LQ &XEDQ VRFLHW\ 7KH FRQWLQXHG LQWHUHVW LQ UXUDO VRFLRORJLFDO WRSLFV UHODWLQJ WR /DWLQ $PHULFD E\ WKHVH ILYH VRFLRORJLVWV LV VWURQJO\ IHOW LQ WKH GLVn FLSOLQH 2I LPSRUWDQFH WR WKLV GLVVHUWDWLRQ KDV EHHQ WKH RQJRLQJ ZRUN RI 7 /\QQ 6PLWK LQ WKLV DUHD ,Q A 6PLWK DQG WZR RIILFLDOV RI &RORPELDnV 'HSDUWDPHQWR 1DFLRQDO GH 7L HUUDV 1DWLRQDO 'HSDUWPHQW RI /DQGVf XQGHUWRRN D VWXG\ RI D VPDOO UXUDO FRPPXQLW\ QHDU %RJRW£ &RORPELD 7KLV ZDV WKH ILUVW LQGHSWK H[DPLQDWLRQ RI D UXUDO FRPPXQLW\ FRQGXFWHG LQ /DWLQ $PHULFD 6PLWK -XVWR 'ID] 5RGULJXH] DQG /XLV 5REHUWR *DUFID SXEOLVKHG WKH UHVXOWV RI WKHLU ZRUN LQ A DV 7DE LR

PAGE 39

$ 6WXG\ LQ 5XUDO 6RFLDO 2UJDQL]DWLRQ 6PLWKnV LQWHUHVW LQ /DWLQ $PHULFD KDV FRQWLQXHG WKURXJK WKH SUHVHQW UHVXOWLQJ LQ QXPHURXV SXEOLFDWLRQV 6HYHUDO RI WKHVH GHVHUYH VSHFLDO PHQWLRQ $JUDULDQ 5HIRUP LQ /DWLQ $PHULFD f E\ 6PLWK SUHVHQWHG RQH RI WKH IRUHPRVW DQDO\VLV RI WKH QHHG IRU DQG IXQFWLRQV RI DJUDULDQ UHIRUP ,Q LW 6PLWK FOHDUO\ GHPRQVWUDWHG WKDW WKH WHUP ODQG UHIRUP LV D PLVQRPHU IRU DJUDULDQ UHIRUP 6PLWKnV $JULFXOWXUDO3DVWRUDO &RQIOLFW $ 0DMRU 2EVWDFOH LQ WKH 3URFHVV RI 5XUDO 'HYHORSPHQW DQ DUWLFOH LQ WKH -RXUQDO RI ,QWHU$PHULFDQ 6WXGLHV ,f LV D FRQFLVH H[SRVLWLRQ RQ WKH FRQIOLFW EHWZHHQ DJULFXOWXUDO DQG SDVWRUDO HQWHU SULVHV ZKLFK KDV FRQWLQXRXVO\ LQKLELWHG UXUDO GHYHORSPHQW LQ /DWLQ $PHULFD 6WXGLHV RI /DWLQ $PHULFDQ 6RFLHWLHV f LV D FRPSLODWLRQ RI PDQ\ RI 6PLWKn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f +H IXUWKHU H[DPLQHG DQ LPSRUWDQW DVSHFW RI WKH ODQG WHQXUH V\VWHP WKDW RI WKH IDUP ODERUHU ZKR DOVR KDV D VPDOO SORW RI ODQG LQ 7KH &RORQR 6\VWHP LQ /DWLQ $PHULFD ZKLFK DSSHDUHG LQ 5XUDO 6RFLRORJ\ f 7KRPDV 5 )RUG LQ KLV 0DQ DQG /DQG LQ 3HUX f ORRNHG DW WKH FRQIOLFW EHWZHHQ WKH LQGLJHQRXV DQG VXSHULPSRVHG 6SDQLVK V\VWHPV RI

PAGE 40

PDQODQG UHODWLRQV ,Q KLV GRFWRUDO GLVVHUWDWLRQ $ 6RFLRORJLFDO 6WXG\ RI WKH 5HOD WLRQVKLSV EHWZHHQ 0DQ DQG WKH /DQG f "Q WKH 'HSDUWPHQW RI %R\DFA &RORPELD f 2UODQGR )ODV%RUGD DSSOLHG 6PLWKnV IUDPH RI UHIHUHQFH WR WKH VWXG\ RI D SRUWLRQ RI &RORPELD ,Q KLV 3HDVDQW /L IH LQ WKH &RORPELDQ $QGHV $ 6RFLRORJLFDO 6WXG\ RI 6DXFLR f )DOV%RUGD FORVHO\ H[DPLQHG D UXUDO FRPPXQLW\ LQ &RORPELD ,Q KLV 0DQ/DQG 5HODWLRQV LQ (FXDGRU ZKLFK DSSHDUHG LQ 5XUDO 6RFLRORJ\ Df -RKQ 9 6DXQGHUV HYDOXDWHG WKH UHJLRQDO GLIIHUHQFHV LQ WKH PDQODQG UHODWLRQV IRXQG LQ (FXDGRU 6DXQGHUV IXUWKHUHG KLV VWXG\ RI (FXDGRU ZLWK KLV WKRURXJK GHPRJUDSKLF DQDO\VLV RI WKDW FRXQWU\ 7KH 3HRSOH RI (FXDGRU $ 'HPRJUDSKLF $QDO\VLV Ef 7KH IROORZLQJ DOVR XWLOL]HG WKH 6PLWK IUDPH RI UHIHUHQFH LQ WKHLU GRFWRUDO GLVVHUWDWLRQV RU PDVWHUnV WKHVHV +DUROG 0 &OHPHQWV SXEOLVKHG 7KH 0HFKDQL]DWLRQ RI $JULFXOWXUH "Q %UD]L f (GJDU 1HVPDQ ZURWH $ 6RFLRORJLFDO 6WXG\ RI WKH 5HODW LRQV RI 0DQ WR WKH /DQG LQ 1LFDUDJXD f DQG 0LFKDHO 'DYLV FRPSRVHG $ 6RFLRORJLFDO 6WXG\ RI 0DQG/DQG 5HODWLRQV "Q WKH 'HSDUWPHQW RI 1RUWH GH 6DQWDQGHU &RORPELD f )HZ FRPSUHKHQVLYH DQDO\VHV RI /DWLQ $PHULFDQ FRPPXQLWLHV KDYH EHHQ SXEOLVKHG )RUHPRVW DPRQJ WKRVH ZULWWHQ LV WKH OHQJWK\ (VWXGLR VREUH DV &RQGLFLRQHV GHO 'HVDUURO R HQ &RORPELD E\ )U /RXLV -RVHSK /HEUHW HWB DMB f /HEUHWnV VWXG\ LV EDVHG RQ WKH H[DPLQDWLRQ RI GDWD FROOHFWHG WKURXJK WKH XVH RI VXUYH\ VFKHGXOHV f (YHUHWW 0 5RJHUV KDV EHHQ LQ WKH YDQJXDUG RI WKRVH ORRNLQJ DW ERWK WKH SURFHVV RI PRGHUQL]DWLRQ LQ /DWLQ $PHULFD DQG WKH LPSRUWDQFH RI FRPPXQLFDWLRQ LQ DIIHFWLQJ FKDQJH ,Q 5RJHUV DQG /\QQH

PAGE 41

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n ORJLFDO UHVHDUFK LQ /DWLQ $PHULFD 7KH PDMRUnVRFLRORJLFDO SXEOLFDWLRQ WR EH SURGXFHG DV WKH UHVXOW RI WKLV UHVHDUFK LV 7XUULDOED 6RFLDO 6\VWHPV DQG WKH ,QWURGXFWLRQ RI &KDQJH HGLWHG E\ /RRPLV HW DMB f 7ZR FKDSWHUV LQFOXGHG LQ WKH ERRN VKRXOG EH PHQWLRQHG 5R\ $ &O LIIRUG YLHZHG WKH GLIIHUHQFHV IRXQG EHWZHHQ ODUJH IDUP DQG VPDOO IDUP YLOODJHV LQ KLV FKDSWHU HQWLWOHG /HYHOV RI /LYLQJ LQ +DFLHQGD DQG 6PDOO )DUP 9LOODJHV 7KRPDV / 1RUULV DQDO\]HG WKH HFRQRPLF V\VWHPV ZKLFK HYROYH DURXQG ERWK ODUJH DQG VPDOO ODQGKROGLQJV LQ KLV FKDSWHU

PAGE 42

HQWLWOHG /HYHOV RI /LYLQJ LQ +DFLHQGD DQG 6PDO)DUP 9LOODJHV 7KRPDV / 1RUULV DQDO\]HG WKH HFRQRPLF V\VWHPV ZKLFK HYROYH DURXQG ERWK ODUJH DQG VPDOO ODQGKROGLQJV LQ KLV FKDSWHU (FRQRPLF 6\VWHPV /DUJH DQG 6PDOO /DQG +ROGLQJV :KDW FRXOG EHFRPH WKH nVWDQGDUG ZRUN RQ PDQODQG UHODWLRQV LQ &HQWUDO $PHULFD $ 6RFLRORJLFDO $QDO\V" V RI 0DQ/DQG 5HODW LRQV LQ &HQWUDO $PHULFD ZDV ZULWWHQ E\ : .HQQHG\ 8SKDP f +LV DQDO\VHV RI YDULRXV DVSHFWV RI WKH LQVWLWXWLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG LQ &RVWD 5LFD VHUYH DV PRGHOV IRU VHYHUDO VHJPHQWV RI WKLV GLVVHUWDWLRQ +LV ZRUN LV RI DGGHG YDOXH LQ WKDW LW LQFRUSRUDWHG WKH FRPSOHWH UHVXOWV RI WKH &RVWD 5LFDQ &HQVR $JURSHFXDULR FHQVXV RI DJULFXOWXUHf 7KH $JUDULDQ /DZ 3URMHFW D MRLQW YHQWXUH EHLQJ FDUULHG RXW E\ WKH 8QLWHG 6WDWHV $JHQF\ IRU ,QWHUQDWLRQDO 'HYHORSPHQW $,'f DQG WKH 8QLYHUVLGDG 1DFLRQDO GH &RVWD 5LFD 1DWLRQDO 8QLYHUVLW\ RI &RVWD 5LFDf KDV FRQGXFWHG UHVHDUFK LQWR OHJDO DQG HFRQRPLF SUREOHPV LQ UXUDO DUHDV RI &RVWD 5LFD 7ZR RI WKH SXEOLFDWLRQV UHVXOWLQJ IURP WKLV SURMHFW KDYH PDGH PDMRU FRQWULEXWLRQV WR WKH VWXG\ RI PDQODQG UHODWLRQV LQ &RVWD 5LFD 'DYLG 6 &ODUN ZURWH 5HQW"QJ 6KDUHFURSSLQJ DQG RWKHU ,QG" UHFW /DQG 7HQXUH )RUPV "Q &RVWD 5LFD $ /HJDO DQG (FRQRPLF $QDO\VLV f &DUORV 6DHQ] 3 DQG & )RVWHU .QLJKW FRDXWKRUHG 7HQXUH 6HFXULW\ /DQG 7"LQJ DQG $JULFXOWXUDO 'HYHORSPHQW "Q &RVWD 5LFD f $OWKRXJK ERWK RI WKHVH ZRUNV HPSKDVL]HG OHJDO DVSHFWV RI PDQODQG UHODWLRQV WKH\ QHYHUWKHOHVV DGG VLJQLILFDQWO\ WR IXUWKHU WKH XQGHUVWDQGLQJ RI VHYHUDO RI WKH VRFLRFXOWXUDO V\VWHPV IRXQG LQ UXUDO DUHDV LQ &RVWD 5LFD

PAGE 43

7KH 'HYHORSPHQW RI WKH 6WXG\ RI 5XUDO (OHFWULILFDWLRQ $V LQGLFDWHG DERYH WKH IUDPHZRUN XVHG LQ WKLV GLVVHUWDWLRQ LV WKDW RI UXUDO VRFLRORJ\ WKH VXEMHFW PDWWHU LV UXUDO HOHFWULILFDWLRQ $Q LPSRUWDQW DVSHFW RI WKLV FKDSWHU LV WKHUHIRUH WR VNHWFK WKH GHYHORSn PHQW RI WKH VWXG\ RI UXUDO HOHFWULILFDWLRQ 7KH VWXG\ RI UXUDO HOHFn WULILFDWLRQ LV VRPHZKDW OHVV GHYHORSHG WKDQ LV WKH ILHOG RI UXUDO VRFLRORJ\ 7KH OLWHUDWXUH GHDOLQJ ZLWK WKH WRSLF LV FRQVHTXHQWO\ QRW DV YROXPLQRXV 7KH 6WXG\ RI WKH ,PSDFW RI 5XUDO (OHFWULILFDWLRQ %DVLFDOO\ WKUHH W\SHV RI UHSRUWV GHDOLQJ ZLWK WKH LPSDFW RI m UXUDO HOHFWULILFDWLRQ KDYH EHHQ PDGH DYDLODEOH 7KH ILUVW W\SH LQn FOXGH WKRVH GRQH HLWKHU E\ HPSOR\HHV RI RU E\ WKRVH V\PSDWKHWLF ZLWK WKH JRDOV RI WKH 1DWLRQDO 5XUDO (OHFWULILFDWLRQ &RRSHUDWLYH $VVRFLDn WLRQ 15(&$f 7KLV OLWHUDWXUH LV QDWXUDOO\ YHU\ VXSSRUWLYH RI WKH REMHFWLYHV RI 15(&$ DQG HVSHFLDOO\ RI WKH EHWWHUPHQW LQ UXUDO OLIH ZKLFK LV DWWULEXWDEOH WR WKH XVH RI HOHFWULFLW\ 7KH VHFRQG W\SH LQn FOXGHV WKRVH GHDOLQJ ZLWK WKH PDPPRWK UXUDO HOHFWULILFDWLRQ GHYHORSn PHQWV LQ FRQMXQFWLRQ ZLWK WKH 7HQQHVVHH 9DOOH\ $XWKRULW\ 79$f SURMHFWV 7KHVH LQYHVWLJDWLRQV GHDO SULPDULO\ ZLWK QHZ XVHV RI UXUDO HOHFWULFLW\ UDWKHU WKDQ ZLWK WKH LPSDFW SHU VH RI WKH SURFHVV RI HOHFWULILFDWLRQ 7KH WKLUG JURXS FRQVLVWV RI DJULFXOWXUDOHFRQRPLF VWXGLHV RI D UXGLPHQWDU\ QDWXUH 7KH\ DUH DGGUHVVHG WR WKH DFWXDO LPSDFW RI UXUDO HOHFWULILFDWLRQ 5HJDUGOHVV RI WKH PXOWLGLUHFWLRQDO QDWXUH RI WKH UHVHDUFK RQ WKH VXEMHFW WKH ERG\ RI SXEOLVKHG OLWHUDWXUH LV VPDOO (OHFW U" F 'HYHORSPHQW DV DQ $LG WR $TUL FX XUH E\ *X\ ( 7ULSS

PAGE 44

f LV D FRPSLODWLRQ RI VL[ RI KLV DGGUHVVHV RQ YDULRXV DVSHFWV RI UXUDO HOHFWULILFDWLRQ 7KH SUREOHPV SRLQWHG RXW E\ 7ULSS KDG EHHQ ? ODUJHO\ UHVROYHG LQ YDVW DUHDV RI WKH 8QLWHG 6WDWHV E\ ZKHQ )UHGHULFN :LOOLDP 0XOOHU SXEOLVKHG KLV 3XEOLF 5XUDO (OHFWULILFDW"RQ 0XOOHU ZURWH D VFKRODUO\ DFFRXQW RI WKH ZRUN RI WKH 8QLWHG 6WDWHV 5XUDO (OHFWULILFDWLRQ $GPLQLVWUDWLRQ 5($f DQG RI WKH IXQFWLRQLQJ RI UXUDO HOHFWULF FRRSHUDWLYHV LQ WKLV FRXQWU\ 5XUDO (OHFWULILFDWLRQ E\ 3 6FKDHQ]HU Af LV RI LQWHUHVW DV WKH VWDQGDUG WH[W RQ WKH VXEMHFW RI WKH XVH RI HOHFWULFLW\ LQ WKH UXUDO DUHDV RI WKH 8QLWHG 6WDWHV ,W GHDOV ZLWK WKH WHFKQLFDO XWLOL]DWLRQ RI HOHFWULF FXUUHQW 1HYHUWKHOHVV DQ XQGHUVWDQGLQJ RI WKH SRVVLEOH XVHV RI HOHFWULFLW\ LV QHFHVVDU\ IRU FRPSUHKHQGLQJ WKH IRUFHIXOQHVV RI WKLV WHFKQRORJLFDO DGYDQFHPHQW 0DUTXLV &KLOGV LQ 7KH )DUPHU 7DNHV MD +DQG 7KH (O HFW ULF 3RZHU 5HYR XW LRQ Q 5XUDO $PHULFD f SURYLGHG D ILUVW KDQG GHVFULSWLRQ RI WKH GHYHORSPHQW DQG VSUHDG RI UXUDO HOHFWULILFDWLRQ LQ WKH 8QLWHG 6WDWHV +H LQ HIIHFW SURYLGHG WKH VWDQGDUG ZLWK ZKLFK IRUHLJQ GHYHORSPHQW FDQ EH FRPSDUHG 6WXGLHV RI WKH 79$ KDYH IRFXVHG RQ WKH LQGXVWULDO XVHV RI WKH HOHFWULFLW\ JHQHUDWHG E\ WKH DJHQF\ DQG RQ WKH UXUDO JUDVVURRWV LQYROYHPHQW RI WKH SHRSOH LQ FRQWUROOLQJ WKH DJHQF\ UDWKHU WKDQ RQ WKH LPSDFW RI WKH HOHFWULILFDWLRQ 'DYLG ( /LOLHQWKDOnV 79$ 'HPRFUDF\ RQ WKH 0DUFK A LV D SROHPLFDO GLVFXVVLRQ RI WKH KLVWRU\ RI WKH 79$ DQG D MXVWLILFDWLRQ RI WKH JUDVVURRWV RUJDQL]DWLRQV FUHDWHG E\ LW 3KLOLS 6HO]QLFK D VRFLRORJLVW XVHG WKH 79$ DV D VHWWLQJ IRU KLV ZRUN RQ WKH WKHRU\ RI RUJDQL]DWLRQ LQ KLV 79$ DQG WKH *UDVV 5RRWV $ 6WXG\ LQ WKH 6RF L R RT\ RI )RUPDO 2UJDQ ]DW L RQ Af $OO UHIHUHQFHV

PAGE 45

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f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n ILFDWLRQ QHWZRUNV 7KH FRRSHUDWLYH V\VWHP RI WKH GLVWULEXWLRQ RI UXUDO HOHFWULFLW\ LQ &KLOH ZDV GHSLFWHG LQ WKH VKRUW SDSHU HQWLWOHG 5XUDO

PAGE 46

(OHFWULILFDWLRQ &RRSHUDWL YHV LQ &KLOH E\ 6HUJLR &DUYDOOR f $ SLORW SURMHFW IRU UXUDO HOHFWULILFDWLRQ LQ WKH 1RUWKHDVW RI %UD]LO ZDV GHVFULEHG LQ D WHFKQLFDO UHSRUW E\ WKH %DQFR GR 1RUGHVWH GR % UDV L 1RUWKHDVW %DQN RI %UD]LOf HQWLWOHG (OHFWULI,FDJDR 5XUDO QR 1RUGHVWH $OWHUQDWL YDV GH /RFDO L]DTDR GH XP 3UR MHFWR 3LORWR f 2QH RI WKH ODUJHVW DQG EHVW DGPLQLVWHUHG SURMHFWV IRU WKH GLVWULn EXWLRQ RI HOHFWULFLW\ LQ UXUDO DUHDV LV WKDW RSHUDWHG E\ &RUSRUDFLQ $XWQRPD 5HJLRQDO GHO &DXFD $XWRQRPRXV 5HJLRQDO &RUSRUDWLRQ RI &DXFDf &9&f LQ WKH &DXFD 5LYHU 9DOOH\ RI &RORPELD 7KH IRXQGDWLRQ JURZWK DQG FXUUHQW DFWLYLWLHV RI WKH &9& ZHUH GRFXPHQWHG LQ 7KH &9& &KDO HQJH WR 8QGHUGHYHORSPHQW DQG 7 UDGLWL RQDOLVP E\ $QWRQLR 3RVDGD -U DQG -HDQQH GH 3RVDGD f $ VHFRQG DOWKRXJK OHVV DPELWLRXV VWXG\ FRQGXFWHG LQ &RORPELD LV ZRUWK\ RI QRWH $XJXVWR 7RUUHV 6WDQOH\ /LFKWHQVWHLQ DQG 3DXO 6SHFWRU FRQGXFWHG D UHVHDUFK SURMHFW XQGHU WKH DXVSLFLHV RI $,' RQ WKH LPSDFW RI SODFLQJ VPDOO JHQHUDWRUV LQ VHYHUDO &RORPELDQ YLOODJHV 7KHLU UHSRUW ZDV HQWLWOHG 6RFLDO DQG %HKDYLRUDO LPSDFWV RI MD 7HFKQR RJ" FDO &KDQJH L Q &RO RPEL DQ 9L DJHV f 7KH RQH PDMRU SXEOLFDWLRQ RQ UXUDO HOHFWULILFDWLRQ SURMHFWV LV &RRSHUDWLYH 5XUDO (OHFW ULILFDWLRQ &DVH 6WXG LHV RI 3LORW 3URMHFWV LQ /DWLQ $PHULFD E\ -DPHV ( 5RVV 5RVV SURYLGHG EHQFKPDUN GDWD IURP H[DPLQDWLRQV RI HLWKHU IXQFWLRQLQJ RU SODQQHG UXUDO HOHFWULF GLVWULEXn WLRQ FRRSHUDWLYHV LQ &RORPELD (FXDGRU 1LFDUDJXD DQG &RVWD 5LFD 7KH GDWD LQ WKLV ERRN ZHUH GUDZQ PDLQO\ IURP IHDVLELOLW\ DQG SUHn HOHFWULILFDWLRQ VWXGLHV DQG WKXV GHDO RQO\ WDQJHQWLDOO\ ZLWK WKH LPn SDFW RI HOHFWULF XVH LQ UXUDO DUHDV

PAGE 47

7KH 6WXG\ RI 5XUDO (OHFWULILFDWLRQ LQ &RVWD 5LFD 7KH SURJUHVVLYH QDWXUH RI &RVWD 5LFD LV UHDGLO\ DSSDUHQW LQ WKH ILHOG RI UXUDO HOHFWULILFDWLRQ 7KH ,QVWL WXWR &RVWDUULFHQVH GH (OHF WU"FLGDG &RVWD 5LFDQ (OHFWULFDO ,QVWLWXWHf ,&(f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f 7KLV SDPSKOHW FRQWDLQHG D ZHO ZULWWHQ VHFWLRQ RQ WKH FUHDWLRQ RI ,&( D FRPSOHWH GHVFULSWLRQ RI WKH JHQHUDn WLRQ DQG GLVWULEXWLRQ RI HOHFWULFDO HQHUJ\ LQ &RVWD 5LFD DV RI DQG D SURMHFWLRQ IRU LQFUHDVHG HOHFWULFDO RXWSXW WKURXJK 2WKHU VWXGLHV RI WKH VXEMHFW KDYH EHHQ SXEOLVKHG E\ WKH &RQVHMR ,QWHUDPHU"FDQR (FRQPLFR \ 6RFLDO ,QWHUDPHULFDQ (FRQRPLF DQG 6RFLDO &RXQFLOf RI WKH 2UJDQL]DWLRQ RI $PHULFDQ 6WDWHV $PRQJ LWV SXEOLFDn WLRQV LV 5HVHD GHO 3ULPHU 3UR\HFWR 3L RWR GH &RRSHUDWLYD 5XUDO (OF W ULFD GH 6DQ -RV GH 1DUDQ M R &RVWD 5LFD 7KLV SLORW SURMHFW IRU UXUDO HOHFWULILFDWLRQ VHUYHG DV WKH PRGHO RQ ZKLFK WKH RWKHU WZR UXUDO HOHFn WULF FRRSHUDWLYHV LQFOXGLQJ WKDW RI 6DQ &DUORV ZHUH SDWWHUQHG 7KH ILUVW VWXG\ LQ &RVWD 5LFD ZKLFK DOOXGHG WR WKH LPSDFW RI UXUDO HOHFWULILFDWLRQ ZDV (VWXGLR $JUIFRODHFRQPLFR GH D &XHQFD 0HGLD GHO 57R *UDQGH E\ 2VFDU 5 %HQDYLGHV f %HQDYLGHV ZRUNLQJ XQGHU WKH

PAGE 48

WXWHODJH RI 2OHQ ( /HRQDUG VWXGLHG IDUPV LQ WKH 0HVHWD &HQWUDO RI &RVWD 5LFD $OWKRXJK WKH VWXG\ FRQFHQWUDWHG RQ D PDQODQG UHODWLRQV DQDO\VLV RI WKH IDUPV %HQDYLGHV GLG SURYLGH VRPH LQIRUPDWLRQ RQ WKH XVH RI HOHFWULFLW\ LQ WKH UXUDO DUHDV $Q LPSRUWDQW FRQWULEXWLRQ WR WKH ERG\ RI OLWHUDWXUH ZKLFK SRLQWHG RXW WKH QHHG IRU IXUWKHU DQDO\VLV RI WKH LPSDFW RI UXUDO HOHFWULILFDn WLRQ ZDV PDGH E\ *DOHQ & 0RVHV +LV VWXG\ &RRSHUDWLYH 5XUDO (OHFWULn ILFDWLRQ LQ &RVWD 5LFD f DQDO\]HG VRFLDO DQG HFRQRPLF FKDUDFn WHULVWLFV DIIHFWHG E\ ERWK WKH SUHVHQW DQG H[SHFWHG HOHFWULFDO XVH LQ UXUDO DUHDV 6LQFH KLV ZRUN IRFXVHG RQ WKH SURMHFWHG XWLOL]DWLRQ RI HOHFWULF FXUUHQW KLV WUHDWPHQW RI WKH LPSDFW RI FHQWUDOO\ GLVWULEXWHG FXUUHQW ZDV OLPLWHG 5RVV HGLWHG DQG VXPPDUL]HG WKH 0RVHV VWXG\ DV SDUW RI KLV &RRSHUDW YH 5XUDO (OHFW ULI" FDW LRQ &DVH 6WXGLHV RI 3LORW 3URMHFWV LQ /DWQ $PHU"FD f 7KLV GLVVHUWDWLRQ UHOLHV WR D ODUJH H[WHQW RQ WKH SLORW VWXG\ E\ 0RVHV DV D SRLQW RI GHSDUWXUH 7KLV GLVVHUWDWLRQ KRZHYHU DWWHPSWV WR EUHDN QHZ JURXQG LQ WKDW LW LQFRUSRUDWHV D ZHOGHYHORSHG UXUDO VRFLRORJLFDO IUDPH RI UHIHUHQFH LQ DQ DWWHPSW WR LVRODWH DQG H[DPLQH WKRVH DVSHFWV RI D UXUDO VRFLHW\ LQ &RVWD 5LFD ZKLFK DUH DOWHUHG RU RWKHUZLVH DIIHFWHG E\ WKH XVH RI HOHFWULFDO SRZHU

PAGE 49

&+$37(5 , 352&('85(6 $1' 0(7+2'2/2*< 7KH SURFHVV RI VFLHQWLILF LQYHVWLJDWLRQ LQYROYHV RQFH WKH REn MHFWLYHV RI WKH UHVHDUFK KDYH EHHQ GHOLQHDWHG WZR PDLQ W\SHV RI DFWLYLWLHV REVHUYDWLRQ DQG LQIHUHQFH 2EVHUYDWLRQ LV ELIXUFDWHG LQWR f EDUH REVHUYDWLRQ RI XQFRQWUROOHG SKHQRPHQD DQG f H[SHULn PHQW 6PLWK f ,QIHUHQFH LV DOVR GLYLGHG LQWR WZR W\SHV LQGXFWLRQ DQG GHGXFWLRQ )RU REVHUYDWLRQV DQG LQIHUHQFHV WR KDYH PHDQLQJ WKH\ PXVW EH DUUDQJHG V\VWHPDWLFDOO\ 7KLV LQYROYHV FODVVLILn FDWLRQ DQG GHVFULSWLRQA 7KH SUHVHQW UHVHDUFK SURMHFW LQFRUSRUDWHV D IUDPH RI UHIHUHQFH ZKLFK KDV DV D EDVLF WHQHW WKH DSSOLFDWLRQ RI WKH VFLHQWLILF PHWKRG 7KLV FKDSWHU GHDOV ZLWK WKH SURFHVV RI VFLHQWLILF LQYHVWLJDWLRQ LQYROYHG LQ WKH FROOHFWLRQ RI REVHUYHG GDWD DQG WKH V\VWHPDWLF DUUDQJHn PHQW RI GDWD QHFHVVDU\ IRU H[HFXWLQJ WKH SURFHVV RI LQIHUHQFH &HQWUDO WR WKLV GLVVHUWDWLRQ DUH WKH SURFHGXUHV RI WKH FROOHFWLRQ RI GDWD HVSHFLDOO\ DVSHFWV GHDOLQJ ZLWK WKH FRQVWUXFWLRQ RI WKH VXUYH\ VFKHGXOH DQG WKH VHOHFWLRQ RI WKH UHVHDUFK SRSXODWLRQ DQG PHWKRGRORJLFDO FRQVLGHUDWLRQV 6SHFLILFDOO\ LQFOXGHG LQ WKLV FKDSWHU DUH VHFWLRQV RQ SURFHGXUHV DQG PHWKRGRORJ\ XVHG LQ WKH VXUYH\ UHVHDUFK )RU D FRQFLVH VWDWHPHQW RQ WKH VFLHQWLILF PHWKRG VHH 6PLWK

PAGE 50

3URFHGXUHV 0XFK RI WKH GDWD DQDO\]HG LQ WKLV GLVVHUWDWLRQ ZDV JDWKHUHG E\ PHDQV RI D VXUYH\ 7KH VXUYH\ LQVWUXPHQW ZDV GHYHORSHG IRU WKH SUHVHQW VWXG\ 6HYHUDO IDFHWV RI WKLV LQVWUXPHQW DIIHFWHG WKH W\SHV RI GDWD FRPSLOHG 7KH IROORZLQJ GLVFXVVLRQ WUHDWV WKH PRUH LPSRUWDQW RI WKHVH IDFWRUV WKH SURFHVV RI GHYHORSPHQW FRPSRQHQWV DQG DSSOLFDn WLRQ 7KH 6FKHGXOH 7KH VXUYH\ VFKHGXOH XVHG LQ &RVWD 5LFD ZDV GHYHORSHG EHWZHHQ -XQH DQG $XJXVW 'U -RKQ 6DXQGHUV SURIHVVRU RI VRFLRORJ\ DQG WKH SUHVHQW DXWKRU GLVFXVVHG DW OHQJWK WKH W\SHV RI LQIRUPDWLRQ WR EH JDWKHUHG DQG WKH SURFHVV ZKLFK ZRXOG EH PRVW HIIHFWLYH LQ JHWWLQJ WKH GDWD )RU WKH SUHSDUDWLRQ RI WKH VRFLRORJLFDO SRUWLRQ RI WKH VXUYH\ VFKHGXOH WKH\ UHOLHG XSRQ H[WHQVLYH OLEUDU\ UHVHDUFK DQG XSRQ WKHLU FRPELQHG SHUVRQDO NQRZOHGJH RI UXUDO HOHFWULILFDWLRQ &RVWD 5LFD DQG VRFLRORJLFDO PHWKRGRORJ\ ,W ZDV GHFLGHG WKDW WKH GHVLUHG GDWD FRXOG EH JDWKHUHG PRVW H[SHGLHQWO\ E\ PHDQV RI D VXUYH\ 'DYLV SURGXFHG D WHQWDWLYH ILUVW GUDIW RI WKH VFKHGXOH 7KHUH IROORZHG D VHULHV RI UHZULWLQJV RI WKH GRFXPHQW ZKLFK LQFRUSRUDWHG LGHDV DQG FRUUHFWLRQV VXSSOLHG E\ ERWK 6DXQGHUV DQG DQRWKHU FROOHDJXH RQ WKH SURMHFW *DOHQ & 0RVHV DQ DJULFXOWXUDO HFRQRPLVW $OWKRXJK WKH\ DOO WHPSHUHG DQG PRGLILHG WKH FRQWULEXWLRQV PDGH E\ HDFK RWKHU 6DXQGHUV DQG 'DYLV DUH ODUJHO\ UHVSRQVLEOH IRU WKH EDVLF IRUPDW RI WKH LQVWUXPHQW DQG WKRVH TXHVWLRQV GHDOLQJ ZLWK VRFLDO DVSHFWV 0RVHVn LQSXW LV FOHDUO\ VHHQ LQ WKH TXHVWLRQV ZKLFK GHDO ZLWK HFRQRPLF PDWWHUV

PAGE 51

'DYLV DQG 6DXQGHUV WKHQ WUDQVODWHG WKHn VFKHGXOH LQWR 6SDQLVK 7KLV GUDIW ZDV WDNHQ WR &RVWD 5LFD ZKHUH LW ZDV PRGLILHG VXEVWDQWLDOO\ IRU WKH ILHOG SUHWHVW $IWHU WKLV LW ZDV DJDLQ UHYLVHG WR SURGXFH WKH ILQDO GUDIW 9LFWRU +XJR &VSHGHV DQG $OYDUR 9DUJDV RI WKH 8QLYHUVLW\ RI &RVWD 5LFD DLGHG LQ PDNLQJ WKH ILQDO UHYLVLRQV 2I VSHFLDO LPSRUWDQFH ZDV WKHLU IDPLOLDULW\ ZLWK ZD\V RI PDNLQJ WKH TXHVWLRQV LQWHOOLJLEOH WR UXUDO &RVWD 5LFDQV HVSHFLDOO\ WR WKRVH OLYLQJ LQ 6DQ &DUORV 7KH 6SDQLVK VSRNHQ LQ &RVWD 5LFD DV LV WKH FDVH LQ RWKHU 6SDQLVKVSHDNLQJ /DWLQ $PHULFDQ FRXQWULHV YDULHV QRW RQO\ IURP UHJLRQ WR UHJLRQ EXW DOVR IURP XUEDQ WR UXUDO DUHDV $OWKRXJK WKH FRPPRQ ODQJXDJH XVHG LQ 6DQ -RV LV E\ QR PHDQV LQFRPn SUHKHQVLEOH WR D IDUPHU OLYLQJ QHDU /D )RUWXQD LW LV UHFRJQL]DEOH DV EHLQJ GLVWLQFW &VSHGHV D QDWLYH RI &LXGDG 4XHVDGD SURYLGHG PDMRU DVVLVWDQFH LQ LQVXULQJ WKDW WKH TXHVWLRQV ZHUH SKUDVHG LQ WKH YHUn QDFXODU XVHG LQ 6DQ &DUORV $ FRS\ RI WKH VXUYH\ VFKHGXOH LV JLYHQ LQ $SSHQGL[ $ %HIRUH GLVFXVVLQJ WKH DFWXDO FRQWHQWV RI WKH GRFXPHQW LW VHHPV SHUWLQHQW WR SUHVHQW VRPH FRQVLGHUDWLRQV ZKLFK VWURQJO\ LQIOXHQFHG ERWK WKH VW\OH DQG FRQWHQW RI WKH LQVWUXPHQW 7KLV H[SRVLWLRQ VHUYHV DV DQ H[SODQDn WLRQ RI ZK\ WKH ILQLVKHG SURGXFW HPHUJHG DV LW GLG DQG ZK\ YDULRXV VHJn PHQWV ZHUH LQFOXGHG ZKLOH RWKHU IDFHWV ZHUH QHFHVVDULO\ H[FOXGHG 7KH IDFW WKDW WKH VFKHGXOHV ZHUH WR EH UHWXUQHG WR WKH 8QLWHG 6WDWHV WR EH FRGHG H[HUWHG D VWURQJ LQIOXHQFH RQ WKHLU FRQVWUXFWLRQ 2QFH WKH DFWXDO SURFHVV RI WKH GDWD FROOHFWLQJ ZDV FRPSOHWH LW ZRXOG EH LPSRVVLEOH WR UHWXUQ WR UHVROYH DQ\ SUREOHPV ZKLFK PLJKW DULVH LQ FRQMXQFWLRQ ZLWK DQ\ DVSHFW RI WKH LQWHUYLHZLQJ SURFHVV 2Q WKH RWKHU KDQG SUREOHPV RI FRGLQJ DQG DQDO\VLV FRXOG EH ZRUNHG RXW LQ WKH

PAGE 52

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n WDWHG FHUWDLQ UHVWULFWLRQV RQ ERWK WKH W\SH DQG QXPEHU RI VSHFLILF TXHVWLRQV ZKLFK FRXOG EH LQFOXGHG )RU H[DPSOH LW ZRXOG KDYH EHHQ RI LQWHUHVW WR KDYH JDWKHUHG GDWD RQ KRXVHKROG H[SHQGLWXUHV 7KLV KRZHYHU ZRXOG KDYH HQWDLOHG DGGLQJ D ODUJH QXPEHU RI TXHVWLRQV LQn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

PAGE 53

ZHUH QRW DVNHG WR UHVSRQG WR TXHULHV GHDOLQJ ZLWK WKH QRQXVH RI HOHFWULFLW\ DQG PHUFKDQWV ZKR RZQHG QR ODQG ZHUH QRW TXHVWLRQHG DERXW DJULFXOWXUDO SURGXFWLRQmVHH $SSHQGL[ $ S f &RQFLVH GLUHFn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n YLHZHUV FRXOG GHWHFW DEQRUPDO RU LQFRPSOHWH UHVSRQVHV DQG ZHUH DEOH E\ SURELQJ WR VHFXUH PRUH FRPSOHWH GDWD 2QH RI WKH SULPDU\ PHDQV RI DWWDLQLQJ WKH GHVLUHG HDVH RI LQWHUn YLHZLQJ ZDV WR DUUDQJH WKH VHTXHQFH RI WKH TXHVWLRQV VR WKDW WKHUH ZRXOG EH D VPRRWK WUDQVLWLRQ IURP RQH VHULHV RI TXHVWLRQV WR WKH QH[W ,Q RUGHU WR IDFLOLWDWH WKLV VLPSOH VWDWHPHQWV ZHUH XVHG WR LQWURGXFH HDFK VHFWLRQ :LWKLQ HDFK VHSDUDWH VHJPHQW WKH ILUVW TXHVWLQV HOLFLWHG FRQFUHWH LQIRUPDWLRQ ZKLFK WKH UHVSRQGHQW FRXOG UHDGLO\ GLn YXOJH 7KH PRUH WKRXJKWSURYRNLQJ TXHULHV ZHUH SODFHG QHDU WKH HQG

PAGE 54

RI HDFK VHFWLRQ )RU H[DPSOH LQ WKDW GHDOLQJ ZLWK H[SRVXUH WR WKH PDVV PHGLD WKH ILUVW TXHVWLRQ PHUHO\ LQTXLUHG LI WKH UHVSRQGHQW SRVn VHVVHG D UDGLR 7RZDUGV WKH HQG RI WKH VHFWLRQ KH ZDV DVNHG WR QDPH WKH WHOHYLVLRQ SURJUDPV ZKLFK KH FRQVLGHUHG WR EH XVHIXO VHH $SSHQGL[ $ S f 7R FRQVWUXFW GHPRJUDSKLF SURILOHV RI ERWK XVHUV DQG QRQXVHUV RI HOHFWULFLW\ PDMRU GHPRJUDSKLF GDWD ZHUH VRXJKW IURP WKH KHDG RI WKH KRXVHKROG DQG IURP DOO RI LWV PHPEHUV )RU HDFK RI WKRVH HQXPHUDWHG WKH IROORZLQJ GDWD ZHUH FROOHFWHG UHODWLRQVKLS WR KHDG RI WKH KRXVHn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f 7KHUHIRUH TXHVWLRQV ZHUH DVNHG DERXW WKH WLPH VSHQW OLVWHQLQJ WR UDGLRV DQG ZDWFKLQJ WHOHYLVLRQ ,QTXLULHV ZHUH DOVR PDGH DERXW SURJUDPV ZKLFK ZHUH FRQVLGHUHG WR EH RI YDOXH )LQDOO\ LQIRUPDWLRQ ZDV VHFXUHG DERXW WKH QXPEHU DQG W\SHV RI QHZSDSHUV DQG PDJD]LQHV UHDG $OWKRXJK WKH DUHD VWXGLHG ZDV GHYRWHG SULPDULO\ WR DJULFXOWXUDO DQG SDVWRUDO DFWLYLWLHV LW ZDV LPSRUWDQW WR OHDUQ DERXW WKH W\SHV RI EXVLQHVVHV ZKLFK IXUQLVKHG VHUYLFHV WR WKH KRXVHKROGV VXUYH\HG

PAGE 55

$FFRUGLQJO\ GDWD ZHUH REWDLQHG DERXW EXVLQHVV HVWDEOLVKPHQWV ORFDWHG LQ WKH FRPPXQLWLHV 7KH LPSDFW DQG XVH RI HOHFWULFLW\ LQ UXUDO DUHDV KDV EHHQ VXEMHFW WR OLWWOH DQDO\VLV 2QH RI WKH IHZ FRQFUHWH ILQGLQJV LV WKDW WKH XWLOL]DWLRQ RI HOHFWULFLW\ LV FRUUHODWHG ZLWK WKH W\SH RI IDUP DQG DOVR WKH VL]H RI WKH IDUP -RVHSK 'DYLV f 7KHUHIRUH D OHQJWK\ VHFWLRQ RI WKH VFKHGXOH ZDV GHYRWHG WR TXHVWLRQV FRQFHUQLQJ DJULFXOn WXUDO DQG SDVWRUDO HQWHUSULVHV 7KH HPSKDVLV LQ WKH DJULFXOWXUDO VHJPHQW ZDV RQ LQIRUPDWLRQ XVHIXO IRU WKH VWXG\ RI WKH FRPSOH[ LQVWLWXWLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG 7KLV HQFRPSDVVHV IRU WKH SUHVHQW SXUSRVHV WKH IROORZLQJ ODQG WHQXUH VL]H RI IDUPV DQG IDUPOLNH HQWLWLHV DQG W\SHV RI IDUPLQJ WKH LQIOXHQFHV RI WKH XVH RI HOHFWULFLW\ ZHUH D SULRUL YLHZHG DV EHLQJ VRFLDO DV ZHOO DV HFRQRPLF 7KH VHQVH RI VRFLDO ZHOOEHLQJ RU VRFLDO FRQWHQWPHQW PD\ EH PHDVXUHG E\ H[DPLQLQJ RQHnV VDWLVIDFWLRQ ZLWK KLV OLIH VLWXDWLRQ 4XHVWLRQV ZHUH LQFOXGHG IRU XVH LQ HYDOXDWLQJ WKLV SKHQRPHQRQ 7KH UHVSRQGHQWV ZHUH DVNHG WR FRPSDUH WKHLU SUHVHQW VLWXDWLRQ LQ OLIH OD VLWXDFLQ DFWXDOf ZLWK RWKHU UHDO DQG K\SRn WKHWLFDO VLWXDWLRQV 6RFLDO SDUWLFLSDWLRQ H[LVWV ZKHQ SHRSOH IRUP D FRPPXQLW\ RU RWKHU ORFDOLW\ JURXS 7KLV SKHQRPHQRQ ZDV RI LQWHUHVW IRU WKUHH UHDVRQV $Q REMHFWLYH ZDV WR HYDOXDWH SHRSOHnV DZDUHQHVV RI WKH FRRSHUDWLYH DV D PHDQV IRU WKH GLVWULEXWLRQ RI HOHFWULFLW\ $FFRUGLQJO\ DQ HIn IRUW ZDV PDGH WR JDWKHU LQIRUPDWLRQ UHODWLQJ WR NQRZOHGJH RI WKH IXQFWLRQLQJ RI FRRSHUDWLYHV DQG HVSHFLDOO\ RI WKH &RRSHUDWLYD GH (OHFWULILFDFLQ 5XUDO GH 6DQ &DUORV &223(/(6&$f 6HFRQGO\ WKRVH

PAGE 56

ZKR SDLG IRU HOHFWULFLW\ VXSSOLHG E\ &223(/n(6&$ ZHUH LSVR IDFWR PHPEHUV RI WKDW RUJDQL]DWLRQ 2QH RI WKH VWDWHG JRDOV RI FRRSHUDWLYHV LV WR GLVVHPLQDWH NQRZOHGJH RI FRRSHUDWLYHV DQG WR VWULYH WR FUHDWH PRUH FRRSHUDWLYH HIIRUWV 7KHUHIRUH LW ZDV SHUWLQHQW WR VHH LI WKLV KDG WUDQVSLUHG LQ 6DQ &DUORV $QG ODVWO\ FRPSUHKHQVLRQ RI WKH W\SHV DQG VWUHQJWKV RI WKH YDULRXV RUJDQL]DWLRQV JURXSV DQG DVVRFLDWLRQV LQ D JLYHQ FRPPXQLW\ KHOS JLYH DQ XQGHUVWDQGLQJ RI LW 7KH DQDO\VLV RI VRFLRHFRQRPLF FKDUDFWHULVWLFV LV D XVHIXO ZD\ RI FODVVLI\LQJ WKH PHPEHUV RI D FRPPXQLW\ LQWR ZRUNDEOH FDWHJRULHV RI WKRVH VKDULQJ VLPLODU WUDLWV 7KH DFFXUDWH FODVVLILFDWLRQ RI WKH VRFLRHFRQRPLF FKDUDFWHULVWLFV RI WKH PHPEHUV RI D VRFLHW\ LV P UHDOLW\ VXIILFLHQW ZRUN IRU D ODUJH VHSDUDWH UHVHDUFK SURMHFW 1HYHUWKHOHVV WKH QHHG IRU WKLV LQIRUPDWLRQ GLFWDWHG WKDW DSSURSULDWH GDWD EH FRPSLOHG $ OHYHORILYLQJ VFDOH ZDV LQFRUSRUDWHG LQ WKH VXUYH\ VFKHGXOH 7KH VFDOH SDWWHUQHG DIWHU WKH ZRUN E\ %HOFKHU f H[DPLQHG WKH ZD\ LQ ZKLFK IRXUWHHQ GLIIHUHQW DQG QHFHVVDU\ KRXVHKROG IXQFWLRQV ZHUH SHUIRUPHG 7KH VFDOH LV EDVHG XSRQ WKH DQVZHUV WR IRXUWHHQ TXHVWLRQV GHDOLQJ ZLWK VXFK WKLQJV DV WKH VWRUDJH RI ZDWHU PRGHV RI WUDQVSRUWDWLRQ DQG WKH W\SH RI LJKWLQJ XVHG 7KLV GLVFXVVLRQ RQ WKH VRXUFHV RI GDWD KDV EHHQ GHVLJQHG WR LQn IRUP WKH UHDGHU RI WKH ZD\V LQ ZKLFK WKH GDWD XVHG LQ WKLV VWXG\ ZHUH JDWKHUHG 7KH XVH PDGH RI WKH FROOHFWHG GDWD LV GLVFXVVHG LQ WKH IROORZLQJ VHFWLRQ

PAGE 57

3URFHGXUHV 8VHG LQ &ROOHFWLQJ WKH 6XUYH\ 'DWD 7KH VXUYH\ UHVHDUFK GDWD ZHUH FROOHFWHG E\ WUDLQHG &RVWD 5LFDQ LQWHUYLHZHUV 7KH ZRUN ZDV SHUIRUPHG XQGHU D FRQWUDFW EHWZHHQ WKH 8QL YHUV LW\ RI )ORULGD DQG WKH ,QVWLWXWR GH ,QYHVW LJDFLRQHV (FRQPLFDV \ 6RFLDOHV LQVWLWXWH IRU (FRQRPLF DQG 6RFLDO 6WXGLHVf RI WKH 8QLYHUn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n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n VSRQGHQWV ZRXOG QRW EH H[SHULHQFHG LQ JUDQWLQJ LQWHUYLHZV 7KH LQWHUn YLHZHUV ZHUH WR KHOS WKHP WKURXJK ZKDW ZRXOG EH D OHDUQLQJ VLWXDWLRQ

PAGE 58

7KH SHRSOH RI 6DQ &DUORV ZRXOG EH DVVLVWLQJ WKH UHVHDUFK SURMHFW E\ JUDQWLQJ WKH LQWHUYLHZV $Q HIIRUW ZDV PDGH WR LQVXUH WKDW WKH LQWHUn YLHZHUV H[SUHVVHG DSSUHFLDWLRQ IRU WKH FRRSHUDWLRQ WKDW WKH\ UHFHLYHG 'XULQJ WKH WUDLQLQJ SHULRG ERWK WKH LQWHUYLHZHUV DQG WUDLQHUV ZHUH JLYHQ HYHU\ RSSRUWXQLW\ WR VXJJHVW FKDQJHV LQ WKH VFKHGXOH 7KLV WUDLQLQJ WKHUHIRUH FRQVWLWXWHG DQ LQLWLDO SUHWHVW RI WKH VFKHGXOH LWVHOI 7KH LQWHUYLHZHUV SUHWHVWHG WKH LQVWUXPHQW LQ WKH ILHOG LQ WKH &DQWRQ RI &DUWDJR $OWKRXJK LW ZRXOG KDYH EHHQ EHQHILFLDO WR KDYH LQWURGXFHG WKH ZRUNHUV WR WKH DFWXDO UHVHDUFK DUHD LW ZDV IHDUHG f WKDW D SUHPDWXUH HQWUDQFH LQWR WKH DUHD RI 6DQ &DUORV PLJKW FRQWDPLn QDWH IXWXUH UHVSRQVHV &RQVHTXHQWO\ D GLIIHUHQW UXUDO DUHD ZDV r FKRVHQ 7KH GD\ DIWHU WKH ILHOG WHVW RI WKH LQVWUXPHQW D ILQDO WUDLQLQJ VHVVLRQ ZDV FRQGXFWHG 'XULQJ WKLV WKH LQWHUYLHZHUV ZHUH GHEULHIHG RQ WKHLU H[SHULHQFHV DQG WKH FRPSOHWHG VFKHGXOHV ZHUH FORVHO\ H[DPLQHG 6RPH PRGLILFDWLRQV ZHUH PDGH LQ WKH LQVWUXPHQW DV D UHVXOW RI SRLQWV HODERUDWHG GXULQJ WKH ILQDO WUDLQLQJ SHULRG 2Q :HGQHVGD\ $XJXVW WKH LQWHUYLHZLQJ WHDP OHIW 6DQ -RV IRU &LXGDG 4XHVDGD 7KH QH[W GD\ WKH LQWHUYLHZLQJ EHJDQ $ORQJ ZLWK WKRURXJK VXSHUYLVLRQ LQ WKH ILHOG WKH LQWHUYLHZHUV UHFHLYHG SHULRGLF WUDLQLQJ VHVVLRQV (DFK LQWHUYLHZHU ZDV UHTXLUHG WR UHFKHFN KLV ZRUN EHIRUH WXUQLQJ LW LQ ,QHYLWDEO\ QXPHURXV HUURUV ZHQW XQGHWHFWHG LQ WKLV SURFHVV 9DUJDV DQG 'DYLV WKHQ UHYLHZHG WKH IRUPV 7KH\ WDONHG ZLWK WKH ZRUNHUV VRPHWLPHV ZLWK WKH HQWLUH JURXS WR GLVFXVV PLVWDNHV DQG KRZ WR DYRLG WKHP LQ WKH IXWXUH $OO RI WKH VXUYH\ GDWD ZHUH FROOHFWHG LQ D SHULRG RI WKUHH ZHHNV

PAGE 59

,Q WKH SURFHVV RI FROOHFWLQJ WKH GDWD D PDMRU SUREOHP DURVH UHODWHG WR WKH HQGHDYRU WR FDQYDVV DOO RI WKH KHDGV RI WKH KRXVHKROGV ZKR VDWLVILHG WKH UHTXLUHPHQWV IRU ,QFOXVLRQ LQ WKH UHVHDUFK SRSXODn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n YLHZHU UHDGLO\ FRPSLOHG 0HWKRGRORJ\ 7KH PHWKRGRORJ\ XVHG LQ WKLV VWXG\ KDV WZR PDLQ EUDQFKHV )LUVW WKH VHOHFWLRQ RI WKH SUHFLVH UHVHDUFK DUHD DQG SRSXODWLRQ LV RI VLQJXODU LPSRUWDQFH 7KH SURFHVV RI WKLV VHOHFWLRQ JUHDWO\ LQIOXHQFHG WKH ILQGLQJV 6HFRQGO\ WKH DQDO\VHV UHO\ RQ GHILQLWH W\SHV RI PDQLSXODWLRQ RI WKH GDWD ,Q WKLV VHFWLRQ WKH PRUH JHUPDQH PHWKRGRORJLFDO FRQVLGHUDWLRQV DUH GLVFXVVHG 6SHFLILFDOO\ WKLV LQFOXGHV DQ H[DPLQDWLRQ RI WKH SURFHVV RI WKH VHOHFWLRQ RI ERWK WKH UHVHDUFK DUHD DQG SRSXODWLRQ WKH SULQFLSDO FKDUDFWHULVWLF RI WKH VWXG\ WKH YDULDEOHV DQG WKH LQGH[HV FRQVWUXFWHG WKH W\SHV RI FRPSXWHU DQDO\VLV DQG WKH IRUPV RI

PAGE 60

SUHVHQWDWLRQ RI WKH UHVXOWV 6HOHFWLRQ RI WKH 5HVHDUFK $UHD ‘f§ ‘ Y 7KLV GLVVHUWDWLRQ GHDOV ZLWK D ILQLWH DUHD $V VXFK FKDUDFn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

PAGE 61

SHUPLW DW OHDVW D GHJUHH RI JHQHUDO L]DE L L W\ 7KH SUREOHP WKXV ZDV UHGXFHG WR D GHFLVLRQ DERXW ZKLFK UHJLRQ ZDV WR EH VHOHFWHG ,W ZDV LPSHUDWLYH WKDW WKH UHJLRQ VWXGLHG EH QHLWKHU GRPLQDWHG E\ RQH W\SH RI PRQRFXOWXUH QRU WKH EDVWLRQ RI D SDUWLFXODU VL]H RI DJULFXOWXUDO RU SDVWRUDO XQLWV -RVHSK 'DYLV IRXQG WKDW W\SH RI IDUPLQJ ZDV DQ LPSRUWDQW FRUUHODWH RI WKH XVH RI HOHFWULFLW\ LQ UXUDO DUHDV RI WKH 8QLWHG 6WDWHV ff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f 7KLV LV SDUWLDOO\ WKH UHVXOW RI WKH FRVW RI LQVWDOODn WLRQ RI SRZHU OLQHV DQG WKH H[SHQVH LQFXUUHG LQ WKH XVH RI WKH FRPn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

PAGE 62

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

PAGE 63

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n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n JXLVKDEOH SROHV DQG EXLOGLQJV LV D SUHFLVH LQGLFDWRU RI HLWKHU SUHVHQW RU SUHYLRXV XVH RI &223(/(6&$VXSSOLHG HOHFWULFLW\ ,Q WKH VWXG\ DUHD DOO RI WKH &3(/(6&$ GLVWULEXWLRQ LnQHV SDUDOOHO SULQFLSDO URDGV 7KH HVWDEOLVKHG SDWWHUQ RI ORFDWLQJ UHVLGHQFHV DORQJ WKH URDGV KDV IDFLOLWDWHG WKH GLVWULEXWLRQ RI HOHFWULFLW\ %HFDXVH WKH GZHOOLQJV

PAGE 64

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n GXFHG KDG D VXEVWDQWLDO QXPEHU RI XVHUV EHHQ FRQQHFWHG WR D VRXUFH

PAGE 65

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n XVHUV RI &223(/(6&$ VXSSOLHG HQHUJ\ 121$'237(56f 7KH RFFXSDQWV RI DOO EXLOGLQJV RII WKH &223(/(6&$ OLQHV ZHUH FODVVLILHG VLPSO\ DV QRQXVHUV RI HOHFWULF HQHUJ\ ,1$&&(66,%/(6f 7KH VDPH FULWHULD ZLWK UHVSHFW WR YLVLELOLW\ IURP WKH URDG HWF ZHUH DSSOLHG LQ WKH VHOHFn WLRQ RI ERWK WKH XVHUV DQG QRQXVHUV RI HOHFWULFLW\ &RQVHTXHQWO\ LW FDQ EH DVVXPHG WKDW DQ\ ELDVHV UHVXOWLQJ IURP WKH VHOHFWLRQ ZHUH HYHQO\ GLVWULEXWHG EHWZHHQ WKH WZR 7KH SRUWLRQV RI WKLV VWXG\ QRW LQYROYLQJ WKH VXUYH\ UHVHDUFK ZHUH FRQGXFWHG LQ WKH VDPH DUHD &RQVWUXFWHG 9DULDEOHV DQG ,QGH[HV $ PDMRU WDVN RI VRFLDO VFLHQFH UHVHDUFK LV WKH FDWHJRUL]DWLRQ DQG FODVVLILFDWLRQ RI GDWD ZKLFK DUH WR EH DQDO\]HG ,Q RUGHU WR IXOn ILOO WKHVH UHTXLUHPHQWV DQG WR IDFLOLWDWH WKH FRPSUHKHQVLRQ RI WKH SUHVHQWDWLRQ RI UHVXOWV VHYHUDO LQGH[HV DQG VFDOHV KDYH EHHQ FRQn VWUXFWHG 7KHVH FRQVWUXFWV ZHUH EXLOW E\ LQFRUSRUDWLQJ WKH GDWD

PAGE 66

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f 7KH PHDQV FKRVHQ IRU TXDOLI\LQJ WKH LQIOXHQFH RI PDVV PHGLD ZDV TXDQWLILHG E\ GHWHUPLQLQJ WKH DPRXQW RI H[SRVXUH WR VHYHUDO W\SHV RI PHGLD 7KH FRQVWUXFWHG PDVVPHGLDH[SRVXUH LQGH[ 00(,f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

PAGE 67

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n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

PAGE 68

/HYHORILYLQJ VFDOHV DUH FRPPRQO\ XVHG LQ VRFLDO VFLHQFH UHn VHDUFK DV VXUURJDWH YDULDEOHV IRU PHDVXULQJ VRFLRHFRQRPLF VWDWXV ,Q WKH SUHVHQW VWXG\ VXFK D VFDOH ZDV XWLOL]HG DV DQ LQGLFDWRU RI WKH ZHOOEHLQJ RI WKH KRXVHKROGV EHLQJ VWXGLHG 7KH VFDOH XVHG LV SDWn WHUQHG RQ WKDW GHYHORSHG E\ -RKQ & %HOFKHU f 7KLV VFDOH IRFXVHV RQ WKH DFWXDO XWLOL]DWLRQ RI PDWHULDO LWHPV WR VDWLVI\ D KRXVHKROG IXQFWLRQ UDWKHU WKDQ VROHO\ RQ SRVVHVVLRQ 7KH QHHG WR H[WUDFW YDOLG FURVVFXOWXUDO FRPSDULVRQV ZDV RI SDUDPRXQW LPSRUWDQFH LQ VHOHFWLQJ D PRGHO IRU WKH OHYHO RI OLYLQJ VFDOH XVHG 7KH %HOFKHU VFDOH HPERGLHV WKLV FDSDELOLW\ :LWK WKLV PHDVXUH LW LV SRVVLEOH WR FRPSLOH ERWK LQGLYLGXDO DQG FROOHFWLYH VFRUHV ZKLFK FDQ EH VWDWLVn WLFDOO\ FRPSDUHG ZLWK WKRVH RI VWXGLHV RI RWKHU VRFLHWLHV r 7KH OHYHORILYLQJ VFDOH /(9(/f XVHG LQ WKLV VWXG\ LV EDVHG RQ WKH UHVSRQVHV WR IRXUWHHQ TXHVWLRQV VHH $SSHQGL[ $ S f IRU WKH OLVW RI TXHVWLRQV XVHG LQ WKH FRQVWUXFWLRQ RI /(9(/f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

PAGE 69

FDWHJRULHV ZKLFK FRPSULVH /(9(/ DUH GHILQHGn DV IROORZV FDWHJRU\ RQH OHVV WKDQ SRLQWV FDWHJRU\ WZR IURP WR FDWHJRU\ WKUHH IURP WR FDWHJRU\ IRXU IURP WR FDWHJRU\ ILYH IURP WR DQG FDWHJRU\ VL[ RU PRUH SRLQWV (YHQ WKH PRVW FXUVRU\ SHUXVDO RI /(9(/ UHYHDOV DQ REYLRXV ELDV 6HYHUDO RI WKH UHVSRQVHV WR WKH TXHVWLRQV XVHG LQ WKH FRQVWUXFWLRQ RI WKH VFDOH QHFHVVLWDWH WKH XVH RI HOHFWULFDO DSSDUDWXVHV &RQVHTXHQWO\ LQ VRPH LQVWDQFHV QRQXVHUV FRXOG QRW SRVVLEO\ VFRUH DV KLJK RQ /(9(/ DV XVHUV RI HOHFWULFLW\ 7KH OHYHORILYLQJ VFDOH ZDV VXEVHTXHQWO\ PRGLILHG WR HOLPLQDWH WKH EXLOWLQ HOHFWULFDO ELDV %HFDXVH WKH\ KDG UHVSRQVHV ZKLFK QHFHVVLWDWHG WKH XVH RI HOHFWULFDO DSSOLDQFHV WKH IROORZLQJ ILYH TXHVWLRQV ZHUH HOLPLQDWHG LQ WKH FRQVWUXFWLRQ RI D QHZ VFDOH +RZ GR \RX FRQVHUYH SHULVKDEOH IRRG" :KDW GR \RX XVH WR FOHDQ \RXU IORRU" :KDW IDFLOLWLHV GR \RX KDYH IRU ZDVKLQJ FORWKHV" n9KDW V\VWHP RI OLJKWLQJ GR \RX XVH" DQG :KDW IDFLOLWLHV GR \RX KDYH IRU ZDVKLQJ GLVKHV" VHH $SSHQGL[ $ S IRU WKH UHVSRQVHVf 7KH QHZ FRQVWUXFW LV WKH HOHFWULFLW\IUHH OHYHORILYLQJ VFDOH /(9(/n 12(f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

PAGE 70

GHWHUPLQLQJ WKH OHYHO RI WKH UHVSRQGHQWnV VDWLVIDFWLRQ ZLWK KLV OLIHnV VLWXDWLRQ (DFK RI WKH LQGH[HV UHVXOWV IURP TXHVWLRQV DVNLQJ WKH UHVSRQGHQWV WR FRPSDUH WKHLU FXUUHQW VLWXDFLQ VLWXDWLRQf D WHUP ZLGHO\ XVHG DQG XQGHUVWRRG LQ /DWLQ $PHULFD WR UHIHU WR WKH VHW RI FLUFXPVWDQFHV VXUURXQGLQJ RQHnV RZQ FRQGLWLRQ LQ OLIH ZLWK DQRWKHU VLWXDWLRQ )RU WKH H[DFW TXHVWLRQV VHH $SSHQGL[ $ S f (DFK RI WKH TXHVWLRQV FRQWDLQV ILYH /LNHUW W\SH VFDOH FDWHJRULHV &DWHn JRULHV RQH DQG WZR DUH IRU QHJDWLYH UHVSRQVHV ZLWK WKH IRUPHU LQn FOXGLQJ DQVZHUV RI PXFK ZRUVH DQG WKH ODWWHU WKRVH RI ZRUVH &DWHJRU\ WKUHH LV IRU D QHXWUDO UHVSRQVH RI VDPH 7KH ODVW JURXSLQJV FDWHJRULHV IRXU DQG ILYH DUH SRVLWLYH UHVSRQVHV IRU WKRVH LQGLFDWLQJ EHWWHU DQG PXFK EHWWHU UHVSHFWLYHO\ r 7KH SUHVHQW VDW LVIDFWLRQZLWKLIHVLWXDWLRQ LQGH[ 6,7 35(6f LV EDVHG RQ WKH UHVSRQVH WR WKH TXHVWLRQ DVNLQJ WKH UHVSRQGHQW WR FRPSDUH KLV VLWXDWLRQ LQ OLIH ZLWK WKRVH RI KLV QHLJKERUV 7KH LQGH[ LV EDVHG RQ ZKDW LV FRQVLGHUHG D VHOI HYDOXDWLRQ E\ WKH UHVSRQGHQW RI KLV VRFLDO DQG HFRQRPLF VWDWXV YLVDYLV WKDW RI KLV QHLJKERUV 7KH SDVW VDWLVIDFWLRQZLWK L IHVLWXDWLRQ LQGH[ 6,7 3$67f LV EDVHG RQ WKH UHVSRQVHV WR WZR TXHVWLRQV 7KH UHVSRQGHQW ZDV DVNHG WR FRPSDUH KLV VLWXDWLRQ LQ OLIH ZLWK WKDW RI KLV IDWKHU DQG ZLWK KLV RZQ ILYH \HDUV HDUOLHU 6,7 3$67 LV DQ DYHUDJH RI WKH DQVZHUV WR ERWK TXHVWLRQV 7KH LQWHQW XVLQJ 6,7 3$67 LV WR GHWHFW DQ LQGLFDWLRQ RI ERWK VRFLDO DQG HFRQRPLF PRELOLW\ DQG FKDQJLQJ OHYHOV RI FRQWHQWPHQW /LNH 6,7 3$67 WKH IXWXUH VDWLVIDFWLRQZLWKLIHLQGH[ 6,7 )87f LV EDVHG RQ WKH UHVSRQVHV WR WZR TXHVWLRQVr 7KH TXHVWLRQV VSHFLILFDOn O\ FRPSDUH WKH SUHVHQW VLWXDWLRQ LQ OLIH ZLWK ZKDW WKH UHVSRQGHQWV H[SHFW WR KDYH LQ ILYH \HDUV DQG ZLWK ZKDW WKH\ H[SHFW WKH FKLOGUHQ

PAGE 71

RI WRGD\ WR KDYH ZKHQ WKH\ EHFRPH DGXOWV 2QFH DJDLQ WKLV FRQVWUXFW LV EDVHG RQ WKH DYHUDJH RI WKH WZR TXHVWLRQV 7KLV LQGH[ GLIIHUV n ? IURP WKH WZR DOUHDG\ PHQWLRQHG LQ WKDW LW LV EDVHG RQ VSHFXODWLRQ UDWKHU WKDQ RQ FRPSDULVRQV ZLWK SUHVHQW RU SDVW UHDOLWLHV $V VXFK 6,7 )87 LV XQGRXEWHGO\ LQIOXHQFHG E\ VXFK IDFWRUV DV SROLWLFDO VWDELOLW\ PDULWDO UHODWLRQV KHDOWK DQG RSWLPLVP DERXW WKH XQNQRZQ DOO WKLQJV RYHU ZKLFK WKHUH LV QR FRQWURO 7KH WRWDO VDWLVIDFWLRQZLWKLIHVLWXDWLRQ LQGH[ 6,7 727f LV D VWDWLVWLFDO FRPELQDWLRQ RI WKH RWKHU WKUHH LQGH[HV %HFDXVH RI WKH WHQGHQF\ RI WKH QHJDWLYH DQG SRVLWLYH UHVSRQVHV WR FDQFHO HDFK RWKHU RXW LQ WKLV FRQVWUXFW D VWDWLVWLFDO UHJUHVVLRQWRWKHPHDQ DYHUDJH LV EXLOW LQWR LW 1HYHUWKHOHVV EHFDXVH RQHnV VDWLVIDFWLRQ ZLWKOLIH QRUPDOO\ WDNHV LQWR DFFRXQW WKH SUHVHQW SDVW DQG IXWXUH 6,7 727 LV WKH PRVW DFFXUDWH UHSUHVHQWDWLRQ RI WKH DFWXDO FRQWHQWPHQW RI WKH UHVSRQGHQWV $V VXFK 6,7 727 LV XVHG PRUH WKDQ DUH WKH RWKHU WKUHH LQGH[HV LQ WKH DQDO\VHV 6DQ &DUORV LV DQ DJULFXOWXUDO DQG SDVWRUDO DUHD 7R JDLQ DQ XQGHUVWDQGLQJ RI WKH DUHD LW LV QHFHVVDU\ WR YLHZ VRPH RI WKH LQVWLWXn WLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG 2QH RI WKH PRVW LPSRUWDQW RI WKH VRFLRFXOWXUDO V\VWHPV LQFOXGHG LQ WKH FRPSOH[ PDQ ODQG UHODWLRQV LV WKDW RI WKH VL]H RI ODQGKROGLQJV 7KH VL]H RI ODQGKROGLQJV RU VL]H RI IDUPV DQG IDUP LNH HQWLWLHV UHIHUV WR WKH DUHD RI WKH ODQGV XVHG SULPDULO\ IRU SDVWRUDO RU DJULFXOWXUDO DFWLYLn WLHV ZKLFK DUH KHOG DV GHILQDEOH XQLWV XQGHU YDULRXV IRUPV RI RZQHUn VKLS 7KH EDVLF XQLWV VWXGLHG DUH WKH I"QFD ZKLFK PD\ EH WUDQVODWHG DV IDUP DQG WKH VXEIDUP 7KH ODWWHU LV D IDUPOLNH XQLW ZKLFK LV QRW VXIILFLHQWO\ ODUJH WR EH LQFOXGHG LQ D IDUP FDWHJRU\

PAGE 72

7KH DJULFXOWXUDOSDVWRUDO XQLWV HQXPHUDWHG LQ WKH VXUYH\ UHVHDUFK UDQJHG LQ VL]H IURP OHVV WKDQ RQHKDOI PDQ]DQD WR PDQ]DQDV ,Q RUGHU WR PHDQLQJIXOO\ H[DPLQH WKH UHODWLRQVKLSV EHWZHHQ VL]H RI IDUP DQG RWKHU FKDUDFWHULVWLFV LW ZDV QHFHVVDU\ WR JURXS WKHVH XQLWV LQWR D PDQDJHDEOH QXPEHU RI FDWHJRULHV 7KH &RVWD 5LFDQ &HQVR $JURSHFXDULR &HQVXV RI $JULFXOWXUHf OLVWV WZHQW\WKUHH VL]HRI ODQGKROGLQJ FDWHJRULHV 'LUHFFLQ *HQHUDO GH (VWDGVWLFD \ &HQVRV f )ROORZLQJ WKH ZRUN RI 6PLWK D DQG Df DQG 8SKDP f WKHVH ZHUH FRQGHQVHG LQWR ILYH FDWHJRULHV )DUPOLNH XQLWV RI OHVV WKDQ WZR PDQ]DQDV DUH LQFOXGHG LQ WKH ILUVW FDWHJRU\G 7KH VHFRQG WKURXJK IRXUWK FODVVHV FRQWDLQ UHVSHFWLYHO\ KROGLQJV RI DW OHDVW WZR EXW OHVV WKDQ WHQ PDQ]DQDV DW OHDVW WHQ EXW OHVV WKDQ r ILIW\ PDQ]DQDV DQG DW OHDVW ILIW\ EXW OHVV WKDQ PDQ]DQDV 7KH ODVW FDWHJRU\ FRQWDLQV DOO KROGLQJV KDYH RU PRUH PDQ]DQDV 7ZR SHFXOLDULWLHV RI WKLV V\VWHP RI FODVVLILFDWLRQ VKRXOG EH QRWHG 7KH OLPLWV RI WKH VPDOOHVW DQG ODUJHVW HQWLWLHV DUH UHIOHFn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

PAGE 73

FXDUOR &RVWD 5LFD 'LUHFFLQ *HQHUDO GH (VWDGVWLFD \ &HQVRV f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

PAGE 74

$ $JULFXOWXUDO &RIIHH 6XJDU &DQH %DQDQDV DQG 2WKHU 3ODQWDLQV )LHOG &URSV 5RRW &URSV 0L[HG &RIIHH DQG 6XJDU &DQH 0L[HG &RIIHH DQG 3ODQWDLQV % 3DVWRUDO ‘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

PAGE 75

7ZR GHPRJUDSKLF SKHQRPHQD PXVW EH WDNHQ LQWR FRQVLGHUDWLRQ ZKHQ GLVFXVVLQJ WKH GLVWULEXWLRQ RI WKH LQKDELWDQWV RI &RVWD 5LFD 7KH FRXQWU\ KDV D KHDUWODQG WKH 0HVHWD &HQWUDO FHQWUDO SODWHDXf ZKLFK KDV WUDGLWLRQDOO\ EHHQ WKH VLWH RI WKH FRQFHQWUDWLRQ RI WKH PDMRULW\ RI WKH FLWL]HQV 6HFRQGO\ &RVWD 5LFD LV D ODQG RI XUEDQ FHQWHUV PRVW RI ZKLFK DUH ORFDWHG LQ WKH 0HVHWD &HQWUDO LQ FORVH SUR[LPLW\ WR WKH QDWLRQn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f $QRWKHU GLVWULWR LQ 6DQ &DUORV H[FHSW IRU &LXGDG 4XH V D GD &LXGDG 4XHVDGD 6DQ -RV $ODMXHOD +HUHGLD DQG &DUWDJR DOO XUEDQ FHQWHUVf /RFDWLRQV LQ WKH 9DOOH ,QWHUPRQWDQR ,QWHUPRXQWDLQ 9DOOH\ WKH FHQVXV WHUP IRU 0HVHWD &HQWUDOf RWKHU WKDQ 6DQ -RV $ODMXHOD +HUHGLD DQG &DUWDJR 1RQ9DOOH ,QWHUPRQWDQR RWKHU WKDQ 6DQ &DUORV )RUHLJQ ,W VKRXOG EH QRWHG WKDW WKLV SODQ ZRXOG KDYH WR EH UHYLVHG WR EH DSSOLFDEOH IRU VWXGLHV FRQGXFWHG HOVHZKHUH LQ &RVWD 5LFD

PAGE 76

,Q DGGLWLRQ WR WKH FRQVWUXFWHG YDULDEOHV DQG LQGH[HV DOUHDG\ SUHVHQWHG YDULRXV RWKHU W\SHV RI GDWD DUH JURXSHG DQG FDWHJRUL]HG n ? LQ WKH DQDO\VHV ZKLFK IROORZ ,QFOXGHG LQ WKHVH GDWD DUH WKRVH SHUn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f§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n WXUHG GDWD KDG WR EH DJJUHJDWHG LQWR D IL[HG QXPEHU RI FDWHJRULHV WR EH PDQLSXODWHG 7KH GDWD ZHUH FRGHG DQG WUDQVIHUUHG WR FRPSXWHU FDUGV )RXU FDUGV ZHUH XVHG IRU HDFK UHVSRQGHQW LQ WKH PDLQ GHFN RQH WR VL[

PAGE 77

FDUGV GHSHQGLQJ RQ WKH QXPEHU RI PHPEHUV RI WKH KRXVHKROG ZHUH XVHG IRU HDFK FDVH LQ WKH IDPLO\ KLVWRU\ GHFN 0RVW RI WKH FRPSXWHU DQDO\VLV XWLOL]HG WKH 6WDWLVWLFDO 3DFNDJH IRU WKH 6RFLDO 6FLHQFHV 6366f 7KH ZRUN ZDV FRQGXFWHG SULPDULO\ L E\ 2OHK :RORZ\QD DSSOLFDWLRQV SURJUDPPHU IRU WKH UXUDO HOHFWULILFDn WLRQ SURMHFW ,Q DGGLWLRQ WR UHO\LQJ RQ WKH 6366 &URVVWDEV DQG )DVWDEV SURJUDPV IUHTXHQF\ GLVWULEXWLRQV DQG LQGH[ FRQVWUXFWLRQ ZHUH SURYLGHG WKURXJK WKH SURFHVV RI FRPSXWHU DQDO\VLV ,Q PDQ\ LQVWDQFHV WKH FRPSXWHU ZDV XVHG WR DJJUHJDWH WKH GDWD VR WKDW WKH\ FRXOG EH PRUH HDVLO\ H[DPLQHG $OWKRXJK WKH FRPSXWHU ZDV XVHG H[WHQVLYHO\ WKH ILQDO SUHVHQWDn WLRQ UHOLHV PRUH RQ WKH WULHG DQG WHVWHG WHFKQLTXHV RI FURVVn WDEXODWLRQV DQG FRPSXWDWLRQ RI SHUFHQWDJHV WKDQ RQ RWKHU W\SHV RI DQDO\VLV 7KH UHVXOWV RI PXFK RI WKH DQDO\VLV DUH SUHVHQWHG JUDSKLn FDOO\ DQG LQ WDEXODU IRUP 7KLV LW LV IHOW IDFLOLWDWHV OXFLG SUHVHQWDWLRQ ZKLOH HQDEOLQJ WKH UHDGHU WR EH H[SRVHG WR WKH GDWD

PAGE 78

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n WLRQ RU QRQDGRSWLRQ RI HOHFWULFLW\

PAGE 79

'HPRJUDSKLF &KDUDFWHULVWLFV $ WRWDO RI KRXVHKROGV DUH LQFOXGHG LQ WKH VXUYH\ UHVHDUFK SRUWLRQ RI WKH VWXG\ LQ &RVWD 5LFD )RU RXU SXUSRVHV D KRXVHKROG LV GHILQHG DV LQFOXGLQJ DOO SHUVRQV OLYLQJ WRJHWKHU LQ RQH GZHOOLQJ UHJDUGOHVV RI EORRG RU PDULWDO UHODWLRQVKLSV ,W LV D PRGLILHG SD UHQn WH D IDPLO\ V\VWHPn ,Q DGGLWLRQ WR GDWD IRU WKRVH DFWXDOO\ UHVLGLQJ LQ WKH KRXVHV ZKHUH LQWHUYLHZV ZHUH FRQGXFWHG GDWD ZHUH DOVR FROn OHFWHG IRU WKH FKLOGUHQ RI WKH KHDG RI WKH KRXVHKROG ZKR OLYHG HOVHn ZKHUH DQG IRU GHDG FKLOGUHQ 7KH WRWDO UHVHDUFK SRSXODWLRQ QXPEHUV SHRSOH LQFOXGLQJ GHn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n )RU IXUWKHU FRPPHQWDU\ RQ WKH FRQFHSW RI WKH SDUHQWHOD VHH &KDUOHV :DJOH\ f DQG 7 /\QQ 6PLWKnV FRQFLVH DQDO\VLV RI :DJOH\nV ZRUN Df

PAGE 80

KHDGV RI KRXVHKROGV 7KH UHVHDUFK LQVWUXPHQW ZDV GHVLJQHG WR DJJUHJDWH GDWD FRUUHVSRQGLQJ WR WKH KHDGV RI WKH KRXVHKROGV &RQVHTXHQWO\ PRVW RI WKH GLVFXVVLRQ LQ WKLV GLVVHUWDWLRQ GHDOV ZLWK WKHP )LQDOO\ ZKHQ SRVVLEOH UHOHYDQW FKDUDFWHULVWLFV RI ERWK WKH WRWDO SRSXODWLRQ DQG WKH KHDGV RI IDPLOLHV ZHUH VRUWHG E\ WKH HOHFWULFXVH FDWHJRULHV ,Q VRPH LQVWDQFHV WKHUH DUH VLJQLILFDQW GLIIHUHQFHV EHWZHHQ WKRVH ZKR XVH HOHFWULFLW\ VXSSOLHG E\ &223(/(6&$ 86(56f WKRVH ZKR KDYH FKRVHQ QRW WR XVH HOHFWULFLW\ 121$'237(56f DQG WKRVH ZKR ODFN DFFHVV WR WKLV VRXUFH RI HQHUJ\ ,1$&&(66 ,%/(6f ,Q FHUWDLQ RI WKH WDEXODWLRQV WKH QXPEHU RI UHVSRQGHQWV YDULHV EHFDXVH RI LQFRPSOHWH DQVZHUV RU WKH HOLPLQDWLRQ RI IDXOW\ GDWD $JH DQG 6H[ 2QH RI WKH PRVW YDOXDEOH PHWKRGV IRU H[DPLQLQJ WKH DJH RI D SRSXODWLRQ LV WR VXEGLYLGH LW LQWR PDMRU DJH FDWHJRULHV XQGHU \HDUV EHWZHHQ DQG \HDUV DQG \HDUV RI DJH DQG ROGHU 7 /\QQ 6PLWK SURYLGHG WKH UDWLRQDOH IRU FODVVLI\LQJ D SRSXODWLRQ LQ WKLV PDQQHU ZKHQ KH VWDWHG 7KH GHFLVLRQ WR HPSOR\ WKHVH WKUHH SDUWLFXODU FDWHn JRULHV ZDV LQIOXHQFHG E\ WKH IROORZLQJ FRQVLGHUDWLRQV f FHUWDLQO\ FKLOGUHQ VKRXOG EH VHSDUDWHG IURP DGXOWV DQG DJH ILIWHHQ LV WKH PRVW SUDFWLFDEOH SRLQW DW ZKLFK WR GUDZ WKH OLQH EHWZHQ WKH WZR f LQ PDQ\ FRXQWULHV LQFOXGLQJ WKH 8QLWHG 6WDWHV VL[W\ILYH LV WKH DJH UDWKHU JHQHUDOO\ HPSOR\HG DV WKH ORZHU OLPLW RI HOLn JLELOLW\ IRU VRFLDO ZHOIDUH VHUYLFHV VXFK DV nROG DVVLVWDQFH WKDW HVWDEOLVKHG IRU WKH EHJLQQLQJ RI YROXQWDU\ RU FRPSXOVRU\ UHWLUHPHQW DQG WKDW JHQHUn DOO\ XVHG IRU VWDWLVWLFDO SXUSRVHV WR VHSDUDWH WKH nDJHGn SRUWLRQ RI WKH SRSXODWLRQ IURP WKH RWKHU DQG f LI WKHVH WZR FULWHULD DUH HPSOR\HG WKH SHUVRQV LQ EHWZHHQ WKH VWDWHG OLPLWV DXWRPDWLFDOO\ FRQVWLWXWH D WKLUG FDWHJRU\ Df 1HDUO\ RQHKDOI SHUFHQW RI WKH UHVLGHQW SRSXODWLRQ LV XQGHU

PAGE 81

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f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n FUHDVHV 7KLV LV WKH UHVXOW SDUWLDOO\ RI KLJK ELUWK UDWHV LQ WKH SDVW DQG DOVR RI KLJK GHDWK UDWHV

PAGE 82

)LJXUH $JH6H[ 3\UDPLG IRU WKH 3RSXODWLRQ 6WXGLHG ,Q 6DQ &DUORV $JH UDQ , , , , 3HUFHQW 0DOH @ @ , , , 3HUFHQW )HPDOH

PAGE 83

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f DPRQJ \RXQJHVW PHPEHUV RI WKH SRSXODWLRQ 7KH KLJK VH[ UDWLRV RI WKH ROGHU DJH JURXSV ZKLFK PLJKW KDYH EHHQ LQIOXHQFHG E\ WKH VPDOO QXPEHU RI FDVHV LQ WKHP DUH PRVW SUREDEO\ WKH UHVXOW RI PLJUDWLRQ LQWR WKH DUHD 7KHVH ROGHU SHRSOH DUH JHQHUDOO\ KHDGV RI KRXVHKROGV 0DQ\ RI WKHP ZHUH VLQJOH ZKHQ WKH\ PRYHG WR WKH DUHD ZKHQ LW ZDV RULJLQDOO\ EHLQJ VHWWOHG 7KH FRQVHTXHQFH RI WKLV SKHQRPHn QRQ LV VWLOO UHIOHFWHG E\ WKH KLJK VH[ UDWLR 7KH UDWLRV IRU DJHV WR DUH RI LQWHUHVW ,Q WKH DQG DJH JURXSV IHPDOHV DUH XQGHUUHSUHVHQWHG 7KLV SUREDEO\ LV SDUWO\ EHFDXVH RI JUHDWHU RXWPLJUDWLRQ RI PDOHV WKDQ RI IHPDOHV DQG SDUWO\ GXH WR LQFRUUHFW DJH UHSRUWLQJ )RU LQVWDQFH LW DSSHDUV WKDW ZRPHQ PLJKW KDYH EHHQ UHSRUWHG DV EHLQJ ZKLOH PHQ PLJKW KDYH EHHQ UHSRUWHG DV EHLQJ 7KH YDULDWLRQV EHWZHHQ WKH DJH JURXSV RI WR DQG WR PLJKW EH WKH UHVXOW RI

PAGE 84

)LJXUH 6H[ 5DWLR 6H[ 5DWLRV E\ $JH *URXSV RI 7KRVH /LYLQJ ,Q +RXVHKROGV ,Q WKH 3RSXODWLRQ 6WXGLHG ,Q 6DQ &DUORV 8QGHU RYHU $JH ,Q \HDUVf

PAGE 85

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f ZDV FURVVWDEXODWHG ZLWK WKH HOHFWULFXVH FKDUDFWHULVWLF 7DEOH f 1R LPSRUWDQW GLIn IHUHQFHV ZHUH UHYHDOHG )XUWKHU DQDO\VLV ZDV SHUIRUPHG E\ FDOFXODWLQJ WKH PHGLDQ DJH RI WKRVH LQ WKH WKUHH FDWHJRULHV 7DEOH f 7KH 86(56 DV D JURXS DUH VOLJKWO\ \RXQJHU WKDQ WKH ,1$&&(66 ,%/(6 7KH 121n $'237(56 FRQVWLWXWH WKH ROGHVW JURXSLQJ 7KH GDWD JLYH VRPH LQGLFDn WLRQ WKDW WKH \RXQJHU KHDGV RI KRXVHKROGV DUH PRUH OLNHO\ WR EHFRPH XVHUV RI HOHFWULFLW\ WKDQ DUH WKHLU ROGHU QHLJKERUV +RZHYHU EHFDXVH RI WKH VOLJKW YDULDWLRQ IRXQG LQDFFXUDF\ LQ DJH UHSRUWLQJ DQG WKH PLVVLQJ FDVHV QR JUHDW LPSRUWDQFH VKRXOG EH DWWDFKHG WR WKHVH ILQGLQJV (GXFDWLRQ 0DMRU DGYDQFHV KDYH EHHQ PDGH LQ &RVWD 5LFD LQ SURYLGLQJ D SULPDU\ HGXFDWLRQ WR DOO VHJPHQWV RI WKH SRSXODWLRQ 7KH UHVXOWV RI JRYHUQn PHQWDO SROLFLHV GHVLJQHG WR PDNH VFKRROLQJ DYDLODEOH DUH FOHDUO\ VHHQ LQ WKH 6DQ &DUORV DUHD :LWKRXW H[FHSWLRQ HYHU\ UXUDO QHLJKERUKRRG

PAGE 86

7DEOH $ &RPSDULVRQ RI WKH $JH 'LVWULEXWLRQV RI +HDGV RI +RXVHKROGV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHVr (OHFWULF8VH &DWHJRULHV 8QGHU f f $JH LQ
PAGE 87

LQ WKH DUHD KDV D VFKRRO ZLWK DW OHDVW RQH WHDFKHU IRU JUDGHV RQH WKURXJK VL[ ,Q &LXGDG 4XHVDGD WKHUH ZHUH WKUHH VHFRQGDU\ VFKRROV DQG LQ 6DQWD &ODUD WKHUH LV DQ DJULFXOWXUDOYRFDWLRQD KLJK VFKRRO 'DWD RQ WKH ODVW \HDU RI VFKRRO FRPSOHWHG ZHUH FROOHFWHG IRU PHPEHUV RI WKH UHVHDUFK SRSXODWLRQ 2I WKHVH UHSRUWHG WKDW WKH\ KDG KDG QR IRUPDO VFKRROLQJ $QRWKHU ZHUH FKLOGUHQ RI SUHn VFKRRO DJH 7KXV OHVV WKDQ RQHILIWK SHUFHQW RI WKH SRSXODWLRQ RYHU \HDUV RI DJH ZDV UHSRUWHG DV KDYLQJ QR VFKRROLQJ DQG SHUFHQW DV EHLQJ WRR \RXQJ WR HQWHU VFKRRO 2I WKRVH ZKR KDG UHFHLYHG VRPH IRUPDO HGXFDWLRQ RQO\ SHUFHQW KDYH KDG PRUH WKDQ SULPDU\ VFKRROLQJ /HVV WKDQ RQH SHUFHQW f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n FOXGH PDQ\ DGXOWV ZKR KDYH FRPSOHWHG WKHLU HGXFDWLRQ ,QIRUPDWLRQ RQ WKH HGXFDWLRQDO DWWDLQPHQW RI WKH KHDGV RI KRXVHn KROGV LV SUHVHQWHG LQ 7DEOH 7KRVH ZKR UHSRUWHG KDYLQJ KDG QR IRUPDO VFKRROLQJ DUH JURXSHG ZLWK WKRVH ZKR JDYH QR LQIRUPDWLRQ RQ WKLV VXEMHFW $QDO\VLV UHYHDOHG WKDW PRVW RI WKRVH ZKR GLG QRW UHVSRQG WR

PAGE 88

7DEOH $ &RPSDULVRQ RI WKH 'LVWULEXWLRQ RI (GXFDWLRQ RI +HDGV RI +RXVHKROGV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV
PAGE 89

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n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

PAGE 90

RI WKH PHGLDQV DOVR UHYHDOV WKDW 86(56 DUH EHWWHU HGXFDWHG WKDQ DUH WKH ,1$&&(66 ,%/(6 ZKR LQ WXUQ DUH EHWWHU HGXFDWHG WKDQ DUH WKH 121n $'237(56 ,W FDQ EH VWDWHG WKHQ WKDW LQ WKLV UHVHDUFK SRSXODWLRQ WKHUH LV D SRVLWLYH DVVRFLDWLRQ EHWZHHQ XVH RI HOHFWULFLW\ DQG HGXFDWLRQDO DWWDLQPHQW 7KH HGXFDWLRQ RI WKH KHDGV RI KRXVHKROGV LV YLHZHG DV LQGHSHQGHQW LQ WKLV UHODWLRQVKLS 7KDW LV WR VD\ LW DSSHDUV WKDW KLJKHU HGXFDWLRQ UHVXOWV LQ LQFUHDVHG SURSHQVLW\ WR DGRSW WKH XVH RI HOHFWULFLW\ 2FFXSDWLRQ 7KH SRUWLRQ RI 6DQ &DUORV VWXGLHG LV D UXUDO DJULFXOWXUDO DQG VWRFN UDLVLQJ DUHD 7KLV LV GUDPDWLFDOO\ VKRZQ LQ WKH RFFXSDWLRQV RI WKH KHDGV RI KRXVHKROGV 0RUH WKDQ WKUHHTXDUWHUV RI WKHP SHUFHQW DUH HLWKHU IDUP ODERUHUV IDUP RSHUDWRUV RU IDUP DGPLQLVWUDWRUV DV VKRZQ LQ 7DEOH 7HDFKHUV PHUFKDQWV DQG WKH XQHPSOR\HG FRPSULVH SHUFHQW RI WKH WRWDO SRSXODWLRQ 7KH UHPDLQLQJ LQGLYLGXDOV RU SHUFHQW DUH HQJDJHG LQ GLIIHUHQW W\SHV RI HPSOR\PHQW UDQJLQJ IURP D JXDUG LQ D VFKRRO WR WKH PDQDJHU RI DQ DJULFXOWXUDO SURGXFWLRQ PDUNHWLQJ FRRSHUDWLYH DQG DUH SODFHG LQ D VLQJOH UHVLGXDO FDWHJRU\ 7KH UHODWLRQVKLSV EHWZHHQ RFFXSDWLRQV RI WKH KHDGV RI KRXVHKROGV DQG WKH XVH RU QRQXVH RI HOHFWULFLW\ DUH UHYHDOHG E\ WKH GDWD SUHn VHQWHG LQ 7DEOH 7KHUH LV D SRVLWLYH DVVRFLDWLRQ EHWZHHQ WKH XVH RI HOHFWULFLW\ DQG IDUPRSHUDWRU VWDWXV DQG D QHJDWLYH DVVRFLDWLRQ EHWZHHQ HOHFWULFLW\ XVH DQG IDUPODERUHU VWDWXV ZKHQ FRPSDULQJ 86(56 DQG 121$'237(56 7KHUH LV DOPRVW QR GLVSDULW\ LQ WKH UHODWLYH LP

PAGE 91

7DEOH $ &RPSDULVRQ RI WKH 2FFXSDWLRQV RI +HDGV RI +RXVHKROGV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV 2FFXSDWLRQDO &DWHJRULHV ‘Q fL Q (OHFWULF8VH &DWHJRULHV )DUP /DERUHUV DUP 2SHUDWRUV 4/ W! UW 4! UW 2 f 7HDFKHUV 0HUFKDQWV 8QHPSOR\HG 2WKHU 7RWDO 86(56 3HUFHQW 1XPEHU f f f f f f f f ,1$&&(66,%/(6 3HUFHQW 1XPEHU f f f f f f f f 121$'237(56 3HUFHQW RR 1XPEHU f f f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f f f RR

PAGE 92

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n PHQWV UDQJLQJ LQ VL]H IURP WKH VPDOO SXOSHUID FRQYHQLHQFH VWRUHf WR WKH DOPDFQ JHQHUDO VWRUHf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nVHOO EHWWHU WKDQ WKRVH WKDW DUH DW URRP WHPSHUDWXUH 1H[W PRVW OLNHO\ WR KDYH HOHFWULFLW\ DUH IDUP RSHUDWRUV IROORZHG E\ IDUP ODERUHUV DQG ODVWO\ FRPH WKH XQHP

PAGE 93

SOR\HG 6HH 7DEOH f 7DEOH 3HUFHQWDJHV RI 8VHUV RI (OHFWULFLW\ E\ 2FFXSDWLRQDO &DWHJRULHVn 2FFXSDWLRQ 3HUFHQW $GRSWLQJ (OHFWULFLW\ 7HDFKHUV 0HUFKDQWV )DUP 2SHUDWRUV )DUP /DERUHUV 8QHPSOR\HG %DVHG RQ GDWD LQ 7DEOH IRU 86(56 DQG 121$'237(56 ,W LV HYLGHQW WKHUHIRUH WKDW WKH XVH RI HOHFWULFLW\ LV FORVHO\ UHODWHG WR RFFXSDWLRQ ,Q JHQHUDO WKH KLJKHU WKH RFFXSDWLRQDO VWDWXV WKH JUHDWHU WKH DGRSWLRQ UDWH IRU HOHFWULFLW\ $OVR WKH JUHDWHU WKH XWLOLW\ RI HOHFWULFLW\ IRU WKH DFKLHYHPHQW RI RFFXSDWLRQDO SXUn SRVHV WKH JUHDWHU WKH DGRSWLRQ UDWH 6L]H RI +RXVHKROGV $ WRWDO RI SHUVRQV OLYH LQ WKH KRXVHKROGV HQXPHUDWHG 7KH QRUPDO IDPLO\ FRQVLVWV RI D PDUULHG FRXSOH DQG WKHLU RIIVSULQJ ,Q DGGLWLRQ KRZHYHU WKHUH DUH PDQ\ LQVWDQFHV RI WKUHHJHQHUDWLRQ IDPLOLHV 1RW LQIUHTXHQWO\ EORRG UHODWcYHVn VXFK DV EURWKHUV RU VLVWHUV XQFOHV RU DXQWV DQG QHSKHZV DQG QLHFHV RI HLWKHU WKH KHDG RI WKH KRXVHKROG RU KLV VSRXVH DOVR OLYH LQ WKH KRXVHKROG ,Q VRPH FDVHV

PAGE 94

XQUHODWHG IDUP ODERUHUV VHUYDQWV RU IULHQGV DOVR UHVLGH LQ WKH KRXVHn KROG %HFDXVH RI WKH WHQGHQF\ WR KDYH D ZLGH UDQJH RI UHODWLYHV DQG ? XQUHODWHG SHUVRQV OLYLQJ WRJHWKHUn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n XVHUV RI HOHFWULFLW\ 2I WKH QRQXVHUV WKH 121$'237(56 KDYH RQ DQ DYHUDJH WKH ODUJHU IDPLOLHV OLYLQJ LQ RQH GZHOOLQJ 7KH GLIIHUHQFHV KRZHYHU EHWZHHQ WKH PHDQV RI WKHVH JURXSV SUREDEO\ DUH RI OLWWOH RU QRf V L JQ L ILFDQHH

PAGE 95

7DEOH 6L]H RI +RXVHKROGV E\ )UHTXHQF\ RI DQG 1XPEHU RI 3HRSOH 2FFXUUHQFH 1XPEHU RI 3HUVRQV &XPXODW cYH 6L]H RI +RXVHKROG +RXVHKROGV 1XPEHU 3HUFHQW 3HUFHQW 22 f &2 727$/

PAGE 96

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n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

PAGE 97

WKH H[WHQW WR ZKLFK SRSXODWLRQ SUHVVXUH LQ WKH 0HVHWD &HQWUDO LV UHOLHYHG E\ SHRSOH PRYLQJ IURP WKHUH WR 6DQ &DUORV DQG WKH LPSRUWDQFH RI PLJUDn WLRQ LQWR WKH DUHD LQ JHQHUDO $GGLWLRQDO HPSKDVLV LV SODFHG RQ UXUDO XUEDQ PLJUDWLRQ GLIIHUHQWLDOV ,I PLJUDQWV DUH GHILQHG DV SHUVRQV ERUQ RXWVLGH RI 6DQ &DUORV SHUFHQW RI WKH UHVSRQGHQWV DUH VR FODVVLILHG 7DEOH f 7KH\ ZHUH ERUQ LQ QHDUO\ HTXDO QXPEHUV LQ WKH 0HVHWD &HQWUDO GHILQHG KHUH DV WKH DUHDV GHVLJQDWHG DV EHLQJ 9DOOH ,QWHUPRQWDQR >LQWHUn PRXQWDLQ YDOOH\A LQ WKH &RVWD 5LFDQ FHQVXVf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n} ,1$&&(66 ,%/(6 DQG 121$'237(56 6LQFH WKH 86(56 DUH PRUH OLNHO\ WR EH ODQGKROGHUV DQG SHUKDSV RZQHUV RI LQKHULWHG ODQG DQG WKH 121$'237(56 PRUH OLNHO\ WR EH IDUP ODERUHUV WKH GLIIHUHQFHV DSSHDU WR EH UHODWHG WR RFFXSDWLRQDO VWDWXV ,I RQ WKH RWKHU KDQG PLJUDQWV DUH GHILQHG DV SHUVRQV ERUQ LQ D GLVWULFW GLIIHUHQW IURP WKDW LQ ZKLFK WKH\ UHVLGH WKHQ SHUFHQW

PAGE 98

7DEOH $ &RPSDULVRQ RI WKH 3ODFH RI %LUWK RI +HDGV RI +RXVHKROGV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV (OHFWULF8VH &DWHJRULHV 6DQ &DUORV 3ODFH RI %LUWK 0HWUR SROLWDQ 6DQ -RVf 0HVHWD &HQWUDO 727$/ 6DPH 'L VWULFWf &LXGDG 4XHVDGD 2WKHUf 2WKHUf 2WKHU &RVWD 5LFD 86(56 3HUFHQW 1XPEH U f f f f f f f ,1$&&(66 ,%/(6 3HUFHQW 1XPEHU f f f f f f f f 121$'237(56 3HUFHQW 1XPEHU f f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f f RR YQ

PAGE 99

RI WKH SRSXODWLRQ LV FODVVHG DV EHLQJ PLJUDQWV LQWR WKH UHJLRQ $JDLQ WKH SURSRUWLRQV RI PLJUDQWV YDU\ EXW OLWWOH DPRQJ HOHFWULF XVH FDWHn JRULHV SHUFHQW RI 86(56 DUH PLJUDQWV DQG WKH FRUUHVSRQGLQJ ILn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f 7KH VDPH YDULDWLRQ EHWZHHQ WKH 86(56 DQG ERWK RI WKH JURXSV RI QRQXVHUV RI HOHFWULFLW\ ZKLFK ZDV QRWHG ZKHQ GLVFXVVLQJ SODFH RI ELUWK SHUVLVWV ZLWK UHJDUG WR WKRVH ZKR KDYH PRYHG WR WKHLU SUHVHQW ORFDWLRQ IURP HOVHZKHUH LQ 6DQ &DUORV 2QFH DJDLQ WKH ,1$&&(66 ,%/(6 KDYH EHHQ LQIOXHQFHG E\ WKRVH ZKR DSSDUHQWO\ KDYH PRYHG LQWR WKH DUHD IURP 6DQ 5DPQ ,I PLJUDQWV DUH GHILQHG DV SHUVRQV ZKRVH SUHYLRXV SODFH RI UHVLGHQFH ZDV LQ D GLIIHUHQW GLVWULFW WKHQ SHUFHQW RI WKH SRSXODn WLRQ LV FODVVHG DV PLJUDQW 2QFH DJDLQ WKHUH DUH EXW VPDOO GLIIHUHQFHV LQ WKLV SHUFHQWDJH DPRQJ WKRVH LQ WKH WKUHH FDWHJRULHV RI WKH HOHFWULF XVH FKDUDFWHULVWLF )RUW\RQH SHUFHQW RI 86(56 SHUFHQW RI ,1$&&(66 ,%/(6 DQG SHUFHQW RI 121$'237(56 DUH FODVVLILHG DV PLn JUDQWV $SSUR[LPDWHO\ HTXDO SHUFHQWDJHV RI HDFK RI WKH FDWHJRULHV KDG WKHLU SUHYLRXV SODFH RI UHVLGHQFH RXWVLGH RI 6DQ &DUORV 2YHU RQHKDOI SHUFHQW RI WKH UHVSRQGHQWV ZHUH OLIHWLPH UHVLGHQWV RI WKH GLVWULFW LQ ZKLFK WKH\ ZHUH HQXPHUDWHG RU KDG WKHLU

PAGE 100

7DEOH $ &RPSDULVRQ RI WKH 3UHYLRXV 3ODFH RI 5HVLGHQFH RI +HDGV RI +RXVHKROGV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV (OHFWULF8VH &DWHJRULHV L L L L L L L L L L L L L L L L L L L L L 6DQ &DUORV 3UHYLRXV 3ODFH RI 5HVLGHQFH 0HVHWD &HQWUDO 2WKHU &RVWD 5LFD DQG )RUH L JQ 727$/ 6DPH 'LVWULFWf &LXGDG 4XHVDGDf 2WKHUf 0HW URn SR L WDQ 6DQ -RVf 2WKHUf 86(56 3HUFHQW 1XPEHU f f f f f f f ,1$&&(66,%/(6 3HUFHQW 1XPEHU f f f f f f f 121$'237(56 3HUFHQW 1XPEHU f f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f f RR

PAGE 101

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n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

PAGE 102

WLRQ 7DEOH f 7ZR SKHQRPHQD DUH LPPHGLDWHO\ DSSDUHQW D VXEVWDQWLDO 7DEOH /HQJWK RI 5HVLGHQFH LQ 3UHVHQW +RXVH 1XPEHU RI
PAGE 103

7DEOH $ &RPSDULVRQ RI WKH /HQJWK RI 5HVLGHQFH LQ WKH 3UHVHQW +RXVH RI +HDGV RI +RXVHKROGV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV /HQJWK RI 5HVLGHQFH LQ 3UHVHQW +RXVH LQ
PAGE 104

KDYH OLYHG LQ WKH DUHD IRU PRUH WKDQ D GHFDGH WKDQ LV WKH FDVH ZLWK WKH DJJUHJDWHG SRSXODWLRQ 7KH 121$'237(56 DFFHQWXDWH WKH GLVWULEXWLRQ RI WKH WRWDO SRSXODn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

PAGE 105

VKLS EHWZHHQ XVH RI HOHFWULFLW\ DQG PLJUDWLRQ DV GHILQHG E\ SODFH RI ELUWK RU E\ SODFH RI SUHYLRXV UHVLGHQFH 5HVLGHQWLDO VWDELOLW\ KRZHYHU LV VRPHZKDW JUHDWHU DPRQJ 86(56 WKDQ DPRQJ WKH QRQXVHUV 6LQFH WKH PLJUDWLRQ GDWD XVHG KHUH DUH LQGHSHQGHQW LQ WKHLU UHODWLRQn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f 6FDOHV VXFK DV 6HZHOOnV KDYH EHHQ IRXQG XVHIXO IRU WKH PHDVXUHPHQW RI GLIIHUHQFHV LQ WKH OHYHO RI FRQVXPSWLRQ RI JRRGV DQG VHUYLFHV 7KH SULPDU\ DGYDQWDJH RI WKLV WHFKQLTXH LV WKDW LW LQFRUSRUDWHV YDOLG GDWD ZKLFK FDQ HDVLO\ EH JDWKHUHG LQ VXUYH\V +RZHYHU XQWLO UHFHQWO\ OHYHORILYLQJ VFDOHV ZHUH ERWK WLPH ERXQG DQG FXOWXUHERXQG LQ WKDW WKH\ ZHUH PDLQO\ EDVHG RQ WKH SRVVHVn VLRQ RI FRQVXPHU JRRGV 7KXV IRU H[DPSOH ZKHUHDV RZQHUVKLS RI D UDn GLR LQ LQ WKH 8QLWHG 6WDWHV KDG GLVFULPLQDWRU\ YDOXH FXUUHQWO\ VLQFH RZQHUVKLS RI WKLV LWHP LV DOPRVW XQLYHUVDO LW QR ORQJHU GRHV /LNHZLVH UDGLR RZQHUVKLS ZRXOG EH LQDSSURSULDWH WR XVH LQ D OHYHORI LYLQJ VFDOH FRPSDULQJ IRU LQVWDQFH 2NODKRPD IDUP IDPLOLHV ZLWK

PAGE 106

$PLVK IDPLOLHV EHFDXVH RI WKH SURKLELWLRQ DPRQJ WKH ODWWHU IRU UHOLn JLRXV UHDVRQV RI SRVVHVVLRQ RI WKH LWHP /HYHORILYLQJ VFDOHV KDYH JHQHUDOO\ EHHQ EDVHG RQ RZQHUVKLS UDWKHU WKDQ XVH RI JRRGV DQG VHUYLFHV 7KXV 5R\ $ &OLIIRUG SRLQWHG L RXW WKDW ,Q D VRFLHW\ WKH GLVWULEXWLRQ RI JRRGV DQG WKH H[WHQW WR ZKLFK VHUYLFHV DUH XWLOL]HG DUH RI YLWDO LPSRUWDQFH WR WKH VRFLHW\ DQG WR LWV PHPEHUV ,W LV LQ WHUPV RI WKHVH FKDUDFWHULVWLFV WKDW WKH OHYHO RI OLYLQJ RI D SHRSOH LV PHDVXUHG f -RKQ & %HOFKHU KDV TXHVWLRQHG WKH DVVXPSWLRQ WKDW SRVVHVVLRQ LPSOLHV XVH LQ WKH FRQVWUXFWLRQ RI OHYHORILYLQJ VFDOHV +H VWDWHG WKDW 3RVVHVVLRQ RI DQ LWHP QHHGV WR EH UHODWHG WR WKH FRQVXPSWLRQ SDWWHUQV LI LW LV WR PHDVXUH OHYHO RI OLYLQJ f 7KXV IRU H[DPSOH D KRXVHKROG VKRXOG QRW EH UDWHG LQ D KLJKHU FDWHJRU\ IRU KDYLQJ DQ HOHFWULF VWRYH ZKHQ LI EHFDXVH WKH ZLIH LV DIUDLG RI HOHFWULFLW\ VKH FRRNV DOO RI KHU PHDOV RQ D WUDGLWLRQDO ZRRG EXUQLQJ VWRYH 5DWKHU %HOFKHU QRWHG ZKHQ FRPPHQWLQJ RQ KLV RZQ DSSURDFK WR WKH FRQVWUXFWLRQ RI D VFDOH 7KH DSSURDFK GHYHORSHG ZDV WR OLVW D QXPEHU RI IXQFWLRQV WKDW DUH FXVWRPDULO\ VDWLVILHG LQ WKH KRXVHKROG LQ DOO VRFLHWLHV DQG WKDW UHTXLUH PDWHULDO LWHPV IRU WKH HIn IHFWLYH SHUIRUPDQFH RI WKH IXQFWLRQ f 7KH PRVW LPSRUWDQW SRLQW LQ WKH GHILQLWLRQ LV WKDW UHODWLQJ WR IXQFn WLRQV 7KH %HOFKHU VFDOH PHDVXUHV OHYHOV RI OLYLQJ E\ DVVLJQLQJ YDOXHV WR WKH PDQQHU LQ ZKLFK XQLYHUVDO IXQFWLRQV UHODWHG WR D KRXVHKROG DQG LWV RFFXSDQWV DUH SHUIRUPHG IRU LQVWDQFH VKHOWHU GLVSRVDO RI KXPDQ ZDVWH FOHDQLQJ DQG OLJKWLQJ 6LQFH WKHVH DUH IXQFWLRQV ZKLFK DUH SHUIRUPHG WR VRPH GHJUHH LQ DOO KRXVHKROGV DW DOO WLPHV WKH VFDOH GRHV QRW VXIIHU IURP WKH OLPLWDWLRQV PHQWLRQHG DERYH ,W VHHPV

PAGE 107

WR EH WKH EHVW DYDLODEOH WHFKQLTXH IRU DVVHVVLQJ OHYHOV RI OLYLQJ EHWZHHQ GLVSDUDWH VRFLDO DQG QDWLRQDO JURXSV )XUWKHUPRUH UHDO UDWKHU WKDQ WKH V\PEROLF SHUIRUPDQFH LV VWUHVVHG 7KH OHYHORILYLQJ VFDOH /(9(/f LQFRUSRUDWHG LQWR WKLV VWXG\ LV SDWWHUQHG DIWHU WKDW GHYHORSHG E\ %HOFKHU /(9(/ LV EDVHG RQ WKH UHVSRQVHV WR IRXUWHHQ TXHVWLRQV LQFOXGHG LQ WKH VXUYH\ VFKHGXOH 6HH $SSHQGL[ $ Sf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

PAGE 108

7DEOH $ &RPSDULVRQ RI 7KRVH ,Q WKH /HYHORI/LYLQJ 6FDOH /(9(/f &DWHJRULHV E\ WKH 7KUHH (OHFWULF 8VH &DWHJRULHV (OHFWULF8VH &DWHJRULHV ORZf /(9(/ &DWHJRULHV KLJKf 727$/ $U,WKPHWOF 0HDQV 86(56 3HUFHQW 1XPEHU f f f f f f f ,1$&&(66 %/(6 3HUFHQW 1XPEHU f f f f f f f 121$'237(56 3HUFHQW 1XPEHU 8f f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f f 8

PAGE 109

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n KROGV FDQ VFRUH KLJK RQ /(9(/ ,Q WKH FURVVWDEXODWLRQV XVHG LQ WKH UHPDLQGHU RI WKLV SUHVHQWDWLRQ WKH FRQWLQXHG XVH RI WKLV ELDVHG VFDOH ZRXOG UHVXOW LQ LQYDOLG FRQFOXVLRQV 7R HQKDQFH WKH YDOLGLW\ RI FRQFOXVLRQV WR EH GUDZQ IURP WKLV VWXG\ DQ HOHFWULFLW\IUHH OHYHORILYLQJ VFDOH /(9(/12(f ZDV GHYLVHG /(9(/12( ZDV FRQVWUXFWHG E\ HOLPLQDWLQJ WKH ILYH RI WKH IRXUWHHQ TXHVWLRQV XVHG LQ /(9(/ ZKLFK FRQWDLQ UHIHUHQFHV WR HOHFWULFLW\ 6HH &KDSWHU ,,, IRU WKH VSHFLILF TXHVWLRQV HOLPLQDWHGf 7KH GLVWULEXWLRQ RI WKH WRWDO SRSXODWLRQ UHVHPEOHV D EHOOn VKDSHG FXUYH DFFRUGLQJ WR /(9(/12( 7KH PLGGOH FDWHJRU\ LV PRGDO FRQWDLQLQJ QHDUO\ RQHWKLUG SHUFHQW RI WKH UHVSRQGHQWV 6HH 7DEOH f 2QO\ VOLJKWO\ VPDOOHU LV FDWHJRU\ WZR ZLWK SHUFHQW RI WKH FDVHV 7KH GDWD IURP WKH HOHFWULFLW\IUHH HYHORILYLQJ VFDOH ZHUH FURVVWDEXODWHG ZLWK WKRVH IRU WKH HOHFWULFXVH FDWHJRULHV 7KH &KL6TXDUH WHVW VKRZV WKDW WKH SUREDELOLW\ RI WKH UHODWLRQVKLS EHWZHHQ /(9(/12( DQG WKH HOHFWULFXVH FDWHJRULHV RFFXUULQJ E\ FKDQFH DSSUR[LPDWHV

PAGE 110

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV LQ (OHFWU-HWW\IUHH /HYHORI/,Y,QJ 6FDOH /(9(/12(f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV (OHFWULF8VH &DWHJRULHV ORZf /(9(/12( &DWHJRULHV KLJKf 727$/ $UWKPHWF 0HDQV 86(56 3HUFHQW 1XPEHU f f f f f f ,1$&&(66 ,%/(6 3HUFHQW 1XPEHU f f f f f f 121$'237(56 3HUFHQW EO 1XPEHU f f f f f f f f 727$/ 3HUFHQW 1XPEHU P f f f f f YR

PAGE 111

&HUWDLQ FKDUDFWHULVWLFV RI WKH YDULRXV W\SHV RI XVHUV DQG QRQn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f 7KH ,1$&&(66 ,%/(6 RFFXS\ WKH PHGLDQ SRVLWLRQ DQG KDYH D PHDQ VFRUH RI 7KH 121$'237(56 KDYH RQ DQ DYHUDJH WKH ORZHVW OHYHO RI OLYLQJ DV VKRZQ E\ WKHLU DULWKPHWLF PHDQ RI 7KH WWHVW IRU GLIIHUHQFH RI PHDQV VFRUHV VKRZLQJ WKH OHYHO RI VLJQLILFDQFH EHWZHHQ VFRUHV RI WKH FDWHJRULHV DQG FRPELQDn WLRQV RI FDWHJRULHV RI WKH HOHFWULFXVH FKDUDFWHULVWLF DUH SUHVHQWHG LQ 7DEOH

PAGE 112

)LJXUH ? 3HUFHQWDJHV RI (DFK 86(56 ,1$&&(66 ,%/(6 DQG 121$'237(56 E\ &DWHJRULHV RI (OHFWULFLW\IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f 3HUFHQW /(9(/12(

PAGE 113

7DEOH 6FRUHV RI 77HVWV IRU 'LIIHUHQFH EHWZHHQ $ULWKPHWLF 0HDQV DQG /HYHOV RI 6LJQLILFDQFH IRU &DWHJRULHV DQG &RPELQDWLRQV RI &DWHJRULHV RI WKH (OHFWULF8VH &KDUn DFWHULVWLF E\ (OHFWULFLW\IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f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n SDUHG LQ WKH IRUP RI D UDWLR 7KH LPSRUWDQFH RI 86(56 YLVAYLV 121$'237(56 LQFUHDVHV GLUHFWO\ ZLWK D FRUUHVSRQGLQJ ULVH LQ WKH YDOXH RI /(9(/12( 7KLV VKRZV WKH H[WHQW WR ZKLFK 86(56 DUH KLJKO\ FRQFHQWUDWHG LQ WKH PLGGOH DQG XSSHU UDQJHV RI WKH VFDOH DQG 121n $'237(56 LQ WKH ORZHU SDUW RI LW ,Q VXPPDU\ WKH HYLGHQFH VXSSRUWV WKH SURSRVLWLRQ WKDW WKHUH DUH GHPRQVWUDEOH UHODWLRQVKLSV EHWZHHQ OHYHO RI OLYLQJ DQG WKH XVH RI HOHFWULFLW\ $OWKRXJK ERWK XVHUV DQG QRQXVHUV RI HOHFWULFLW\ DUH

PAGE 114

7DEOH 3HUFHQWDJHV RI 86(56 DQG 121$'237(56 E\ &DWHJRULHV RI (OHFWULFLW\IUHH /HYHORI/OYLQJ 6FDOH /(9(/12(f DQG 5DWLRV RI 3HUFHQWDJHVRI 86(56 WR 121$'237(56 /(9(/12( &DWHJRULHV 727$/ 86(56 SHUFHQWDJHVf 121$'237(56 SHUFHQWDJHVf 5DWLR RI SHUFHQWDJHV RI 86(56 WR 121$'237(56

PAGE 115

IRXQG LQ DOO RI WKH FDWHJRULHV RI OHYHO RI OLYLQJ 86(56 DUH KLJKO\ FRQFHQWUDWHG LQ WKH KLJKHU FDWHJRULHV QRQXVHUV LQ WKH ORZHU 7KH JURXSLQJ LQ WKH ORZHU OHYHOV RI /(9(/12( LV PRUH SURQRXQFHG IRU 121n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

PAGE 116

)LJXUH /(9(/12( 0HDQ (OHFWULFLW\IUHH /HYHORI/OYOQJ 6FDOH /(9(/12(f 6FRUHV IRU 86(56 ,1$&&(66 ,%/(6 121$'237(56 DQG 7RWDO 3RSXODWLRQ E\ 1XPEHU RI 3HRSOH SHU +RXVHKROG 1XPEHU RI 3HRSOH SHU +RXVHKROG R &2

PAGE 117

OLYLQJ VFDOH IRXQG IRU WKRVH LQ WKH VHYHUDO HOHFWULFXVH FDWHJRULHV DQG GRHV QRW H[SODLQ WKH KLJKHU VFRUHV RI 86(56 FRPSDUHG WR WKH QRQn XVHUV RQ WKLV VFDOH ,W LV DFFHSWHG WKDW RQH RI WKH PDMRU IDFWRUV LQIOXHQFLQJ OHYHO RI OLYLQJ LV HGXFDWLRQDO DWWDLQPHQW 7KH OHYHO RI OLYLQJ LV XVXDOO\ SRVLWLYHO\ DVVRFLDWHG ZLWK LQFUHDVHV LQ WKH DPRXQW RI HGXFDWLRQ 7KH UHVSRQGHQWV LQWHUYLHZHG LQ &RVWD 5LFD DUH QR H[FHSWLRQ )LJXUH f 7KH PHDQ /(9(/12( VFRUHV IRU SHUVRQV LQ HDFK FDWHJRU\ RI WKH HOHFWULF XVH FKDUDFWHULVWLF WHQG WR LQFUHDVH ZLWK LQFUHDVHV LQ WKH QXPEHU RI \HDUV RI VFKRROLQJ FRPSOHWHG 7KH HIIHFW RI HGXFDWLRQ LV HVSHFLDOO\ PDUNHG IRU SHUVRQV ZKR KDYH FRPSOHWHG ILYH RU PRUH \HDUV RI VFKRRO :KHQ WKH KHDGV RI KRXVHKROGV ZLWK HTXDO \HDUV RI VFKRRO ZHUH FRPSDUHG WKH 86(56 VFRUHG VXEVWDQWLDOO\ KLJKHU RQ /(9(/12( WKDQ GLG HLWKHU ,1$&n &(66 ,%/(6 RU 121$'237(56 ,W FDQ WKHUHIRUH EH FRQFOXGHG WKDW HGXFDWLRQn GRHV QRW DFFRXQW IRU WKH GLIIHUHQFHV LQ /(9(/12( IRXQG EHn WZHHQ WKH SHUVRQV LQ WKH WKUHH FDWHJRULHV RI WKH HOHFWULFXVH FKDUDFWHULVWLF 7KH DJH RI WKH KHDG RI WKH KRXVHKROG $*( +($'f ZDV DOVR XVHG DV D FRQWURO YDULDEOH IRU WKH FRPSDULVRQ RI WKH /(9(/12( VFRUHV RI WKRVH LQ WKH HOHFWULFXVH FDWHJRULHV )LJXUH f ([FHSW IRU 86(56 ZKRVH PHDQ /(9(/12( VFRUHV WHQG WR GURS VOLJKWO\ ZLWK DGYDQFLQJ DJH WKHUH LV QR FOHDU UHODWLRQVKLS EHWZHHQ DJH DQG WKH HOHFWULFLW\IUHH OHYHORILYLQJ VFDOH (YHQ VR WKH GHFOLQH LQ WKH /(9(/12( VFRUHV RI 86(56 ZLWK DGYDQFLQJ DJH LV VOLJKW 7KH GLIIHUHQWLDO LQ /(9(/12( EHWZHHQ 86(56 DQG RWKHUV SHUVLVWV KRZHYHU UHJDUGOHVV RI WKH DJH RI WKH KHDG RI WKH KRXVHKROG $JH WKHUHIRUH GRHV QRW H[SODLQ WKH KLJKHU VFRUHV RI 86(56 ,1$&&(66 ,%/(6 RQFH DJDLQ RFFXS\ DQ LQWHU

PAGE 118

)IJXUH /(9(/12( 0HDQ (OHFWULFLW\IUHH /HYHORI/LYOQJ 6FDOH /(9(/12(f (GXFDWLRQ RI +HDGV RI +RXVHKROGV LQ \HDUVf

PAGE 119

)LJXUH 0HDQ (OHFWULFLW\IUHH /HYHORI/LYOQJ 6FDOH /(9(/12(f 6FRUHV IRU 86(56 ,1$&&(66,%/(6 121$'237(56 DQG 7RWDO 3RSXODWLRQ E\ $JH RI +HDGV RI +RXVHKROGV /(9(/12A $JH RI +HDGV RI +RXVHKROGV ,Q \HDUVf RYHU R FU!

PAGE 120

PHGLDWH SRVLWLRQ EHWZHHQ 86(56 DQG 121$'237(56 )LQDOO\ DQRWKHU SRVVLEOH H[SODQDWLRQ RI GLIIHUHQFHV LQ /(9(/12( EHWZHHQ WKRVH LQ WKH YDULRXV HOHFWULFXVH FDWHJRULHV LV WKH VL]H RI IDUP 3UHVXPDEO\ LQFRPH LV UHODWHG WR WKH VL]H RI WKH IDUP PRGLILHG RU FRXUVH E\ WKH W\SH RI HQWHUSULVH $ SRVLWLYH UHODWLRQVKLS EHWZHHQ WKH HOHFWULFLW\IUHH OHYHO RI OLYLQJ VFDOH VFRUHV DQG VL]H RI IDUP 6,=( )$50f LV LQGHHG LQGLFDWHG E\ WKH GDWD 0HDQ /(9(/12( VFRUHV WHQG WR LQFUHDVH DV 6,=( )$50 LQFUHDVHV )LJXUH f $V LV VKRZQ ODWHU LQ WKLV VWXG\ 86(56 KDYH ODUJHU IDUPV WKDQ HLWKHU ,1$&&(66,%/(6 RU 121$'237(56
PAGE 121

)LJXUH 0HDQ (OHFWULFLW\IUHH /HYHORI/,YLQJ 6FDOH /(9(/12(f 8QGHU f RYHU 6L]H RI )DUP cQ PDQ]DQDVf

PAGE 122

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nV VLWXDWLRQV ZLWK RWKHU VSHFLILHG VLWXDWLRQV 6HH $SSHQGL[ $ S f 7KH SUHVHQW VDWLVIDFWLRQZLWK LIHVLWXDWLRQ LQGH[ 6,7 35(6f LV EDVHG RQ UHVSRQVHV WR WKH TXHVWLRQ FRPSDULQJ RQHnV OLIH ZLWK WKDW RI KLV QHJLKERUV %RWK WKH IXWXUH VDWLVIDFWLRQZLWKLIH VLWXDWLRQ LQGH[ 6,7 )87f DQG WKH SDVW VDWLVIDFWLRQZLWKLIH VLWXDWLRQ LQGH[ 6,7 3$67f DUH EDVHG RQ UHVSRQVHV WR WZR TXHVWLRQV 6,7 )87 LV FRQVWUXFWHG RQ DQVZHUV WR TXHULHV FRQFHUQLQJ ZKDW WKH UHVSRQGn HQWV H[SHFW WKHLU OLIH VLWXDWLRQV WR EH LQ ILYH \HDUV DQG ZKDW WKH\ H[SHFW ZLOO EH WKH VLWXDWLRQ RI WKH FKLOGUHQ RI WRGD\ ZKHQ WKH\ UHDFK PDWXULW\ 6,7 3$67 LV EDVHG RQ DQVZHUV WR TXHVWLRQV DVNLQJ WKH UHVSRQGHQWV WR FRPSDUH WKHLU SUHVHQW OLIH VLWXDWLRQ ZLWK WKHLU RZQ ILYH \HDUV HDUOLHU DQG ZLWK WKDW RI WKHLU IDWKHUV 7KH WRWDO VDWLVIDFWLRQZLWKLIH VLWXDWLRQ LQGH[ 6,7 727f LV D FRPELQDWLRQ RI

PAGE 123

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n MHFWLYH RSWLPLVP DV ZHOO DV E\ DQ REMHFWLYH HYDOXDWLRQ RI IXWXUH FKDQFHV 5HJDUGOHVV RI WKH VXEMHFWLYH QDWXUH RI WKH UHVSRQVHV EHFDXVH RI WKH VI]H RI WKH UHVHDUFK SRSXODWLRQ LW LV YDOLG WR GUDZ FHUWDLQ FRQFOXVLRQV FRQFHUQLQJ YDULRXV JURXSLQJV RI WKH UHVSRQGHQWV EDVHG RQ WKH UHVXOWV RI WKH VDWLVIDFWLRQZLWKLIHVLWXDWLRQ WDEXODn WLRQV ,Q RUGHU WR DVFHUWDLQ LI WKH XVHUV DQG QRQXVHUV RI HOHFWULFLW\ SHUFHLYHG RI WKHPVHOYHV GLIIHUHQWO\ LQ FRPSDULVRQ ZLWK WKHLU QHLJKn ERUV WKH HOHFWULF XVH FKDUDFWHULVWLF ZDV FURVVWDEXODWHG ZLWK WKH SUHVHQW VDW LVIDFWLRQZLWKLIH LQGH[ 6,7 35(6f 7KH UHVXOWV DUH SUHVHQWHG LQ 7DEOH :LWK WKH H[FHSWLRQ RI QR 121$'237(56 LQ 6,7 35(6 FDWHJRU\ ILYH WKHUH LV DW OHDVW RQH UHVSRQGHQW LQ HDFK RI WKH FHOOV RI WKH FRUUHODWLRQ WDEOH 7KLV VXJJHVWV WKDW UHJDUGOHVV RI WKH XVH RU QRQXVH RI HOHFWULFLW\ SHRSOH YLHZ WKHLU OLYHV YLV DYLV WKRVH OLYLQJ QHDU WKHP SRVLWLYHO\ QHJDWLYHO\ DQG DV EHLQJ QR G L I IHUHQW +RZHYHU DV LV REVHUYDEOH LQ WKH WDEOH WKHUH DUH GHILQLWH

PAGE 124

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV ,Q 3UHVHQW 6DW LVIDFWORQZOWK/,IH6WXDWLRQ ,QGH[ 6,7 35(6f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV 6,7 35(6 &DWHJRULHV 727$/ g (OHFWULF8VH &DWHJRULHV PXFK ZRUVH ZRUVHf VDPHf EHWWHUf PXFK EHWWHUf g 86(56 3HUFHQW 1XPEHU f f f f f f ,1$&&(66,%/(6 3H UFHQW 1XPEHU f f f f f f 121$'237(56 3HUFHQW 1XPEHU f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f

PAGE 125

YDULDWLRQV DFFRUGLQJ WR WKH 6,7 35(6 LQGH[ )RU DOO WKUHH FDWHJRULHV RI WKH HOHFWULFXVH FKDUDFWHULVWLF WKH PRGDO UHVSRQVH ZDV WKDW LQGLYLGXDOV FRQVLGHUHG WKHPVHOYHV HTXDO WR WKRVH OLYLQJ QHDU WKHP :KLOH PRUH WKDQ RQH KDOI SHUFHQW RI WKH 86(56 H[SUHVVHG WKLV VHQWLPHQW PRUH WKDQ RQH WKnLUG SHUFHQW RI WKRVH XVLQJ HOHFWULF HQHUJ\ LQGLFDWHG WKDW WKH\ ZHUH HQMR\LQJ D EHWWHU RU PXFK EHWWHU OLIH WKDQ WKHLU QHLJKERUV 7KLV ODWWHU ILJXUH FRQWUDVWV ZLWK WKH RQH TXDUWHU SHUFHQW RI WKH ,1$&&(66,%/(6 ZKR IHHO WKDW WKH\ VXUSDVV WKHLU QHLJKERUV DQG ZLWK WKH PHUH SHUFHQW RI WKH 121$'237(56 ZKR IHHO OLNHZLVH 7KH UHODWLRQVKLSV ZKLFK H[LVW EHWZHHQ WKH YDULRXV W\SHV RI XVHUV DQG QRQXVHUV DQG 6,7 35(6 DUH VHHQ PRUH FOHDUO\ E\ H[DPLQLQJ WKH DULWKPHWLF PHDQV RI WKH VFRUHV RI WKH SUHVHQW VDWLVIDFWLRQZLWKLIH VLWXDWLRQ LQGH[ 7KH PHDQ VFRUHV DUH SUHVHQWHG LQ 7DEOH 8VHUV ZLWK DQ DYHUDJH RI KDYH WKH KLJKHVW PHDQ IROORZHG LQ RUGHU E\ WKH ,1$&&(66 %/(6 DQG 121$'237(56 7KH 86(56 DV D JURXS IHHO WKDW WKHLU VLWXDWLRQ LQ OLIH LV VRPHZKDW EHWWHU WKDQ WKDW RI WKHLU QHLJKERUV ZKLOH WKH 121$'237(56 IHHO WKDW WKHLUV LV VRPHZKDW ZRUVH 3DUW RI WKLV YDULDWLRQ FDQ EH H[SODLQHG E\ WKH GLIIHUHQFHV LQ OHYHOV RI OLYLQJ RI WKH WZR JURXSV DV GLVFXVVHG LQ WKH SUHYLRXV VHFWLRQ 7KH ,1$&&(66,%/(6 RQ WKH DYHUDJH IHHO WKDW WKH\ HQMR\ D OLIH WKDW DSSUR[LPDWHV WKDW RI WKHLU QHLJKERUV ,Q DGGLWLRQ WR WKH FDWHJRULHV RI WKH HOHFWULFXVH FKDUDFWHULVWLF LW ZDV GHFLGHG WR DOVR HYDOXDWH WKH GLIIHUHQFHV RI VFRUHV RI 6,7 35(6 EHWZHHQ XVHUV DQG QRQXVHUV RI HOHFWULFLW\ DQG EHWZHHQ WKRVH ZKR FRXOG XVH HOHFWULFLW\ DQG WKRVH ZKR UHVLGH EH\RQG WKH UHDFK RI SRZHU OLQHV 7KH PHDQ VFRUHV QHHGHG IRU WKHVH VWDWLVWLFDO PDQLSXODWLRQV DUH DOVR SUHVHQWHG LQ 7DEOH

PAGE 126

7DEOH $ULWKPHWLF 0HDQV IRU 5HVSRQGHQWV RI 6DW VIDFWORQ ZOWK/OIH ,QGH[HV IRU &DWHJRULHV DQG &RPELQDWLRQV RI (OHFWULF8VH &DWHJRULHVn (OHFWULF8VH &DWHJRULHV DQG &RPELQDWLRQV RI &DWHJRULHV 6,7 35(6 6DWLVIDFWLRQ ZLWK 6,7 3$67 /LIH ,QGH[HV 6,7 )87 6,7 727 86(56 ,1$&&(66 ,%/(6 f 121$'237(56 86(56 DQG 121$'237(56 121$'237(56 DQG 1$&&(66 %/(6 727$/ r 6DPH

PAGE 127

7KH DULWKPHWLF PHDQV ZHUH VWDWLVWLFDOO\ PDQLSXODWHG XVLQJ WKH W WHVW IRU GLIIHUHQFH EHWZHHQ PHDQV 7KH UHVXOWV RI WKLV DQDO\VLV DQG WKH FRPSDQLRQ OHYHO RI VLJQLILFDQFH IRU WKH WWHVW VFRUHV LV SUHn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n SHUFHQW RI WKH

PAGE 128

7DEOH 6FRUHV RI 77HVWV IRU 'LIIHUHQFH EHWZHHQ $ULWKPHWLF 0HDQV DQG /HYHOV RI 6LJQLILFDQFH IRU &DWHJRULHV DQG &RPELQDWLRQV RI (OHFWULF8VH &DWHJRULHV E\ 6DWLVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[HV /HYHO RI 6DWLVIDFWLRQZLWK 77HVW 6LJQLILFDQFH IRU /LIH6LWXDWLRQ ,QGH[HV 6FRUH 7ZRWDLOHG 7HVW 6,7 35(6 86(56121$'237(56 86(56121$'237(56 DQG ,1$&&(66,%/(6 86(56 DQG 121$'237(56,1$&&(66,%/(6 86(56,1$&&(66,%/(6 6,7 3$67 86(56121$'237(56 86(56121$'237(56 DQG 1$&&(66 %/(6 86(56 DQG 121$'237(56,1$&&(66,%/(6 86(56,1$&&(66,%/(6 6,7 )87 86(56121$'237(56 1RQH 86(56121$'237(56 DQG ,1$&&(66,%/(6 1RQH 86(56 DQG 121$'237(56 ,1$&&(66,%/(6 86(56,1$&&(66,%/(6 1RQH 6,7 727 86(56121$'237(56 86(56121$'237(56 DQG ,1$&&(66,%/(6 86(56 DQG 121$'237(56,1$&&(66,%/(6 1RQH 86(56,1$&&(66,%/(6

PAGE 129

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV ,Q 3DVW 6DW,VIDFWORQZOWK/OIH6WXDW,RQ ,QGH[ 6,7 3$67f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV 6,7 3$67 &DWHJRULHV A (OHFWULF8VH &DWHJRULHV PXFK ZRUVHf ZRUVHf VDPHf EHWWHUf PXFK EHWWHUf 727$/ 86(56 3HUFHQW 1XPEHU f f f f f f ,1$&&(66 ,%/(6 3HUFHQW 1XPEH U f f f f f f 121$'237(56 3HUFHQW 1XPEHU f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f

PAGE 130

121$'237(56 IHOW WKDW WKHLU OLIH ZDV EHWWHU RU PXFK EHWWHU WKDQ LQ WKH SDVW 7KH GLIIHUHQFHV LQ WKH DYHUDJH UHVSRQVHV RI WKRVH LQ WKH YDULRXV FDWHJRULHV RI HOHFWULFXVH DUH VHHQ LQ 7DEOH 2Q DQ DYHUDJH WKH 86(56 DUH EHWWHU RII WKDQ LQ WKH SDVW ZKLOH WKH 121n $'237(56 DUH RQO\ VOLJKWO\ LPSURYHG RYHU WKH SDVW 7KH VWDWLVWLFDO GLIIHUHQFHV EHWZHHQ WKHVH PHDQV DUH SUHVHQWHG LQ 7DEOH 7KH DQDO\VHV EHWZHHQ WKH FDWHJRULHV DQG FRPELQDWLRQV RI FDWHJRULHV RI WKH HOHFWULFXVH FKDUDFWHULVWLF DUH WKH VDPH IRU 6,7 3$67 DV ZDV WKH FDVH IRU 6,7 35(6 7KH RQO\ GLIIHUHQFH LV WKDW WKH WWHVW OHYHO RI VLJn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n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

PAGE 131

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV ,Q )XWXUH 6DWVIDFWcRQZcWK/LIH6WXDWLRQ ,QGH[ 6,7 )87f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV 727$/ (OHFWULF8VH PXFK ZRUVH ZRUVHf VDPHf EHWWHUf PXFK EHWWHUf 86(56 3HUFHQW 1XPEHU f f f f f f ,1$&&(66,%/(6 3HUFHQW RR 1XPEHU f f f f f f 121$'237(56 3HUFHQW 1XPEHU f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f

PAGE 132

GHPRQVWUDWH WKDW UHJDUGOHVV RI WKH XVH RU QRQXVH RI HOHFWULFLW\ WKH UHVSRQGHQWV DUH YHU\ RSWLPLVWLF 7KH ,1$&&(66 %/(6 DUH VOLJKWO\ PRUH ? LQFOLQHG WR H[SHFW IXWXUH EHWWHUPHQW WKDQ DUH WKH 86(56 ZKR LQ WXUQ KDYH 6,7 )87 VFRUHV ZKLFK H[FHHG WKRVH RI WKH 121$'237(56 7KHUH DUH QR VWDWLVWLFDOO\ VLJQLILFDQW GLIIHUHQFHV LQ WKH PHDQ VFRUHV RI WKH YDULRXV FDWHJRULHV DQG FRPELQDWLRQV RI FDWHJRULHV DFFRUGLQJ WR 6,7 )87 6HH 7DEOH f $OWKRXJK WKH YDULDWLRQV IRXQG LQ WKH DQDO\VLV RI WKH IXWXUH VDWLVIDFWLRQZLWKLIHVLWXDWLRQ LQGH[ DUH QRW VWDWLVWLFDOO\ LPSRUWDQW LW LV QHYHUWKHOHVV LQWHUHVWLQJ WKDW WKH ,1$&&(66 ,%/(6 RQ DQ DYHUDJH VFRUHG KLJKHU RQ WKLV LQGH[ WKDQ WKH RWKHU JURXSV :KLOH WKH VXUYH\ GDWD ZHUH EHLQJ JDWKHUHG SODQV WR HOHFWULI\ WKH DUHD EHWZHHQ /D )RUWXQD DQG /RV $QJHOHV ZHUH EHLQJ UHDGLHG 7KH UHVLGHQWV RI WKH DUHD ZHUH FRJQL]DQW RI WKLV 7KH H[SHFWDWLRQ RI UHFHLYLQJ HOHFWULn FLW\ PLJKW KDYH DIIHFWHG WKHLU DWWLWXGHV IRU WKH IXWXUH 7KLV FRXOG DFFRXQW IRU WKH VRPHZKDW KLJKHU PHDQ VFRUH RI WKH ,1$&&(66,%/(6 WKDQ RI WKH 121$'237(56 RQ WKH 6,7 )87 LQGH[ 7KH WRWDO VDWLVIDFWLRQZLWKLIH LQGH[ LV D FRPSLODWLRQ RI WKH WKUHH LQGH[HV DOUHDG\ GLVFXVVHG ,W LV D PHWKRGRORJLFDO FRQVWUXFW ZKLFK DJJUHJDWHV WKH VHOISHUFHLYHG UHVSRQVHV FRPSDULQJ RQHnV VDWLVIDFWLRQ ZLWK OLIH ZLWK RWKHU SUHVHQW SDVW DQG IXWXUH FRQVLGHUDn WLRQV 7KH 6,7 727 ZDV FURVVWDEXODWHG ZLWK WKH HOHFWULFXVH FKDUDFWHULVWLFV WKH UHVXOWV DUH SUHVHQWHG LQ 7DEOH 'XH WR WKH VWDWLVWLFDO SURFHGXUHV XVHG WKH VFRUHV DUH VOLJKWO\ VNHZHG WRZDUGV WKH XSSHU SRUWLRQV RI WKH LQGH[ 7KH GLVFULPLQDWRU\ SRZHU RI WKLV LQGH[ KRZHYHU LV GHPRQVWUDWHG LQ WKH DQDO\VLV RI WKH DULWKPHWLF PHDQV SUHVHQWHG LQ 7DEOHV DQG 7KH PHDQ VFRUH RI 86(56 LV

PAGE 133

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV ,Q 7RWDO 6DWOVIDFWORQZOWK/OIHVOWXDWORQ ,QGH[ 6,7 727f &DWHJRULHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV (OHFWULF8VH &DWHJRULHV LL OL LL OL OL Q OL OL ORZf 6,7 727 &DWHJRULHV A KLJKf 727$/ 86(56 3HUFHQW 1XPEHU f f f f f f ,1$&&(66,%/(6 3HUFHQW RR 1XPEHU Rf f f f f f 121$'237(56 3HUFHQW f 1XPEHU f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f

PAGE 134

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n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n WLRQ LV DQ LQFUHDVH LQ WKH VDWLVIDFWLRQ ZLWK OLIH VLWXDWLRQ %HIRUH WKLV DVVHUWDWLRQ FDQ EH MXVWLILHG DOWHUQDWHG SRVVLEOH FDXVHV RI FRQWHQWPHQW ZLWK OLIH PXVW EH H[DPLQHG DQG FRQWUROOHG $FFRUGLQJO\ WKRVH YDULDEOHV LQFRUSRUDWHG LQWR WKH VWXG\ ZKLFK FRXOG UHDVRQDEO\

PAGE 135

XVHG DV FRQWURO YDULDEOHV DUH VR XVHG 7KH VSHFLILF YDULDEOHV XVHG LQ WKH IROORZLQJ DQDO\VHV DUH DJH RI WKH KHDG RI WKH KRXVHKROG $*( +($'f HGXFDWLRQ RI WKH KHDG RI WKH KRXVHKROG (' +($'f VL]H RI WKH ODQGKROGLQJV 6,=( )$50f DQG WKH HOHFWULFLW\IUHH OHYHORILYLQJ VFDOH /(9(/12(f ,Q RUGHU WR HOLPLQDWH FURVVWDEXODWLRQ FHOOV FRQWDLQLQJ VPDOO QXPEHUV RI FDVHV WKH XSSHU WZR JURXSV RI /(9(/12( ZHUH FRPELQHG IRU WKLV DQDO\VLV 7KH WHFKQLTXH XVHG LV WKDW RI FURVVWDEXODWLQJ WKH 6,7 727 VFRUH ZLWK WKH HOHFWULFXVH FDWHJRULHV ZKLOH FRQWUROOLQJ IRU WKH VSHn FLILF DGGLWLRQDO YDULDEOHV EHLQJ H[DPLQHG )RU H[DPSOH HDFK RI WKH ILYH FDWHJRULHV RI $*( +($' DUH YLHZHG VHSDUDWHO\ $ULWKPHWLF PHDQV RI 6,7 727 ZHUH FDOFXODWHG IRU 86(56 ,1$&&(66,%/(6 DQG 121$'237(56 IRU HDFK $*( +($' FDWHJRU\ 7KH PHDQ VFRUH IRU HDFK RI WKH FDWHJRULHV RI $*( +($' ZHUH SORWWHG DQG MRLQHG ZLWK OLQHV IRU SUHVHQWDWLRQ LQ JUDSKLF IRUP 7KH UHVXOWV RI WKH DQDO\VLV ZKHQ FRQWUROOLQJ IRU $*( +($' LV VHW IRUWK LQ )LJXUH 1R VLJQLILFDQW DVVRFLDWLRQ EHWZHHQ DJH RI WKH KHDG RI WKH KRXVHn KROG DQG WRWDO VDWLVIDFWLRQ ZLWK OLIH VLWXDWLRQ LV UHYHDOHG 'HILn QLWH SDWWHUQV DUH UHYHDOHG E\ WKH FRPSDULVRQ RI WKH YDULRXV JURXSV RI XVHUV DQG QRQXVHUV 5HJDUGOHVV RI DJH 86(56 DUH PRUH VDWLVILHG ZLWK OLIH WKDQ DUH 121$'237(56 )RU KHDGV RI KRXVHKROGV XQGHU \HDUV RI DJH WKH GLIIHUHQFH LV QRW JUHDW 7KHUHDIWHU WKH JDS EHWZHHQ WKH WZR ZLGHQV $OWKRXJK 6,7 727 YDULHV PRUH IRU WKH ,1$&n &(66 ,%/(6 WKDQ LW GRHV IRU WKRVH LQ WKH RWKHU WZR JURXSV ZLWK RQH H[FHSWLRQ WKH VFRUHV IRU WKHVH QRQXVHUV DUH LQWHUPLWWHQW EHWZHHQ WKRVH RI WKH 86(56 DQG 121$'237(56 7KH ROGHU ,1$&&(66,%/(6 DUH PRUH VDWLVILHG WKDQ DUH WKH UHPDLQGHU RI WKH UHVSRQGHQWV 7KH ROGHU

PAGE 136

)LJXUH 6,7 727 0HDQ 7RWDO 6DW ,VIDFWORQZOWK/,IH6,WXDW,RQ ,QGH[ 6,7 727f 6FRUHV IRU 86(56 ,1$&&(66,%/(6 DQG 121$'237(56 E\ $JH RI +HDGV RI +RXVHKROGV $JH RI +HDGV RI +RXVHKROGV ,Q \HDUVf RYHU

PAGE 137

121$'237(56 DUH WKH OHDVW VDWLVILHG 7KH FRQFOXVLRQ FDQ EH UHDFKHG WKDW DJH RI WKH KHDG RI WKH KRXVHn KROG LV QRW D VLJQLILFDQW IDFWRU LQ GHWHUPLQLQJ WKH OHYHO RI VDWLVIDFn WLRQ ZLWK OLIH 'LIIHUHQFHV LQ WKLV PHDVXUH SHUVLVW ZLWK WKH H[FHSn WLRQ RI WKH ROGHVW IDPLO\ KHDGV UHJDUGOHVV RI DJH 7KHUH LV D VOLJKW DVVRFLDWLRQ EHWZHHQ WKH HGXFDWLRQ RI WKH KHDG RI WKH KRXVHKROG DQG VDWLVIDFWLRQ ZLWK OLIH VLWXDWLRQ ,W VKRXOG EH QRWHG WKDW WKRVH ZKR GLG QRW SURYLGH LQIRUPDWLRQ RQ WKHLU ODVW \HDU RI VFKRROLQJ ZHUH JURXSHG ZLWK WKRVH ZKR KDG QRW DWWHQGHG VFKRRO $QDO\VLV RI WKH GDWD LQGLFDWHG WKDW PRVW RI WKRVH ZKR GLG QRW UHVSRQG ZHUH LOOLWHUDWHV QRW ZLVKLQJ WR UHYHDO WKDW IDFW 7KLV SURFHVVnKDV RI FRXUVH LQWURGXFHG VRPH HUURU %XW WKH HUURU LV VXFK WKDW RXU ILQGLQJV ZLOO EH FRQVHUYDWLYH UDWKHU WKDQ H[DJJHUDWHG 7KH DYHUDJH VFRUH RQ WKH 6,7 727 ULVHV VOLJKWO\ ZLWK D FRUUHVSRQGLQJ LQFUHDVH LQ WKH DPRXQW RI HGXFDWLRQ %XW WKH FKDQJH LV VOLJKW IURP D ORZ DULWKPHWLF PHDQ RI IRU WKRVH ZLWK QR HGXFDWLRQ WR D KLJK DYHUDJH RI IRU WKRVH ZLWK DW OHDVW VHYHQ \HDUV RI VFKRROLQJ 7KH YDULDWLRQV LQ 6,7 727 IRU WKRVH LQ WKH HOHFWULF XVH FDWHJRULHV ZKHQ FRQWUROOLQJ IRU HGXFDWLRQ RI WKH KHDG RI WKH KRXVHKROG DUH SUHVHQWHG JUDSKLFDOO\ LQ )LJXUH 5HJDUGOHVV RI WKH DPRXQW RI HGXFDWLRQ WKH 86(56 KDYH D XQLIRUPO\ KLJK OHYHO RI FRQWHQWPHQW :LWK WKH H[FHSWLRQ RI WKRVH KDYLQJ KDG DW OHDVW VHYHQ \HDUV RI VFKRROLQJ 86(56 DUH PXFK PRUH VDWLVILHG WKDQ DUH WKH 121$'237(56 LQ HDFK HGXFDWLRQDO EUDFNHW $OVR ZLWK WKH H[FHSWLRQ RI WKRVH KDYLQJ WKH PRVW HGXFDWLRQ WKH ,1$&&(66,%/(6 UDQN EHWZHHQ WKH 86(56 DQG 121$'237(56 $OWKRXJK WKH DQDO\VLV PLJKW EH ELDVHG EHFDXVH RI WKH VPDOO QXPEHU RI FDVHV LW DSSHDUV WKDW WKH EHVW HGXFDWHG QRQXVHUV

PAGE 138

)LJXUH 6,7 727 0HDQ 7RWDO 6DW VIDFW ORQZOWK/ IH6W WXDW ,RQ ,QGH[ 6,7 727f 6FRUHV IRU 86(56 ,1$&&(66 ,%/(6 DQG 121$'237(56 E\ (GXFDWLRQ RI +HDGV RI +RXVHKROGV 1RQH f RYHU 1! YQ (GXFDWLRQ RI +HDGV RI +RXVHKROGV ,Q \HDUVf

PAGE 139

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n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n WUROOHG ,Q WKH FDVHV RI VPDOOHU VL]HV RI ODQGKROGLQJV WKH 86(56 DUH WKH PRUH FRQWHQW WKLV LV UHYHUVHG IRUnWKRVH ZLWK WKH ODUJHU SDUFHOV RI ODQG $OWKRXJK WKH DQDO\VLV PLJKW EH LQIOXHQFHG E\ WKH VPDOO QXPEHU RI FDVHV WKH PRVW FRQWHQW DUH WKH 1$&&(66, %/(6 ZLWK

PAGE 140

)JX UH 0HDQ 7RWDO 6DW ,VIDFWORQZOWK/IH6WXDW,RQ ,QGH[ 6,7 727f 6FRUHV IRU 86(56 ,1$&&(66 ,%/(6 DQG 8QGHU RYHU 6L]H RI )DUP ,Q PDQ]DQDVf

PAGE 141

ODUJH KROGLQJV WKH OHDVW VDWLVILHG DUH WKH 121$'237(56 ZLWK ODUJH SODFHV $ SHUVRQnV VRFLRHFRQRPLF ZHOOEHLQJ DV LQGLFDWHG E\ WKH VL]H RI KLV ODQGKROGLQJ LV DSSDUHQWO\ LQIOXHQWLDO LQ GHWHUPLQLQJ KLV VDWLVIDFn WLRQ ZLWK OLIH +RZHYHU ZKHQ FRQWUROOLQJ IRU WKH VL]H RI IDUP WKH XVH RU QRQXVH RI HOHFWULFLW\ EHFRPHV WKH PRUH LPSRUWDQW IDFWRU LQ GHWHUPLQLQJ OHYHO RI VDWLVIDFWLRQ $V D VHFRQG FRQWURO IRU VRFLRn HFRQRPLF VWDWXV WKH HIIHFWV RI WKH OHYHO RI OLYLQJ RQ VDWLVIDFWLRQ ZLWK OLIH DUH H[DPLQHG 7KHUH LV D GLUHFW DVVRFLDWLRQ EHWZHHQ OHYHO RI OLYLQJ DQG VDWLVIDFWLRQ ZLWK OLIH 7KRVH ZLWK WKH ORZHVW /(9(/12( VFRUHV KDYH DQ DULWKPHWLF DYHUDJH RI RQ WKH 6,7 727 ZKLOH WKRVH ZLWK WKH KLJKHVW /(9(/12( VFRUHV DYHUDJH RQ WKH WRWDO VDWLVIDFWLRQ ZLWKLIHVLWXDWLRQ LQGH[ 7KH OHYHORILYLQJ VFDOH ZDV FURVVWDEXODWHG ZLWK WKH HOHFWULF XVH FKDUDFWHULVWLF FRQWUROOLQJ IRU /(9(/12( 7KH UHVXOWV DUH JUDSKLn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nIRU WKRVH DW WKH KLJKHVW OHYHO 7KH UHODWLRQVKLS RI 86(56 DQG 121$'237(56 LV RI VSHFLDO LQWHUHVW

PAGE 142

)LJXUH 0HDQ 7RWDO 6DWLVIDFWLRQZLWK/LIH6LWXDWLRQ ,QGH[ 6,7 727f 6FRUHV IRU 86(56 ,1$&&(66, %/(6 DQG 121$'237(56 E\ (OHFWULFLW\IUHH /HYHO RI/LYLQJ 6FDOH /(9(/12(f &DWHJRULHV 6,7 727 /(9(/12( &DWHJRULHV

PAGE 143

7KH ZLGHQLQJ RI WKH JDS EHWZHHQ WKH WZR IRXQG ,Q WKH PLGGOH UDQJH RI /(9(/12( PHULWV IXUWKHU FRPPHQW 7KH SKHQRPHQRQ EHLQJ VKRZQ KHUH ? VHHPV WR EH DQ H[SUHVVLRQ RI UHODWLYH GHSULYDWLRQ RI 121$'237(56 YLVAYLV 86(56 7KH GHSULYDWLRQ DSSHDUV WR EH FDXVHG E\ QRQn DGRSWLRQ RI D WHFKQLFDO LQQRYDWLRQ HOHFWULFLW\ 7KH 121$'237(56 LW LV SRVLWHG IHHO UHODWLYHO\ GHSULYHG LQ UHODWLRQ WR WKHLU QHLJKERUV ZKR DUH XWLOL]LQJ WKH QHZ VRXUFH RI HQHUJ\ %HFDXVH WKH ,1$&&(66 ,%/(6 GR QRW KDYH WKH RSSRUWXQLW\ RI REWDLQLQJ HOHFWULFLW\ WKH\ GR QRW H[SUHVV FRPPHQVXUDWH OHYHOV RI UHODWLYH GHSULYDWLRQ DV WKRVH VKRZQ E\ WKH 121$'237(56 LQ VXPPDU\ LQ WKH DQDO\VLV RI HDFK RI WKH VDWLVIDFWLRQZLWK LIHVLWXDWLRQ LQGH[HV WKH 86(56 ZHUH PRUH VDWLVILHG ZLWK OLIH WKDQ ZHU WKH QRQXVHUV RI HOHFWULFLW\ :LWK WKH H[FHSWLRQ RI WKH 6,7 )87 86(56 ZHUH VWDWLVWLFDOO\ PRUH VDWLVILHG WKDQ WKH ,1$&&(66 ,%/(6 ZKR LQ WXUQ ZHUH PRUH VDWLVILHG WKDQ WKH 121$'237(56 :KLOH DJH RI WKH KHDG RI WKH KRXVHKROG GRHV QRW LQIOXHQFH WKH 6,7 727 HGXFDWLRQ RI WKH KHDG RI WKH KRXVHKROG VL]H RI ODQGKROGLQJV DQG OHYHO RI OLYLQJ ZHUH HDFK IRXQG WR H[FHUW D GLUHFW LQIOXHQFH RQ WKH WRWDO VDWLVIDFn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

PAGE 144

REVHUYHG GLIIHUHQFHV LQ VDWLVIDFWLRQ ZLWK OLIH VLWXDWLRQ EHWZHHQ XVHUV DQG QRQXVHUV RI HOHFWULFLW\ 1HYHUWKHOHVV ZH FDQ FRQFOXGH IURP WKLV DQDO\VLV WKDW XVH RI HOHFWULFLW\ LV YHU\ SUREDEO\ D GHWHUPLQDQW DOWKRXJK SHUKDSV QRW WKH RQO\ RQH RI KHLJKWHQHG VDWLVn IDFWLRQ ZLWK OLIH VLWXDWLRQ RI 86(56 ,W LV DOVR SHUWLQHQW WR REn VHUYH WKDW WKH DYDLODELOLW\ RI HOHFWULFLW\ DSSHDUV WR KDYH D GHSUHVVLQJ HIIHFW RQ WKH VDWLVIDFWLRQ ZLWK OLIH VLWXDWLRQ RI WKRVH ZKR GR QRW FRQQHFW 121$'237(56f ([SRVXUH WR WKH 0DVV 0HGLD ,GHDV DQG WKRXJKWV WKH EDVLF EXLOGLQJ EORFNV RI DOO VRFLDO SURFHVVHV PXVW EH FRPPXQLFDWHG EHWZHHQ LQGLYLGXDOV WR EH GLVn VHPLQDWHG $OO VRFLDO G\QDPLFV DQG LQ IDFW VRFLDO HTXLOLEULXP GHSHQG RQ WKH WUDQVIHU RI FRQFHSWV IURP D SHUVRQ WR KLV IHOORZ KXPDQ EHLQJV 6HH 'H)OXHU f 7KH PRGHV RI FRPPXQLFDWLRQV UDQJH IURP WKH PRVW LQWLPDWH SHUVRQWRSHUVRQ FRQWDFW DPRQJ IDPLO\ PHPEHUV WR WKH VLPXOWDQHRXV WHOHFDVW RI HYHQWV WR DOO SDUWV RI WKH ZRUOG YLD VDWHOOLWH 2QH IRUP RI FRPPXQLFDWLRQ WKDW RI WKH PDVV PHGLD KDV EHHQ VLQJOHG RXW LQ WKLV VWXG\ 9DULRXV W\SHV RI PDVV PHGLD VSUHDG WKHLU LQIOXHQFH LQWR 6DQ &DUORV $ VFRUH RI UDGLR VWDWLRQV HPLW VLJQDOV ZKLFK DUH UHFHLYHG DQG WKH QDWLRQDO WHOHYLVLRQ QHWZRUN FRYHUV WKH DUHD 7KH PDMRU 6HH 5RQDOG $ .XLVLV f IRU ERWK D WKRURXJK UHY LHZ RI WKH OLWHUDWXUH GHDOLQJ ZLWK YDULRXV DVSHFWV RI PDVV PHGLD DQG FRPPXQLFDn WLRQV LQ /DWLQ $PHULFD DQG IRU DQ DQDO\VLV RI UDGLR DQG WHOHYLVLRQ WUDQVPLVVLRQ LQ &RVWD 5LFD 7KH ILHOG UHVHDUFK IRU WKLV VWXG\ ZDV FRQGXFWHG ZKLOH WKH

PAGE 145

QDWLRQDO QHZVSDSHUV /D 1DFLQ DQG /D 5HSEOLFD DV ZHOO DV WKH ORFDO 3UHQVD /LEUH DUH ZLGHO\ FLUFXODWHG LQ 6DQ &DUORVr 1XPHURXV SXEOLFDn WLRQV UDQJLQJ IURP ZHHNO\ QHZV PDJD]LQHV WR PRQWKO\ URPDQFH SXEOLFDn WLRQV DUH UHDGLO\ DYDLODEOH QRW RQO\ LQ &LXGDG 4XHVDGD EXW DOVR WKURXJKRXW WKH DGMDFHQW UHJLRQ ,W KDV EHHQ VKRZQ WKDW WKH PDVV PHGLD IDFLOLWDWH WKH VSUHDG RI FRJQLWLRQ RI LQQRYDWLRQV SDUWLFXODUO\ RI WHFKQRORJLFDO GHYHORSPHQWV 5RJHUV f ,Q DQ DWWHPSW WR H[SODLQ VRPH RI WKH FKDUDFWHULVWLFV ZKLFK GLIIHUHQWLDWH XVHUV RI HOHFWULFLW\ IURP QRQn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f XVHG KHUH LV SUHPLVHG RQ 2O\PSLF *DPHV ZHUH EHLQJ KHOG LQ 0XQLFK *HUPDQ\ %HFDXVH RI WKH ORZ YROWDJH RI WKH SULYDWH HOHFWULFLW\ GLVWULEXWLRQ V\VWHP LQ &LXGDG 4XHVDGD WKH WHOHYLVLRQ UHFHSWLRQ LQ WKH XUEDQL]HG DUHD ZDV LQIHULRU +RZHYHU RXWVLGH RI WKH FLW\ WHOHYLVLRQ VHWV XVLQJ WKH KLJK YROWDJH &223(/(6&$ FXUUHQW EURXJKW LQ FOHDU SLFWXUHV &RQVHn TXHQWO\ WKRVH ZKR ZHUH DEOH DW QLJKW IOHG WKH FLW\ IRU WKH VXUURXQGLQJ UXUDO DUHDV WR YLHZ FOHDU LPDJHV RI WKH 2O\PSLF *DPHV A 2XU FKDXIIHXU ZKR OLYHV LQ D VXEXUE RI +HUHGLD D FLW\ LQn FOXGHG LQ WKH 6DQ -RV PHWURSROLWDQ DUHD ZDV DPD]HG RQH PRUQLQJ ZKHQ ZHn ZHUH LQ WKH +DPOHW RI (O 7DQTXH WR ILQG D FXUUHQW FRS\ RI -Be 5H SEO LFD DW $0 +H VDLG WKDW WKLV QHZVSDSHU ZDV QRW FLUFXODWHG LQ KLV QHLJKERUKRRG XQWLO DW OHDVW 30

PAGE 146

WKH DELOLW\ WR FDWHJRUL]H DPRXQWV RI H[SRVXUH 7ZR GLIIHUHQW DVSHFWV RI H[SRVXUH HQWHU LQWR WKH SUHVHQW DQDO\VLV LQWHQVLW\ DQG HYDOXDWLRQ RI LPSRUWDQFH )RU WKH EURDGFDVW PHGLD LQWHQVLW\ LV PHDVXUHG DFn FRUGLQJ WR WKH WHPSRUDO OHQJWK RI H[SRVXUH IRU WKH ZULWWHQ PHGLD LQWHQVLW\ LV EDVHG RQ WKH QXPEHU RI SXEOLFDWLRQV LQ WKH KRPH 7KH HYDOXDWLYH SRUWLRQ RI WKH LQVWUXPHQW LV EDVHG RQ DQ H[SUHVVLRQ E\ WKH UHVSRQGHQW RI WKH ZRUWK RI SURJUDPV OLVWHQHG WR RU ZDWFKHG 7KH VWDWHPHQWV RI WKH UHVSRQGHQWV RQ WKLV DVSHFW ZHUH WDNHQ DW IDFH YDOXH ZLWKRXW DQ\ LQWHUSUHWDWLRQ RQ WKH SDUW RI WKH UHVHDUFKHUV $V PHQn WLRQHG SUHYLRXVO\ WKH 00( ZDV VR FRQVWUXFWHG WKDW ERWK XVHUV DQG QRQXVHUV RI HOHFWULFLW\ FRXOG EH SODFHG ZLWKRXW SUHMXGLFH LQWR DOO FDWHJRULHV RI WKH LQGH[ 6HH &KDSWHU f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

PAGE 147

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV $FFRUGLQJ WR 0DVV0HGLD([SRVXUH ,QGH[ 00(,f E\ (OHFWULF8VH &DWHJRULHV (OHFWULF8VH &DWHJRULHV LL LL LL ,, ,, ,, ,, ,, ,, ,, ORZf 00( &DWHJRULHV KLJKf 727$/ 86(56 3HUFHQW n 1XPEHU f f f f f ,1$&&(66,%/(6 3HUFHQW 1XPEHU f f f f f 121$'237(56 3HUFHQW 1XPEHU f f f f f I27$/ 3HUFHQW 1XPEHU f f f f f .Mf)

PAGE 148

7KH UHODWLYHO\ VLPLODU GLVWULEXWLRQ RI WKH ,1$&&(66,%/(6 DQG 121n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n WLRQ $Q H[DPLQDWLRQ RI WKH UHODWLRQVKLSV ZKLFK H[LVW EHWZHHQ H[SRn VXUH WR WKH PDVV PHGLD DQG OHYHO RI OLYLQJ DV ZHOO DV VDWLVIDFWLRQ ZLWK OLIH VLWXDWLRQ SURYLGHV DGGLWLRQDO LQVLJKW LQWR XQGHUVWDQGLQJ WKH UHODWLRQVKLS EHWZHHQ XVH RI HOHFWULFLW\ DQG KLJK 00( VFRUHV n 7KH UHVXOWV RI WKH FURVVWDEXODWLRQ RI WKH 00( ZLWK WKH HOHFWULFLW\IUHH OHYHORILYLQJ VFDOH DUH SUHVHQWHG LQ 7DEOH 7KHUH LV D VWURQJ SRVLWLYH DVVRFLDWLRQ EHWZHHQ OHYHO RI OLYLQJ DQG

PAGE 149

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV $FFRUGLQJ WR &DWHJRULHV RI (OHFWULFLW\IUHH /HYHORI/WYLQJ 6FDOH /(9(/12(f E\ &DWHJRULHV RI 0DVV0HGLD([SRVXUH ,QGH[ 00(,f 00(, /(9(/12( &DWHJRULHV &DWHJRULHV 727$/ ORZf KLJKf ORZf 3HUFHQW 1XPEHU f f f f f f PRGHUDWHO\ ORZf 3HUFHQW 1XPEHU f f f f f f PRGHUDWHO\ KLJKf 3HUFHQW 1XPEHU f f f f f f KLJKf 3HUFHQW 1XPEHU f f f f +f f 727$/ 3HUFHQW 1XPEHU f f f f f f 92 21

PAGE 150

H[SRVXUH WR WKH PDVV PHGLD $V FDQ EH VHHQ WKRVH ZLWK D ORZ OHYHO RI OLYLQJ DUH PRUH LQFOLQHG WR KDYH D FRUUHVSRQGLQJ ORZ 00( VFRUH FRQFXUUHQWO\ WKRVH ZLWK KLJKHU OHYHOV RI OLYLQJ DUH PRUH OLNHO\ WR DOVR VFRUH KLJK RQ WKH PDVVPHGLDH[SRVXUH LQGH[ $V LQGLFDWHG E\ WKH &KL6TXDUH WHVW WKH SUREDELOLW\ RI WKH GLVWULEXWLRQ VKRZQ RFn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f 7KLV UHODWLRQVKLS LV VKRZQ LQ 7DEOH 7KH DVVRFLDn WLRQ KRZHYHU LV QRW VWURQJ $OWKRXJK WKRVH ZLWK KLJKHU GHJUHHV RI H[SRVXUH WR WKH PDVV PHGLD DUH PRUH OLNHO\ WR KDYH FRUUHVSRQGLQJ KLJK VFRUHV RQ 6,7 727 VRPH RI WKRVH ZLWK HLWKHU PRGHUDWHO\KLJK RU KLJK OHYHOV RI H[SRVXUH DOVR KDYH H[SUHVVHG WKDW WKH\ DUH UHODWLYHO\

PAGE 151

7DEOH $ &RPSDULVRQ RI 5HVSRQGHQWV $FFRUGLQJ WR *URXSHG &DWHJRULHV RI 7RWDO 6DWLVIDFWcRQZcWK/LIH 6LWXDWLRQ ,QGH[ 6,7 727f E\ &DWHJRULHV RI 0DVV0HGLD ([SRVXUH ,QGH[ 00(,f 00( &DWHJRULHV ORZf 6,7 727 f &DWHJRULHV KLJKf 727$/ O ORZf 3HUFHQW 1XPEHU f f f f PRGHUDWHO\ ORZf 3HUFHQW 1XPEHU f +,f f f PRGHUDWHO\ KLJKf 3HUFHQW 1XPEHU f f f f KLJKf 3HUFHQW 1XPEHU f f f f 727$/ 3HUFHQW 1XPEHU f f f f

PAGE 152

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fSUREDEO\ DV PXFK D UHVXOW RI KLJKHU OHYHO RI OLYLQJ DQG SHUKDSV RI VDWLVIDFWLRQ ZLWK LIH VLWXDWLRQ DV RI WKH XVH SHU VH RI HOHFWULFLW\ /LNHZLVH WKH QHJDWLYH DVVRFLDWLRQ EHWZHHQ QRQXVHUV RI HOHFWULFLW\ DQG H[SRVXUH WR WKH PDVV PHGLD LV LQIOXHQFHG E\ FRUUHVSRQGLQJO\ ORZHU OHYHOV RI OLYLQJ DQG ORZHU VDWLVIDFWLRQ ZLWK OLIH VLWXDWLRQ

PAGE 153

&+$37(5 9 0$1/$1' )$&7256 7KH LQVWLWXWLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG RU PDQODQG UHODWLRQV H[HUW YLWDO LQIOXHQFHV RQ WKH ZD\ RI OLIH RI UXUDO SHRSOH 7R XQGHUVWDQG D UXUDO VRFLHW\ LW LV LQGLVSHQVDEOH WR YLHZ WKH VWUXFWXUHV RI WKH PRUH LPSRUWDQW RI WKH PDQODQG UHODWLRQV IRXQG LQ WKH DUHD EHLQJ VWXGLHG 6LQFH WKH IRFXV RI WKLV GLVVHUWDn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n WLRQ RI RU WKH IDLOXUH WR DGRSW WKH XVH RI HOHFWULFLW\ )LQDOO\ ODQG WHQXUH DUUDQJHPHQWV DUH GLVFXVVHG ZLWK VSHFLDO DWWHQWLRQ JLYHQ WR WKH W\SHV RI DUUDQJHPHQWV IRXQG DQG WKH RSHUDWLRQ RI DQ DJULFXOWXUDO ODGGHU LQ WKH DUHD

PAGE 154

6HWWOHPHQW 3DWWHUQV f 7KH W\SH RI VHWWOHPHQW SDWWHUQ RU WKH HFRORJLFDO DUUDQJHPHQW RI SHRSOH RQ WKH ODQG LV D YLWDO DVSHFW RI PDQODQG UHODWLRQV DQG WKH HFRORJLFDO FRPSRQHQW RI UXUDO VRFLDO RUJDQL]DWLRQ ,W LV HVn SHFLDOO\ SHUWLQHQW WR WKLV VWXG\ VLQFH WKH PDQQHU LQ ZKLFK IDUP GZHOOn LQJV DUH SODFHG RQ WKH ODQG HIIHFWV WKH GHOLYHU\ RI VRFLDO VHUYLFHV ERWK XWLOLWLHV DQG SHUVRQDO VHUYLFHV WR UXUDO LQKDELWDQWV ,Q WKLV VHFWLRQ WKH IRUP RI VHWWOHPHQW LV WUHDWHG DV D IDFWRU ZKLFK PXVW EH WDNHQ LQWR DFFRXQW LQ YLHZLQJ WKH SODFHPHQW RI WKH GLVWULEXn WLRQ OLQHV QHHGHG WR FRQYH\ HOHFWULFDO HQHUJ\ LQ UXUDO DUHDV )LUVW VRPH RI WKH PDMRU FRQFHSWV RI WKH VWXG\ RI VHWWOHPHQW SDWWHUQV DUH SUHVHQWHG 1H[W WKH W\SHV IRXQG LQ WKH UHVHDUFK DUHD DUH GHVFULEHG )LQDOO\ WKH H[WHQW WR ZKLFK WKH VSDWLDO DUUDQJHn PHQWV RI LQKDELWDQWV LQIOXHQFH WKH SODFLQJ RI HOHFWULFLW\ OLQHV LV GLVFXVVHG &RQFHSWV 7KH VWXG\ RI VHWWOHPHQW SDWWHUQV LV MXVW RQH SDUW RI WKH ODUJHU VWXG\ RI VRFLDO RUJDQL]DWLRQ 6SHFLILFDOO\ LW LV WKH HFRORJLFDO SRUn WLRQ ZKLFK LQ WKH ZRUGV RI 6RURNLQ =LPPHUPDQ DQG *DOSLQ LV WKDW ZKLFK fVKRZV WKH JHRJUDSKLFDO PLOLHX DQG WKH WHUULWRULDO GLVWULEXWLRQ RI WKH KDELWDWV RI WKH PHPEHUV RI WKH JURXS VWXGLHG 9RO f 7 /\QQ 6PLWK LQ KLV ZRUN RQ WKLV DVSHFW RI WKH VRFLRORJ\ RI UXUDO OLIH VWDWHV WKDW WKHUH DUH WKUHH SULQFLSDO W\SHV RI UXUDO VHWWOHPHQW SDWWHUQV 7KH YLOODJH IRUP RI VHWWOHPHQW VLQJOH IDUPVWHDGV DQG WKH

PAGE 155

OLQH YL DJH 7KH WZR W\SHV ZKLFK GLIIHU PRVW VKDUSO\ DUH WKH IDUP YLOODJH DQG WKH VLQJOH IDUPVWHDG 3HUKDSV WKH\ FDQ EH EHVW XQGHUVWRRG WKURXJK D FRPSDULVRQ RI WKHLU FKDUDFWHULVWLFV 6PLWK LQ GLVFXVVLQJ WKH YLOODJH IRUP RI VHWWOHPHQW VD\V $ JHQHUDOL]HG SLFWXUH RI VXFK D VHWWOHPHQW XVXDOO\ FRQVLVWV RI ILYH SDUWV f IRUPLQJ WKH FRUH LV WKH YLOODJH SURSHU PDGH XS RI WKH KRPHV EDUQV DQG RWKHU IDUP EXLOGLQJV f QHDUHVW WKH YLOODJH DUH VPDOO JDUGHQ SORWV f PRUH UHPRWH DUH WKH FXOWLYDWHG ODQGV f VRPHWLPHV FRPSHWLQJ ZLWK WKH FXOWLYDWHG SORWV IRU ODQG DGMDFHQW WR WKH YLOODJH DQG VRPHWLPHV EH\RQG WKH DUDEOH ODQGV DUH SDVWXUHV DQG f PRVW UHPRWH IURP WKH YLOODJH DW WKH RXWHU OLPLWV RI WKH FRPPXQLW\nV GRPDLQ XVXDOO\ DUH WR EH IRXQG ZDVWH ODQGV DQG ZRRGV f ,Q PDUNHG FRQWUDVW ZLWK WKH YLOODJH IRUP LV WKH VLQJOH IDUPVWHDGVn SDWWHUQ LQ ZKLFK HDFK IDUP KRPH LV ORFDWHG DPRQJ WKH ILHOGV ZRUNHG E\ WKH IDPLO\ 6PLWK f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n WOHPHQW SDWWHUQV VHH 6PLWK ,AE D f DQG 6PLWK DQG =RSI f 7KH IROORZLQJ DQDO\VLV RI WKH FRQFHSWV FORVHO\ IROORZV 6PLWK

PAGE 156

$OWKRXJK WKH LPSDLUPHQW WR WKHLU ZRUN LV D GLVDGYDQWDJH IRU IDUPHUV OLYLQJ LQ YLOODJHV WKH VRFLDO DGYDQWDJHV DUH HYLGHQW 9LOODJHUV QRW RQO\ ILQG LW HDV\ WR PDLQWDLQ FORVH FRQWDFW ZLWK QHLJKERUV EXW DOVR DUH PRUH OLNHO\ WR KDYH UHDG\ DFFHVV WR HFRQRPLF DQG VRFLDO VHUYLFHV 6WRUHV VFKRROV FKXUFKHV PHGLFDO IDFLOLWLHV VHZDJH ZDWHU HOHFWULFLn W\ DQG D KRVW RI RWKHU VHUYLFHV DUH PRUH HDVLO\ REWDLQHG ZKHUHYHU D QXPEHU RI UHVLGHQFHV DUH FOXVWHUHG WRJHWKHU WKDQ WKH\ DUH LQ DUHDV ZKHUH GZHOOLQJV DUH ZLGHO\ GLVSHUVHG ,Q JHQHUDO WKHQ LW FRXOG EH DVVHUWHG WKDW HFRQRPLF EHQHILWV DFFUXH WR WKRVH ZKR OLYH RQ VFDWWHUHG IDUPVWHDGV ZKLOH VXSHULRU VRFLDO LQWHJUDWLRQ DQG FRKHVLRQ DUH HQMR\HG E\ WKRVH GZHOOLQJ LQ YLOODJHV 7KH WKLUG SULQFLSDO W\SH RI UXUDO VHWWOHPHQW LV LQ UHDOLW\ LQWHUn PHGLDU\ EHWZHHQ RU D EOHQG RI WKH W\SHV DOUHDG\ GLVFXVVHG 7KLV LV WKH OLQH YLOODJH IRUP RI VHWWOHPHQW $FFRUGLQJ WR 6PLWK ,I VRPH FRPPRQ EDVH RI GHSDUWXUH LV HPSOR\HG LQ OD\LQJ RXW WKH ODQG LI WKH OHQJWK RI WKH KROGLQJV LV JUHDW LQ FRPSDULVRQ ZLWK WKH ZLGWK DQG LI WKH IDUP IDPLOLHV UDWKHU FRQVLVWHQWO\ ORFDWH WKHLU GZHOOLQJV DW WKH HQG RI WKHLU ULEERQOLNH IDUPV D FRQVLGHUDEOH DJJUHJDWLRQ RI GZHOOLQJV FDQ RFFXU ZLWKRXW VDFULILFLQJ UHVLGHQFH RQ WKH IDUPVWHDG f 7KRVH OLYLQJ LQ VXFK DQ DUUDQJHPHQW KDYH WKH EHQHILWV RI WKRVH OLYLQJ RQ VFDWWHUHG IDUPVWHDGV VLQFH WKH\ DFWXDOO\ OLYH RQ WKH ODQG DQG WKXV DUH FORVH WR WKHLU ILHOGV DQG DQLPDOV $W WKH VDPH WLPH WKHLU QHLJKERUV DUH FORVH E\ VR WKDW WKH\ HQMR\ PRVW RI WKH VRFLDO FRQWDFWV DQG FRQYHQLHQFHV DIIRUGHG WR WKRVH OLYLQJ LQ YLOODJHV} ,QGHHG D FRQWHQWLRQ RI WKLV VWXG\ LV WKDW WKH OLQH YLOODJH FRPELQHV WKH HFRQRPLF DGYDQWDJHV RI WKH VFDWWHUHG IDUPVWHDG ZLWK WKH VRFLDO DGn YDQWDJHV RI WKH IDUP YLOODJH ,Q DGGLWLRQ WKH OLQH YLOODJH DUUDQJHn PHQW HOLPLQDWHV PDQ\ RI WKH GLVDGYDQWDJHV LQKHUHQW LQ WKH RWKHU WZR

PAGE 157

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f PDGH D VLPLODU FRQWHQWLRQ 0LQRUHnV ZRUN LQ WXUQ UHYHDOV WKH LQIOXHQFH RI WKH ILQGLQJV 6PLWK SUHVHQWHG LQ KLV VWXG\ RI /RXLVLDQD IDUP WUDGH FHQWHUV f

PAGE 158

SODFHG WKHLU KRXVHV QHDU WKH H[LVWLQJ URXWHV ,Q SDUW WKH SODFHPHQW RI WKH KRXVHV LV H[SODLQHG E\ WKH REVHUYHG SUHGLOHFWLRQ RI WKH &RVWD 5LFDQV WR XVH PRGHV RI WUDQVSRUWDWLRQ ZKLFK UHTXLUH URDGV UDWKHU WKDQ SDWKV 7KH WZRZKHHO R[GUDZQ FDUW PLJKW DOPRVW EH DFFHSWHG DV D QDWLRQDO V\PERO RI &RVWD 5LFD 5DWKHU WKDQ GHSHQGLQJ RQ SDFN DQLPDOV ZKLFK QHHG RQO\ WUDLOV IRU WKH WUDQVSRUWDn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f 7R DQ H[WHQW WKH KLJK GHJUHH WR ZKLFK DJULFXOWXUH KDV EHHQ GHYHORSHG LQ &RVWD 5LFD PD\ EH DWWULEXWDEOH WR WKH DGRSWLRQ DQG XVH RI WKH WZRZKHHO FDUW SXOOHG E\ R[HQ KLWFKHG ZLWK D \RNH 7KH UHOLDQFH RQ WKH FDUW DV D PHWKRG RI WUDQVSRUWDWLRQ RI FDUJR KDV EHHQ RI VWULNLQJ LPSRUWDQFH LQ UHFHQW GHFDGHV 7KH\ FDQ EH XVHG WR KDXO QRW RQO\ KHDYLHU REMHFWV EXW DOVR D ZLGHU YDULHW\ RI ORDGV WKDQ FDQ WURRSV RI SDFN DQLPDOV 2I HYHQ JUHDWHU FRQVHTXHQFH WKDQ WKH ZHLJKW RU YDULHW\ RI ORDGV DUH WKH FXOWXUDO PDQLIHVWDWLRQV ZKLFK

PAGE 159

KDYH EHHQ GHYHORSHG DV D UHVXOW RI WKH QHHG WR VWRUH WUDQVSRUW DQG FDUH IRU VXFK FDUJRV 6LQFH WKLV PRGH RI KDXOLQJ IUHLJKW KDG DOUHDG\ ? EHHQ GHYHORSHG WKH WUDQVIHU IURP WKH XVH RI FDUWV WR PRWRUL]HG PHDQV RI WUDQVSRUWDWLRQ FDXVHG UHODWLYHO\ IHZ GLVSODFHPHQWV LQ WKH VRFLRn FXOWXUDO WUDQVSRUWDWLRQ V\VWHP 6PDOO WUXFNV DQG MHHSV FDUU\ DSn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n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

PAGE 160

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n PHQW SDWWHUQ 'XH WR WKH FRQFHQWUDWLRQ RI SHRSOH DQG WR WKH LQFOXVLRQ

PAGE 161

RI VRPH RI WKH DPHQLWLHV RI XUEDQL]HG OLIH VXFK DV VPDOO SXO SHU IDV FRQYHQLHQFH VWRUHVf DQG VRPHWLPHV HYHQ VFKRROV WKHVH FOXVWHUV PXVW ? EH DFFHSWHG DV D W\SH RI OLQH YLOODJH 7KHLU UHVWULFWHG VL]H DQG WKH IDFW WKDW WKH\ DUH RIWHQ LQWHUUXSWHG E\ ODUJH H[SDQVHV RI IDUP ODQG PHDQV WKDW WKH\ FDQQRW EH WHUPHG DV WUXH OLQH YLOODJHV 7KH\ DUH UDWKHU D K\EULG YDULHW\ EHVW FODVVLILHG DV TXDVLOLQH YLOODJHV 'HOLYHU\ RI (OHFWULFLW\ (OHFWULFLW\ DV LV WKH FDVH ZLWK ZDWHU DQG JDV UHTXLUHV SK\VLFDO FRQVWUXFWLRQV IRU LWV GLVWULEXWLRQ 7KH VSDWLDO DUUDQJHPHQW RI SRn WHQWLDO FXVWRPHUV LV D PDMRU GHWHUPLQDQW LQ WKH SODFLQJ RI GLVWULEXWLRQ OLQHV 7KHUH LV OHVV FDSLWDO RXWOD\ DQG D JUHDWHU UHWXUQ RQ WKH f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

PAGE 162

HOHFWULF FXUUHQW 7KLV VHUYLFH FDQ EH PXFKn PRUH HDVLO\ H[WHQGHG WR WKRVH ZKR OLYH DORQJ WKH WUDQVPLVVLRQ OLQHV ZKLFK OHDG WR WKH XUn EDQL]HG DUHDV 7KH TXDVLOLQH YLOODJH W\SH RI VHWWOHPHQW SDWWHUQ LV RQH ZKLFK JUHDWO\ IDFLOLWDWHV WKH GHOLYHU\ RI HOHFWULFDO HQHUJ\ $OWKRXJK LW LV QRW DV HDV\ WR SURYLGH HOHFWULFLW\ WR WKRVH OLYLQJ DORQJ WKH ULJKW RI ZD\ RI PDMRU GLVWULEXWLRQ OLQHV DV LW LV WR WKRVH JURXSHG LQ YLOODJHV GXH WR WKH FRVW RI LQVWDOOLQJ QXPHURXV WUDQVIRUPHUV LW LV VWLOO PXFK HDVLHU WKDQ IXUQLVKLQJ WKH SRZHU WR WKRVH OLYLQJ LQ VLQJOH IDUPVWHDGV 7KXV ZKHQ UXUDO LQKDELWDQWV OLYH LQ KRXVHV DUUDQJHG LQ D OLQH HVn SHFLDOO\ LI WKH\ SDUDOOHO D URDG ZKLOH QRW SURYLGLQJ WKH RSWLPXP FRQGLWLRQV IRU HDVH RI HOHFWULILFDWLRQ WKHLU IRUP RI VHWWOHPHQW LV RQH ZKLFK IDFLOLWDWHV WKH GLVWULEXWLRQ RI HOHFWULFLW\ 6L]H RI )DUPV $ SULPDU\ FRQFHUQ RI WKLV VWXG\ ZDV WR H[DPLQH FORVHO\ WKH XVH RI HOHFWULF HQHUJ\ RQ IDUPV /DUJHO\ RZLQJ WR WKH IDFW WKDW HOHFn WULFLW\ KDV EHHQ DYDLODEOH LQ WKH DUHD IRU OHVV WKDQ IRXU \HDUV RQO\ WZR RI WKH WRWDO RI IDUPV DQG IDUP LNH HQWLWLHV LQ WKH DUHD VWXGLHG XWLOL]HG HOHFWULF HQHUJ\ IRU DJULFXOWXUDO RU SDVWRUDO SURGXFn WLRQ ,W ZDV IRXQG KRZHYHU WKDW QLQHW\VL[ RI WKRVH FODVVLILHG DV IDUPHUV RU VWRFNUDOVDUV GLG XVH HOHFWULFLW\ LQ WKHLU KRPHV 7KH IROORZLQJ FRPPHQWDU\ RQ WKH UHODWLRQVKLS EHWZHHQ WKH XVH RI HOHFWULFLW\ DQG WKH VL]H RI IDUPV LV SUHVHQWHG LQ DQ DWWHPSW WR IDFLOLWDWH WKH XQGHUVWDQGLQJ RI WKH SURFHVV RI WKH DGRSWLRQ RI HOHFWULFLW\ LQ UXUDO DUHDV ,W LV UHDVRQHG WKDW RQFH HOHFWULFLW\ LV DYDLODEOH DQG D IDUPHU XVHV LW LQ KLV GZHOOLQJ WKDW KH ZLOO EH PRUH LQFOLQHG WKDQ D

PAGE 163

QRQXVHU WR H[WHQG WKH XVH RI WKLV VRXUFH RI HQHUJ\ WR KLV DJULFXOWXUDO DQG SDVWRUDO DFWLYLWLHV 5XUDO VRFLRORJLVWV KDYH ORQJ EHHQ LQWHUHVWHG LQ WKH LPSRUWDQFH RI WKH VL]H RI IDUPV DV D GHWHUPLQDQW RI WKH VRFLDO ZHOOEHLQJ RI UXUDO UHVLGHQWV 7KH SUHVHQW DXWKRU KDV VWDWHG HOVHZKHUH WKDW 7KH LQVWLWXWLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG LQ UXUDO DUHDV DUH LQIOXHQFHG WR D FRQn VLGHUDEOH GHJUHH E\ WKH DEVROXWH DQG UHODWLYH LPSRUWDQFH RI WKH YDULRXV VL]HV RI IDUPV DQG VXEn IDUPV ,Q RUGHU WR XQGHUVWDQG WKH VSHFLILF DVn VRFLDWLRQV EHWZHHQ WKH VL]H RI UXUDO SODFHV DQG WKH RWKHU YDULDEOHV HDFK RI ZKLFK LQ UHDOLW\ LV D FRPSOH[ VRFLRFXOWXUDO V\VWHP LPSRUWDQW LQ WKH VWXG\ RI PDQODQG UHODWLRQV LW LV LPSHUDWLYH WR DQDO\]H WKLV FHQWUDO YDULDEOH f 7KH YDULDEOH EHLQJ H[DPLQHG KHUH WKH VL]H RI IDUPV DQG IDUPOLNH HQWLWLHV PD\ EH FRQVLGHUHG WR UHIHU WR WKH VL]H RI ODQG DUHDV XVHG SULPDULO\ IRU SDVWRUDO RU DJULFXOWXUDO DFWLYLWLHV ZKLFK DUH KHOG DV GHILQDEOH XQLWV XQGHU YDULRXV IRUPV RI WHQXUH 7KH EDVLF XQLW RI ODQG EHLQJ VWXGLHG LV WKH ILQFD ZKLFK PD\ EH WUDQVODWHG DV IDUP RU VXEIDUP 7KH WHUP ILQFD LV PRUH H[DFWO\ GHn ILQHG LQ WKH &RVWD 5LFDQ &HQVR $JURSHFXDULR &HQVXV RI $JULFXOWXUHf DV IROORZV $ IDUP IRU WKH SXUSRVHV RI WKH FHQVXV LV H[WHQVLRQ RI ODQG RI RQH RU PRUH PDQ]DQDV DQ GHGLFDWHG HLWKHU SDUWLDOO\ RU WRWDOO\ WR DJULn FXOWXUDO RU SDVWRUDO SURGXFWLRQ WKH ODERU IRU ZKLFK LV H[HFXWHG GLUHFWHG RU GLUHFWO\ DGPLQLVWHUHG HLWKHU E\ D SHUVRQ DORQH RU E\ RQH UHFHLYLQJ KHOS IURP RWKHUV Ef $ IDUP PD\ FRQVLVW RI RQH RU PRUH SDUFHOV HLWKHU RZQHG RU EHORQJLQJ WR VRPHRQH HOVH QRW QHFHV 2QH PDQ]DQD P]f KHFWDUHV KDf DFUHV Df

PAGE 164

f VDULO\ DGMDFHQW EXW ORFDWHG HLWKHU LQ RQH FDQWQ FRXQW\ LNH HQWLW\f RU LQ QHLJKERUn LQJ FDQWRQHV DV ORQJ DV WKH\ IRUP SDUW RI WKH VDPH HFRQRPLF DQG WHFKQLFDO XQLW &RVWD 5LFD 'LUHFFLQ *HQHUDO GH (VWDGVWLFD \ &HQVRQ frr 7KLV FHQVXV GHILQLWLRQ KDV WDNHQ PDMRU VWHSV WR UHFWLI\ VKRUWn FRPLQJV ZKLFK DUH XVXDOO\ LQKHUHQW LQ PRVW GHILQLWLRQV RI ILQFDV 2QH RI WKH RIWHQ LQFOXGHG ZHDNQHVVHV LV WKDW QRWHG E\ 7 /\QQ 6PLWK ZKLFK KH GHVFULEHV DV WKH JURXSLQJ WRJHWKHU LQ WKH RQH PRQROLWKLF FODVV RI H[SORWDFLRQHV WKH KXJH QXPEHU RI VPDOO VXEVLVWHQFH WUDFWV IURP ZKLFK D KLJK SURSRUWLRQ RI WKH IDUP ODERUHUV JDLQ VXEVWDQWLDO SDUWV RI WKH OLYHOLKRRG DQG WKH XQLWV RI YDULRXV W\SHV WKDW FRXOG TXDOLI\ OHWLWLPDWHO\ IRU FODVVLILFDn WLRQ DV VPDOO VXEVLVWHQFH IDUPV IDPLO\VL]HG IDUPV SODQWDWLRQV RU KXJH ODWLIXQGLD 6PLWK f $V D SRLQW RI FODULILFDWLRQ RI 6PLWKn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

PAGE 165

7KHVH VPDOO SDUFHOV RI ODQG DUH RQHV XSRQ ZKLFK FURSV DUH JURZQ WR VXSSOHPHQW WKH LQFRPH RI WKH FXOWLYDWRU UDWKHU WKDQ WR VHUYH DV D PDMRU VRXUFH RI KLV LQFRPH 6LQFH XQGHU WKHrSUHYD L LQJ FLUFXPVWDQFHV WKH FRQXFR FDQQRW EH PDGH WR SURGXFH HQRXJK WR SURYLGH HYHQ D VXEVLVWHQFH OHYHO RI H[LVWHQFH IRU WKH DJULFXOWXUDOLVW DQG KLV IDPLO\ LW FDQQRW EH UHJDUGHG DV D IDUP 5DWKHU DV D WUDFW RI ODQG XVHG PHUHO\ WR VXSSOHPHQW LQFRPH GHULYHG IURP RWKHU VRXUFHV WKH FRQXFR PXVW EH FRQVLGHUHG VHSDUDWHO\ IURP WKH RWKHU H[SORWDFLRQHV ZKLFK DUH YLHZHG DV IDUPV 7KH FRQXFR PXVW EH YLHZHG DV D nIDUPOLNH RU nVXEIDUPn XQLW f 7KH FDWHJRU\ RI ORWHV LV RQH RI ILYH FODVVLILFDWLRQV RI WKH VL]H RI IDUPV 6,=( )$50f XVHG LQ WKLV VWXG\ WKRVH DJULFXOWXUDOSDVWRUDO XQLWV RI OHVV WKLV OLPLW LV FRQVLVWHQW ZLWK QHLWKHU WKH &RQVLGHUHG DV ORWHV DUH DOO WKDQ WZR PDQ]DQDV 6LQFH &RVWD 5LFDQ FHQVXV FODVn VLILFDWLRQV QRU ZLWK WKRVH XVHG E\ 8SKDP f LQ KLV SLRQHHULQJ ZRUN RQ WKH VWXG\ RI PDQODQG UHODWLRQV LQ &HQWUDO $PHULFD WKH UHDVRQV IRU VHOHFWLQJ WKLV ILJXUH VKRXOG EH JLYHQ %RWK WKH FHQVXV EXUHDX DQG 8SKDP FRQVLGHU DV VXEIDUPV WKRVH WUDFWV RI OHVV WKDQ RQH PDQ]DQD 7KLV OLPLW DSSHDUV WR EH DUWLILFLDOO\ ORZ HVSHFLDOO\ LQ 6DQ &DUORV ZKHUH EHFDXVH LW KDV EHHQ UHFHQWO\ LQKDELWDWHG WKH ODQG LV QRW D WKRURXJKO\ GHYRWHG WR SURGXFWLRQ DV LQ RWKHU SDUWV RI WKH FRXQWU\ %HFDXVH RI WKH FRGLQJ SURFHGXUHV XVHG LW LV LPSRVVLEOH WR GLIn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

PAGE 166

GHWHUPLQHG WKH FODVVLILFDWLRQ RI WKH UHPDLQLQJ IDUPV FORVHO\ IROORZHG HVWDEOLVKHG V\VWHPV IRU FDWHJRUL]LQJ WKH VL]H RI IDUPV 7KH VFKHPD DGRSWHG KHUH UHOLHV KHDYLO\ RQ WKH ZRUN FDUULHG RXW E\ 6PLWK D DQG Df 8SKDP f DQG 'DYLV f 7KH VHFRQG FDWHJRU\ RI WKH VL]H RI KROGLQJV LQFOXGHV WKRVH SODFHV ZKLFK VKRXOG SURSHUO\ EH UHIHUUHG WR DV PLQL IXQGLD 7KH\ DUH WKH VPDOO VXEVLVWHQFH IDUPV ZKLFK UDUHO\ SURGXFH HQRXJK WR DOORZ WKH FXOWLYDWRU WR VXVWDLQ KLV IDPLO\ +RZHYHU DOWKRXJK PRVW PLQ"IXQGLV WDV WKRVH ZKR IDUP PLQLIXQGLDf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f 7KLV VL]H RI KROGLQJ LV FRQVLGHUHG E\ PDQ\ WR EH WKH RSWLPXP VL]H LQ WKDW LW FDXVHV WKH IDUPHU WR DVVXPH WKH UROHV RI HQWUHSUHQHXU ZRUNHU DQG DGPLQLVWUDWRUA 7KH IDPLO\VL]HG IDUPV DUH VXEGLYLGHG LQWR WZR JURXSV LQ DQ )RU PRUH LQIRUPDWLRQ RQ WKH VXEMHFW RI WKH IDPLO\VL]HG IDUP VHH 7D\ORU HWB D@B f 1HOVRQ f DQG 6PLWK DQG =RSI f A 6PLWK KDV DQ H[WUHPHO\ FRJHQW GLVFXVVLRQ RI WKH UXUDO VRFLDO V\VWHP ZKLFK HYROYHV DURXQG WKH IDPLO\VL]HG IDUPV Df

PAGE 167

DWWHPSW WR PRUH ILQHO\ GLVFULPLQDWH EHWZHHQ KROGLQJV RI GLIIHUHQW VL]HV 7KH WKLUG FDWHJRU\ RI WKH VFKHPD FRQWDLQV WKH SODFHV ZKLFK PD\ EH GHn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nDQG ILQDO FDWHJRU\ LQFOXGHV DOO RI WKRVH XQLWV KDYLQJ RQH KXQGUHG RU PRUH PDQ]DQDV 6LQFH WKH ODUJHVW SODFH HQXPHUDWHG FRQWDLQV RQO\ HLJKW KXQGUHG DQG WZHOYH PDQ]DQDV DQG LQGHHG IHZ ODUJH HQWLWLHV ZHUH HQn FRXQWHUHG DOO SODFHV RI PRUH WKDQ RQH KXQGUHG PDQ]DQDV DUH JURXSHG WRJHWKHU 7KHVH DUH FRQVLGHUHG DV EHLQJ KDFLHQGDV 7KH KDFLHQGD LV FKDUDFWHUL]HG DV EHLQJ D KLJKO\ SURGXFWLYH XQLW ZKLFK XWLOL]HV QXn PHURXV KLUHG ODERUHUV 1R GDWD ZHUH JDWKHUHG IRU DQ\ ODWLIXQGLD WKURXJK WKH SURFHVV RI VXUYH\ UHVHDUFK 7R VXPPDUL]H WKH FODVVLILFDWLRQ RI 6,=( )$50 FDWHJRU\ RQH FRQWDLQV WKH ORWHV RI OHVV WKDQ WZR PDQ]DQDV FDWHJRU\ WZR FRQVLVWV RI WKH PLQLIXQGLD ZLWK IURP WZR WR OHVV WKDQ WHQ PDQ]DQDV FDWHJRU\ WKUHH LV PDGH XS RI WKH JHQXLQH IDPLO\ IDUPV ZLWK DW OHDVW WHQ EXW OHVV WKDQ ILIW\ PDQ]DQDV FDWHJRU\ IRXU HPEUDFHV WKH ODUJHU IDPLO\n VL]HG IDUPV KDYLQJ IURP ILIW\ WR OHVV WKDQ RQH KXQGUHG PDQ]DQDV DQG WKH ILIWK FDWHJRU\ LV FRPSRVHG RI KDFLHQGDV ZLWK RQH KXQGUHG RU PRUH PDQ]DQDV RI ODQG

PAGE 168

7KLV GLVFXVVLRQ RI WKH FRUUHODWHV RI HOHFWULFLW\ DQG WKH VL]H RI IDUPV LV EDVHG VROHO\ RQ WKDW LQIRUPDWLRQ JDWKHUHG LQ WKH VXUYH\ ,W LQFOXGHV GDWD DERXW WKH IDUPV RI DOO RI WKH DJULFXOWXUDOLVWV LQWHUn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n PHUDWHG 7KH\ UDQJH LQ VL]H IURP OHVV WKDQ RQHKDOI PDQ]DQD WR HLJKW KXQGUHG DQG WZHOYH PDQ]DQDV 2I WKHVH RQO\ DUH FODVVLILHG DV EHLQJ VXEIDUPV RU ORWHV RI OHVV WKDQ WZR PDQ]DQDV 7DEOH f 7KH PRGDO JURXS LV WKDW RI WKH PLQLIXQGLD ZLWK SODFHV KDYLQJ IURP WZR WR PDQ]DQDV $ WRWDO RI IDPLO\VL]HG IDUPV ZHUH DOVR FRXQWHG

PAGE 169

7DEOH $ &RPSDULVRQ RI WKH 6L]H RI )DUP RI 7KRVH ,Q WKH 7KUHH (OHFWULF8VH &DWHJRULHV 6L]H RI )DUP ,Q PDQ]DQDVf 727$/ (OHFW UF8VH &DWHJRULHV 8QGHU f f f f RYHUf 86(56 3HUFHQW 1XPEHU f f f f f ,1$&&(66,%/(6 3HUFHQW 1XPEH U f f f f f f f 121$'237(56 3HUFHQW 1XPEHU f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f 8 21

PAGE 170

FDWHJRULHV WKUHH DQG IRXUf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n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n WLRQ RI 6,=( )$50 WR WKH SHUFHQWDJH RI WKRVH LQ DQRWKHU FDWHJRU\ LQ

PAGE 171

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n KROGHUV DUH PRUH DSW WR XVH HOHFWULFLW\ WKDQ DUH WKHLU FROOHDJXHV ZKR KDYH VPDOOHU DPRXQWV RI ODQG $ SDUWLDO H[SODQDWLRQ RI WKLV LV IRXQG LQ DQ H[DPLQDWLRQ RI WKH UHODWLRQVKLSV EHWZHHQ WKH VL]H RI WKH IDUP DQG WKH OHYHO RI OLYLQJ $V PLJKW EH DQWLFLSDWHG WKHUH LV D SRVLWLYH FRUUHODWLRQ EHWZHHQ 6,=( )$50 DQG OHYHO RI OLYLQJ DV PHDVXUHG E\XVH RI WKH HOHFWULFLW\ IUHH OHYHORILYOQJ VFDOH /(9(/12(f 7KH UHODWLRQVKLSV EHWZHHQ WKHVH WZR YDULDEOHV LV VKRZQ LQ 7DEOH 7KH ODUJHU WKH IDUP WKH KLJKHU OHYHO RI OLYLQJ RI WKH RSHUDWRU 7KXV ZKLOH SHUFHQW RIWKRVH OLYLQJ RQ SODFHV RI OHVV WKDQ WZR PDQ]DQDV KDYH D ORZ VFRUH RQ /(9(/12( SHUFHQW RI WKRVH ZLWK WKH ODUJHVW IDUPV KDYH KLJK OHYHOV RI OLYLQJ

PAGE 172

7DEOH 3HUFHQWDJHV RI 86(56 1$&&(66,%/(6 DQG 121$'237(56 E\ 6L]H RI )DUP 6,=( )$50f FDWHJRULHV DQG 5DWLRV RI (DFK WR WKH 2WKHUV LL LL Q LL LL LL LL LL LL LL LL LL 6,=( )$50 &DWHJRULHV f t 727$/ 86(56 SHUFHQWDJHVf 1$&&(66 %/(6 SHUFHQWDJHVf f 121$'237(56 SHUFHQWDJHVf 5DWLR RI SHUFHQWDJHV RI 86(56 WR 121$'237(56 f§ 5DWLR RI SHUFHQWDJHV RI 86(56 WR 1$&&(66 %/(6 f§ 5DWLR RI SHUFHQWDJHV RI ,1$&&(66,%/(6 WR 121$'237(56 f§ YQ 9e!

PAGE 173

7DEOH $ &RPS£VLVRQ RI 6L]H RI )DUPV E\ (OHFWULFLW\IUHH /HYHORI/LYLQJ 6FDOH /(9(/12(f &DWHJRULHV 6L]H RI )DUPV LQ PDQ]DQDVf /(9(/12( t 727$/ &DWHJRULHV 8QGHU f f f RYHUf 6 ORZf 3HUFHQW 1XPEHU f f f f f PHGLXPf 3HUFHQW 1XPEHU f f f f n f t KLJKf 3HUFHQW 1XPEHU f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f

PAGE 174

6L]H RI IDUP LV VKRZQ WR EH FRUUHODWHG ZLWK /(9(/12( 7KH FRUUHn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f ,W VKRXOG EH QRWHG WKDW 6PLWK XVHG WKH WHUP HQWHUSULVH WR UHIHU WR WKH VRFLRn FXOWXUDO V\VWHPV ZKLFK UHYROYH DURXQG WKH SURGXFWLRQ RI HLWKHU D JLYHQ FURS RU W\SH RI OLYHVWRFN 'DYLV f 7KH 8QLWHG 6WDWHV %XUHDX RI WKH &HQVXV XWLOL]HV WKH FRQFHSW RI W\SHV RI IDUPV LQ WKH 86 &HQVXV RI $JULFXOWXUH 7KH W\SH RI

PAGE 175

IDUPLQJ LV GHWHUPLQHG E\ WKH YDOXH RI WKH VDOH RI IDUP SURGXFWV 7\SHV RI )DUPV 9ROXPH ,, &KDSWHU f 7KH &RVWD 5LFDQ 'LUHFFLQ *HQHUDO GH (VWDGVWLFD &HQVRV *HQHUDO 6WDWLVWLFV DQG &HQVXV $GPLQLVWUDWLRQf LQ LWV &HQVR $JURSHFXDULR $JULFXOWXUDO &HQVXVf XWLOL]HV D PXFK ORRVHU GHILQLWLRQ ZKLFK VSHFLILFDOO\ DOORZV WKH SURGXFHU WR W\SH KLV RZQ SODFH 7KH H[DFW PHWKRG XVHG LV SUHVHQWHG DV DQ LQVWUXFWLRQ WR WKH FHQVXV HQXPHUDWRU DV IROORZV f ,Q WKLV TXHVWLRQ \RX ZLOO QRWH WKH FHQVXV W\SH RU NLQG RI IDUP ZKLFK WKH SURGXFHU LQGLFDWHV 7KXV IRU H[DPSOH ULFH LI WKH SULQFLSDO FURS LV ULFH OLYHVWRFN LI WKH SULQFLSDO SURGXFH LV OLYHVWRFN HWF &RVWD 5LFD 'LUHFFLQ *HQHUDO GH (VWDGVWLFD \ &HQVRV ;//f 7KH VFKHPD RI FDWHJRUL]LQJ IDUPV E\ W\SH XVHG KHUH DQG SUHYLRXVO\ H[SODLQHG LQ &KDSWHU ,,, DWWHPSWV WR EH PRUH V\VWHPDWLF WKDQ WKH GHILQLWLRQDO SURFHVV XVHG LQ WKH &RVWD 5LFDQ &HQVR $JURSHFXDULR FDQ EH 8QIRUWXQDWHO\ EHFDXVH RI WKH OLPLWHG VSDFH JLYHQ WR WKLV VXEMHFW LQ WKH VXUYH\ VFKHGXOHV WKH VFKHPD XVHG LV QRW DV FRPSUHKHQVLYH DV WKDW XVHG LQ WKH 86B &HQVXV RI $JU LFXOWXUH $ FODVVLILFDWLRQ VFKHPD IRU W\SH RI IDUPLQJ 7<3( )$50f FRQWDLQLQJ ILYH FDWHJRULHV ZDV GHYLVHG ,QFOXGHG LQ WKH ILUVW FDWHJRU\ DUH WKRVH SODFHV JLYHQ RYHU SULPDULO\ WR FRIIHH FXOWXUH $OWKRXJK WKH OODQRV EHLQJ VWXGLHG DUH LQ WKH ORZODQGV FRIIHH LV WKH SUHGRPLQDQW FURS 0RUH WKDQ RQHILIWK RI DOO RI WKH IDUPV DUH FODVVLILHG DV FRIIHH IDUPV 6HH 7DEOH f ,QFOXGHG LQ WKLV FDWHJRU\ DUH XQLWV ZKLFK DUH GHYRWHG DOPRVW H[FOXVLYHO\ WR FRIIHH PRQRFXOWXUH DQG DOVR WKRVH RQ ZKLFK FRIIHH LV JURZQ LQ FRQMXQFWLRQ ZLWK DQRWKHU FURS W A 7UDQVODWHG E\ 0LFKDHO 'DYLV

PAGE 176

7DEOH $ &RPSDULVRQ RI 7\SH RI )DUPLQJ E\ 7KRVH ,Q WKH 7KUHH (OHFWULF8VH &DWHJRULHV 7\SH RI )DUPLQJ 727$/ (OHFWULF8VH &DWHJRULHV FRIIHHf RWKHU DJULFXOn WXUHf JHQHUDO JHQHUDO DJU,FXO ,YH WXUHf VWRFNf ,YH VWRFN DQG GDLU\f 86(56 3HUFHQW 1XPEH U f f f f f f ,1$&&(66 ,'/(6 3HUFHQW 1XPEH U f f f f f f 121$'237(56 3HUFHQW 1XPEHU ,' f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f

PAGE 177

3URPLQHQW DPRQJ WKH ODWWHU DUH LQVWDQFHV ZKHUH FRIIHH DQG EDQDQDV DUH JURZQ WRJHWKHU LQ WKH VDPH SORW &RIIHH SODQWV UHTXLUH VKDGH ,Q 6DQ &DUORV EDQDQD SODQWV DQG RWKHU SODQWDLQV DUH IUHTXHQWO\ XVHG WR SURYLGH WKLV :LWK VHOHFWLYH FXWWLQJ SURFHGXUHV WKH\ WKHQ IXUQLVK D VHFRQG FDVK FURS LQ WKH FRIIHH JURYHV 7KH VHFRQG 7<3( )$50 FDWHJRU\ LQFOXGHV WKH RWKHU IDUPV SURGXFLQJ FURSV 3ODFHV GHYRWHG WR VXJDU FDQH SODQWDLQV ILHOG FURSV URRW FURSV DQG PLVFHOODQHRXV DQG RWKHU W\SHV RI FURSV DUH JURXSHG WRJHWKHU LQ WKLV FDWHJRU\ 2QH SODQWDLQ JURZQ LQ WKH DUHD LV RI VSHFLDO LQWHUHVW 7KH ORFDO LQKDELWDQWV UHIXVH WR HDW JXLQHR FXDGUDGR D ODUJH SODQWDLQf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n WXUDO WKDQ SDVWRUDO $ EULHI JODQFH DW 7DEOH VXSSRUWV WKLV VWDWHn PHQW 6OLJKWO\ PRUH WKDQ WKUHHTXDUWHUV SHUFHQW RI WKH IDUPV WKDW FRXOG EH FODVVLILHG E\ W\SH DUH GHYRWHG SULPDULO\ WR WKH SURGXF

PAGE 178

7DEOH $ &RPSDULVRQ RI 7KRVH (QJDJHG LQ $JULFXOWXUDO RU 3DVWRUDO $FWLYLWLHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV 7\SH RI )DUPLQJ (OHFWULF8VH &DWHJRULHV $JULFXOWXUDO 3DVWRUDO 727$/ 86(56 3HUFHQW 1XPEHU f f f ,1$&&(66 ,%/(6 3HUFHQW 1XPEHU f f f 121$'237(56 3HUFHQW 1XPEHU f f f 727$/ 3HUFHQW 1XPEHU f f f

PAGE 179

WLRQ RI FURSV 7KH SURSRUWLRQ RI WKH SODFHV RQ ZKLFK SULPDULO\ FURSV DUH UDLVHG YDULHV DPRQJ WKH FDWHJRULHV RI WKH HOHFWULF XVH FKDUDFWHULV ? WLF UDQJLQJ IURP D KLJK RI SHUFHQW RI WKH 121$'237(56 WR D ORZ RI SHUFHQW RI WKH 86(56 7KH ,1$&&(66 %/(6 RFFXS\ DQ LQWHUPHGLDWH SRVLWLRQ ZLWK UHVSHFW WR WKLV FKDUDFWHULVWLF )DUPV SULPDULO\ GHYRWHG WR OLYHVWRFN HQWHUSULVHV DFFRXQW IRU SHUFHQW RI WKH IDUPV RI 86(56 SHUFHQW RI WKRVH RI WKH ,1$&&(66,%/(6 DQG SHUFHQW RI WKRVH RI WKH 121$'237(56 7KH GLIIHUHQFHV EHWZHHQ WKRVH SULPDULO\ HQJDJHG LQ DJULFXOWXUDO DFWLYLWLHV RQ WKH RQH KDQG RU LQ SDVWRUDO HQWHUSULVHV RQ WKH RWKHU GLPLQLVK ZKHQ 86(56 DQG 121$'237(56 DUH FRPELQHG WKDW LV ZKHQ DOO RI WKRVH ZLWKLQ UHDFK RI WKH HOHFWULFLW\ GLVWULEXWLRQ OLQHV DUH SODFHG LQ RQH JURXS *LYHQ WKLV FRPELQDWLRQ SHUFHQW RI WKRVH LQ WKH DUHD VHUYLFHG E\ FHQWUDO VWDWLRQ HOHFWULFLW\ PDLQO\ UDLVH FURSV DV FRPSDUHG ZLWK SHUFHQW RI WKRVH EH\RQG WKH UHDFK RI WKH GLVWULEXn WLRQ OLQHV 7KH VLPLODULW\ RI WKHVH VWDWLVWLFV LV FRQVLGHUHG WR LQGLFDWH D KRPRJHQHLW\ RI WKH HQWLUH UHVHDUFK DUHD ZLWK UHVSHFW WR W\SH RI IDUPLQJ $V VKRZQ LQ 7DEOH WKHUH DUH VRPH PDMRU GLIIHUHQFHV LQ SUHFLVH W\SHV RI IDUPV DPRQJ WKRVH LQ WKH FDWHJRULHV RI WKH HOHFWULF XVH FKDUDFWHULVWLF &RIIHH LV PRUH LPSRUWDQW LQ WKH DUHD VHUYLFHG E\ &3(/(6&$ WKDQ LV WUXH LQ WKDW EH\RQG WKH HOHFWULFLW\ GLVWULEXWLRQ OLQHV 7KH IDUPV GHYRWHG WR RWKHU W\SHV RI SXUHO\ DJULFXOWXUDO HQn GHDYRUV DUH FRQFHQWUDWHG LQ WKH DUHD EH\RQG WKH HOHFWULFLW\ OLQHV )DUPV KDYLQJ OLYHVWRFN HQWHUSULVHV DUH PRUH OLNHO\ WR EH RSHUDWHG E\ XVHUV RI HOHFWULFLW\ WKDQ E\ WKRVH RI HLWKHU NLQG RI QRQXVHUV ,Q IDFW SHUFHQW RI DOO PL[HGOLYHVWRFN SODFHV DQG SHUFHQW RI

PAGE 180

7DEOH $ &RPSDULVRQ RI 7KRVH ,Q WKH &DWHJRULHV RI 7\SH RI )DUPLQJ 7<3( )$50f E\ WKH &DWHJRULHV RI 6L]H RI )DUP 6,=( )$50f 6,=( )$50 7<3( )$50 &DWHJRULHV &DWHJRULHV PDQ]DQDVf FRIIHHf RWKHU DJULFXO WXUHf JHQHUDO DJULFXO WXUHf JHQHUDO ,YHVWRFNf ,YHn VWRFN DQG GD U\f 727$/ 8QGHU f 3HUFHQW 1XPEHU f f f f f f f 3HUFHQW 1XPEHU f f f f f f f 3HUFHQW 1XPEHU f f f f f f f 3HUFHQW RR 1XPEHU f f f f f f RYHUf 3HUFHQW RR RR 1XPEHU f f f f f f 727$/ 3HUFHQW n 1XPEHU f f f f f f &7Q

PAGE 181

DOO OLYHVWRFN DQGRU GDLU\ IDUPV DUH RSHUDWHG E\ 86(56 7KH W\SH RI IDUP LV EXW RQH RI VHYHUDO VRFLRFXOWXUDO V\VWHPV ZKLFK PDNH XS WKH ZD\ RI OLIH RI DJULFXOWXUDO SHRSOH WKH VL]H RI IDUP LV 2 DQRWKHU RI WKH V\VWHPV 6PLWK Df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m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

PAGE 182

OLYLQJ VFDOH /(9(/12(f 6HH 7DEOH f $OWKRXJK VHYHUDO RI HDFK W\SH RI IDUP DUH FRXQWHG DPRQJ WKRVH LQ HDFK RI WKH VWUDWD RI /(9(/12( r ? WKHUH DUH VRPH FRUUHODWLRQV EHWZHHQ W\SH RI IDUPLQJ DQG OHYHO RI OLYLQJ :KLOH WKH FRIIHH JURZHUV DUH UDWKHU HYHQO\ GLVWULEXWHG DFn FRUGLQJ WR /(9(/12( WKRVH ZKR UDLVH RWKHU W\SHV RI FURSV DUH FRQn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

PAGE 183

7DEOH $ &RPSDULVRQ RI 7KRVH ,Q &DWHJRULHV RI 7\SH RI )DUP 7<3( )$50f E\ &DWHJRULHV RI (OHFWUOFOW\IUHH /HYHORI/OYLQJ 6FDOH /(9(/12(f /(9(/12( &DWHJRULHV FRIIHHf 7<3( RWKHU DJULFXOn WXUHf )$50 &DWHJRULHV JHQHUDO JHQHUDO DJULFXO OLYHVWRFNf WXUH ,YH VWRFN DQG GDLU\f 727$/ t ORZf 3HUFHQW 1XPEHU f f f f f f PHGLXPf 3HUFHQW 1XPEHU f f f ,' f f f t KLJKf 3HUFHQW 1XPEHU f f f f f f 727$/ 3HUFHQW 1XPEHU f f f f f f YM R

PAGE 184

DFWLYLWLHV LQ WKH SDUW RI 6DQ &DUORV VWXGLHG 7KH\ DUH FRQVHTXHQWO\ EDVLF FRQVLGHUDWLRQV WR EH WDNHQ LQWR DFFRXQW LQ HYDOXDWLQJ WKH VRFLRn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n VHV ERWK WKH OHJDO DQG LOOHJDO KROGLQJ RI ODQG $ FRQFLVH GHILQLWLRQ RI WKH WHUP LV SURYLGHG E\ 'U 6DP 6FKXOPDQ LQ KLV FRPSUHKHQVLYH VWXG\ RI ODQG WHQXUH LQ /DWLQ $PHULFD DV IROORZV %\ ODQG WHQXUH LV PHDQW WKRVH ULJKWV HQMR\HG E\ UXUDO SHRSOH LQ DJULFXOWXUDOSDVWRUDO ODQGV ZKLFK WKH\ PD\ RZQ XVH RU ODERU XSRQ Af 7KH VWXG\ RI ODQG WHQXUH FDQ EH PHDQLQJIXOO\ GLYLGHG LQWR WZR PDMRU WRSLFV WKH HYROXWLRQ RI WKH SDWWHUQV RI ULJKWV WR WKH ODQG DQG DQ DQDO\VLV RI WKH DEVROXWH DQG UHODWLYH QXPEHU RI DJULFXOWXUDOLVWV DQG OLYHVWRFN UDLVHUV FODVVLILHG LQ WKH YDULRXV IRUPV RI WHQXUH

PAGE 185

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f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f

PAGE 186

&RVWD 5LFDQ ODQG LV KHOG E\ SURSULHWRUV LQ IHH VLPSOH 7KLV LV WKH V\VWHP RI RZQHUVKLS ZKLFK JLYHV WKH ODQGKROGHU YLUWXDOO\ DEVROXWH ULJKW WR XVH DQG GLVSRVH RI WKH ODQG 6PLWK DQG =RSI f $OWKRXJK WKH RZQHU KROGV DOPRVW DEVROXWH ULJKWV WR WKH ODQG WKH VWDWH GRHV UHWDLQ WKH ULJKW WR HPLQHQW GRPDLQ IRU SXUSRVHV RI SXEOLF QHFHVVLW\ DQG WKH ULJKW RI WD[DWLRQ $V QRWHG E\ 8SKDP WKH IROORZLQJ UHVWULFWLRQV KDYH DOVR EHHQ OHJDOL]HG WKH SURSHUW\ RZQHU KDV WKH REOLJDWLRQ WR DOORZ SDVVDJH WR DQ DGMDFHQW RZQHU ZKR ODFNV SXEOLF DFFHVV WR KLV ODQG +H PXVW DOVR UHIUDLQ IURP KDUPLQJ ODQG RI DQRWKHU E\ VXFK DFWV DV WKH SODQWLQJ RI WUHHV RU EXLOGLQJ ZDOOV LPSURSHUO\ f $ EDVLF WHQHW RI WKH IRUP RI ODQG RZQHUVKLS LQ &RVWD 5LFD LV WKDW WKH SURSULHWRU PD\ XVH WKH ODQG DV KH VHHV ILW 7KH OHJDO UHJXODWLRQ RI WKH UHODWLRQV RI PDQ WR WKH ODQG LV D IXQ GDPHQWDO DVSHFW RI WKH ODQG WHQXUH V\VWHP 6DODV DQG %DUDKRQD LQ WKHLU GHILQLWLYH VWXG\ RI DJUDULDQ ODZ LQ &RVWD 5LFD GHDOW ZLWK WKLV WRSLF f $FFRUGLQJ WR WKHVH DXWKRUV 7KH FXUUHQW PRVW LPSRUWDQW ODZ GHDOLQJ ZLWK ODQG WHQXUH LQ &RVWD 5LFD LV WKH /DQG DQG &RORQL]DWLRQ /DZ RI ZKLFK FUHDWHG WKH /DQG DQG &RORQL]DWLRQ ,QVWLWXWH ,7&2f DV DQ DXWRQRPRXV HQWLW\ 7KLV ODZ VXEVXPV WKH DFWLYLWLHV SUHYLRXVO\ UHJXODWHG XQGHU WKH ODZV RI 3XEOLF &RQWURO RI /DQG LQ WKH 3XEOLF 'RPDLQ RI RI 6TXDWWHU 2FFXSDQWV RI A DQG RI (FRQRPLF 'HYHORSPHQW RI 6DODV DQG %DUDKRQD fnr $PRQJ RWKHU REMHFWLYHV WKH /DQG DQG &RORQL]DWLRQ /DZ HQFRPSDVVHV WKH IROORZLQJ WR LQVXUH WKDW ODQG WHQXUH DUUDQJHPHQWV UHVXOW LQ LQFUHDVH RI DJULFXOWXUDO SURGXFWLRQ WR FDQFHO WKH ULJKW WR WKH ODQG IURP WKRVH ZKR XVH LW IRU VSHFXODWLRQ WR VWLPXODWH WKH IRUPDWLRQ RI FRRSHUDWLYHV 7UDQVODWHG E\ 0LFKDHO 'DYLV

PAGE 187

WR SURPRWH FRQVHUYDWLRQ RI QDWXUDO UHVRXUFHV DQG WR RYHUVHH WKH GHYHORSPHQW RI VPDOO DQG PHGLXPVL]HG ODQG KROGLQJV 6DODV DQG %DUDKRQD f 6SHFLILFDOO\ ,7&2 ZDV FKDUJHG ZLWK SHUIRUPLQJ WKH IROORZLQJ GXWcHV 7R WHUPLQDWH WKH SUDFWLFH RI VTXDWWHU RFFXSDWLRQ E\ LQFRUSRUDWLQJ GLUHFW FRORQL]DWLRQ DQG UHGLVWULEXWLRQ RI ULJKW WR ODQG 7R OHJDOL]H WKH FRQGLWLRQ RI WKH VTXDWWHU RU ODQG SDUDVLWH DQG UHVROYH WKH FRQIOLFWV RI VTXDWWHU RF FXSDQF\ 7R DGPLQLVWHU WKH 6WDWH DJULFXOWXUDO SURSHUW\ ZKLFK GHVHUYH WR EH GHDOW ZLWK 6DODV DQG %DUDKRQD f 7R VXPPDUL]H &RVWD 5LFDQ ODQG LV KHOG LQ IHH VLPSOH DQG LV UHJXn ODWHG E\ WKH /DQG DQG &RORQL]DWLRQ /DZ RI $ PDMRU IHDWXUH RI WKLV ODZ ZDV WKH FUHDWLRQ RI 7& ZKLFK LV FKDUJHG ZLWK WKH UHVROXWLRQ m RI WKH SUREOHP RI VTXDWWHUV DQG ZLWK WKH IRUPXODWLRQ DQG DGPLQLVWUDn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n PHQW DQG WKH HQWUHSUHQHXUVKLS IXQFWLRQ 7KH\ PDNH WKH GHFLVLRQV DQG 7UDQVODWHG E\ 0LFKDHO 'DYLV

PAGE 188

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r LQVWUXPHQW XVHG DQG DOVR EHFDXVH RI SUREOHPV RI DQ LQYHVWLJDWRU\ QDWXUH GLVFXVVHG EHORZ GDWD FRXOG QRW EH FRPSLOHG RQ VHYHUDO RI WKH SRVVLEOH YDULHWLHV RI WHQXUH 7KHUHIRUH WKH DQDO\VHV DUH UHVWULFWHG WR W\SHV RI IDUP RZQHURSHUDWRUV DQG WR WKH FDWHJRULHV RI MRUQDOHURV ZDJH KDQGVf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f 6PLWK f DQG 'DYLV f

PAGE 189

W\SHV LV EDVHG RQ WKH SURFHVV RI DFTXLVLWLRQ $FFRUGLQJ WR 6DHQ] DQG )RVWHU ? 8QOLNH PRVW &LYLO /DZ MXULVGLFWLRQV WKH &RVWD 5LFDQ &LYLO &RGH RQO\ SHUPLWV DFTXLVLWLRQ RI RZQHUVKLS WKURXJK SUHVFULSFLQ RUGLQDULD LH WKURXJK \HDUV RI SRVVHVVLRQ ZLWK D FRORUDEOH WLWOH DQG D JRRG IDLWK FODLP RI RZQHUVKLS 7KH SXUSRVH RI WKH RUGLQDULD UXOH LV WR FXUH OHJDOO\ GHIHFWLYH WLWOHV $ SHUVRQ ZKR EX\V ODQG DQG UHFRUGV D WLWOH WKDW LV OHJDOO\ GHIHFWLYH PD\ QHYHUWKHOHVV DFTXLUH RZQHUn VKLS DIWHU \HDUV RI SRVVHVVLRQ O3DUW 9, f ,W LV WKURXJK WKH RUGLQDULD SURFHVV WKDW ODQG KHOG LQ GHUHFKR PD\ EHFRPH SRVVHVVHG LQ HVFULWXUD )XWKHU OLJKW LV VKHG E\ 8SKDP RQ WKH PHDQLQJ RI WKH GLVWLQFWLRQ EHWZHHQ WKHVH WZR IRUPV RI SRVVHVVLRQ ,Q GLVFXVVLQJ KLV WULS IURP %RFD GH $UHQDO LQ 6DQ &DUORV GRZQ WKH 6DQ &DUORV 5LYHU KH LQFOXGHG LQ KLV MRXUQDO WKH IROORZLQJ LQVLJKWIXO FRPPHQWDU\ RQ WKH OHJDOLW\ RI ODQG RZQHUVKLS LQ WKH DUHD 0RVW RI WKH ODQG DORQJ WKH ZD\ ZDV KHOG E\ nGHUHFKRVn UDWKHU WKDQ E\ nHVFULWXUDn 7KLV PHDQV WKDW WKH KROGHUV GR QRW KDYH UHJLVWHUHG WLWOHV EXW GR KDYH D JHQHUDOO\ UHFRJQL]HG ULJKW WR WKH ODQG RIWHQ ZLWK D ELOO RI VDOH IURP D SUHYLRXV KROGHU 7R KDYH D UHJLVWHUHG WLWOH RQH KDV WR SD\ D ODQG VXUYH\RU WR PDNH D SODW RI WKH SURSHUW\ LQ TXHVWLRQ VSHOOLQJ RXW WKH ERXQGDULHV FOHDUO\ 7KHQ RQH KDV WR KDYH D ODZ\HU SURFHVV WKH FODLP OHJDOO\ $QG ZLWK D UHJLVWHUHG WLWOH JRHV WKH QDWXUDO REOLJDWLRQ WR SD\ ODQG WD[HV ZKLFK DPRXQW WR RQH FROQ SHU PDQ]DQD SHU \HDU 6R WKH FRVWV RI JHWWLQJ D WLWOH SOXV WKH LQYROYHPHQW ZLWK WD[HV GLVFRXUDJH WKRVH ZKR FRXOG JHW D WLWOH $QG VRPH KDYH QRW JRW JRRG JURXQGV IRU D WLWOH f 5HJDUGOHVV RI SRVVHVVLRQ RI D ODQG WLWOH WKRVH ZKR KDYH OLYHG RQ D SODFH IRU WHQ \HDUV DUH UHJDUGHG DV WKH ULJKWIXO RZQHUV 7KH MX[WDn SRVLWLRQ KRZHYHU RI RSHUDWRUV ZKR KDYH WLWOH WKRVH ZKR ULJKWIXOO\ RZQ WKH ODQG EXW GR QRW KDYH WLWOH DQG WKRVH ZKR DUH LQ WKH SURFHVV RI HVWDEOLVKLQJ UHVLGHQF\ RQ WKH ODQG KDYH PDGH WKH VXEMHFW RI ODQG

PAGE 190

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n IHUUHG QRW WR GLVFXVV OHJDOL]HG WHQXUH DUUDQJHPHQWV &RQVHTXHQWO\ PDWHULDO ZDV QRW FROOHFWHG FRQFHUQLQJ WKH DEVROXWH DQG UHODWLYH LPn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ff $ WRWDO RI IDUP ODERUHUV DOVR KDYH SORWV RI ODQG IRU DJULFXOWXUDO RU SDVWRUDO SURGXFWLRQ 7KHVH DUH VPDOO SDUFHOV RI ODQG ZLWK RQH H[FHSWLRQ WKH\ FRQWDLQ OHVV WKDQ PDQ]DQDV HDFK 7KXV LW DSSHDUV WKDW VRPH RI WKH KLUHG KDQGV DUH DEOH WR DXJPHQW WKHLU ZDJHV E\ ZRUNLQJ WKHLU RZQ VPDOO SORWV RI ODQG $ WRWDO RI LQGLYLGXDOV ZKR VWDWHG WKDW WKHLU SULPDU\ VRXUFH

PAGE 191

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n WLRQV DUH JHQHUDOO\ FDUULHG RXW LQ WKH FRQWH[W RI WKH IDPLO\ VWUXFWXUH 7KXV HYHQ WKRVH SURSULHWDO DVSHFWV RI IDUPLQJ ZKLFK DUH VKDUHG UHn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

PAGE 192

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r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n SHQGHQW UHQWHU VWDJH (YHQWXDOO\ IDUP RZQHUVKLS ZDV DWWDLQHG E\ DOO EXW D VPDOO SURSRUWLRQ f

PAGE 193

7KH UHODWLYH LPSRUWDQFH RI GLIIHUHQW DJH JURXSLQJV DPRQJ IDUP ODERUHUV IDUP DGPLQLVWUDWRUV DQG IDUP RSHUDWRUV JLYHV D VWURQJ LQGLFDWLRQ WKDW ? DQ DJULFXOWXUDO ODGGHU RSHUDWHV LQ WKH DUHD RI 6DQ &DUORV 7KH IDUP RSHUDWRUV HQXPHUDWHG LQ WKH UHVHDUFK SRSXODWLRQ DUH DSSUHFLDEO\ ROGHU WKDQ DUH HLWKHU WKH IDUP ODERUHUV RU IDUP DGPLQLVn WUDWRUV ,Q IDFW WKH JURXS PHGLDQ DJH RI IDUP RSHUDWRUV LV \HDUV ROGHU WKDQ WKDW RI WKH IDUP ODERUHUV DQG \HDUV ROGHU WKDQ WKDW RI WKH IDUP DGPLQLVWUDWRUV 6HH 7DEOH f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

PAGE 194

LQ WKH GLIIHUHQW RFFXSDWLRQDO FDWHJRULHV n,W ZDV VKRZQ WKDW WKH IDUP ODERUHUV ZKR GR RZQ VRPH ODQG SRVVHVV VPDOO SDUFHOV DQG WKDW WKH IDUP RSHUDWRUV WHQG WR KDYH ODUJHU SLHFHV RI ODQG 7KLV ZRXOG VHHP WR VXJJHVW WKDW DV WKH KLUHG KDQGV DFTXLUH PRUH ODQG WKH\ WUDQVIHU IURP EHLQJ MRUQDOHURV WR IDUP RSHUDWRUV 7KH REVHUYDWLRQV FRQFHUQLQJ WKH SUREDEOH H[LVWHQFH RI D IXQFWLRQLQJ DJULFXOWXUDO ODGGHU DUH VXSSRUWHG E\ WKH ILQGLQJV RI 6DHQ] DQG )RVWHU LQ WKHLU VWXG\ RI ODQG WHQXUH ODQG WLWOLQJ DQG DJULFXOWXUDO GHYHORSn PHQW 7KHVH DXWKRUV VHOHFWHG DV RQH RI WKHLU VWXG\ DUHDV WKH 3LWDO SRUWLRQ RI WKH OODQRV RI 6DQ &DUORV ,Q GLVFXVVLQJ WKLV DUHD WKH\ PDNH VHYHUDO JHUPDQH FRPPHQWV RQ ODQG WHQXUH DQG LQGLUHFWO\ RQnWKH DJULFXOWXUDO ODGGHU LQ 6DQ &DUORV &RPSDUHG ZLWK RWKHU IDUPLQJ UHJLRQV LQ &RVWD 5LFD 6DQ &DUORV LV D G\QDPLF DUHD IDUP RSHUDWRUV WHQG WR EH PRUH LQQRYDWLYH VKRZ PRUH HQWUHSUHQHXUVKLS DQG ZRUN KDUGHU DW EXLOGLQJ WKHLU IDUPV WKDQ LQ RWKHU DUHDV 7KRXJK PDQ\ RI WKH URDGV LQ WKH DUHD DUH XQXVDEOH PRVW RI WKH \HDU DQG WKRXJK RQO\ DQ DYHUDJH RI b RI WKH DUHD RI HDFK IDUP LV XQGHU FXOWLYDWLRQ WKH DYHUDJH JURVV YDOXH RI IDUP SURn GXFWLRQ LV WKH VHFRQG KLJKHVW RI DOO WKH DUHDV VWXGLHG 7KH PDLQ REMHFWLYH RI SHRSOH PLJUDWLQJ LQWR WKLV DUHD LV WKH DFTXLVLWLRQ RI ODQG WR IDUP 3DUW WLPH ZDJH ODERU LV UHJDUGHG E\ PRVW DV D WHPSRUDU\ XQGHUWDNLQJ WR UDLVH QHFHVVDU\ FDVK IRU IDUP DQG OLYLQJ H[SHQVHV XQWLO WKH IDUP KDV EHFRPH IXOO\ VHOIVXSSRUWLQJ b RI DOO WKH IDUPHUV LQWHUn YLHZHG LQ WKLV DUHD ZHUH LPPLJUDQWV DQG H[SHFWHG WR EXLOG SURGXFWLYH IDUPV 8QOLNH IDUPHUV LQ RWKHU DUHDV WKH LPPLJUDQWV KDYH H[SHULHQFHG HQRXJK VXFFHVV VR WKDW WKHLU JRDOV KDYH QRW EHHQ UHYLVHG GRZQZDUG 7KLV GLVHTXLOLEULXP EHWZHHQ H[SHFWDWLRQV DQG DFKLHYHPHQWV LV WKH VRXUFH RI WKH G\QDPLVP LQ WKLV DUHD f ,W DSSHDUV SUREDEOH WKDW LQ 6DQ &DUORV \RXQJ SHRSOH FDQ VWDUW DV KLUHG KDQGV REWDLQ D VPDOO SDUFHO RI ODQG DQG WKHQ SURFHHG WR EHn FRPH RSHUDWRUV RI VPDOO IDUPV 7KH GDWD KRZHYHU DUH E\ QR PHDQV

PAGE 195

FRQFOXVLYH 7KH\ ZRXOG KDYH WR VXEVWDQWLDWHG E\ IXUWKHU LQYHVWLJDWLRQ EHIRUH SRVLWLYH DVVHUWLRQV DERXW WKH H[LVWHQFH DQG IXQFWLRQLQJ RI DQ DJULFXOWXUDO ODGGHU FRXOG EH MXVWLILHG 5XUDO (OHFWULILFDWLRQ DV D )XQFWLRQ RI /DQG 7HQXUH 7KH WZR LPSRUWDQW ODQG WHQXUH FDWHJRULHV LQ 6DQ &DUORV ZHUH WKH MRUQDOHURV DQG IDUP RSHUDWRUV 7KRVH LQ WKHVH WZR ODQG WHQXUH FDWHJRULHV ZKR KDYH DFFHVV WR HOHFWULFLW\ KDYH DGRSWHG LW IRU GRPHVWLF XVH DW GLIIHULQJ UDWHV 2I WKRVH ZLWKLQ WKH UHDFK RI WKH HOHFWULFLW\ GLVWULn EXWLRQ OLQHV SHUFHQW RI WKH IDUP RSHUDWRUV DUH 86(56 FRPSDUHG ZLWK RQO\ SHUFHQW RI WKH IDUP ODERUHUV 6HH 7DEOH f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

PAGE 196

&+$37(5 9, 7+( ,03$&7 2) (/(&75,),&$7,21 21 585$/ 1(,*+%25+22'6 $1' &20081,7,(6 0HPEHUV RI VRFLHWLHV PD\ EH JURXSHG DFFRUGLQJ WR VRFLDO DQG VSDWLDO GLPHQVLRQV 7KHVH JURXSLQJV DUH UHIHUUHG WR DV ORFDOLW\ JURXSV 6PLWK Df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n ILFDWLRQ RQ QXFOHDWHG UXUDO VHWWOHPHQWV

PAGE 197

/RFDOLW\ *URXS 7\SRORJ\ 7KH FRQFHSW RI ORFDOLW\ JURXSV RI YDULRXV VL]HV DQG GHJUHHV RI FRPSOH[LW\ LV RI FHQWUDO LPSRUWDQFH WR WKLV FKDSWHU ,QYROYHG LV D VFKHPD UHSUHVHQWLQJ WKH YDULRXVVL]HG VRFLDO JURXSLQJV RI SHRSOH ZKR DUH UHODWHG RU OLQNHG WRJHWKHU WKURXJK VRFLDO LQWHUDFWLRQ 7KH WKHRUHWLFDO VWUXFWXUH RI ORFDOLW\ JURXSV LQFRUSRUDWHV DV LWV SULPDU\ FRPSRQHQWV WKH FRQFHSWV RI WKH QHLJKERUKRRG DQG WKH FRPPXQLW\ ,Q GHILQLQJ WKHVH WHUPV WKLV DXWKRU FORVHO\ IROORZV 6PLWK D f ZKR LQ WXUQ KDV EHHQ LQIOXHQFHG E\ WKH ZRUN RI *DOSLQ f DQG 0DFOYHU DQG f 7KH QHLJKERUKRRG LV GHILQHG DV D SODFH ZLWK D VPDOO QXPEHU RI SHRSOH LQ ZKLFK LQWLPDWH IDFHWRIDFH FRQWDFW LV PDLQWDLQHG DOPRVW RQ D GDLO\ EDVLV 6HH &RROH\ f 6PLWK GHILQHV D FRPPXQLW\ DV D JHRJUDSKLF HQWLW\ WKDW LV DQ DUHD RI LQWHUDFWLRQ ZLWK ILQLWH ERXQGDULHV ZKLFK LQFOXGHV LQ 0DFOYHUnV ZRUGV DQ\ FLUFOH RI SHRSOH ZKR OLYH WRJHWKHU ZKR EHORQJ WRJHWKHU VR WKDW WKH\ VKDUH QRW WKLV RU WKDW SDUWLFXODU LQWHUHVW EXW D ZKROH VHW RI LQWHUHVWV ZLGH HQRXJK DQG FRPSOHWH HQRXJK WR LQFOXGH WKHLU OLYHV LQ D FRPPXQLW\ f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

PAGE 198

WKH GHYHORSPHQW RI D IUDPHZRUN IRU YLHZLQJ ORFDOLW\ JURXSV D E DQG 6PLWK DQG =RSI f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n*URXSV 7KH ODUJHVW FRPPXQLW\ LQ &RVWD 5LFD LV WKH PHWURSROLWDQEDVHG RQH RI ZKLFK WKH QXFOHXV LV WKH QDWLRQDO FDSLWDO 6DQ -RV 5HODWLYH WR WKH RWKHU PHWURSROLWDQ DUHDV RI WKH ZRUOG 6DQ -RV ZRXOG KDYH WR EH UDQNHG QRW ZLWK WKH ODUJHVW EXW SHUKDSV ZLWK WKRVH LQ WKH WKLUG RU IRXUWK RUGHU RI PDJQLWXGH 1HYHUWKHOHVV LQ &RVWD 5LFD 6DQ -RV LV WKH SULPDWH FLW\ DQG DV VXFK LWV KLQWHUODQG HPEUDFHV WKH HQWLUH FRXQWU\ 6PLWK LQ DQ LQIRUPDWLYH GLVFXVVLRQ RIn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

PAGE 199

DQG DOO WKH RWKHU QDWLRQV EXW LW ZRXOG EH SRVVLEOH WR H[WHQG JUHDWO\ WKH OLVW RI WKH IXQFWLRQV WKDW WKH FLWLHV SHUIRUP IRU WKH VRFLHW\ RI ZKLFK WKH\ IRUP D SDUW f 6DQ -RV SHUIRUPV WR D ODUJH H[WHQW DOO RI WKH IXQFWLRQV PHQWLRQHG E\ 6PLWK 2I VSHFLDO LPSRUWDQFH LV WKH UROH RI WKH PHWURSROLWDQ EDVHG FRPPXQLW\ RI ZKLFK 6DQ -RV LV WKH XUEDQL]HG FHQWHU DV WKH SROLWcFDODGPLQLVWUDW LYH PDQXIDFWXULQJ FRPPHUFLDO FXOWXUDO PDVV PHGLD DQG IRUHLJQ H[FKDQJH FHQWHU RI WKH HQWLUH QDWLRQ 7KHUH DUH WKUHH FLWLHV LQ &RVWD 5LFD VHFRQG LQ LPSRUWDQFH WR 6DQ -RV 7KHVH DUH 0DMXHOD +HUHGLD DQG &DUWDJR 7KHLU LPSRUWDQFH LV QRW PHDVXUHG PHUHO\ E\ VL]H EXW DOVR E\ WKHLU IXQFWLRQV DV FRPn PHUFLDO DQG SROLWLFDODGPLQLVWUDWLYH FHQWHUV (DFK RI WKH XUEDQ SRUWLRQV RI WKHVH FRPPXQLWLHV LV ORFDWHG LQ FORVH SUR[LPLW\ WR WKH FLW\ RI 6DQ -RV DQG HDFK LV WKH SROLWcFDODGPLQLVWUDWLYH FHQWHU IRU D ODUJH VHJPHQW RI WKH FRXQWU\ 7KHVH SODFHV DUH LQ UHDOLW\ ILOWHU FLWLHV ZKLFK SHUIRUP FHUWDLQ IXQFWLRQV LQ 6DQ -RVnV VWHDG 7KH FLW\ RI $ODMXHOD LV WKH FDSLWDO RI WKH SURYLQFLD SURYLQFHf RI $ODMXHOD LQ ZKLFK 6DQ &DUORV LV ORFDWHG 3ROLWLFDO DQG JRYHUQPHQWDO DGPLQLVWUDWLYH DFWLYLWLHV FRQGXFWHG LQ WKDW FLW\ LQIOXHQFH WKH SHRSOH ZKR UHVLGH LQ 6DQ &DUORV ,Q DGGLWLRQ WR WKHVH GXWLHV DQG VRPH FRPPHUFLDO VHUYLFHV WKH PDMRU IXQFWLRQ RI $ODMXHOD IRU WKH LQKDELWDQWV RI 6DQ &DUORV LV WKDW RI PRGLI\LQJ VRPH RI WKH DFWLYLWLHV ZKLFK HPDQDWH IURP 6DQ -RV 7KH FHQWHU RI $ODMXHOD FRQWDLQV PDQ\ VSHFLDOL]HG VHUYLFHV QRW DYDLODEOH LQ WKH KLQWHUODQGV 7KH GLYLVLRQ RI ODERU ZLWK QRQVSHFLDOL]HG IXQFWLRQV SHUIRUPHG LQ WKH RXWOD\LQJ DUHDV DQG VSHFLDOL]HG IXQFWLRQV FRQFHQWUDWHG LQ WKH FLW\ UHQGHUV WKH UXUDO SRUWLRQ RI WKH FRPPXQLW\ GHSHQGHQW RQ WKH XUEDQ SDUW

PAGE 200

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f RI 6DQ &DUORV ,Q WKH RUGHULQJ RI ORFDOLW\ JURXSV E\ VL]H DQG LQIOXHQFH WKH FRPPXQLW\ ZKLFK KDV &LXGDG 4XHVDGD DV LWV QXFOHXV LV LQFOXGHG LQ WKH FDWHJRU\ RI WKH IRXUWKDUJHVW JURXS ,Q WKLV FODVV DUH LQFOXGHG WKH KHDG WRZQV RI PRVW RI WKH FDQWRQV LQ WKH FRXQWU\ ,W VKRXOG EH VWUHVVHG WKDW ZKLOH VL]H DQG SROLWcFDODGPLQLVWUDW LYH FRQVLGHUDWLRQV DUH LPSRUWDQW FULWHULD IRU GHWHUPLQLQJ WKH FODVVLILFDn WLRQ RI D FRPPXQLW\ LQ LWV UHVSHFWLYH UDQN OHYHO RU VL]H RI ORFDOLW\ JURXSV WKH\ DUH E\ QR PHDQV WKH VROH GHWHUPLQDQWV $OO RI WKH YDULRXV IXQFWLRQV RI WKH VSHFLILF FRPPXQLW\ PXVW EH FRQVLGHUHG DQG HYDOXDWHG 6HH WKH IXQFWLRQV DV GHILQHG E\ 6PLWK D DQG Ff n &LXGDG 4XHVDGD ZKLFK ZDV IRUPHUO\ QDPHG 9LOOD 4XHVDGD D GHVLJQDWLRQ VWLOO XVHG E\ WKH UXUDO SHRSOH RI 6DQ &DUORV LV WKH JDWHZD\ FLW\ WR WKH /L DQRV JUDVV\ SODLQVf RI 6DQ &DUORV 7KH

PAGE 201

SRSXODWLRQ RI WKH FLW\ LV OLVWHG DV DQG WKH WRWDO SRSXODWLRQ RI WKH FDQWQ LV JLYHQ DV LQ WKH $QXDULR (VWDGVWLFR GH &RVWD 5LFD t &RVWD 5LFD 'LUHFFLQ *HQHUDO GH (VWDGVWLFD \ &HQVRV f 7KXV URXJKO\ RQHWKLUG RI WKH LQKDELWDQWV RI WKH FDQWQ DUH XUEDQ $OWKRXJK LW LV RI PRGHUDWH VL]H WKH XUEDQ QXFOHXV FDOOHG &LXGDG 4XHVDGD KDV VHYHUDO ZHOOGHILQHG IXQFWLRQV WKH H[HUFLVH RI ZKLFK VWURQJO\ DIIHFW WKH UXUDO UHVLGHQWV RI D YDVW VXUURXQGLQJ DQG WULEXn WDU\ DUHD 7KH PRVW LPSRUWDQW RI WKHVH IXQFWLRQV LV WKDW RI D FRPn PHUFLDO DQG WUDGH FHQWHU /RFDWHG LQ WKH FLW\ DUH UHWDLO DQG ZKROHn VDOH RXWOHWV DQG FRPPHUFLDO VHUYLFHV GHDOLQJ LQ FORWKLQJ GUXJV YHWHULQDU\ VHUYLFHV KDUGZDUH IDUP VXSSOLHV DSSOLDQFHV DQG VR RQ 2I LPSRUWDQFH WR WKLV VWXG\ DUH WKH QXPHURXV DSSOLDQFH VWRUHV ZKLFK VWRFN HOHFWULFDO DSSDUDWXV UDQJLQJ IURP WKH PRVW VLPSOH RQHEXUQHU KRW SODWHV WR WKH PRVW HODERUDWH FRPSRQHQWSDUWV RI KLJKILGHOLW\ UHFRUG SOD\HUV DQG WDSHUHFRUGLQJ XQLWV &ORVHO\ DOOLHG ZLWK WKH FRPPHUFLDO DFWLYLWLHV DUH WKH FLW\nV ILQDQFLDO VHUYLFHV $ PDMRU EUDQFK RI WKH %DQFR 1DFLRQDO GH &RVWD 5LFD 1DWLRQDO %DQN RI &RVWD 5LFDf DQG DQ DJHQF\ RI WKH %DQFR $QJOR $QJOLFDQ %DQNf DUH ORFDWHG LQ LW ,Q DGGLWLRQ WR WKH QRUPDO EXVLQHVV WUDQVDFWLRQV ERWK RI WKHVH EDQNV KDYH PDMRU SURJUDPV RI VXSHUYLVHG FUHGLW ZKLFK WKH\ RIIHU WR DJULFXOWXUDOLVWV 7KH %DQFR 1DFLRQDO DOVR KDV D ODUJH ZDUHKRXVH IRU WKH VWRUDJH RI FURSV VROG WR WKH JRYHUQPHQW DV SDUW RI WKH SURJUDP RI JXDUDQWHHG PLQLPXP SULFHV IRU FURSV :RUNLQJ ZLWK WKH VXSHUYLVHGFUHGLW SURJUDP RI WKH EDQNV LV WKH VWDII RI WKH UHJLRQDO RIILFH RI WKH 0LQLVWHULR GH $JULFXOWXUD *DQDGHUD 0LQLVWU\ RI $JULFXOWXUH DQG /LYHVWRFNf 0$*f ORFDWHG LQ

PAGE 202

&LXGDG 4XHVDGD 0$* DOVR SURYLGHV JHQHUDO DJULFXOWXUDO H[WHQVLRQ VHUYLFH ZKLFK JLYH DGGHG LPSRUWDQFH WR WKH FLW\ DV D FHQWHU IRU DJULn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nQR PHDQV OLPLWHG WR EXVHV 7KH PDLQWHQDQFH RI WUXFNV DQG RWKHU YHKLFOHV DQG PDFKLQHV HVSHFLDOO\ RI MHHSV DQG WUDFWRUV LV RI PDMRU LPSRUWDQFH LQ WKH FLW\ &LXGDG 4XHVDGD KRXVHV WKH RQO\ DGHTXDWH PHGLFDO DQG GHQWDO IDFLOLn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

PAGE 203

DUHD RI 6DQ &DUORV WKH FLW\ LV WKH VLWH RI D FRQFHQWUDWLRQ RI HGXFDn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nV SRVLWLRQ DV D FHQWHU IRU WKH GLVWULEXWLRQ RI YDULRXV W\SHV RI HQHUJ\ *DVROLQH IRU YHKLFOHV DQG RWKHU W\SHV RI HQJLQHV DQG NHURVHQH IRU FRRNLQJ DQG OLJKWLQJ LV GLVWULEXWHG WR WKH UXUDO ]RQHV IURP WKH FLW\ ,W LV DOVR WKH ORFDWLRQ RI WKH PDLQ RIILFHV RI WKH UXUDO HOHFWULF FRRSHUDWLYH &3(/(6&$f ZKLFK GLVWULEXWHV HOHFWULFLW\ WR WKH DUHD EHLQJ VWXGLHG ,W LV LURQLF WKDW WKH KHDGTXDUWHUV RI WKLV RUJDQL]Dn WLRQ VKRXOG EH KRXVHG LQ WKH FLW\ D GHQVHO\ SRSXODWHG DUHD ZKLFK GRHV QRW UHFHLYH WKH EHQHILW RI WKH KLJK TXDOLW\ HOHFWULFLW\ ZKLFK WKH FRRSHUDWLYH GLVWULEXWHV $OO RI WKH UHPDLQLQJ ORFDOLW\ JURXSV WS EH GLVFXVVHG DUH ORFDWHG LQ WKH /ODQRV RI 6DQ &DUORV %HIRUH H[DPLQLQJ WKHP LW VHHPV QHFHVn VDU\ WR GLJUHVV EULHIO\ 7KH SROLWLFDODGPLQLVWUDW LYH LQIOXHQFH RI

PAGE 204

WKH FLW\ RI 6DQ &DUORV GRHV QRW H[WHQG RYHU WKH HQWLUH /ODQRV 7KH ]RQH H[WHQGLQJ IURP 6DQ ,VLGUR GH 5R 3HDV %ODQFDV WKURXJK DQG LQ HOXGLQJ 6DQ )UDQFLVFR c£ SDUW RI WKH FDQWQ RI 6DQ 5DPQ UDWKHU WKDQ WKDW RI 6DQ &DUORV 7KH LQIOXHQFHV HPDQDWLQJ IURP 6DQ 5DPQ DUH PLQLPDO KRZHYHU IRU DOO WUDQVSRUWDWLRQ DQG FRPPXQLFDWLRQV EHWZHHQ WKH SRUWLRQ RI WKH VWXG\ DUHD LQ WKH FDQWQ RI 6DQ 5DPQ DQG LWV RZQ SROLWcFDODGPLQLVWUDW LYH FHQWHU PXVW SDVV WKURXJK &LXGDG 4XHVDGD 7KHUHIRUH WKHUH LV UHDVRQ IRU FRQVLGHULQJ WKH DUHD EHWZHHQ 6DQ ,VLGUR DQG 6DQ )UDQFLVFR DV SDUW RI WKH 6DQ &DUORV FRPPXQLW\ UDWKHU WKDQ DV D VHSDUDWH HQWLW\ $V LQGLFDWHG DERYH WKH FRPPXQLW\ RI ZKLFK &LXGDG 4XHVDGD LV WKH QXFOHXV LV SURSHUO\ SODFHG LQ WKH IRXUWK OHYHO RI ORFDOLW\ JURXSV 7KH QH[W FRPPXQLW\ WR EH GLVFXVVHG LV SODFHG IRXU OHYHOV EHORZ &LXGDG 4XHVDGD ,W LV WKH RQH WKDW KDV DW LWV FHQWHU WKH YLOODJH RI /D )RUWXQD n7KHUH DUH DW OHDVW WKUHH OHYHOV RI ORFDOLW\ JURXSV ZKHQ FODVVLILHG DFFRUGLQJ WR VL]H DQG LQIOXHQFH WKDW DUH PLVVLQJ LQ WKH UDQJH EHWZHHQ &LXGDG 4XHVDGD DQG /D )RUWXQD 7KHVH FDWHJRULHV FRQWDLQ WKRVH FRPPXQLWLHV ZKRVH QXFOHL PD\ EH GHVLJQDWHG DV VPDOO WRZQV ODUJH WRZQV DQG VPDOO XUEDQ FHQWHUV UHVSHFWLYHO\ 6LQFH QR H[DPSOHV RI WKHVH PLVVLQJ FODVVHV DUH IRXQG LQ WKH 6DQ &DUORV DUHD WKH\ DUH QRW GLVFXVVHG IXUWKHU /D )RUWXQD LV UHSUHVHQWDWLYH RI WKH HLJKWK OHYHO RI WKH VL]H RI ORFDOLW\ JURXSV LQ &RVWD 5LFD /D )RUWXQD LV D YLOODJH VLWXDWHG DW WKH IRRW RI WKH 9ROFDQR $UHQDO 7KH VHWWOHPHQW ZDV RULJLQDOO\ FDOOHG %XUULWR /LWWOH %XUURf EXW WKH ORFDO HQWUHSUHQHXUV GHFLGHG WKDW /D )RUWXQD *RRG /XFNf ZDV D PRUH DSSURSULDWH WLWOH IRU WKHLU YLOODJH 7KH SODFH JUHZ UDSLGO\ XQWLO $XJXVW ZKHQ DQ HUXSW LRQ RI WKH YROFDQR EURXJKW WKH JURZWK

PAGE 205

WR D KDOW /D )RUWXQD HVFDSHG GDPDJH EXW WKH UHVLGHQWV ZHUH HYDFXn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n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fDQG LQ WKH DUHD WULEXWDU\ WR LW /D )RUWXQD LV WKH VHDW RI DGPLQLVWUDWLYHSROLWLFDO DXWKRULW\ IRU D GLVWULWR GLVWULFWf $V VXFK LW KDV D GLVWULFW FRXQFLO DQG D SROLFH FKLHI ,W LV DOVR WKH VLWH RI WZR VXEVLGLDU\ JRYHUQPHQWDO DJHQFLHV %UDQFK RIILFHV RI WKH 0LQLVWHULR GH $JULFXOWXUD \ *DQDGHn UD DQG RI WKH 0LQLVWHULR GH 2EUDV 3EOLFDV 0LQLVWU\ RI 3XEOLF :RUNVf DUH LQ WKH YLOODJH 7ZR HPSOR\HHV RI WKH IRUPHU RQH RI ZKRP ZRUNV DV DQ DJULFXOWXUDO H[WHQVLRQ DJHQW DQG WKH RWKHU DV D SURPRWHU RI EHWWHU IDPLO\ DQG GRPHVWLF SUDFWLFHV DUH VWDWLRQHG LQ WKH YLOODJH

PAGE 206

7KHLU RIILFH SURYLGHV VSDFH DQG IDFLOLWLHV fIRU WKH QXPHURXV IXQFWLRQn DULHV RI WKH PLQLVWU\ ZKR DUH WHPSRUDULO\ LQ WKH DUHD 5RDGPDLQWHn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

PAGE 207

7KHUH LV D FRQVLGHUDEOH PRYHPHQW RI WUXFNV LQ WKH DUHD $OWKRXJK PDQ\ WUXFNV DUH HPSW\ XSRQ DUULYDO ZKHQ WKH\ OHDYH WKH\ DUH IXOO RI UDZ SURGXFWV PDLQO\ ORJV FDWWOH PLON DQG RWKHU DJULFXOWXUDO SURn GXFH &RPPHUFH DOWKRXJK LW LV VLJQLILFDQW LV QRW WKH PRVW LPSRUWDQW RI WKH VHUYLFHV SURYLGHG LQ /D )RUWXQD 7KHUH DUH DV RQH PLJKW H[SHFW VHYHUDO VWRUHV RI YDULRXV W\SHV LQ WKH YLOODJH 7KH DVVRUWn PHQW RI PHUFDQWLOH JRRGV KRZHYHU LV QRW VXIILFLHQW WR IXOILOO WKH QHHGV RI WKRVH OLYLQJ LQ WKH WUDGH DUHD VHUYHG E\ /D )RUWXQD 6LQFH PDQ\ RI WKH UHVLGHQWV RI WKH VPDOOHU FRPPXQLW\ PDNH IUHTXHQW WULSV WR WKH ODUJHU FLW\ WKH PHUFKDQWV RI WKH VPDOO YLOODJH KDYH QRW EHHQ DEOH WR FDSWXUH FXVWRPHUV IURP WKH PHUFKDQWV RI &LXGDG 4XHVDGD W 7KH SRRU HOHFWULFDO VHUYLFH DYDLODEOH LQ WKH YLOODJH KDV DGn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n WLRQ UDGLDWHV IURP WKH YLOODJH WKHUH DUH QR IDFLOLWLHV IRU UHSDLULQJ YHKLFOHV VLQFH WKH\ WRR PXVW UHO\ RQ HOHFWULFLW\ 7KHUH LV D EDUEHU VKRS EXW WKH EDUEHU XVHV KDQG FOLSSHUV UDWKHU WKDQ HOHFWULFDO RQHV 7KHUH DUH QR DSSOLDQFH VWRUHV ,QGHHG DOWKRXJK /D )RUWXQD JHQHUDWHV LWV RZQ HOHFWULFLW\ WKHUH DUH IHZ HOHFWULFDO DSSOLDQFHV XVHG LQ WKH

PAGE 208

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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

PAGE 209

DV 6DQ ,VLGURf DQG /D 7LJUD UHVSHFWLYHO\ $OO RI WKHVH DUH LQFRPn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f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n WHJUDWLYH IXQFWLRQV DQG LW FRQVLVWV RI WKUHH W\SHV RI DFWLYLWLHV (DFK RI WKH QXFOHL RI WKHVH SDUWLDO FRPPXQLWLHV KDV D VRFFHU WHDP &ROG EHYHUDJHV HVSHFLDOO\ EHHU DUH IRU VDOH LQ WKH KDPOHWV ZKHUHDV IUHTXHQWO\ WKH\ DUH QRW DYDLODEOH LQ WKH SXOSHUIDV VPDOO QHLJKERUn KRRG VWRUHVf LQ WKH PRUH UXUDO ]RQHV $QG ILQDOO\ GDQFHV DQG RWKHU ILHVWDV DUH KHOG LQ WKH ODUJHU EDUV LQ WKH KDPOHWV )LYH ORFDOLW\ JURXSV FODVVLILHG DV LQFRPSOHWH RU SDUWLDO FRP

PAGE 210

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n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

PAGE 211

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f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

PAGE 212

SDUW RI D UXUDO QHLJKERUKRRG RU D ODUJHU ORFDOLW\ JURXS 1R H[DPSOHV RI WKH LVRODWHG UXUDO IDPLO\ DUH RIIHUHG IRU IXUWKHU FRPPHQWDU\ 7R UHFDSLWXODWH WKH VFKHPD RI WKH VL]H RI ORFDOLW\ JURXSV LQ &RVWD 5LFD DV GHYLVHG E\ WKH SUHVHQW DXWKRU LQFOXGHV WKRVH FHQWHULQJ DURXQG WKH IROORZLQJ f 0HWURSROLWDQ 6DQ -RV f 0HWURSROLWDQ ODUJH SURYLQFLDO FDSLWDOV f /HVVHU SURYLQFLDO FDSLWDOV DQG 6DQ ,VLGUR HQ *HQHUDO M f 0RVW FDQWRQ FDSLWDOV f 0LVVLQJ EXW SUREDEO\ VPDOO XUEDQ FHQWHUV f 0LVVLQJ EXW SUREDEO\ ODUJH WRZQV f 0LVVLQJ EXW SUREDEO\ VPDOO WRZQV f 9LOODJHV f 1XFOHDWHG UXUDO KDPOHWV f 6DWHOOLWH UXUDO KDPOHWV f 5XUDO QHLJKERUKRRGV f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

PAGE 213

VHFRQGDU\ ORFDOLW\ JURXSV ,Q WKLV VHFWLRQ WKH HPSKDVLV LV SODFHG RQ YLHZLQJ WKH ZD\V LQ ZKLFK VRPH RI WKHVH ORFDOLW\ JURXSV DUH OLQNHG WRJHWKHU DW GLIIHUHQW OHYHOV RI LQWHJUDWLRQ &DVH +LVWRULHV 7KH PHWKRG FKRVHQ WR VWXG\ WKH OHYHOV RI LQWHJUDWLRQ LV WKH FDVH KLVWRU\ DSSURDFK 7KH VLWXDWLRQV RI VSHFLILF LQGLYLGXDOV DUH H[DPLQHG WR DVFHUWDLQ KRZ WKH\ DUH c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n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

PAGE 214

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n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

PAGE 215

WR ORFDOLW\ JURXSV RXWVLGH RI 6DQ &DUORV +H KDV D EURWKHU OLYLQJ LQ WKH FLW\ RI $ODMXHOD %HFDXVH RI WKH FORVH FRQWDFW EHWZHHQ WKH f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n SKHUDOn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

PAGE 216

ERUKRRG ZKLFK LV VHSDUDWH IURP DOWKRXJK TXLWH FORVH WR D KDPOHW ZKLFK LV WKH FHQWHU RI D SDUWLDO FRPPXQLW\ ,W LV 'RQ &VDUnV UROH DV D OHDGHU ZKLFK KDV PRVW FORVHO\ WLHG KLP LQWR VHYHUDO ORFDOLW\ JURXSV +H LV WKH SUHVLGHQW RI WKH FRPn PXQLW\ GHYHORSPHQW MXQWD RI 5IR 7LJULOOR DQG KDV XVHG KLV LQIOXHQFH WR KHOS LPSURYH WKH DUHD /DUJHO\ GXH WR KLV HIIRUWV D JUDLQGU\LQJ SODQW ZDV FRQVWUXFWHG QHDU 5IR 7LJULOOR 'RQ &VDU ZRUNHG FORVHO\ ZLWK DOO SKDVHV RI WKH SODQQLQJ DQG FRQVWUXFWLRQ RI WKH JRYHUQPHQWDOO\ ILQDQFHG SODQW 7KLV LQYROYHPHQW SODFHG KLP LQ FRQWDFW ZLWK D ZLGH YDULHW\ RI SHRSOH ZKR UHVLGH RXWVLGH RI WKH DUHD $V D UHVXOW RI WKLV 'RQ &VDUnV KRPH LV D IUHTXHQW VWRSSLQJ SODFH IRU RIILFLDOV ZKR KDYH UHDVRQV IRU YLVLWLQJ 6DQ &DUORV 'RQ &VDU RZQV ERWK WKH IDUP RQ ZKLFK KH UHVLGHV DQG D VHFRQG SODFH ORFDWHG QHDU /D )RUWXQD +LV VRQ QRZ IDUPV WKH SODFH QHDU /D )RUWXQD ZKHUH 'RQ &VDU SUHYLRXVO\ OLYHG 6LQFH KH IUHTXHQWO\ FRPn PXQLFDWHV ZLWK KLV VRQ DQG VLQFH KH IRUPHUO\ OLYHG LQ WKH FRPPXQLW\ FHQWHULQJ RQ /D )RUWXQD 'RQ &VDU LV LQWHJUDWHG LQWR WKDW FRPPXQLW\ $V D 3URWHVWDQW 'RQ &VDU GLIIHUV IURP PRVW RI KLV QHLJKERUV LQ ERWK KLV UHOLJLRXV DQG VRFLDO DFWLYLWLHV %HFDXVH RI KLV UHOLJLRQ 'RQ &VDU GRHV QRW GULQN DOFRKROLF EHYHUDJHV 7KXV KH GRHV QRW SDUWLFLSDWH LQ D PDMRU VRFLDO DFWLYLW\ WKDW RI GULQNLQJ LQ WKH VPDOO VWRUHV DQG GDQFH KDOOV 7KLV LQ WXUQ ZHDNHQV WR VRPH H[WHQW WKH VRFLDO LQWHJUDWLRQ RI WKH PDQ LQ KLV SULPDU\ ORFDOLW\ JURXS 'XH WR KLV JHRJUDSKLF ORFDWLRQ 'RQ &VDU LV D PHPEHU RI WZR EDVLF ORFDOLW\ JURXSV WKDW RI KLV UXUDO QHLJKERUKRRG DQG WKDW RI WKH LQFRPSOHWH FRPPXQLW\ RI ZKLFK 5IR 7LJULOOR LV WKH QXFOHXV +LV LQWHUHVW LQ KLV VRQnV IDUP KDV FDXVHG KLP WR UHPDLQ LQWHJUDWHG LQ

PAGE 217

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nV WKLUG RFFXSDWLRQ LV WKDW RI D SROLFD UXUDO UXUDO SROLFHPDQf $V VXFK KH LV D PHPEHU RI WKH FDQWQV SROLFH IRUFH DQG LV VWDWLRQHG LQ D VSHFLILF DUHD +LV DFWLYLWLHV DV DQ RIILFHU RI WKH ODZ WDNH KLP ZHOO EH\RQG WKH FRQILQHV RI KLV RZQ QHLJKERUKRRG $V VXFK KH LV SDUW RI KLV RZQ LQFRPSOHWH FRPPXQLW\ DQG WR D OHVVHU GHJUHH RI VHYHUDO QHLJKERULQJ LQFRPSOHWH FRPPXQLWLHV %HFDXVH KH LV D PHPEHU RI WKH FDQWQnV SROLFH IRUFH KH LV DQ LQWHJUDO SDUW RI WKH FRPPXQLW\ EDVHG RQ &LXGDG 4XHVDGD

PAGE 218

6RFLDO 3DUWLFLSDWLRQn 7KH GHJUHH RI LQYROYHPHQW E\ UHVLGHQWV LQ FRPPXQLW\ DQG QHLJKn ERUKRRG RUJDQL]DWLRQV LV D UHDVRQDEOH LQGLFDWRU RI WKH VRFLDO LQWHJUDn WLRQ RI D SDUWLFXODU ORFDOH $WWHQWLRQ LV QRZ WXUQHG WR DQ H[DPLQDn WLRQ RI WKH IRUPDO VRFLDO SDUWLFLSDWLRQ LQ RUJDQL]DWLRQV DVVRFLDn WLRQV DQG FRRSHUDWLYHV 6SHFLDO FRQVLGHUDWLRQ LV JLYHQ WR YLHZLQJ WKH LQIOXHQFH RI &223(/(6&$ DV DQ LQWHJUDWLQJ IRUFH 7KHUH LV D SOHWKRUD RI FRPPXQLW\ GHYHORSPHQW RUJDQL]DWLRQV LQ WKH 6DQ &DUORV DUHD 7KH\ IDOO URXJKO\ LQWR WZR W\SHV FRRSHUDWLYHV DQG FRPPXQLW\ RU QHLJKERUKRRG LPSURYHPHQW DVVRFLDWLRQV ,Q DGGLWLRQ WR &223(/(6&$ WKHUH DUH DW OHDVW WZR RWKHU FRRSHUDWLYHV LQ WKH DUHD 7KH &RRSH UDW L YD GH $KRUUR A &UGLWR GH &LXGDG 4XHVDGD 6DYLQJV DQG DQG &UHGLW &RRSHUDWLYH RI &LXGDG 2XHVDGDf &&,48(f LV DV LWV QDPH LPSOLHV D VDYLQJV DQG FUHGLW FRRSHUDWLYH &3(75,1,'$' LV DQ DJULFXOWXUDO FRRSHUDWLYH ZKLFK GHDOV SULPDULO\ ZLWK WKH PDUNHWLQJ DQG VHOOLQJ RI WKH FURSV SURGXFHG E\ LWV PHPEHUV 7KH QDWLRQDO FRPn PXQLW\ GHYHORSPHQW DJHQF\ 'L UHFHLQ 1DFLRQDO GH 'HVDUUROOR GH D &RPXQLGDGf f3,1$'(&2f LV DWWHPSWLQJ WR HVWDEOLVK LWV FRPPLWWHHV WKURXJKRXW 6DQ &DUORV DV ZHOO DV HOVHZKHUH LQ &RVWD 5LFD 7KHRUHWLFDOO\ WKH $VRFLDFLRQHV GH 'HVDUUROOR &RPXQDO FRPPXQLW\ GHYHORSPHQW DVVRFLDn WLRQVf EHLQJ RUJDQL]HG E\ ',1$'(&2 DUH GHVLJQHG DPRQJ RWKHU WKLQJV WR UHSODFH WKH PXOWLSOH SURMHFWVSHFLILF MXQWDV IRXQG LQ WKH DUHD ',1$'(&2 KDV HVWDEOLVKHG LWV MXQWDV LQ /D )RUWXQD /D 7LJUD /D 9HJD DQG 6DQ ,VLGUR GH 5R 3HDV %ODQFDV 7KHVH MXQWDV KDYH QRW DV \HW VXSHUVHGHG WKH SURMHFWVSHFLILF RUJDQL]DWLRQV ,Q PDQ\ RI WKHVH VDPH ORFDOHV DUH IRXQG VRPH RU DOO RI WKH IROORZLQJ RUJDQL]DWLRQV -XQWD

PAGE 219

GH %LHQHVWDU &RPXQDO FRPPLWWHH IRU FRPPXQLW\ ZHOOEHLQJf ZKLFK LV DQ H[WHQVLRQ RI WKH SXEOLF KHDOWK VHUYLFH -XQWD GH 3DWURQDWR (VFRODU FRPPLWWHH IRU VXSSRUWLQJ WKH VFKRROf IRU WKH FRQVWUXFWLRQ RU LPSURYHn PHQW RI SXEOLF VFKRROV -XQWD GH (GLILFDGRUD EXLOGLQJ FRPPLWWHHf IRU WKH FRQVWUXFWLRQ RI WKH ORFDO FKXUFK XVXDOO\ WKH 5RPDQ &DWKROLF FKXUFK DQG -XQWD GH 3URJUHVR SURJUHVV FRPPLWWHHf ZKLFK LV D FRPn PXQLW\ DFWLRQ FRPPLWWHH 7KH LQYHVWLJDWRU ZKR WDONV RQO\ ZLWK WKH FKDQJH DJHQWV DQG FRPn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f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

PAGE 220

7DEOH 5HVSRQVHV WR 4XHVWLRQ &RQFHUQLQJ 0HPEHUVKLS LUL 2UJDQL]DWLRQV $VVRFLDWLRQV DQG &RRSHUDWLYHV E\ WKH 7KUHH (OHFWULF8VH &DWHJRULHV (OHFWULF8VH f 1XPEHU RI 2UJDQL]DWLRQV &DWHJRULHV $VVRFLDWLRQV DQG &RRSHUDWLYHV 1RQH PR UH 727$/ 86(56 f f f f f f ,1$&&(66,%/(6 RR f f f f f f 121$'237(56 f f f f f f 727$/ f f f f f f

PAGE 221

EHORQJHG WR &3(/(6&$ RQO\ RI WKHVH VDPH UHVSRQGHQWV WKHQ VWDWHG WKDW WKH\ ZHUH PHPEHUV RI WKH FRRSHUDWLYH 7KH DERYH GLVFXVVLRQ XQGHUVFRUHV WZR SRLQWV f WKH ODFN RI DZDUHQHVV RI WKH PHPEHUV RI &3(/(6&$ RI WKHLU PHPEHUVKLS DQG f WKH IDFW WKDW WKH 86(56 DUH PRUH ,QFOLQHG WKDQ DUH WKH QRQXVHUV RI HOHFWULFLW\ WR EHORQJ WR PRUH WKDQ RQH RUJDQL]DWLRQ 7KH VWUXFWXUH RI &3(/(6&$ LV VXFK WKDW HYHU\ WHQ PHPEHUV KDYH DQ HOHFWHG GHOHJDWH ZKR KDV D YRWH DW WKH JHQHUDO DVVHPEOLHV $OO RI WKH UHVSRQGHQWV ZKR UHSRUWHG WKDW WKH\ ZHUH PHPEHUV RI &3(/(6&$ ZHUH DVNHG WRnQDPH WKHLU GHOHJDWH (LJKW\WKUHH RI WKHP FRXOG QRW GR VR 7KLUW\WZR UHVSRQGHQWV OLVWHG D QDPH ZKLFK ZDV DVVXPHG E\ WKH UHVHDUFKHUV WR EH D YDOLG GHOHJDWH 7ZHQW\VHYHQ UHVSRQGHQWV VWDWHG WKDW )UHGG\ $UUR\R ZDV WKHLU GHOHJDWH $UUR\R ,V WKH DGn PLQLVWUDWRU RI &3(/(6&$ DQG DV VXFK FDQQRW EH D GHOHJDWH 5HVSRQn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n WLRQ 2EYLRXVO\ VHYHUDO IDFHWV RI VRFLDO SDUWLFLSDWLRQ ZHUH QRW FRYHUHG 6SRUWV FOXEV LQFOXGLQJ LQ WKH RPQLSUHVHQW VRFFHU WHDPV

PAGE 222

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r WLRQ PD\ ZHOO KDYH GUDZQ SHRSOH LQWR LW GXULQJ WKH LQLWLDO VWDJHV RQFH WKH GLVWULEXWLRQ RI HOHFWULFLW\ KDG EHFRPH DQ RQJRLQJ HQGHDYRU WKH VWUXFWXUH RI WKH GLVWULEXWRU DSSHDUV WR KDYH EHFRPH LQFRQVHTXHQWLDO 7KH FRRSHUDWLYH VSLULW RI &223(/(6&$ DSSHDUV WR QHLWKHU DIIHFW LWV PHPEHUV QRU WR KDYH JLYHQ LPSHWXV WR WKH FUHDWLRQ RI RWKHU FRRSHUDWLYHV 7KH ,PSDFW RI 5XUDO (OHFWULILFDWLRQ RQ 1XFOHDWHG 6HWWOHPHQWV 7KH IRFXV LQ WKLV VHFWLRQ LV RQ WKH LPSDFW RI UXUDO HOHFWULILFDn WLRQ RQ WKH QXFOHDWHG SRUWLRQV RI ORFDOLW\ JURXSV $OWKRXJK WKH LQn IOXHQFHV RI WKH XVH RU QRQXVH RI HOHFWULFLW\ DUH VXSHULPSRVHG RQ DOO VHJPHQWV RI WKH YDULRXV W\SHV RI ORFDOLW\ JURXSV WKH\ DUH PRUH QRWLFHDEOH DV WKH\ DIIHFW WKH QXFOHDWHG SRUWLRQV RI WKH QHLJKERUKRRGV DQG SDUWLDO DQG VPDOO FRPPXQLWLHV 7KLV GLVFXVVLRQ LV DFFRUGLQJO\ OLPLWHG WR WKH KDPOHWV IRXQG DQG WR WKH YLOODJH RI /D )RUWXQD

PAGE 223

7KH FRPPXQDO XVH RU QRQXVH RI HOHFWULFLW\ DIIHFWV ERWK WKH LQWHUQDO VRFLDO LQWHJUDWLRQ RI WKH QXFOHL DQG WKH LQWHJUDWLRQ EHWZHHQ ORFDOLW\ JURXSV DW GLIIHUHQW OHYHOV 7KH IROORZLQJ DVVHUWLRQV DUH EHLQJ PDGH FRQFHUQLQJ WKH LPSDFW RI HOHFWULILFDWLRQ RQ VRFLDO LQWHJUD WLRQ f WKH HOHFWULILFDWLRQ RI D KDPOHW FDXVHV D WHPSRUDU\ ZHDNHQLQJ RI WKH VRFLDO LQWHJUDWLRQ RI WKH ORFDOH f ORFDOLW\ JURXSV ZKLFK DUH VWULYLQJ WR REWDLQ HOHFWULFLW\ DUH PRUH LQWHJUDWHG VRFLDOO\ WKDQ DUH WKRVH ZKLFK DUH UHFHQWO\ HOHFWULILHG DQG f HOHFn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

PAGE 224

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n DELOLW\ RI HOHFWULFLW\ VKRXOG EH FODVVLILHG DV D XVHU RI DQ DOWHUQDWH VRXUFH RI HOHFWULFDO FXUUHQW +RZHYHU EHFDXVH WKH FXUUHQW JHQHUDWHG WKHUH LV RI ORZ TXDOLW\ DQG EHFDXVH LW LV IUHTXHQWO\ LQWHUUXSWHG WKH YLOODJH LV PRUH DFFXUDWHO\ D PRGLILHG QRQXVHU RI HOHFWULFLW\ 7KH YLOODJHUV DUH VHHNLQJ WKH VHUYLFHV RI &223(/(6&$ HOHFWULFLW\ &RQn VHTXHQWO\ WKH YLOODJH PXVW EH FODVVLILHG DV DQ DUHD VWULYLQJ WR REWDLQ HOHFWULFLW\ 7KH IROORZLQJ H[FHUSW IURP P\ MRXUQDO GHDOV ZLWK VRPH RI WKH SUREOHPV RI WKH XVH RI HOHFWULFLW\ LQ /D )RUWXQD $XJXVW 6DWXUGD\ /D )RUWXQDf 2Q WKH ZD\ EDFN WR WKH +RWHO /D &HQWUDO ZKLFK LV PXFK WRR GLODSLGDWHG WR EH UHIHUUHG WR DV TXDLQW ZH ZHUH SDVVHG E\ D GUXQN GULYLQJ D IODWEHG WUXFN 'RQ $OIUHGR ZKR LV D YHU\

PAGE 225

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nV GUXQNHQ EXGGLHV VWDUWHG WDONLQJ ZLWK PH +H VDLG VWURQJHU SROHV ZHUH QHHGHG LQ /D )RUWXQD WROG KLP WKDW WKH SROHV ZHUH PDGH RI FRQFUHWH DQG ZHUH WKH VWURQJHVW PDGH +H FRXQWHUHG E\ VHULRXVO\ VXJJHVWLQJ WKDW SROHV ZKLFK FRXOG ZLWKVWDQG WKH LPSDFW RI WUXFNV ZHUH QHHGHG 6RPHWLPHV \RX FDQnW ZLQ DQ DUJXPHQW $XJXVW 6XQGD\ /D )RUWXQDf IHHO OLNH SD\LQJ WKH GUXQNHQ WUXFN GULYHUnV EDLO +H ZDV WKH EHVW WKLQJ WKDW FRXOG KDYH SRVVLEO\ KDSSHQHG IRU P\ ZRUN 7KH SHRSOH RI /D )RUWXQD ZHUH UHDOO\ UHDG\ WR WDON DERXW HOHFWULFLW\ WKLV PRUQLQJ IRXQG RXW PRUH LQ KDOI D GD\ WKLV PRUQLQJ WKDQ ZRXOG KDYH QRUPDOO\ XQFRYHUHG LQ D KDUG ZHHNn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nV DERXW KRXUV E\ ORDGHG WUXFN 7KH DFWXDO GLVWDQFH LQ WKLV FDVH LV QRW LPSRUWDQW 5DWKHU WKH DPRXQW RI WLPH QHHGHG WR PDNH WKH WULS LV RI LPSRUWDQFH /D )RUWXQD LV D ORJLFDO VLWH IRU D PDMRU WRZQ SURYLGLQJ VHUYLFHV WR SHRSOH LQ WKH VXUURXQGLQJ DUHD %XW LW LV QRW SURYLGLQJ WKHVH VHUYLFHV 7KH UHDVRQ PDLQWDLQ LV WKDW VHYHUDO RI WKHVH VHUYLFHV UHTXLUH WKH XVH RI D GHSHQGDEOH DQG LQH[SHQVLYH VRXUFH RI SRZHU $ PDMRU LQGLFDWRU RI WKH LQWHUQDO VRFLDO LQWHJUDWLRQ RI D

PAGE 226

ORFDOLW\ JURXS LV WKH GHJUHH DQG LQWHQVLW\ RI WKH IRUPDO VRFLDO SDUWLFLSDWLRQ E\ UHVLGHQWV LQ WKH DIIDLUV RI WKHLU ORFDOH $V LQn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r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

PAGE 227

PHPEHUV RI WKH ORFDOLW\ JURXSV UHOD[HG WKHLU FROOHFWLYH ,PSURYHPHQW HIIRUWV DQG HQMR\HG WKH IUXLWV RI WKHLU ODERU 2QO\ UHFHQWO\ KDYH n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n SOLDQFHV VXFK DV UHIULJHUDWRUV VWRYHV RU WHOHYLVLRQ VHWV 0DMRU HIIRUWV ZHUH EHLQJ PDGH LQ ERWK /RV $QJHOHV DQG (O 7DQTXH DV ZHOO DV LQ WKH UXUDO QHLJKERUKRRG RI 6DQ 5DIDHO WR REWDLQ &223(/(6&$VXSSO LHG HOHFWULFDO HQHUJ\ 7KH DFWLYLWLHV GLUHFWHG WRZDUGV DWWDLQLQJ WKLV JRDO LQFOXGHG WKH RUJDQL]DWLRQ RI ILHVWDV WR FROOHFW IXQGV IRU WKH FRQVWUXFWLRQ RI SXEOLF OLJKWLQJ WKH FRPSLODWLRQ RI OLVWV RI SRWHQWLDO XVHUV RI HOHFWULFLW\ DQG WKH LQIRUPDO RUJDQL]Dn WLRQ RI D GLUHFWRUDWH RI LQGLYLGXDOV WR FDUU\ RXW QHJRWLDWLRQV ZLWK &3(/(6&$ $W WKH WLPH WKH ILHOG UHVHDUFK IRU WKLV VWXG\ ZDV EHLQJ FRQGXFWHG WKHVH DFWLYLWLHV ZHUH LQ D SUHOLPLQDU\ VWDJH EXW DSSHDUHG WR KDYH D VWURQJ VRFLDO LQWHJUDWLQJ IRUFH LQ WKHLU UHVSHFWLYH SODFHV

PAGE 228

7KH DFWLYLWLHV ZKLFK ZHUH WUDQVSLULQJ LQ /RV $QJHOHV (O 7DQTXH DQG 6DQ 5DIDHO ZHUH QRW UHSRUWHG RQ WKH VXUYH\ VFKHGXOHV DV EHLQJ SDUW RI WKH VRFLDO SDUWLFLSDWLRQ 7KH\ PXVW EH DFFHSWHG DV FRPSULVLQJ D QRQUHSRUWHG LQIRUPDO W\SH RI VRFLDO SDUWLFLSDWLRQ 7KH SURFHVVHV REVHUYHG LQ WKHVH SODFHV ZHUH VXFK WKDW WKH\ ZRXOG EH FRPSDWLEOH ZLWK WKH JRDOV RI ',1$'(&2 ZKLFK DUH WR VHHN WKH EHWWHUPHQW RI D QHLJKn ERUKRRG RU FRPPXQLW\
PAGE 229

LQ WKH VPDOOHU SODFHV PRUH GHSHQGHQW RQ WKH FLWLHV *RRGV VXFK DV SHULVKDEOH IRRGVWXIIV ZKLFK PXVW UHPDLQ UHIULJHUDWHG PXVW EH UHn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n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n FDWLRQ DFWV DV D IRUFH ZKLFK LQFUHDVHV WKH LQWHJUDWLRQ LQWR ODUJHU FRPPXQLWLHV RI WKRVH OLYLQJ LQ VPDOO UXUDO ORFDOLW\ JURXSV DQG VLPXOWDQHRXVO\ FUHDWHV LQFUHDVHG GHSHQGHQF\ RI WKH VPDOOHU ORFDOLW\ JURXSV RQ ODUJHU FRPPXQLWLHV

PAGE 230

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f WKRVH ZKR FRXOG KDYH EXW GLG QRW XVH HOHFWULFLW\ 121$'237(56f DQG WKRVH EH\RQG WKH UHDFK RI WKH HOHFWULFLW\ GLVWULEXWLRQ OLQHV ,1$&&(66,%/(6f 6HYHUDO RI WKHVH GLIIHUHQFHV KDYH EHHQ JURXSHG WR FRQVWUXFW SURILOHV RI WKRVH LQ HDFK FDWHJRU\ 86(56 DUH JHQHUDOO\ EHWWHU HGXFDWHG WKDQ DUH WKH QRQXVHUV RI HOHFWULFLW\ ZLWK WKH ,1$&&(66 %/(6 EHLQJ LQWHUPHGLDU\ EHWZHHQ WKH 86(56 DQG 121$'237(56 7KLV LV WR VD\ WKDW WKH EHWWHUHGXFDWHG PHPEHUV RI WKH VRFLHW\ OLYLQJ DORQJ WKH GLVWULEXWLRQ OLQHV DUH PRUH

PAGE 231

OLNHO\ WR FRQQHFW 86(56 WHQG WR EH \RXQJHn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f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n LVILHG ZLWK WKHLU OLIH VLWXDWLRQ WKDQ WKHLU QHLJKERUV ZKR DUH QRW XVLQJ HOHFWULFLW\ :LWK WKH H[FHSWLRQ RI VHOHFW RFFXSDWLRQV LQ ZKLFK D FRPSDULVRQ ZRXOG KDYH EHHQ PHDQLQJOHVV ,1$&&(66 ,%/(6 KHOG D SRVLWLRQ EHWZHHQ 86(56 DQG 121$'237(56 DFFRUGLQJ WR WKHVH FKDUDFWHULVWLFV 7KH LQWHUPHGLDU\ SRVLWLRQ RI WKH ,1$&&(66 ,%/(6 LPSOLHV WKDW VRPH RI WKH GLIIHUHQFHV PLJKW KDYH EHHQ FDXVHG E\ WKH LQWURGXFWLRQ RI HOHF

PAGE 232

WULFLW\ DQG DFFRPSDQ\LQJ GHYLDWLRQV IURP QRUPDWLYH FKDUDFWHULVWLFV E\ 86(56 DQG 121$'237(56 0DQ\ RI WKH DQDO\VHV SUHVHQWHG LQ WKLV VWXG\ OHDG WR WKH FRQFOXn VLRQ WKDW HOHFWULFLW\ LV EHQHILFLDO WR 86(56 7KH H[LVWHQFH RI EHQH ILWV GHULYHG IURP WKH XVH RI HOHFWULFLW\ KRZHYHU LV QRW QHFHVVDULO\ VXIILFLHQW WR LQVXUH WKDW HOHFWULF HQHUJ\ ZLOO EH PDGH DYDLODEOH WR ODUJHU VHJPHQWV RI UXUDO SRSXODWLRQV 'HFLVLRQV WR H[WHQG HOHFWULFDO GLVWULEXWLRQ OLQHV XVXDOO\ DUH EDVHG RQ IDFWRUV RWKHU WKDQ WKH FRQVLGHUDWLRQ IRU EHQHILWV ZKLFK ZRXOG DFFUXH WR SRWHQWLDO FRQVXPHUV 7KH IROORZLQJn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n OLQH YLOODJHV WKH GHOLYHU\ RI XWLOLWLHV LV IDFLOLWDWHG &RQVHTXHQWO\ LI WKH DFFHVVLELOLW\ RI XWLOLWLHV DQG HVSHFLDOO\ RI HOHFWULFLW\ LV DFFHSWHG DV YLWDO WR UXUDO UHVLGHQWV IXWXUH VHWWOHPHQWV VKRXOG LQFRUSRUDWH WKRVH IRUPV L H QXFOHDWHG YLOODJHV RU OLQH YLOODJHV

PAGE 233

ZKLFK RSWLPL]H HDVH RI GHOLYHU\ RI XWLOLWLHV %HFDXVH RI WKH ODFN RI XWLOL]DWLRQ RI HOHFWULF SRZHU IRU SURGXFWLYH XVHV LQ DJULFXOWXUDO DQG SDVWRUDO HQWHUSULVHV LW ZDV LPn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n WULFLW\ DQG OHYHO RI OLYLQJ DQG VDWLVIDFWLRQ ZLWK OLIH $OVR WKH LQIOXHQFH RI WKH LQVWLWXWLRQDOL]HG UHODWLRQVKLSV EHWZHHQ PDQ DQG WKH ODQG RQ WKH DGRSWLRQ DQG LQWHQVLW\ RI XVH RI HOHFWULFLW\ PHULWV IXUWKHU LQYHVWLJDWLRQ ,W LV UHFRPPHQGHG WKDW WKH DUHD RI 6DQ &DUORV H[DPLQHG LQ WKLV

PAGE 234

GLVVHUWDWLRQ EH XVHG IRU IXUWKHU VWXGLHV RI WKH LQIOXHQFH RI HOHFn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n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

PAGE 235

SUHVV IRUZDUG ZLWK WKH H[SDQVLRQ RI OLQHV IRU GLVWULEXWLQJ HOHFWULFLW\ LQ WKH UXUDO GLVWULFWV DQG HYHU\ HIIRUW VKRXOG EH PDGH WR LQVXUH WKDW ? DOO RI WKRVH ZLWKLQ WKH UHDFK RI VXFK OLQHV VKRXOG EH DEOH WR DYDLO WKHPVHOYHV RI WKH RSSRUWXQLW\ RI XVLQJ HOHFWULFLW\

PAGE 236

$33(1',; $

PAGE 237

(678',2 62&,2(&2120,&2 '( 6$1 &$5/26 1RPEUH GHO HQWUHYLVWDGRU %ROHWD 1R )HFKD 0HV 'D $R +RUD HQ TXH FRPHQ] OD HQWUHYLVWD $0 30 3DUD 8VR GHO 6XSHUYLVRU 1RPEUH GHO SXHEOR P£V SU[LPR 'LVWDQFLD GHO SXHEOR P£V SU[LPR HQ YDUDV R NLOPHWURV (VWD FDVD R HVWDEOHFLPLHQWR HVW£ DO 1RUWH 6XU (VWH 2HVWH GHO SXHEOR P£V SU[LPR 3DUD 8VR GH 2ILFLQD 1RPEUH GHO HQWUHYLVWDGR +RPEUH 0XMHU 6, 12 (6 -()( '( /$ )$0,/,$f 3DUHQWH]FR FRQ HO MHIH GH OD IDPLOLD (/ (175(9,67$'2 < 68 )$0,/,$ 4XLHUR FRPHQ]DU VROLFLW£QGROH LQIRUPDFLRQHV JHQHUDOHV GH 8G \ VXV IDPLLDUHV 3RU IDYRU FX£O HV VX QRPEUH" 'QGH QDFL 8G" 3URYLQFLD &DQWQ 'LVWULWR +D YLYLGR 8G HQ HVWD FDVD GHVGH TXH QDFL" 6L 1R +DFH FX£QWR WLHPSR YLYH 8G HQ HVWD FDVD" $RV

PAGE 238

'QGH YLYD 8G DQWHV GH PXGDUVH SDUD HVWD FDVD" (Q XQD FDVD HQ OD PLVPD SURYLQFLD (Q XQD FDVD HQ HO PLVPR FDQWQ (Q XQD FDVD HQ HO PLVPR GLVWULWR n 2WUR OXJDU IDYRU GH HVSHFLILFDU GQGH /D OWLPD FDVD HQ OD FXDO 8G YLYL HVWDED HQ =RQD UXUDO FDPSR 3XHEOR &LXGDG /D OWLPD FDVD HQ OD FXDO 8G YLYL WHQD HOHFWULFLGDG" 6L &X£QWRV FXDUWRV R GRUPLWRULRV KD\ HQ HVWD FDVD" FXDUWRV 1R

PAGE 239

4XLHUR KDFHUOH XQDV SUHJXQWDV VREUH OD IDPLOLD \ ORV TXH YLYHQ HQ VX FDVD 3DUHQWH]FR FRQ HO MHIH GH OD IDP OD 1RPEUH 6H[R 0 R )f (GDG (VWDGR &LYLO 8OWLPR JUDn GR R DR DSUREDGR 2FXSDFOQ SULQFLSDO 7RGDYID D VLVWH D D HVFXHOD 6I R 1R 'QGH UHVLGH" -HIH GH D IDPL cD 6HRUD +LMnRV TXH YLYHQ HQ HVWD FDVD +LMnRV TXH QR YLYHQ HQ HVWD FDVD 2WUDV HQ OD FDVD +LMRV PXHUWRV DQRWDU HGDG FXDQGR PXULf

PAGE 240

$KRUD PH JXVWDUD KDFHUOH DOJXQDV SUHJXQWDV FRQ UHVSHFWR D OR TXH KDFH FXDQGR QR HVW£ WUDEDMDQGR &XDQGR 8G WLHQH WLHPSR FX£OHV VRQ ORV SDVDWLHPSRV R FX£OHV VRQ ODV GLYHUVLRQHV TXH DFRVWXPEUD UHDOL]DU &X£OHV VRQ ORV SDVDWLHPSRV R ORV UHFUHRV TXH P£V OH JXVWDQ D 6X VHRUD" 6ROWHUR 9LXGR 6XV KLMDV" 6XV KLMRV" (Q TX£ VH GLYLHUWH KDELWXDOPHQWH GHVSX£V GH ODV VHLV GH OD WDUGH" (Q ORV GDV GH OD VHPDQD D TX£ KRUD JHQHUDOPHQWH VH DFXHVWD 8G" 3RU OR JHQHUDO D TX£ KRUD VH OHYDQWD 8G \ VX IDPLOLD" (;326 & ,21 $ /26 0(',26 '( &2081,&$&,21 7LHQH 8G XQ UDGLR" 6L 9£ 8G WHOHYLVLQ" 6L 1R QXQFD PLUD &RQ TX£ IUHFXHQFLD YH WHOHYLVLQ" 7RGRV ORV GDV 'H YH] HQ FXDQGR 5DUDV YHFHV 9 8G DOJGQ SURJUDPD TXH FRQVLGHUD GH XWLOLGDG" 1R &PR VH OODPD HO ORVf SURJUDPDV" 7LQH 8G XQ WHOHYLVRU" 6L 1R *HQHUDOPHQWH GQGH YH WHOHYLVLQ" (Q OD FDVD (Q OD SXOSHUD R FDQWLQD (Q OD FDVD GH XQ YHFLQR R DPLJR

PAGE 241

(Q RWUD SDUWH HVSHFLILFDU (VFXFKD 8G HO UDGLR" 6I 1XQFD &RQ TX IUHFXHQFLD HVFXFKD HO UDGLR" 7RGRV ORV GDV 'H YH] HQ FXDQGR 5DUD YH] (VFXFKD 1R 8G DOJGQ SURJUDPD TXH FRQVLGHUD GH WLO LGDG" 6 &PR VH OODPD HO ORV SURJUDPDV"f 7LHQH 8G UHYLVWDV HQ VX FDVD" 6 1R &X£OHV" f &1/HH 8G SHULGLFRV" 6 1R &X£OHV" 75$%$-2 m $KRUD PH JXVWDUD KDFHUOH YDULDV SUHJXQWDV FRQ UHVSHFWR D VX WUDEDMR &PR JDQD 8G OD PD\RU SDUWH GH VX GLQHUR" &RPR MRUQDOHUR &RPR DJULFXOWRU 'H XQ HVWDEOHFLPLHQWR FRPHUFLDO R GH QHJRFLRV IDYRU H[SOLFDU GH RWUDV IXHQWHV IDYRU H[SOLFDU $GHP£V GH OR TXH 8G DFDED GH PHQFLRQDU WLHQH RWUDV IXHQWHV GH LQJUHVR" 6I 1R 4X RWUDV IXHQWHV GH LQJUHVRV WLHQH 8G" )DYRU H[SOLFDU

PAGE 242

+$&(5 /$6 35(*817$6 1R D 1R 62/$0(17( $ /26 +20%5(6 -()(6 '( )$0,/,$f 7LHQH HPSOHR VX VHRUD" 6I 9LXGR 1R 6ROWHUR &X£O HV HO WUDEDMR TXH HOOD WLHQH" )DYRU GH H[SOLFDU OR TXH KDFH 'XUDQWH FX£QWDV KRUDV GHO GID WUDEDMD 8G $GHP£V GH KDFHU HO WUDEDMR GH OD FDVD VX VHRUD OH D\XGD D 8G HQ VX WUDEDMR" 6I 1R A &PR OH D\XGD D 8G HQ VXV WUDEDMR" 7LHQH HOOD WDUHDV GHILQLGDV TXH KDFHU" 6I 1R &X£OHV VRQ ODV WDUHDV" 3RU FX£QWDV KRUDV DO GID OH D\XGD HOOD" 6, (/ (175(9,67$'2 (6 81 -251$/(52 81 $*5,&8/725 +$&(5 35(*817$6 1R D 1R f 6X VHRUD OH D\XGD FRQ UHJXODULGDG HQ VX WUDEDMR" 6L 1R B &X£OHV VRQ ODV WDUHDV TXH HOOD KDFH" )DYRU H[SOLFDU &X£QWDV KRUDV DO GID OH D\XGD HOOD HQ HVWH WUDEDMR" 6, (/ (175(9,67$'2 75$%$-$ (1 81 1(*2&,2 +$&(5 35(*817$6 1R $ 1R f 6X VHRUD WUDEDMD FRQ 8G HQ HO QHJRFLR" 6I 1R 4X£ HV OR TXH KDFH HOOD HQ HO QHJRFLR" &X£QWDV KRUDV GLDULDV WUDEDMD HOOD HQ HO QHJRFLR"

PAGE 243

/$6 35(*817$6 1R $ 1R 621 3$5$ $48(//26 48( 7,(1(1 81 (67$%/(&,0,(172 &20(5&,$/ &202 68 35,1&,3$/ )8(17( '( f,1*5(626 9(5 35(*817$ 1R f ? 7HQJR DOJXQDV SUHJXQWDV TXH PH JXVWDUID KDFHUOH FRQ UHVSHFWR D VX QHJRFLR 4X WLSR GH QHJRFLR HV" 3RU HMHP 38/3(5,$ &$17,1$f &X£QWDV SHUVRQDV WUDEDMDQ HQ VX QHJRFLR" 'H HVWDV SHUVRQDV FX£QWDV VRQ PLHPEURV GH VX IDPLOLD" 'H ODV SHUVRQDV TXH WUDEDMDQ HQ VX QHJRFLR &X£QWRV VRQ HPSOHDGRV GH WLHPSR FRPSOHWR" &X£QWRV VRQ HPSOHDGRV GH WLHPSR SDUFLDO" ,1)250$&,21 $*5,&2/$ &XOWLYD DOJQ SHGD]R GH WLHUUD SRU FXHQWD SURSLD" 6 1R &XOWLYD 8G DOJQ SHGD]R GH WLHUUD TXH QR VHD GH VX SURSLHGDG" 6I 1R (V GH VX SURSLHGDG OD WLHUUD TXH 8G WUDEDMD" 6I 1R (QWRQFHV HV 8G PDQGDGRU R MRUQDOHUR R SURGXFWRU SRU FXHQWD SURSLD" ILIL 0DQGDGRU -RUQDOHUR 3URGXFWRU 2WUR &PR VH OODPD HO GXHR GH OD ILQFD" 'QGH UHVLGH" /XJDU 'LUHFFLQ

PAGE 244

6X SDWURQR HV SURSLHWDULR DUUHQGDWDULR X RWUD SHUVRQDf 3URSLHWDULR $UUHQGDWDULR 2WUR (V 8G TXLHQ PDQHMD VXV WHUUHQRV R VX ILQFD" 6I 1R 4XLQ PDQHMD VXV WLHUUDV SDUD 8G" 8Q HPSOHDGR R PDQGDGRU XQ IDPLOLDU &X£QWDV PDQ]DQDV GH WLHUUD VRQ GH VX SURSLHGDG" f 0]V (V 8G HO QLFR GXHR GH HVDV WLHUUDV" 6I 1R 4XLQ P£V HV GXHR GH HVDV WLHUUDV" 8Q IDPLOLDU 2WUR HVSHFLILTXHf $UUHQG 8G DOTXLO R XWLOL] HQ DOJXQD RWUD IRUPD RWURV WHUUHn QRV SDUD OD DJULFXOWXUD GXUDQWH HO OWLPR DR" 6 1R &X£QWDV PDQ]DQDV DUUHQG DOTXLO R XWLOL] HQ DOJXQD IRUPD" 0]V 4X DUUHJOR R FRQWUDWR KL]R SDUD SRGHU XVDU HVD WLHUUD" (Q VX RSLQLQ FX£QWR YDOH XQD PDQ]DQD GH WLHUUD XQD FRQ RWUD GH OD TXH 8G HVW£ XVDQGR" & (Q ODV SUHJXQWDV TXH VLJXHQ FRQ UHVSHFWR D OD WLHUUD K£JDPH HO IDYRU GH LQFOXLU WRGRV ORV WHUUHQRV TXH 8G DFDED GH PHQFLRQDU

PAGE 245

7LHQH 8G SDVWRV QDWXUDOHV" 6 1R &X£QWDV PDQ]DQDV" 0]V 7LHQH 8G SDVWRV PHMRUDGRV" 6 1R &X£QWDV PDQ]DQDV" 0]V &X£OHV VRQ ORV WUHV SURGXFWRV TXH P£V LQJUHVRV OH GDQ D OD ILQFD" $QWHORV DEDMR &X£O HV OD H[WHQVLQ TXH RFXSDQ HVRV FXOWLYRV" &XOWLYR 1R GH 0DQ]DQDV n7LHQH 8G JDQDGHUD X RWURV DQLPDOHV HQ VXV WLHUUDV" 6 1R &X£QWDV FDEH]DV WLHQH GH *DQDGR 9DFXQR *DQDGR GH /HFKH *DQDGR GH &DUQH &KDQFKRV &DEDOORV 0XDV \ %XUURV 2WURV HVSHFLILFDU &X£QWRV HPSOHDGRV WLHQH 8G HQ OD ILQFD TXH WUDEDMDQ WRGR HO DR" 1R WLHQH A (Q SURPHGLR FX£QWR JDQD XQR GH HVWRV MRUQDOHURV" &RORQHV 'LDULRV 6HPDQDOHV &X£QWRV WUDEDMDGRUHV WHPSRUDOHV HPSOHn 8G GXUDQWH HO OWLPR DR"

PAGE 246

1R HPSOH  (Q SURPHGLR FX£QWR JDQD XQR GH HVWRV WUDEDMDGRUHV" ? &RORQHV 'LDULRV 6HPDQDOHV ,QFOX\H HVWH MRUQDO OD FRPLGD" 6I 1R &X£OHV VRQ ORV PHVHV GXUDQWH ORV FXDOHV 8G HPSOHD WUDEDMDGRUHV WHPSRUDOHV" 1RPEUDU ORV PHVHV 4X LQVWDODFLRQHV R FRQVWUXFFLQ WLHQH 8G HQ VX ILQFD" 1R 7LSR 1R 7LSR &X£OHV GH ORV VLJXLHQWHV WLSRV GH P£TXLQDV \ GH HTXLSR KDQ VLGR XVDGRV HQ HVWD ILQFD GXUDQWH HO OWLPR DR" 7LSR &DQWLGDG (V SURSLR" 6I R 1Rf &DUUHWD WLUDGD SRU XQ YHKIFXOR &DUUHWD WLUDGD SRU DQLPDOHV 'H GRV UXHGDV 'H FXDWUR UXHGDV $XWRPYLO R MHHS n &DPLQ 7DPDR WRQHODGDV 7UDFWRU 7DPDR K S 2WUR HVSHFLILFDU f 6, (/ (175(9,67$'2 87,/,=$ 81 75$&725 //(1$5 (67$ 6(&&,21f 3DUD TX ILQHV XWLOL] 8G HO WUDFWRU" 7LHQH 8G

PAGE 247

&DQWLGDG (V SURSLR" 6I R 1Rf 9DJRQHV SDUD HO WUDQVSRUWH GH FDD n 2WURV YDJRQHV n $UDGR 6HPEUDGRUD 3DUD TX FXOWLYRV" &RVHFKDGRUD 3DUD TX FRVHFKDV" 2WURV (VSHFLILFDU 7LHQH 8G RWURV HTXLSRV PRYLGRV SRU P£TXLQDV" 6 1R 6L FRQWHVWD 6I QRPEUDU ORV WLSRV QPHUR \ SRVHVLQf (TXLSR &DQWLGDG (V SURSLR" 6 R 1Rf &X£QWDV PDQ]DQDV GH WLHUUD KD\ HQ OD ILQFD HQ OD FXDO 8G WUDEDMD" &X£QWRV RWURV SHRQHV WUDEDMDQ HQ HVWD ILQFD" $OJXQD YH] KD WUDEDMDGR HQ XQD ILQFD" 6I 1R 87,/,=$&,21 '( /$ (/(&75,&,'$' *(1(5$/ (1 (67$ 6(&&,21 /$6 35(*817$6 1R D 1R '(%(5$1 6(5 //(1$'$6 81,&$0(17( 325 $48(//26 48( 86$1 (/(&75,&,'$' 683/,'$ 325 /$ &223(5$7,9$ (/(&75,&$ '( 6$1 &$5/26f (VWR\ PX\ LQWHUHVDGR HQ VDEHU ODV PDQHUDV SRU ODV FXDOHV 8GWLO L]D OD HOHFWULFLGDG 4XLVLHUD KDFHUOH YDULDV SUHJXQWDV FRQ UHVSHFWR D HVWR +DFH FX£QWR WLHPSR TXH 8G KD HVWDGR XVDQGR HOHFWULFLGDG HQ HVWH XJDU"

PAGE 248

0HQRV GH XQ DR D DRV D DRV 0£V GH DRV LQGLFDU HO QPHUR GH DRVf &PR VH OODPD OD RUJDQL]DFLQ GH OD FXDO 8G UHFLEH HOHFWULFLGDG" $QWHV GH OD &RRSHUDWLYD UHFLEL HOHFWULFLGDG GH RWUD IXHQWH" 6 1R 'H FX£O IXHQWH" 3RU FX£QWR WLHPSR XV HVD RWUD IXHQWH GH HOHFWULFLGDG" DRV &X£QWR SDJ 8G SRU OD HOHFWULFLGDG TXH UHFLEL GH HVWD RWUD IXHQn WH GXUDQWH XQ PHV" &RORQHV 1R VDEH 7LHQH 8G SODQHDGR FRPSUDU DSDUDWRV R P£TXLQDV HO£FWULFDV DGLFLRn QDOHV" 6I 1R f 4X XWHQVLOLRV R DSDUDWRV SODQHD FRPSUDU" 0DUFDU DEDMR HQ HO HVSDFLR FRUUHVSRQGLHQWHf &X£QGR FUHH TXH SRGU£ FRPSUDUOR" 0DUFDU DEDMR HQ HO HVSDFLR FRUUHVSRQGLHQWHf 7LHQH LQWHQFLQ GH FRPSUDU DO FRQWDGR R D SOD]RV" 0DUFDU DEDMR HQ HO HVSDFLR FRUUHVSRQGLHQWHf $SDUDWR R P£TXLQD &X£QGR SLHQVD FRPSUDUOR $O FRQWDGR $ SOD]RV (Q VX RSLQLQ TX FRVDV SXHGH 8G KDFHU FRQ OD HOHFWULFLGDG TXH QR SRGUD KDFHU VL QR WXYLHUD HOHFWULFLGDG"

PAGE 249

&X£OHV VHUDQ ORV SULQFLSDOHV SUREOHPDV TXH 8G WHQGUD VL OH IDOWDUH OD HOHFWULFLGDG GXUDQWH WRGR XQ PHV" 3DUD 8G FX£OHV VRQ ORV XVRV P£V LPSRUWDQWHV GH OD HOHFWULFLGDG" 6, (6 326,%/( $3817(n325 /2 +(126 75(6 8626f &X£O GH VWRV HV HO P£V LPSRUWDQWH" $GHP£V GH XVDU HOHFWULFLGDG TX FDQWLGDG GH ODV VLJXLHQWHV FRVDV XWLOL]D 8G SRU OR JHQHUDO GXUDQWH XQD VHPDQD \ FX£QWR FXHVWDQ" $3817$5 /$ &$17,'$' 5(&25'$1'2 8( ',)(5(17(6 81,'$'(6 6(5$1 87,/,=$'$6 3$5$ ',)(5(17(6 &26$6 $3817$5 /$ 81,'$' 3 ( '2&(n 1$6 /,7526 (7&f &RVWR &DQWLGDG 8QLGDG 8QLWDULR 8VR 9HODV &DQIQ *DV /HD 2WURV HVn SHFLILFDU &X£QWRV PHGLGRUHV WLHQH 8G SDUD OD HOHFWULFLGDG TXH UHFLEH" 0H SHUPLWH DSXQWDU ORV QPHURV GH ORV PHGLGRUHV" $%$-2 $3817( (/ 180(52 '( &$'$ 812 '( /26 0(','25(6 < (/ &2168n 02 (1 .:+ 3$5$ (/ 8/7,02 0(6 (6 08< ,03257$17( $3817$5 &255(&n 7$0(17( 6, (/ 0(','25 (6 3$5$ 862 5(6,'(1&,$/ &20(5&,$/ $*5,n &2/$f

PAGE 250

1PHUR GHO 0HGLGRU &RQVXPR 5HVLGHQFLD .:+ ) L QFD .:+ (VWDEOHFLPLHQWR &RPHUFLDO .:+ 2WURV ([SOLFDUf .:+ 7LHQH 8G PHGLGRU SDUD OD HQHUJD HOFWULFD TXH XWLOL]D HQ VX FDVD" 6 1R 7LHQH 8G PHGLGRU SDUD OD HQHUJD HOFWULFD TXH XWLOL]D HQ VX HVWDEOHFLPLHQWR FRPHUFLDO" 6 1R &X£OHV GH ORV VLJXLHQWHV DUWFXORV HOFWULFRV XWLOL]D 8G HQ VX FDVD R HQ VX HVWDEOHFLPLHQWR FRPHUFLDO" 8WL L]DGR HQ $UWFXOR &DVD HO QHJRFLR $PERV r n %RPE L RV $3817$5 &$17,'$'f 7XERV )OXRUHVFHQWHV $3817$5 &$17,'$'f 5DGLR HOFWULFR QR GH SLODVf 3ODQFKD 0£TXLQD GH FRVHU HOFWULFD &DOHQWDGRU &RFLQD HOFWULFD 5HIULJHUDGRU ‘ &RQJHODGRU VHSDUDGR 7HOHYLVRU /LFXDGRUD %DWLGRUD /DYDGRUD 7RFDGLVFRV

PAGE 251

8WL L]DGR HQ $UW IFXOR &DVD HO QHJRFLR $PERV &HSLOOR GH GLHQWHV HOFWULFR 5HORM HOFWULFR &DIHWHUD HOFWULFD 0TXLQD GH VXPDU HOFWULFD 9HQWLODGRUHV 5RFR D &DOHQWDGRU GH $JXD %RPED GH DJXD WDPDR KS (QIULDGRUD SDUD &HUYH]D *DVHRVDV r 3URGXFWRV O£FWHRV OHFKH KHODGRV HWF n 2WUDV FRPLGDV 2WURV HTXLSRV (;3/,&$5f &X£QWR OH FRVW OD LQVWDODFLQ GH VX FDVD \R VX HVWDEOHFLPLHQWR FRPHUFLD /D FDVD &RORQHV (O QHJRFLR &RORQHV /D &DVD (O 1HJRFLR $O FRQWDGR 3UVWDPR '( 48,(1"f 2WURV DUUHJORV (;3/,&$5f 1R UHFXHUGD R QR VDEH +$&(5 /$6 6,*8,(17(6 35(*817$6 1R D 1R $ $*5,&8/725(6 48( 7,(1(1 0(','25(6 3$5$ 862 '20(67,&2 '( /$ (/(&75,&,'$' 3(52 48( 12 7,(n 1(1 0(','25(6 3$5$ 862 $*5,&2/$f

PAGE 252

8G XVD HOHFWULFLGDG HQ OD FDVD SHUR QR SDUD OD ILQFD 3RGUD GHFLUPH SRU TX" ? 7LHQH 8G SODQHV GH XVDU HOHFWULFLGDG SDUD OD ILQFD HQ HO IXWXUR SU[LPR" 6 1R 3DUD TX XWLOL]DUD 8G HOHFWULFLGDG HQ OD ILQFD" +£JDPH HO IDYRU GH H[SOL FDU 4X HTXLSR HOFWULFR SODQHD 8G DGTXLULU SDUD OD ILQFD" $3817$5 (48,32f 3$6( $ 35(7817$ 180(52 87,/,=$&,21 '( /$ (/(&75,&,'$' (1 /$6 ),1&$6 (1 (67$ 6(&&,21 /$6 35(*817$6 1R $/ 1R '(%(1 6(5 //(1$'$6 81,&$0(17( 325 (175(9,67$'26 48( 7,(1(1 0(','25(6 3$5$ (/ 862 $*5,n &2/$ '( /$ (/(&75,&,'$' < 3$5$ $48(//26 48( 5(&,%(1 (/(&75,&,'$' 3$5$ ),1(6 $*5,&2/$6 '( $/*81$ )8(17( 48( 12 6($ /$ &223(5$7,9$ (/(&75,&$ '( 6$1 &$5/26f 8WLOL]D 8G HOHFWULFLGDG SDUD DOXPEUDU DIXHUD" 6 1R + &X£QWRV ERPELOORV XWLOL]D SDUD HVWH IIQ" 8WLOL]D 8G HOHFWULFLGDG SDUD DOXPEUDU ODV LQVWDODFLRQHV GH OD ILQFD" 6 1R (Q TX FRQVWUXFFLRQHV WLHQH 8G DOXPEUDGR HOFWULFR" f (Q QLQJXQD &X£QWDV ERPELOODV XWLOL]D SDUD DOXPEUDU HVWDV LQVWDODFLRQHV" 7LHQH 8G P£TXLQDV R HTXLSRV HOFWULFRV HQ VX ILQFD" 6 1R &X£OHV" 0HQFLQHODV SRU IDYRU

PAGE 253

(TXLSR 7LHQH 1R WLHQH 'HVFU"SF LQ %RPED SDUD DJXD GRPVWLFD WDPDR KS %RPED SDUD ULHJR WDPDR KS 2UGHDGRUD 6HSDUDGRUD (QIULDGRUD GH OHFKH &DOHQWDGRU GH DJXD 9HQWLODGRU HOFWULFR ,QFXEDGRUD SDUD SXHUFRV ,QFXEDGRUD SDUD SROORV &RPSUHVRU GH DLUH &DUJDGRU GH EDWHUDV 0ROcQR GH D]FDU 2WURV HVSHFLILFDU 3ODQHD FRPSUDU HTXLSR HOFWULFR SDUD VX ILQFD" 6 1R 4X HTXLSR SODQHD FRPSUDU" /D HOHFWULFLGDG OH KD VHUYLGR GH DOJR HQ VX ILQFD" 6 1R 1R VDEH (Q TX OH KD VHUYLGR" 3RU TX QR" &X£QGR HPSH] 8G D XWLOL]DU HOHFWULFLGDG SDUD HVWH IIQ" &PR VXSR 8G GH HVWH XVR GH OD HOHFWULFLGDG"

PAGE 254

+D FRQYHUVDGR 8G VREUH HO XVR GH OD OHFWULFLGDG FRQ DOJXQRV GH VXV YHFLQRV R DPLJRV" 6I 1R $OJXLQ OH S7G D 8G VX FRQVHMR VREUH HO XVR GH OD HOHFWULFH GDG" 6 1R (VWD SHUVRQD R HVWDV SHUVRQDV HPSH]DURQ D XWLOL]DU OD HOHFWULn FLGDG GHVSXV GH KDEODU FRQ 8G" 6I 1R &X£QWR OH FRVW OD LQVWDODFLQ HOFWULFD GH VX ILQFD" &RORQHV &PR SDJ 8G SRU OD LQVWDODFLQ HOFWULFD HQ VX ILQFD" $O FRQWDGR &RQ XQ SUVWDPR '( 48,(1"f c 2WUR DUUHJOR (;3/,&$5f &X£O FRQVLGHUD 8G HO XVR P£V LPSRUWDQWH GH OD HOHFWULFLGDG HQ f VX ILQFD" 12 868$5,26 '( /$ (/(&75,&,'$' (1 (67$ 6(&&,21 /$6 35(*817$6 1R D 1R '(%(5$1 6(5 //(1$'$6 325 $48(//26 48( 12 86$1 /$ (/(&75,&,'$'f 0H JXVWDUD KDFHUOH DOJXQDV SUHJXQWDV FRQ UHVSHFWR D DOJXQDV FRVDV TXH 8G WDO YH] XWLOLFH 4X FDQWLGDG GH ORV VLJXLHQWHV DUWFXORV XVD 8G SRU OR JHQHUDO HQ XQD VHPDQD \ FX£QWR FXHVWDQ" $3817$5 /$ &$17,'$' 5(&25'$5 48( ',)(5(17(6 81,'$'(6 6(5$1 87,/,=$'$6 3$5$ ',)(5(17(6 $57,&8/26 '2&(1$ /,752 (7&f

PAGE 255

N $UWFXOR &DQW L GDG 8Q L GDG &RVWR 8VR 9HODV &DQIQ n f *DV BBBBBBBB B /HD 2WUR HVSHFLILFDU (Q HVWD FDVD KD WHQLGR HOHFWULFLGDG DOJXQD YH]" 6 +DFH FX£QWRV DRV R PHVHV" $RV 0HVHV 3RU TX£ DKRUD QR WLHQHQ HOHFWULFLGDG" &UHH 8G TXH WHQHU HOHFWULFLGDG HV XQD YHQWDMD R XQD GHVYHQWDMD" 9HQWDMD 'HVYHQWDMD 3RU TX£ (Q VX RSLQLQ TX FRVDV SRGUD KDFHU 8G FRQ HOHFWULFLGDG TXH QR SXHGH KDFHU DKRUD VLQ HOOD" (;3/,&$5 (Q VX FDVD (Q VX HVWDEOHFLPLHQWR FRPHUFLDO (Q VX ILQFD 6L 8G WXYLHUD OD RSRUWXQLGDG XWLOL]DUD HOHFWULFLGDG HQ VX FDVD" 6 1R O=W (Q VX ILQFD" 6 1R 6, &217(67$ 6, 81$ 9(= 325 /2 0(126 35(*817$5f 6L 8G WXYLHUD HOHFWULFLGDG FX£OHV VHUDQ ORV SULPHURVn DSDUDWRV HOFWULFRV TXH 8G FRPSUDUD"

PAGE 256

/$ 6,78$&,21 +$%/(026 $+25$ '( 275$6 &26$6 ',)(5(17(6 +$&(5 /$6 6,*8,(17(6 35(*817$6 6, (/ (175(9,67$'2 &217(67$ ,*8$/ 6,*$ $ /$ 35(*817$ 6,*8,(17( 6, &217(67$ 0(-25 35(*817( 0(-25 2 08&+2 0(-25" 6, &217(67$ 3(25 35(*817( 3(25 2 08&+2 3(25" 0XFKR 0XFKR 0HMRU 0HMRU ,JXDO 3HRU 3HRU 6X VLWXDFLQ DFWXDO HQ OD YLGD HV SHRU PHMRU R L JXDO D OD GH KDFH FLQFR DRV" 6X VLWXDFLQ DFWXDO HQ OD YLGD HV LJXDO SHRU R PHn MRU D OD TXH WHQD VX SDn GUH" 'H DTX D FLQFR DRV HVSHn UD 8G WHQHU XQD VLWXDFLQ PHMRU SHRU R LJXDO D OD TXH WLHQH DKRUD" (Q JHQHUDO HQ FRPSDUDFLQ FRQ OD VLWXDFLQ GH VXV YHFLQRV HV OD VX\D SHRU PHMRU R LJXDO 6L HO HQWUHYLVWDGR WLHQH KLMRV YLYRV SUHJXQWDUf &UHH 8G TXH VXV KLMRV WLHQHQ R WHQGU£Q FXDQGR VHDQ PD\RUHV XQD VLWXDn FLQ SHRU PHMRU R LJXDO D OD TXH 8G WLHQH DKRUD" 6L HO HQWUHYLVWDGR QR WLHQH KLMRV YLYRV SUHJXQn WDU f &UHH 8G TXH ORV QLRV GH KR\ GD FXDQGR VHDQ PD\Rn UHV YDQ D WHQHU XQD VLWXDn FLQ SHRU PHMRU R LJXDO TXH OD TXH 8G WLHQH KR\ GD"

PAGE 257

$KRUD GJDPH SRU IDYRU Vc 8G VH JDQDUD GLH] PLO FRORQHV HQ OD ORWHUD TX KDUD FRQ HOORV" n 3$57,&,3$&,21 62&,$/ 3HUWHQHFH 8G DOJQ FOXE DVRFLDFLQ FRRSHUDWLYD X RWUR JUXSR" 6 1R &PR VH OODPDQ HVWRV JUXSRV" +D WHQLGR XVWHG DOJXQD SRVLFLQ GH LPSRUWDQFLD HQ DOJXQR GH HVn WRV JUXSRV" 3RU HMHPSOR GHOHJDGR WHVRUHUR SUHVLGHQWH" 7 R 6 1R Df 4X SRVLFLQ WXYR R WLHQH 8G" Ef &PR VH OODPD HO JUXSR" 3RVLFLQ *UXSR 6, /$ &223(5$7,9$ (/(&75,&$ '( 6$1 &$5/26 )8( 0(1&,21$'$ 325 (/ (175(n 9,67$'2 +$&(5 /$6 35(*817$6 1R D 1R f 6DEH 8G HO QRPEUH GH VX GHOHJDGR D OD &RRSHUDWLYD (OFWULFD GH 6DQ &DUORV" 6 1R &PR VH OODPD" +D DVLVWLGR 8G D DOJXQD UHXQLQ GH OD &RRSHUDWLYD (OFWULFD GH 6DQ &DUORV" 6 1R $ FX£QWDV UHXQLRQHV KD DVLVWLGR 8G" 6, /$ &223(5$7,9$ (/(&75,&$ '( 6$1 &$5/26 12 )8( 0(1&, 21$'$ 325 (1 (175,9(67$'2 +$&(5 /$6 35(*817$6 1R D 1R f (V 8G PLHPEUR GH OD &RRSHUDWLYD (OFWULFD GH 6DQ &DUORV" 6 1R

PAGE 258

6DEH 8G HO QRPEUH GH VX GHOHJDGR HQ OD &RRSHUDWLYD (OFWULFD GH 6DQ &DUORV" 6I &PR VH OODPD" 1R +D 8G DVLVWLGR DOJXQD YH] D XQD UHXQLQ GH OD &RRSHUDWLYD (OFWULFD GH 6DQ &DUORV" 6 1R $ FX£QWDV UHXQLRQHV KD DVLVWLGR 8G" (V 8G PLHPEUR GH OD $VRFLDFLQ 6DQFDUOHD GH 3URPRWRUHV GHO %LHQHVWDU" 6I 1R 3523(16 '$' $ /$ 0,*5$&,21 6, (/ (175(9,67$'2 (6 81 $*5,&8/725 9,9( (1 81$ ),1&$ 35(*817$5f 7LHQH 8G LQWHQFLRQHV GH SDVDU PXFKRV DRV P£V WUDEDMDQGR HQ HO FDPSR" 6 I 1R 7LHQH 8G LQWHQFLRQHV GH TXHGDUVH HQ HVWH PLVPR VLWLR" 6I 1R $GQGH OH JXVWDUD LUVH" +£JDPH HO IDYRU GH QRPEUDU HO OXJDU +DFLD GQGH SLHQVD LUVH" 4X SLHQVD KDFHU HQ HVH OXJDU" 6L 8G VH SDVDUD GH VX FDVD OH LPSRUWDUD TXH OD FDVD WXYLHUD HOHFWULFLGDG" 6I 1R 3RU TX +D SHQVDGR 8G VHULDPHQWH HQ LUVH GHO FDPSR D RWUR OXJDU" 6I 1R +D SHQVDGR VHULDPHQWH HQ FDPELDU GH RFXSDFLQ" 6I 1R

PAGE 259

1,9(/ '( 9,'$ ' 32'5$ //(1$5 /$ 0$<25 3$57( '( (67$ 6(&&,21 6,1 +$&(5 35(*817$6 $/ (175(9,67$'2 )$925 0$5&$5 /$ &$7(*25,$ &255(&7$ < 68%5$<$5 $48(//$ 3$57( '( /$ &$7(*25,$ 48( 6($ /$ 0$6 &255(&7$ 6, (6 2752 )$925 '( (63(&,),&$5f &PR FRQVHUYD HO DJXD HQ OD FDVD" 7DUURV R YDVLMDV 7LQDMDV %DUULOHV R HVWDRQHV &DHUD &DHUD FRQ WDQTXH \ ERPED 2WUR ([SOLFDU &PR UHFLEH HO DJXD HQ OD FDVD" 7UD\KGROD 3R]R VLQ SROHD 3R]R FRQ SROHD %RPED GH PDQR &DHUD HQ OD FDVD 2WUR ([SOcFDU &PR FRQVHUYD ORV DOLPHQWRV SHUHFHGHURV R TXH VH GDDQ I£FLOPHQn WH" 1LQJXQD 0DQWLHQH HO DOLPHQWR HQ VLWLR IUHVFR -DUUDV FDMDV 1HYHUD 5HIULJHUDGRUD 2WUR ([SOL FDU 4X IDFLOLGDGHV WLHQH SDUD FRFLQDU"

PAGE 260

1LQJXQD WUHV SLHGUDV HQ HO VXHOR )RJQ $QDIUH &RFLQD GH FDQIQ &RFLQD GH JDV HOFWULFD 2WUR ([SOcFDU 4X DSDUDWR XVD SDUD OLPSLDU HO SLVR" 1LQJXQR (VFRED KHFKD HQ FDVD (VFRED GH PLOOR &HSLOOR HOFWULFR $VSLUDGRUD 2WUR ([SOLFDU 4X IDFLOLGDGHV WLHQH SDUD ODYDU OD URSD" 5R 7DEOD GH ODYDU 7LQD /DYDGHUR /DYDGRUD 2WURV &PR HV HO VHUYLFLR VDQLWDULR" 1LQJXQR &H UHR 3R]R QHJURSLVR PDGHUD 3R]RQHJURSLVR FHPHQWR ,QRGRUR 2WURV ([SOLFDU

PAGE 261

4X PHGLRV GH WUDQVSRUWH WLHQH 8G" 1LQJXQR ? $QLPDO ELFLFOHWD &DUUHWD 0RWRFLSOHWD PRWRQHWD -HHS DXWR FDPLQ 2WURV ([SOLFDU 4X VLVWHPDV GH DOXPEUDGR XVDQ" 9HODV FDQILQHUD /£PSDUD GH FDUEXUR /£PSDUD GH JDV R FDQIQ %RPELOODV R WXERV IOXRUHVFHQWHV /£PSDUDV HOFWULFDV 2WURV ([SOLFDU 0DWHULDO SUHGRPLQDQWH HQ OD SDUHG GHO IUHQWH 3DMD \ VLPLODUHV 3HGD]RV GH PDGHUD ODWD ]LQF 0DGHUD VLQ SLQWDU 0DGHUD SLQWDGD /DGULOOR EORTXHV 2WURV ([SOLFDU 0DWHULDO GHO SLVR GH OD VDOD 7LHUUD 7DEODV &HPHQWR FRQ R VLQ RFUH 0DGHUD PDFKLKHPEUDGD 0RVDLFRV DOIRPEUDV

PAGE 262

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

PAGE 263

(9$/8$& ,21 '( /$ (175(9,67$ +RUD HQ TXH WHUPLQ OD HQWUHYLVWD $0 30 (6 ,03257$17( 48( 7(1*$026 68 23,1,21 )5$1&$ &21 5(63(&72 $ /$ (175(9,67$ +$*$126 (/ )$925 '( //(1$5 (67$ 6(&&,21 &21 /$ 0$<25 6,1&(5,'$' 326,%/(f 0X\ 0X\ %XHQR %XHQR 5HJXODU 0DOR 0DOR *UDGR GH FRRSHUDFLQ GHO HQWUHYLVWDGR 3UHFLVLQ GH ODV UHVSXHVWDV 6X UHODFLQ R JUDGR GH FRQILDQ]D FRQ HO HQWUHYLVWDGR )DYRU QRPEUDU ODV SHUVRQDV TXH HVWDEDQ SUHVHQWHV GXUDQWH OD HQWUHYLVWD 8QLFDPHQWH HO HQWUHYLVWDGR 3DUHQWH]FR FRQ HO MHIH GH OD IDPLO 2WUDV SHHVRQDV LD 3UHVHQWH GXUDQWH 3UHVHQWH GX WRGD OD HQWUHYLV UDQWH SDUWH WD GH OD HQWUHn YLVWD 6L OD HQWUHYLVWD IX£ LQWHUUXPSLGD HQ TX SXQWR IX LQWHUUXPSLGD \ SRU TX IX LQWHUUXPSLGD" 7DPELQ SRU IDYRU LQGLTXH D TX KRUDV \ EDMR FX£OHV FLUFXQVWDQFLDV OD HQWUHYLVWD IX FRQWLQXDGD \ WHUPLQDGD +£JDQRV HO IDYRU GH FRPHQWDU EUHYHPHQWH FXDOTXLHU FLUFXQVWDQFLD HVSHFLDO GH HVWD HQWUHYLVWD 8G SRGU£ TXHUHU FRPHQWDU SRU HMHPSOR UHVSXHVWDV QR XVXDOHV R UHVSXHVWDV TXH 8G FUHH IXHURQ IDOVDV

PAGE 264

Q /D HQWUHYLVWD WXYR OXJDU $GHQWUR GH OD FDVD R GHO HVWDEOHFLPLHQWR GHO HQWUHYLVWDGR (Q HO IUHQWH GH OD FDVD R GHO HVWDEOHFLPLHQWR GHO HQWUHYLVWDGR 2WUR OXJDU H[SOLFDU

PAGE 265

%,%/,2*5$3+< $QFI]DU 0DQXHO 3HUHJULQDFLQ GH $OSKD %RJRW£ $UEROHGD \ 9DOHQFLD %DQFR GR 1RUGHVWH GH %UD]LO 6 $ (OHFWU L I LFDULR 5XUDO QR 1RUGHVWH$O WHUQDW ,YDV GH /RFD L ]DFDR GH XP 3URMHFWR 3LORWR QG HG )RUWDOH]D (7(1( %HOFKHU -RKQ & $ &URVV&XOWXUDO +RXVHKROG /HYHORI/LYLQJ 6FDOH 5XUDO 6RFLRORJ\ -XQHf %HQDYLGHV 5 2VFDU (VWXGLR $JUFRODHFRQPLFR GH D &XHQFD 0HGLD GH 5LR *UDQGH 6DQ -RV &RVWD 5LFD ,QVWLWXWR &RVWDUULFHQVH GH (OHFWULFLGDG ,&(f 'HSDUWDPHQWR GH (VWXGLRV %£VLFRV %HQQH\ 0DUN DQG (YHUHWW & +XJHV 2 2I 6RFLRORJ\ DQG WKH ,QWHUYLHZ 3S LQ 1RUPDQ 'HQ]LQ 6RFLRORJLFDO 0HWKRGV $ 6RXUFHERRN &KLFDJR $OGLQH 3XEOLVKLQJ &RPSDQ\ %HUWUDQG $OYLQ / DQG )OR\G / &RUW\ HGVf 5XUDO /DQG 7HQXUH LQ WKH 8QLWHG 6WDWHV %DWRQ 5RXJH /RXLVLDQD 6WDWH 8QLYHUVLW\ 3UHVV %LHVDQ] -RKQ DQG 0DYLV &RVWD 5LFDQ /LIH 1HZ
PAGE 266

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
PAGE 267

'D] $UDQD -XDQ -RV OI/DV &RRSHUDWLYDV GH (OHFWULFLGDG &XUVRV \ &RQIHUHQFLDV :LQWHUf )DOV%RUGD 2UODQGR D 3HDVDQW /L IH LQ WKH &RORPELDQ $QGHV $ 6RFLRORJLFDO 6WXG\ RI 6DXFLR *DLQHVYLOOH 8QLYHUVLW\ RI )ORULGD 3UHVV E $ 6RFLRORJLFD 6WXG\ RI WKH 5HODWLRQVKLSV EHWZHHQ 0DQ DQG WKH /DQG LQ WKH 'HSDUWPHQW RI %R\DF£ &RORPELD *DLQHVYLOOH 8QLYHUVLW\ RI )ORULGD 3K' GLVVHUWDWLRQ LQ VRFLRORJ\ )RUG 7KRPDV 5 0DQ DQG /DQG LQ 3HUX *DLQHVYLOOH 8QLYHUVLW\ RI )ORULGD 3UHVV *DOSLQ &KDUOHV 7KH 6RFLDO $QDWRP\ RI DQ $JULFXLWXUDO &RPPXQ"W\ 0DGLVRQ 8QLYHUVLW\ RI :LVFRQVLQ $JULFXOWXUDO ([SHULPHQW 6WDWLRQ %XOOHWLQ 5XUDO /LIH 1HZ
PAGE 268

D &DQWQ &KXO SDV $ 6RFLRHFRQRPLF 6WXG\ LQ WKH &RFKDEDPED 9DOOH\ RI %ROLYLD :DVKLQJWRQ '& 8 6 'HSDUWPHQW RI $JULFXOWXUH 86'$f 2IILFH RI )RUHLJQ $JULFXOWXUDO 5HODWLRQV E 6DQWD &UX] $ 6RFLRHFRQRPLF 6WXG\ RI eQ $UHD LQ %ROLYLD :DVKLQJWRQ '& 8 6 'HSDUWPHQW RI $JULFXOWXUH 86'$f 2IILFH RI )RUHLJQ $JULFXOWXUDO 5HODWLRQV %ROLYLD /DQG 3HRSOH DQG ,QVWLWXWLRQV :DVKLQJWRQ '& 7KH 6FDUHFURZ 3UHVV /L LHQWKDO 'DYLG ( 79$ 'HPRFUDF\ RQ WKH 0DUFK 1HZ
PAGE 269

1HOVRQ /RZU\ $ 6RF" DO 6XUYH\ RI (VFDODQWH 8WDK 3URYR %ULJKDP
PAGE 270

5RVV -DPHV ( &RRSHUDWLYH 5XUDO (OHFWUILFDWLRQ &DVH 6WXG MHV L Q 3LORW 3URMHFWVLQ /DWLQ $PHULFD 1HZ
PAGE 271

6HZHO :LOLDP + 7KH &RQVWUXFW LRQ DQG 6WDQGDUGL]DWLRQ RI e 6HD L H IRU WKH 0HDVXUHPHQW RI WKH 6RFLRHFRQRPLF 6WDWXV RI 2N DKRUQD )DUP )DPLOLHV 2NODKRPD $JULFXOWXUDO ([SHULPHQW 6WDWLRQ 7HFKQLFDO %XOOHWLQ 1R 6LPSVRQ (\OHU 1 7KH (MLGR 0H[LFRnV :D\ 2XW &KDSHO +LOO 8QLYHUVLW\ RI 1RUWK &DUROLQD 3UHVV 6LPV 1HZHOO / $ +RRVLHU 9L ODTH 1HZ
PAGE 272

D $JULFXOWXUDO3DVWRUDO &RQIOLFW $ 0DMRU 2EVWDFOH LQ WKH 3URFHVV RI 5XUDO 'HYHORSPHQW -RXUQDO RI ,QWHU$PHULFDQ 6WXGLHV -DQXDU\f E 6WXGLHV RI &RORQL]DWLRQ DQG 6HWWOHPHQW /DWLQ $PHULFDQ 5HVHDUFK 5HYLHZ -DQXDU\f D 7KH &KDQJLQJ )XQFWLRQV RI /DWLQ $PHULFDQ &LWLHV 3S LQ 7 /\QQ 6PLWK 6WXGLHV RI /DWLQ $PHULFDQ 6RFLHWLHV *DUGHQ &LW\ 1HZ
PAGE 273

7D\ORU &DUO & HW DO i 5XUDO /L IH LQ WKH 8QLWHG 6WDWHV 1HZ
PAGE 274

%,2*5$3+,&$/ 6.(7&+ 0LFKDHO 'DYLV ZDV ERUQ 2FWREHU LQ +LJKODQG 3DUN 0LFKLJDQ ,Q KH JUDGXDWHG IURP 3KLOOLSV ([HWHU $FDGHP\ ([HWHU 1HZ +DPSVKLUH +H WKHQ DWWHQGHG *ULQQHOO &ROOHJH *ULQQHOO ,RZD PDMRUHG LQ KLVWRU\ RI WKH HPHUJHQW QDWLRQV DQG ZDV JUDGXDWHG ZLWK D %$ LQ KLVWRU\ LQ )ROORZLQJ JUDGXDWLRQ KH MRLQHG WKH 3HDFH &RUSV DQG VHUYHG WKUHH \HDUV LQ &RORPELD :KLOH WKHUH KH ZDV D FRPPXQLW\ GHYHORSHU DQG D 3HDFH &RUSV 9ROXQWHHU /HDGHU 8SRQ UHWXUQLQJ WR WKH 8QLWHG 6WDWHV KH ZRUNHG DV D FRPPXQLW\ RUJDQL]HU LQ 0LQQHDSROLV 0LQQHVRWD ,Q 6HSWHPEHU 'DYLV HQUROOHG LQ WKH *UDGXDWH 6FKRRO RI WKH 8QLYHUVLW\ RI )ORULGD +H ZDV JUDGXDWH UHVHDUFK DVVLVWDQW WR 'U 7 /\QQ 6PLWK IRU WKH DFDGHPLF \HDU DQG VXPPHU RI WR +H ZDV DZDUGHG D 1DWLRQDO 'HIHQVH $FW )RUHLJQ /DQJXDJH 7LWOH 9, )HOORZVKLS IRU WKH DFDGHPLF \HDUV DQG ,Q $XJXVW KH ZDV DZDUGHG D 0DVWHU RI $UWV LQ 6RFLRORJ\ IURP WKH 8QLYHUVLW\ RI )ORULGD +LV WKHVLV ZDV HQWLWOHG $ 6RFLRORJLFDO 6WXG\ RI 0DQ/DQG 5HODWLRQV "Q WKH 'HSDUWPHQW RI 1RUWH GH 6DQWDQGHU &RORPELD 'DYLV LV WKH FRDXWKRU RI 2SLQLRQ /HDGHUVKLS LQ )DPLO\ 3ODQQLQJ ZKLFK ZDV SUHVHQWHG DW WKH 3RSXODWLRQ $VVRFLDWLRQ RI $PHULFD DQQXDO PHHWLQJ DQG LV WR EH SXEOLVKHG LQ WKH -RXUQDO RI +HDOWK DQG 6RFLDO %HKDYLRU +H LV DOVR D FRDXWKRU RI 5XUDO (OHFWU" ILFDWLRQ $Q (YDOXDWLRQ RI (IIHFWV RQ (FRQRPLF DQG 6RFLDO &KDQJHV LQ &RVWD 5LFD DQG &RORPELD SUHSDUHG IRU 7KH $JHQF\ IRU ,QWHUQDWLRQDO 'HYHORSPHQW

PAGE 275

)URP -XQH WR $XJXVW KH ZDVn DQ $VVRFLDWH LQ ,QWHUn QDWLRQDO 3URJUDPV ZLWK WKH ,QVWLWXWH RI )RRG DQG $JULFXOWXUDO 6FLHQFHV RI WKH 8QLYHUVLW\ RI )ORULGD 'XULQJ WKLV WLPH KH ZRUNHG H[WHQVLYHO\ LQ &RVWD 5LFD DQG &RORPELD &XUUHQWO\ KH LV D 'DWD $QDO\VLV 6SHFLDOLVW RQ D VSHFLDO /DZ (QIRUFHPHQW $VVLVWDQFH $GPLQLVWUDWLRQ SURMHFW ZLWK WKH 2FDOD )ORULGD 3ROLFH 'HSDUWPHQW LPSOHPHQWLQJ D FRPPXQLW\ FULPH SUHYHQWLRQ SURJUDP 0LFKDHO 'DYLV LV PDUULHG WR WKH IRUPHU 0DU\ )RHFNH DQG LV WKH IDWKHU RI WZR FKDUPLQJ GDXJKWHUV $QGUHD 3DORPD DQG 1HQD (OL]DEHWK +H LV D PHPEHU RI WKH $PHULFDQ 6RFLRORJLFDO $VVRFLDWLRQ WKH 5XUDO 6RFLRORJLFDO $VVRFLDWLRQ DQG WKH 3RSXODWLRQ $VVRFLDWLRQ RI $PHULFD

PAGE 276

, FHUWLI\ WKDW KDYH UHDG WKLV VWXG\ DQG WKDW LQ P\ RSLQLRQ LW FRQIRUPV WR DFFHSWDEOH VWDQGDUGV RI VFKRODUO\ SUHVHQWDWLRQ DQG LV IXOO\ DGHTXDWH LQ VFRSH DQG TXDOLW\ DV D GLVVHUWDWLRQ IRU WKH GHJUHH RI 'RFWRU RI 3KLORVRSK\ f§/ 7 /\QQ 6 'U 7 /\AQQ 6PLWK *UDGXDWH 5HVHDUFK 6RFLRORJ\ ‹F\YY &KD LUPDQ 3URIHVVRU RI FHUWLI\ WKDW KDYH UHDG WKLV VWXG\ DQG WKDW LQ P\ RSLQLRQ LW FRQIRUPV WR DFFHSWDEOH VWDQGDUGV RI VFKRODUO\ SUHVHQWDWLRQ DQG LV IXOO\ DGHTXDWH LQ VFRSH DQG TXDOLW\ DV D GLVVHUWDWLRQ IRU WKH GHJUHH RI 'RFWRU RI 3KLORVRSK\ 'U ( :L EXU %RFN $VVRFLDWH 3URIHVVRU RI 6RFLRORJ\ FHUWLI\ WKDW KDYH UHDG WKLV VWXG\ DQG WKDW LQ P\ RSLQLRQ LW FRQIRUPV WR DFFHSWDEOH VWDQGDUGV RI VFKRODUO\ SUHVHQWDWLRQ DQG DV D GLVVHUWDWLRQ IRU WKH O8/ 8Un'DYLG %XVK QHO O 3URIHVVRU RI +LVWRU\ FHUWLI\ WKDW KDYH UHDG WKLV VWXG\ DQG WKDW LQ P\ RSLQLRQ LW FRQIRUPV WR DFFHSWDEOH VWDQGDUGV RI VFKRODUO\ SUHVHQWDWLRQ DQGA LV IXOO\ DGHTXDWH LQ VFRSH DQG TXDOLW\AHnL D GLVVHUWDWLRQ IRU WIF GHJUHH RI 'RFWRU RI 3KLORVRSK\ n'U %AKMDPLQ / *RUPDQ 3URIHVVRU RI 6RFLRORJ\ FHUWLI\ WKDW KDYH UHDG WKLV VWXG\ DQG WKDW LQ P\ RSLQLRQ LW FRQIRUPV WR DFFHSWDEOH VWDQGDUGV RI VFKRODUO\ SUHVHQWDWLRQ DQG LV IXOO\ DGHTXDWH LQ VFRSH DQG TXDOLW\ DV D GLVVHUWDWLRQ IRU WKH GHJUHH RI 'RFWRU RI 3KLORVRSK\ OU GAHSK 6 9DQGLYHU 3URIHVVRURI 6RFLRORJ\

PAGE 277

7KLV GLVVHUWDWLRQ ZDV VXEPLWWHG WR WKH 'HSDUWPHQW RI 6RFLRORJ\ LQ WKH &ROOHJH RI $UWV DQG 6FLHQFHV DQG WR WKH *UDGXDWH &RXQFLO DQG ZDV DFFHSWHG DV SDUWLDO IXOILOOPHQW RI WKH UHTXLUHPHQWV IRU WKH GHJUHH RI 'RFWRU RI 3KLORVRSK\ 'HDQ *UDGXDWH 6FKRRO -XQH A

PAGE 278

%


121
higher than is that of INACCESS IBLES which in turn surpasses that of
the NON-ADOPTERS.
The t-test for difference in means reveals that the variation
between USERS and NON-ADOPTERS, and USERS and INACCESSIBLES are
statistically significant. That is to say that USERS are more content
with their life situation than are INACCESS IBLES or NON-ADOPTERS.
The statistically significant difference persists when comparing the
USERS with the combined scores of both types of non-users. The
variation, however, disappears when comparing those within reach of
the distribution lines and those situated in the area not serviced by
the central source distributor of electricity. This indicates that
the INACCESS IBLES comprise an adequate control group according to
SIT TOT. Because of its discriminatory powers and aggregate capa
bilities, SIT TOT is the only sat isfaction-with-1ife-situation index to
be used in the remainder of this study.
Certain tentative conclusions can be drawn from the preceding
analysis. Those who use electricity are more satisfied than either
those who could but do not use this source of energy and those who
cannot utilize electrical current. Also, those who have not taken
advantage of the chance to connect with the source of electrical
energy are less satisfied than are those who are beyond the reach
of electricity distribution lines. The temptation at this point is
to assert that one of the results of the impact of rural electrifica
tion is an increase in the satisfaction with life situation. Before
this assertation can be justified, alternated possible causes of
contentment with life must be examined and controlled. Accordingly,
those variables incorporated into the study which could reasonably


9
distribution system. Since the entire area of the study is essentially
homogeneous with regard to the characteristics discussed in the pre
ceding section, this upjier or northern portion serves as a control area
in what is a naturally occurring experimental situation.
The characteristic of greatest importance in the study is
dichotomous: the use or non-use of electricity, referred to as the
electric-use characteristic. From the standpoint of the use or non
use of electricity, the respondents fall into three categories. The
heads of the households for whom data were collected and who were
served by the cooperative distribution system are labeled USERS. Those
for whom data were collected and who lived within reach of COOPELESCA
lines but who had not availed themselves of the opportunity of using
electricity are designated as NON-ADOPTERS. Finally, those for whom
data were collected, resided beyond the reach of the COOPELESCA lines,
and did not utilize any source of electrical energy are called
INACCESSI BLES. Data were also collected for 32 heads of households
who utilized a source of electricity other than COOPELESCA current;
but because of the variety of types of electricity used, these cases
were viewed as atypical and were eliminated from the analysis.
The research design took into account the possibility of en
countering cases in all three of the categories, called electric-use
categories. The impact of the use of electricity should be most
clearly revealed by comparing those who are connected with the lines
of the central source of power, the USERS, and those who, although
they have had the opportunity, are not, the NON-ADOPTERS. The non
users who do not have an opportunity to use this source of power, the
INACCESSI BLES, should have characteristics which differ from those of


241
126. Ha conversado Ud. sobre el uso de la lectricidad con algunos
129
de sus vecinos o amigos? Sf
No
127. Alguin le pTd<5 a Ud. su consejo sobre el uso de la electrice
129
dad? S
No
128. Esta persona, o estas personas, empezaron a utilizar la electri
cidad despus de hablar con Ud.? Sf No
129. Cunto le cost la instalacin elctrica de su finca?
Colones
130. Cmo pag Ud. por la instalacin elctrica en su finca?
Al contado
Con un prstamo (DE QUIEN?) ¡
Otro arreglo (EXPLICAR)
131.Cul considera Ud. el uso ms importante de la electricidad en
140
su finca?
NO USUARIOS DE LA ELECTRICIDAD
(EN ESTA SECCION LAS PREGUNTAS No. 132 a No. 139 DEBERAN SER LLENADAS
POR AQUELLOS QUE NO USAN LA ELECTRICIDAD)
Me gustara hacerle algunas preguntas con respecto a algunas cosas
que Ud. tal vez utilice.
132.Qu cantidad de los siguientes artculos usa Ud. por lo general
en una semana, y cunto cuestan?
(APUNTAR LA CANTIDAD. RECORDAR QUE DIFERENTES UNIDADES SERAN
UTILIZADAS PARA DIFERENTES ARTICULOS, DOCENA, LITRO, ETC.).


40
were not asked to respond to queries dealing with the non-use of
electricity; and merchants who owned no land were not questioned about
agricultural production(see Appendix A, p 230-241). Concise direc
tions were given to the interviewers during their training and were
included in each of the schedules concerning the characteristics of
the respondents which governed the particular series of questions to
either be asked or omitted.
As indicated by the term "survey schedule", the forms were filled
out by trained interviewers and not by the respondents. The printed
questions were asked by interviewers who wrote down the answers.
Few of the respondents ever saw the printed questions. The decision
to conduct the interviews in this manner was made basically for three
reasons. It had been expected that many of the heads of households
would be functional illiterates, so that they would be unable to read
the questions and write in the answers. Secondly, it was felt that
questionnaires filled in by respondents might be incomplete and
illegible. Finally, and perhaps most importantly, by utilizing trained
workers a greater uniformity of response was obtained. The inter
viewers could detect abnormal or incomplete responses and were able,
by probing, to secure more complete data.
One of the primary means of attaining the desired ease of inter
viewing was to arrange the sequence of the questions so that there
would be a smooth transition from one series of questions to the next.
In order to facilitate this, simple statements were used to introduce
each section. Within each separate segment, the first questins
elicited concrete information which the respondent could readily di
vulge. The more thought-provoking queries were placed near the end


238
Uti1 izado en
Art fculo Casa el negocio Ambos
Cepillo de dientes elctrico
Reloj elctrico
Cafetera elctrica
Mquina de sumar elctrica
Ventiladores
Roco 1 a
Calentador de Agua
Bomba de agua, tamao hp
Enfriadora para:
Cerveza
Gaseosas *
Productos lcteos,
leche, helados, etc. '
Otras comidas
Otros equipos (EXPLICAR)
108. Cunto le cost la instalacin de su casa y/o su establecimiento
comercia 1?
La casa: Colones El negocio: Colones
La Casa El Negocio
Al contado
Prstamo (DE QUIEN?)
Otros arreglos (EXPLICAR)
No recuerda o no sabe
(HACER LAS SIGUIENTES PREGUNTAS No. 1 09 a No. 1 12 A AGRICULTORES Q.UE
TIENEN MEDIDORES PARA USO DOMESTICO DE LA ELECTRICIDAD PERO QUE NO TIE
NEN MEDIDORES PARA USO AGRICOLA)


187
There are several urban centers which are the nuclei for
communities which properly belong in a third category of.the size of
v
locality groups in Costa Rica. Included among these are the smaller
provincial capitals and the rapidly-developing frontier center of
San Isidro en General. These centers perform, to a lesser extent,
the same functions as do the larger provincial capitals.
None of the urbanized places mentioned above are found in the
area being examined in this study. They have been mentioned to help
place the locality groups found in San Carlos in their respective
levels of relative importance. Because the community of San Carlos
is most strongly influenced by Majuela and San Jos, only they
among the places already listed are discussed further.
Ciudad Quesada is the head town of the cantn (county-like
entity) of San Carlos. In the ordering of locality groups by size and
influence, the community which has Ciudad Quesada as its nucleus is
included in the category of the fourth-1argest group. In this class
are included the head towns of most of the cantons in the country.
It should be stressed that while size and polit¡cal-administrat ive
considerations are important criteria for determining the classifica
tion of a community in its respective rank, level, or size of
locality groups, they are by no means the sole determinants. All of
the various functions of the specific community must be considered
and evaluated (See the functions as defined by Smith, 1970a:373-89,
and 1970c:351-7) .
' Ciudad Quesada, which was formerly named Villa Quesada, a
designation still used by the rural people of San Carlos, is the
gateway city to the Li anos (grassy plains) of San Carlos. The


199
part of a rural neighborhood or a larger locality group. No examples
of the isolated rural family are offered for further commentary.
To recapitulate, the schema of the size of locality groups in
Costa Rica as devised by the present author includes those centering
around the following:
1) Metropolitan San Jos
2) Metropolitan large provincial capitals
3) Lesser provincial capitals and San Isidro en General
j 4) Most canton capitals
5) Missing but probably small urban centers
6) Missing but probably large towns
7) Missing but probably small towns
8) Villages
9) Nucleated rural hamlets
10) Satellite rural hamlets
11) Rural neighborhoods
12) Isolated rural families
Levels of Integration
The concept of "levels of integration" may be thought of as a
schema representing the ways in which those living in specific
locality groups are related to other groups through social interaction.
The principal locality groups encountered in San Carlos were detailed
in the previous section. Those living in these aggregates are not
confined in their social relations to others of their principal
social group. Rather, they are socially integrated into several


88
previous residence in the same district. Included in this figure are
six individuals who had always lived in the same house. A total of
76.0 percent of the heads of households had previously lived either in
the same district or some other part of San Carlos, including Ciudad
Quesada When these facts are compared with those already cited on
the place of birth, some interesting conclusions can be drawn. The
particular area being studied is populated by people born out of the
region but who have lived elsewhere in the region before moving to
their present locations. There is major internal migration within San
Carlos.
Only a few heads of households, 11.8 percent, had their last
place of residence on the Meseta Central. Another 12.2 percent had
lived previously in areas of Costa Rica other than the Meseta Central
or San Carlos. The last category listed in Table 7 includes one
person who had lived in a foreign country, Nicaragua. Only 30 of the
441 people for whom data were obtained had previously been urban
dwellers, that is had lived in a city such as San Jos or Ciudad Quesa
da. Undoubtedly, many of these are school teachers who were educated
in urban centers .
As was the case with the analysis of the place of birth, no
significant variations are seen when the categories of place of
previous residence are sub-divided according to the categories of the
electric use characteristic. Regardless of the use or non-use of
electricity, most heads of the households had their previous residence
in San Carlos .
The length of time that the family has occupied their present
home provides some insight into the migration patterns of the popula-


146
have been developed as a result of the need to store, transport, and
care for such cargos. Since this mode of hauling freight had already
\
been developed, the transfer from the use of carts to motorized means
of transportation caused relatively few displacements in the socio
cultural transportation system. Small trucks and jeeps carry ap
proximately the same loads as ox-drawn carts; they do, however, move
the goods faster. Once the members of a society are accustomed to
use jeeps, the transfer to the use of larger vehicles is a matter
of degree rather than of abrupt change.
The important point is that the Costa Rican farmer relies on
carts, and more recently on jeeps and trucks to transport his goods
to market. This reliance upon the road has had a conditioning effect
and consequently has influenced the placement of both his dwellings
and other farm buildings in recently settled portions of the country
Due to the propensity to construct near the roads, the farm
houses tend to be closer together than is usually the case in the
single, farmstead form of settlement. As a result, some of the quasi
line villages as well as numerous instances of two or three houses
being closely grouped together have appeared. Such clusters of
houses, however, are not entirely the consequence of the tendency to
live near the sides of roads.
The settlement patterns of the San Carlos research area are
also strongly influenced by the system of land divisions. From both
personal observation and facts gathered concerning land division, it
appears that elongated plots of land, purposely laid out to facilitate
the establishment of line villages, are absent in the area. Rather,
the area appears to have been settled and the land sub-divided in an


93
Amish families because of the prohibition among the latter, for reli
gious reasons, of possession of the item.
Level-of-1iving scales have generally been based on ownership
rather than use of goods and services. Thus, Roy A. Clifford pointed
i
out that
In a society the distribution of goods and the extent
to which services are utilized are- of vital importance
to the society and to its members. It is in terms of
these characteristics that the level of living of a
people is measured (1953:231).
John C. Belcher has questioned the assumption that possession
implies use in the construction of level-of-1iving scales. He stated
that, "Possession of an item needs to be related to the consumption
patterns if it is to measure level of living" (1972:7). Thus, for
example, a household should not be rated in a higher category for
having an electric stove when, if because the wife is afraid of
electricity, she cooks all of her meals on a traditional wood burning
stove. Rather, Belcher noted when commenting on his own approach to
the construction of a scale:
The approach developed.. .was to list a number of functions
that are customarily satisfied in the household in all
societies and that require material items for the ef
fective performance of the function" (1972:10).
The most important point in the definition is that relating to func
tions. The Belcher scale measures levels of living by assigning
values to the manner in which universal functions related to a household
and its occupants are performed, for instance, shelter, disposal of
human waste, cleaning, and lighting. Since these are functions which
are performed to some degree in all households at all times, the
scale does not suffer from the limitations mentioned above. It seems


229
(HACER LAS PREGUNTAS No. 33 a No. 47 SOLAMENTE A LOS HOMBRES
JEFES DE FAMILIA)
33.
Tiene empleo su seora?
Sf
Viudo
47
No
36
Soltero
34.Cul es el trabajo que ella tiene? Favor de explicar lo que hace.
35. Durante cuntas horas del dfa trabaja Ud .?
36. Adems de hacer el trabajo de la casa, su seora le ayuda a Ud.
en su trabajo? Sf No ^
37. Cmo le ayuda a Ud. en sus trabajo?
38. Tiene ella tareas definidas que hacer? Sf No
39. Cules son las tareas? .
40. Por cuntas horas al dfa le ayuda ella?
(SI EL ENTREVISTADO ES UN JORNALERO 0 UN AGRICULTOR,
HACER PREGUNTAS No. 41 a No. 46)
41 Su seora le ayuda con regularidad en su trabajo? Si No _
47
42.Cules son las tareas que ella hace? Favor explicar
43. Cuntas horas al dfa le ayuda ella en este trabajo?
(SI EL ENTREVISTADO TRABAJA EN UN NEGOCIO,
HACER PREGUNTAS No. 44 A No. 46)
44. Su seora trabaja con Ud. en el negocio? Sf No
45-. Qu es lo que hace ella en el negocio?
46. Cuntas horas diarias trabaja ella en el negocio?


99
Figure 5
\
Percentages of Each USERS, INACCESS IBLES, and
NON-ADOPTERS by Categories of Electricity-free
Level-of-Living Scale (LEVELNOE)
Percent
LEVELNOE


194
There is a considerable movement of trucks in the area. Although
many trucks are empty upon arrival, when they leave they are full of
raw products, mainly logs, cattle, milk, and other agricultural pro
duce .
Commerce, although it is significant, is not the most important
of the services provided in La Fortuna. There are, as one might
expect, several stores of various types in the village. The assort
ment of mercantile goods, however, is not sufficient to fulfill the
needs of those living in the trade area served by La Fortuna. Since
many of the residents of the smaller community make frequent trips-
to the larger city, the merchants of the small village have not been
able to capture customers from the merchants of Ciudad Quesada.
t
The poor electrical service available in the village has ad
versely affected its merchants. Those commercial establishments which
rely on electrical equipment either have private sources of electrical
energy or they do not establish themselves in the center. Thus, the
bank, the two largest stores, and the gas station all have private
generating plants which are used during electrical black-outs. There
is no plant for processing dairy products, no retail sales outlet
for the same, nor a butcher shop in La Fortuna because all of these
enterprises depend on a reliable electrical current for refrigeration.
Although, as indicated above, a network of bus and truck transporta
tion radiates from the village, there are no facilities for repairing
vehicles, since they too must rely on electricity. There is a barber
shop, but the barber uses hand clippers rather than electrical ones.
There are no appliance stores. Indeed, although La Fortuna generates
its own electricity, there are few electrical appliances used in the


91
have lived in the area for more than a decade than is the case with
the aggregated population.
The NON-ADOPTERS accentuate the distribution of the total popula
tion already commented upon: prevalence of both recent and long-term
residents. More than one-fourth, 27.8 percent, of the NON-ADOPTERS
have lived in their present dwelling for less than one year; nearly
another quarter, 24.7 percent, have remained in the same location for
more than ten years. This pattern is apparently related to the
relative importance of farm laborers among the NON-ADOPTERS. Many
hired hands in the area are obviously transient; others, apparently
either have worked on one farm for long periods of time or have worked
at a variety of jobs over a long period of time.
The USERS tend to be more-permanent residents than those in
either of the categories of non-users of electricity. Fewer of those
who use electricity have been in their present homes for less than
three years than was found for those who do not use electric current.
The majority of the USERS, 62.0 percent, have remained in the same
house for at least the past three years. The drop among the USERS of
those who have spent from six to ten years in the same residence is
not explained at the present time.
The preceding analysis has focused on certain aspects of the
migration history of the heads of households. Specifically three
facets have been examined: place of birth, location of previous
dwelling, and length of residence in the present house. Although
migratory patterns are not one of the major concerns of this study,
certain relevant conclusions can be drawn from this examination.
Among these Costa Rican respondents there is no demonstrable relation-


CHAPTER II
A REVIEW OF THE LITERATURE
This sociological study of the impact of rural electrification on
the members of several Costa Rican communities utilizes a long estab
lished and well-tested frame of reference in examining a relatively
new subject matter. The frame of reference has been developed mainly
by rural sociologists and set forth in many of their publications.
One purpose of this chapter is to trace the development of the essen
tial antecedents in the body of literature which have led to the forma
tion of the frame of reference used. Emphasis is placed on those
aspects of the development of rural sociology which are of particular
importance and on the previous adaptions of rural sociological tech
niques. for the study of Latin American societies. This review will
serve to acquaint the reader with the literary foundations on which
the present research project is based.
A second purpose of the chapter is to sketch the development of
the study of rural electrification and especially in regard to Latin
America. The research into the impact of electrification in rural
areas is somewhat less developed than is the field of rural sociology.
The literature dealing with the subject is, consequently, not as
voluminous.
This review of the literature deals with the principal components
of the dissertation and is designed to highlight certain publications,
17


THE IMPACT OF RURAL
ELECTRIFICATION IN COSTA RCA
By
J. MICHAEL DAVIS
A DISSERTATION PRESENTED TO THE GRADUATE COUNCIL
OF THE UNIVERSITY OF FLORIDA IN PARTIAL FULFILLMENT
OF THE REQUIREMENTS FOR THE DEGREE OF
DOCTOR OF PHILOSOPHY
UNIVERSITY OF FLORIDA
1974


32
to electrification in this book are tangential.
In 1940 John Kerr Rose outlined the aspects of the study of the
impact of rural electrification which he saw as pertinent to sociology
in "Rural Electrification: A Field for Social Research" published
in Rural Sociology. Unfortunately, until the present time sociologists
have not answered the challenge posed by Rose to study this aspect of
rural life. Several agricultural economists, most notably Joseph E.
Davis, have, however, addressed themselves to answering many of the
questions raised by Rose. A report entitled Use of Electricity on
Farms: A Summary Report of Ten Area Stud i es published by Davis (1956)
summarized ten research projects concerning the impact and utili-zation
of electricity on farms in different regions of the United States.
The studies were individually published between 1950 and 1955. Davis
concluded that the use of electricity on farms is directly correlated
with the type of farm and with the size of farm.
The Study of Rural Electrification in Latin America.
Widespread rural electrification is a recent phenomenon in Latin
America. Rural electrification projects are infrequent and relatively
new. Consequently, there has been little to investigate in this field
of interest. Those few studies which have been done have dealt more
with the construction of specific electrical distribution networks
rather than with examining their impact.
In addition to the country being looked at in this dissertation,
few other Latin American nations have any substantial rural electri
fication networks. The cooperative system of the distribution of rural
electricity in Chile was depicted in the short paper entitled Rural


124
NON-ADOPTERS are the least satisfied.
The conclusion can be reached that age of the head of the house
hold is not a significant factor in determining the level of satisfac
tion with life. Differences in this measure persist, with the excep
tion of the oldest family heads, regardless of age.
There is a slight association between the education of the head
of the household and satisfaction with life situation. It should be
noted that those who did not provide information on their last year
of schooling were grouped with those who had not attended school .
Analysis of the data indicated that most of those who did not respond
were illiterates not wishing to reveal that fact. This process'has,
of course, introduced some error. But the error is such that our
findings will be conservative rather than exaggerated. The average
score on the SIT TOT rises slightly with a corresponding increase
in the amount of education. But the change is slight from a low
arithmetic mean of 4.1 for those with no education to a high average
of 4.4 for those with at least seven years of schooling.
The variations in SIT TOT for those in the electric use categories
when controlling for education of the head of the household are
presented graphically in Figure 11. Regardless of the amount of
education, the USERS have a uniformly high level of contentment.
With the exception of those having had at least seven years of
schooling, USERS are much more satisfied than are the NON-ADOPTERS in
each educational bracket. Also with the exception of those having
the most education, the INACCESSIBLES rank between the USERS and
NON-ADOPTERS. Although the analysis might be biased because of the
small number of cases, it appears that the best educated non-users


18
the findings of which have direct influence on the present subject.
The Development of Certain Aspects
of Rural Sociology
At the heart of rural sociology are the study of the institu
tionalized relationships between man and the land, also known as man-
land relations, and the study of communities and smaller locality
groups. The development of these aspects of rural sociology occurred
primarily in the United States. The following portion of the review
of the literature focuses on those currents of this process which have
strongly influenced the present author's sociological frame of refer
ence. There follows a discussion of these aspects of rural sociology
as they have both been used and developed in the study of several
Latin American societies. Finally, special attention is given to the
more pertinent sociological studies of Costa Rica.
The Development of Rural Sociology.
The first sociology textbook published in the United States con
tained a systematic analysis of the sociology of rural life. This
work, Aii I nt roduct ?on to the Study of Society by Albion W. Smal 1 and
George E. Vincent (1894) included a section entitled "The Natural
History of a Society." In this section, along with other rural socio
logical topics covered, was presented a discussion of the nature of
the rural community.
The actual origin of the discipline of rural sociology was the
result of the work of several ministers who were interested in ascer
taining the reasons for the rapid decline around the turn of the


9. Quiero hacerle unas preguntas sobre la familia y los que viven en su casa
Parentezco con el
jefe de la fam!1 la
Nombre
Sexo
(M o F)
Edad
Estado
Civil
Ultimo gra
do o ao
aprobado
Ocupacln
principal
Todavfa a-
siste a 1 a
escuela
Sf o No
Dnde reside?
Jefe de 1 a fami 1¡a
Seora
Hij'os que viven en
esta casa
Hij'os que no
viven en esta
casa
-
Otras en la casa
Hijos muertos
(anotar edad
cuando muri)
.


243
LA SITUACION
HABLEMOS AHORA DE OTRAS COSAS DIFERENTES
(HACER LAS SIGUIENTES PREGUNTAS. SI EL ENTREVISTADO CONTESTA "IGUAL"
SIGA A LA PREGUNTA SIGUIENTE. SI CONTESTA "MEJOR" PREGUNTE: "MEJOR O
MUCHO MEJOR?" SI CONTESTA "PEOR" PREGUNTE: "PEOR O MUCHO PEOR?"
Mucho Mucho
Mejor Mejor Igual Peor Peor
140. Su situacin actual en la
vida es peor, mejor o i-
gual a la de hace cinco
aos?
141 Su situacin actual en la
vida es igual, peor o me
jor a la que tena su pa
dre?
142. De aqu a cinco aos espe
ra Ud. tener una situacin
mejor, peor o igual a la
que tiene ahora?
143. En general en comparacin
con la situacin de sus
vecinos, es la suya peor,
mejor o igual
144. (Si el entrevistado tiene
hijos vivos, preguntar:)
Cree Ud. que sus hijos
tienen o tendrn, cuando
sean mayores, una situa
cin peor, mejor o igual
a la que Ud. tiene ahora?
145. (Si el entrevistado no
tiene hijos vivos, pregun
tar: )
Cree Ud. que los nios de
hoy da, cuando sean mayo
res, van a tener una situa
cin peor, mejor o igual
que la que Ud. tiene hoy
da?


216
in the smaller places more dependent on the cities. Goods, such as
perishable foodstuffs which must remain refrigerated, must be re
supplied more frequently than non-perishable goods. This represents
a form of increased dependency of both the consumers and merchants
on the distributors housed in Ciudad Quesada. In addition there were
no repair facilities for electrical appliances in the research area.
This created an additional dependency on the urbanized center of
Ciudad Quesada.
In summary, one of the major facets of the impact of rural electr
fication is on its influence as a social integrative force. This can
be most clearly seen in a comparison of the hamlets which are electri
fied with those in which some use is made of alternate sources of
electricity until dependable current can be obtained. An immediate
consequence of electrification appears to be the temporary stagnation
of formal community or neighborhood improvement committees. This
is interpreted as a weakening of the internal social integration of
a settlement. On the other hand, those hamlets in which there is no
dependable electricity tend to become more socially integrated in
an endeavor to obtain electricity. Finally, the process of electrifi
cation acts as a force which increases the integration into larger
communities of those living in small rural locality groups and
simultaneously creates increased dependency of the smaller locality
groups on larger communities.


248
176. Qu medios de transporte tiene Ud?
1 Ninguno
\
2 Animal, bicicleta
3 Carreta
4 Motocipleta, motoneta
5 Jeep, auto camin
6 Otros: Explicar
177. Qu sistemas de alumbrado usan?
1 Velas, canfinera
2 Lmpara de carburo
3 Lmpara de gas o canfn
4 Bombillas o tubos fluorescentes
5 Lmparas elctricas
6 Otros: Explicar
178. Material predominante en la pared del frente
1 Paja y similares
2 Pedazos de madera, lata, zinc
3 Madera sin pintar
4 Madera pintada
5 Ladrillo, bloques
6 Otros: Explicar
179. Material del piso de la sala
1 Tierra
2 Tablas
3 Cemento con o sin ocre
4 Madera machihembrada
5 Mosaicos, alfombras


11 Mean Total Satisfaction-with-Life Situation
Index (SIT TOT) Scores for USERS, INACCESSIBLES,
and NON-ADOPTERS by Education of Heads of
Households 125
12 Mean Total Satisfaction-with-Life-Situation
Index (SIT TOT) Scores for USERS, INACCESSIBLES,
and NON-ADOPTERS by Size of Farm Categories 127
13 Mean Total' Satisfaction-with-Life-Situation
Index (SIT TOT) Scores for USERS, INACCESSIBLES,
and NON-ADOPTERS by Electricity-free Level-
of-Living Scale (LEVELNOE) Categories 129
ix


26
A Study in Rural Social Organization. Smith's interest in Latin
America has continued through the present, resulting in numerous
publications. Several of these deserve special mention.
Agrarian Reform in Latin America (1965) by Smith presented one
of the foremost analysis of the need for and functions of agrarian
reform. In it Smith clearly demonstrated that the term "land reform"
is a misnomer for "agrarian reform." Smith's "Agricultural-Pastoral
Conflict: A Major Obstacle in the Process of Rural Development an
article in the Journal of Inter-American Studies (I969), is a concise
exposition on the conflict between agricultural and pastoral enter-:
prises which has continuously inhibited rural development in Latin
America. Studies of Latin American Societies (1970) is a compilation
of many of Smith's major articles. Of interest for this dissertation
are the opening two chapters which deal with the development of the
sociological study of Latin American societies.
Not only has Smith made substantial contributions to the body of
literature of rural Latin American societies, but several of his
students have utilized his frame of reference and have also produced
critical documents in the area. Sam Schulman extensively viewed not
only land tenure in Latin America but also traced its roots back
through Spain and the Roman Empire. His findings are included in A
Sociological Analys is of Land Tenure in Lat ?n America (1 95^+) He
further examined an important aspect of the land tenure system, that
of the farm laborer who also has a small plot of land, in "The Colono
System in Latin America" which appeared in .Rural Sociology (1955).
Thomas R. Ford in his Man and Land in Peru (1955) looked at the
conflict between the indigenous and superimposed Spanish systems of


76
the question on schooling probably did so because they were attempting
to mask the fact that they were illiterate. Consequently, only a
small error was introduced by the grouping procedure used. This
error is conservative in that the amount of schooling is viewed as
being under-reported rather than as exaggerated. Because of the
small number of those who have more than a primary education, all of
those with seven or more years of schooling have been grouped together.
Nearly one-third, 31.0 percent, of the heads of households either
reported no formal schooling or did not respond to the question.
Another 23.7 percent may be viewed as either functionally illiterate
or barely literate in that they reportedly have completed only the
first or second year of primary school. Thus, approximately one-half

of the heads of households are either completely or nealy illiterate.
Less than one out of twenty, 4.6 percent, have gone beyond the primary
grades .
Table 2 also presents the data on education of the heads of
households cross-tabulated with the electric-use categories. The
distribution of persons in the three categories clearly varies ac
cording to educational attainment. The modal number of years of
schooling for the USERS is three to four. The corresponding datum
for both INACCESSIBLES and NON-ADOPTERS, on the other hand, is zero.
The USERS appear in proportionately smaller numbers among the lesser
educated than do those in both categories of non-users. The USERS
are also relatively more numerous than the non-users among the better-
educated. Over one-half, 57.3 percent, of the USERS have had three
or more years of schooling, a level attained by only 37.9 percent of
the INACCESS IBLES and 35.7 percent of the NON-ADOPTERS. The analysis


219
tricity and accompanying deviations from normative characteristics
by USERS and NON-ADOPTERS.
Many of the analyses presented in this study lead to the conclu
sion that electricity is beneficial to USERS. The existence of bene-
/
fits derived from the use of electricity, however, is not necessarily
sufficient to insure that electric energy will be made available to
larger segments of rural populations. Decisions to extend electrical
distribution lines usually are based on factors other than the
consideration for benefits which would accrue to potential consumers.
The following'factors should be weighed as policy considerations by
those responsible for expanding electricity in rural areas both "in
Costa Rica and elsewhere.
In the absence of electricity distributed from a central source,
the more prosperous merchants can further enhance their economic
advantage over their smaller competitors by installing private plants
for generating electricity. The cost of connecting to a public
distribution line is more affordable by all merchants. Thus, the
commercial advantage of public electricity appears to benefit merchants
regardless of size, and acts as an equalizing factor.
The settlement patterns of an area constitute a factor to be
considered in planning for extensions of utilities to rural residents.
In those zones where the inhabitants are grouped together in either
nucleated villages or line villages or, to a lesser extent, in quasi
line villages, the delivery of utilities is facilitated. Consequently,
if the accessibility of utilities, and especially of electricity,
is accepted as vital to rural residents, future settlements should
incorporate those forms, i .e nucleated villages or line villages,


58
of today to have when they become adults. Once again, this construct
is based on the average of the two questions. This index differs '
\
from the two already mentioned in that it is based on speculation
rather than on comparisons with present or past realities. As such,
SIT FUT is undoubtedly influenced by such factors as political
stability, marital relations, health, and optimism about the unknown,
all things over which there is no control.
The total satisfaction-with-1ife-situation index (SIT TOT) is a
statistical combination of the other three indexes. Because of the
tendency of the negative and positive responses to cancel each other
out in this construct, a statistical regression-to-the-mean average
is built into it. Nevertheless, because one's satisfaction with.life
normally takes into account the present, past, and future, SIT TOT
is the most accurate representation of the actual contentment of the
respondents. As such, SIT TOT is used more than are the other three
indexes in the analyses.
San Carlos is an agricultural and pastoral area. To gain an
understanding of the area it is necessary to view some of the institu
tionalized relationships between man and the land. One of the most
important of the sociocultural systems included in the complex man-
land relations is that of the size of landholdings. The size of
landholdings, or size of farms and farm-1 ike entities, refers to the
area of the lands used primarily for pastoral or agricultural activi
ties which are held as definable units under various forms of owner
ship. The basic units studied are the f?nca, which may be translated
as "farm," and the sub-farm. The latter is a farm-like unit which is
not sufficiently large to be included in a farm category.


259
1969a "Agricultural-Pastoral Conflict: A Major Obstacle in the
Process of Rural Development." Journal of Inter-American
Studies 11 (January) :16-43.
1969b "Studies of Colonization and Settlement." Latin American
Research Review 4 (January):
1970a "The Changing Functions of Latin American Cities," Pp. 373-
89 in T. Lynn Smith, Studies of Latin American Societies .
Garden City, New York: Doubleday & Company, Inc.
1970b Studies of Lat in American Soc ieties Garden City, New York
Doubleday & Company, Inc.
1970c "Urbanization in Latin America," Pp. 338-59 in T. Lynn
Smith, Studies of Latin American Societies. Garden City
New York: Doubleday & Company, Inc.
1972a Brazi1: People and Institutions. 4th ed. Baton Rouge:.
Louisiana State University Press.
1972b "The Development of Rural Sociology in the United States,
with a Few Annotations on Its Development in the South."
Revue .Internat ionale de Soc iologie 8 (Abril) : 60-90.
1973 "Some Aspects of Rural Community Development in Brazil."
Luso-Brazi1ian Review Vol X, No. 1 (June): 3-19.
Smith, T. Lynn, Justo Daz Rodriguez, and Luis Roberto Garca
1945 Tabio: A Study ?n Rural Social Organization. Washington,
D.C.: U.S. Department of Agriculture (U.S.D.A.), Office
of Foreign Agricultural Relations.
Smith, T. Lynn, and Paul E. Zopf, Jr.
1970 Principles of Inductive Rural Sociology. Philadelphia:
F. A. Davis Company.
Sorokin, Pitirim A., and Carle C. Zimmerman
1929 Principles of Rural-Urban Sociology. New York: Henry
Holt & Company.
Sorokin, Pitirim A., Carle C. Zimmerman, and Charles J. Galpin
1930 A Systematic Source Book in Rural Sociology. Minneapolis:
University of Minnesota Press. 3 volumes. (1930, 1931, and
1932) .
Taylor, Carl C.
1926 Rural Sociology. New York: Harper & Brothers
1948 Rural Life in Argentina. Baton Rouge:
University Press .
Louisiana State


117
NON-ADOPTERS felt that their life was better or much better than in
the past. The differences in the average responses of those in the
various categories of electric-use are seen in Table 15. On an
average, the USERS are better off than in the past, while the NON
ADOPTERS are only slightly improved over the past. The statistical
differences between these means are presented in Table 15. The
analyses between the categories and combinations of categories of the
electric-use characteristic are the same for SIT PAST as was the case
for SIT PRES. The only difference is that the t-test level of sig
nificance between those within reach of electricity and those beyond
the power lines is not considered as statistically valid. That is
to say, that the INACCESS IBLES do not differ from the combined USERS
and NON-ADOPTERS according to SIT PAST.
Although on an average those in the research population consider
that there has been an improvement in their lives, the change has
been major for the USERS, moderate for the INACCESSIBLES, and
relatively minor for the NON-ADOPTERS. Because of the statistical
significance of the analyses, it can be stated that there is a posi
tive association between increased satisfaction with life compared
with the past and tendency to use electricity.
The results of the cross-tabulation between the future
satisfaction-with-1ife index and the users variable is set forth in
Table 18. Only one respondent was pessimistic about the future.
Only approximately one-tenth, 11.1 percent, of the respondents feel
that things will be the same in the future.- The remainder believe
that the future will be at least better than the present. The
arithmetic averages of the various categories, as shown in Table 15,


145
placed their houses near the existing routes.
In part the placement of the houses is explained by the observed
predilection of the Costa Ricans to use modes of transportation which
require roads rather than paths. The two-wheel oxdrawn cart might
almost be accepted as a national symbol of Costa Rica. Rather than
depending on pack animals which need only trails for the transporta
tion of cargo, especially farm products to market, the rural inhabitants
of the country adopted the more advanced two-wheel cart. These carts
have had such extensive use that lanes, albeit in some instances
merely wide crude paths, connect most rural homes to roads. The
phenomenon can be observed not only in the llanos but also in the
mountainous portions of the country.
The importance of the cart, not merely as a determinant of
settlement patterns, but also as a factor influencing the rural way
of life can hardly be over-stressed. T. Lynn Smith has noted that
the absence of a few important, technologically superior, farm
apparatus, including the two and four-wheel carts, the horse collar,
and the turning plow, has greatly retarded agricultural development
in vast regions of Latin America (1969a). To an extent the high
degree to which agriculture has been developed in Costa Rica may be
attributable to the adoption and use of the two-wheel cart pulled
by oxen hitched with a yoke.
The reliance on the cart as a method of transportation of cargo
has been of striking importance in recent decades. They can be used
to. haul not only heavier objects, but also a wider variety of loads
than can troops of pack animals. Of even greater consequence than
the weight or variety of loads are the cultural manifestations which


193
Their office provides space and facilities for the numerous function
aries of the ministry who are temporarily in the area. Road-mainte
nance vehicles and crews of the Ministerio de Obras Pblicas are
stationed in La Fortuna.
The only banking facilities in the area, aside from those found
in Ciudad Quesada, are located in La Fortuna. The Banco Nacional de
Costa Rica maintains a branch there.
The importance of La Fortuna as a frontier village is readily
apparent when it is realized that it provides communications, medical
facilities, and lodging for those spread out over an extensive
geographic area. The village is literally at the end of the telephone
line. The telephone operator is also the postmistress for the region.
For those either unable to make the journey to a hospital or
not requiring major medical attention, some medical services are
available. A clinic operated by a male nurse is located in the
village. A health team composed of a doctor and another nurse are
scheduled to make bi-weekly appearances at the clinic. An ambulance
also is stationed there.
La Fortuna is a point of departure for travellers and it provides
lodging for visitors to the area. The little center boasts two
hotels, each of which has a restaurant. The hotel rooms which can
be obtained in the village are entirely devoid of the amenities
which lodgers in larger towns expect. The fact that there are two
hotels, however, does indicate the importance of the community as a
stopping-off place. The village is also a transportation center on
a minor scale. Six buses leave and another half dozen arrive in the
village daily, traveling between La Fortuna and Ciudad Quesada.


Figure 3
Age-Sex Pyramid for the Population Studied
In San Carlos
Age
75+
ran
I
10
I I 1 I I I I I
8 6 4 2
Percent Male
J
65-74
55-64
45-54
35-44
30-34
25-29
20-24
15-19
10-14
5-9
0-4
]
]
I
0
I I I I
I I
4 6
Percent Female
I
8


98
Certain characteristics of the various types of users and non
users are revealed in Table 11. USERS predominate in the upper-middle
categories of LEVELNOE. Some 36.2 percent are classified as being in
category four. In comparison, the INACCESS1BLES are fairly evenly
distributed between categories two and three. The former category
contains 38.5 percent of the INACCESSIBLES; another 37.9 percent
are placed in the latter class. The NON-ADOPTERS are clustered around
the lower end of LEVELNOE. The modal category of these non-users is
the second classification where 42.9 percent of the NON-ADOPTERS
are placed. These tabulations are shown graphically in Figure 5. .
The relationships between the categories of users and non-users
of electricity is similar whether using LEVEL or LEVELNOE. Using
LEVELNOE, the USERS have the highest level of living as shown by
their mean score of 3.4 (Table 11). The INACCESS IBLES occupy the
median position and have a mean score of 2.6. The NON-ADOPTERS have,
on an average, the lowest level of living as shown by their arithmetic
mean of 2.1 The t-test for difference of means scores showing the
level of significance between scores of the categories and combina
tions of categories of the electric-use characteristic are presented
in Table 12.


155
This discussion of the correlates of electricity and the size of
farms is based solely on that information gathered in the survey. It
includes data about the farms of all of the agriculturalists inter
viewed. It does not, however, necessarily include data on all of the
agriculturalists and stock-raisers in the immediate vicinity. Portions
of several huge haciendas front on the roads along which the survey
schedules were administered. Among these are the massive haciendas
of Chachagua and San Cristbal. To be consistent with the criteria
used for selecting the precise research population, only those living
within sight of the road were interviewed. The residences of the
owners or administrators of the larger haciendas were usually some
distance from the roads. In factr the headquarters of the Hacienda
San Cristbal was entirely outside of the research area. Consequently,
although data were collected from some farm laborers working on the
larger places, no information was secured for some of the haciendas
on which they worked.
The exclusion of some of the larger places either in or adjacent
to the research area means that there is a bias in the following
analysis. Specifically the analysis is conservative with regard to
the importance of the larger landholdings.
The portion of San Carlos which was surveyed is one of moderate-
size farms. A total of 212 agricultural-pastoral units were enu
merated. They range in size from less than one-half manzana to eight
hundred and twelve manzanas. Of these, only 22 are classified as
being sub-farms or lotes of less than two manzanas (Table 23). The
modal group is that of the minifundia, with 89 places having from two
to 9.9 manzanas. A total of 89 family-sized farms were also counted


132
national newspapers, La Nacin and La Repblica, as well as the local
Prensa Libre are widely circulated in San Carlos/* Numerous publica
tions ranging from weekly news magazines to monthly romance publica
tions, are readily available not only in Ciudad Quesada but also
throughout the adjacent region.
It has been shown that the mass media facilitate the spread of
cognition of innovations, particularly of technological developments
(Rogers, 1969: 96-123). In an attempt to explain some of the
characteristics which differentiate users of electricity from non
users, it was of interest to examine the exposure to the mass media
of the members of this rural society using data compiled through
the survey schedules. The effectiveness of communications in affecting
change is not measured. Although there is, obviously, a relationship,
most probably a positive one, between the intensity of exposure and
the effectiveness of the messages transmitted, no effort is being
made here to evaluate this relationship. Rather, the focus is merely
on the association between exposure and use of the electricity.
The mass-media exposure index (MMEI) used here is premised on
1972 Olympic Games were being held in Munich, Germany. Because of
the low voltage of the private electricity distribution system in
Ciudad Quesada, the television reception in the urbanized area was
inferior. However, outside of the city, television sets using the
high voltage COOPELESCA current brought in clear pictures. Conse
quently, those who were able, at night fled the city for the
surrounding rural areas to view clear images of the Olympic Games.
^ Our chauffeur, who lives in a suburb of Heredia, a city in
cluded in the San Jos metropolitan area, was amazed one morning when
we' were in the Hamlet of El Tanque to find a current copy of J_£ Re-
pbl ica at 11:00 A.M. He said that this newspaper was not circulated
in his neighborhood until at least 3:00 P.M.


Table 19
A Comparison of Respondents In Total
Satlsfactlon-wlth-Llfe-sltuatlon Index (SIT TOT)
Categories by the Three Electric-Use Categories
Electric-Use
Categories
ii
li
ii
li
li
n
li
li
1
(low)
SIT TOT Categories
2 3^
5
(high)
TOTAL
USERS
Percent
0.0
0.0
6.5
60.5
33.0
100.0
Number
(0)
(0)
(12)
(112)
(61)
(185)
INACCESSIBLES
Percent
0.0
o.o
11.8
58.6
29.6
100.0
Number
(o)
(0)
(20)
(99)
(50)
(169)
NON-ADOPTERS
Percent
0.0
1 .0
28 .6
57.1
13.3
100.0 .

Number
(0)
(1)
(28)
(56)
(13)
(98)
TOTAL
Percent
0.0
0.2
13.3
59.1
27.4
100.0
Number
(0)
(1)
(60)
(267)
(124)
(452)
120


47
presentation of the results.
Selection of the Research Area.
. -v
This dissertation deals with a finite area. As such, charac
teristics of the area directly affect the results of the research
project. The selection of the research area, therefore, a priori
influenced the outcome of the research. In order to confront the
question of why San Carlos vis-a-vis some other area was selected,
it is relevant to discuss the process by which the choice was made.
This is a methodological consideration in that the process was a
positive one in which several criteria had to be met before the final
decision was reached.
The present project was conducted with funds from AID contract
csd-3594. The contract stipulated that Costa Rica should be one of
the countries in which research was carried out. It was also strongly
suggested by AID that one of the rural electric cooperatives in that
country be the supplier of electrical current for a major portion of
the population studied. The major considerations for the selection
of the study area were consequently a prerequisite of the project.
In Costa Rica there are three rural electric cooperatives, all .
of which were founded at approximately the same time, in 1968, with
financial and technical assistance provided by AID. Since a primary
objective of the study was to secure data on the impact of rural
electrification, it was not deemed necessary to collect data which
would be representative of all areas of the country. Therefore, it
was felt that an intensive examination of a portion of the area
serviced by one of the cooperatives would suffice, and that,
hopefully, that area would possess some characteristics which would


57
determining the level of the respondent's satisfaction with his life's
situation. Each of the indexes results from questions asking the
respondents to compare their current situacin (situation), a term
widely used and understood in Latin America to refer to the set of
circumstances surrounding one's own condition in life, with another
situation (For the exact questions see Appendix A., p 243). Each
of the questions contains five Likert type scale categories. Cate
gories one and two are for negative responses, with the former in
cluding answers of "much worse" and the latter those of "worse".
Category three is for a neutral response of "same" The last groupings,
categories four and five are positive responses for those indicating
"better" and "much better," respectively.
*
The present sat isfaction-with-1ife-situation index (SIT PRES) is
based on the response to the question asking the respondent to compare
his situation in life with those of his neighbors. The index is based
on what is considered a self evaluation by the respondent of his
social and economic status vis-a-vis that of his neighbors. The past
satisfaction-with-1 i fe-situation index (SIT PAST) is based on the
responses to two questions. The respondent was asked to compare his
situation in life with that of his father and with his own five years
earlier. SIT PAST is an average of the answers to both questions.
The intent using SIT PAST is to detect an indication of both social
and economic mobility and changing levels of contentment.
Like SIT PAST, the future satisfaction-with-1ife-index (SIT FUT)
is based on the responses to two questions* The questions specifical
ly compare the present situation in life with what the respondents
expect to have in five years and with what they expect the children


1
Ninguna, tres piedras en el suelo
2
Fogn
3
Anafre
4
Cocina de canfn
5
Cocina de gas 0 elctrica
6
Otro: Expl¡car
173. Qu aparato usa para limpiar el piso?
1
Ninguno
2
Escoba hecha en casa
3
Escoba de millo
4 Cepillo elctrico
5 Aspiradora
6 Otro: Explicar
174. Qu facilidades tiene para lavar la ropa?
1
Ro
2
Tabla de lavar
3
Tina
4
Lavadero
5
Lavadora
6
Otros:
175. Cmo es el servicio sanitario?
1
Ninguno
2
Ce reo
3
Pozo negro-piso madera
4 Pozo-negro-piso cemento
5 Inodoro
6 Otros: Explicar


102
found in all of the categories of level of living, USERS are highly
concentrated in the higher categories, non-users in the lower. The
grouping in the lower levels of LEVELNOE is more pronounced for NON
ADOPTERS than is the case for INACCESSIBLES .
The existence of the association between the two characteristics
does not necessarily demonstrate causality. Other factors may be
expected either to cause or to vary concomitantly with changes in
the level of living. Among these are the size of the household,
education, age, and size offerm. The relationships between each of
these characteristics and the level of living are now examined, with
the new variables being used as control variables, in the analysis
which follows. Attention is paid to the variations within each of
the factors according to the use or non-use of electricity in an
attempt to evaluate the parameters of the associations found between
the use of electricity and level of living.
It could be expected that as the number of people living in a
household increases, relatively more has to be spent on personal
necessities resulting in smaller amounts being available for upgrading
the fulfillment of household functions measured by LEVELNOE. The
supposition then is that LEVELNOE and the size of the household are
inversely related. The data presented in Figure 6, however, do not
support this contention. The data reveal no consistent pattern.
However, the data do demonstrate that USERS have higher scores on
LEVELNOE than do either INACCESSIBLES or NON-ADOPTERS irrespective
of the size of the household. Furthermore,, the difference is
substantial in every size of households. Thus, it seems apparent
that the size of household does not appreciably affect the level-of-


BIBLIOGRAPHY
Ancfzar, Manuel
1914 Peregrinacin de Alpha. Bogot: Arboleda y Valencia.
Banco do Nordeste de Brazil, S .A.
1959 Electr i f icario Rural no NordesteAl ternat Ivas de Loca 1 i -
zacao de um Projecto Piloto. 2nd ed Fortaleza: ETENE.
Belcher, John C.
1972 "A Cross-Cultural Household Level-of-Living Scale."
Rural Sociology 37 (June) :308-220.
Benavides R., Oscar
1956 Estudio Agrcola-econmico de 1 a Cuenca Media de 1 Rio
Grande. San Jos, Costa Rica: Instituto Costarricense
de Electricidad (ICE), Departamento de Estudios Bsicos.
Benney, Mark, and Everett C. Huges
97O "Of Sociology and the Interview." Pp. 190-8 in Norman K.
Denzin, Sociological Methods: A Sourcebook. Chicago:
Aldine Publishing Company.
Bertrand, Alvin L., and Floyd L. Corty (eds.)
1982 Rural Land Tenure in the United States. Baton Rouge:
Louisiana State University Press.
Biesanz, John and Mavis
1944 Costa Rican Life. New York: Columbia University Press.
Brunner, Edmund deS., and John H. Kolb
1933 Rural Social Trends. New York: McGraw-Hill Book Company,
Inc.
Campbel1,
1963
Donald T., and Julian C. Stanley
Experimental and Quasi-Experimental Designs for Research.
Ch ¡cago: Rand McNally £ Company.
Carvallo,
1950
Sergio
Rural Electrification Cooperatives in Chile.
D.C.: Pan American Union.
Wash i ngton,
Childs, Marquis
1952 The Farmer Takes a_ Hand: The Electric Power Revol ut ion i n
Rural America. Garden City, New York: Doubleday & Company,
Inc,.
252




166
tion of crops. The proportion of the places on which primarily crops
are raised varies among the categories of the electric use characteris-
\
tic ranging from a high of 86.7 percent of the NON-ADOPTERS to a low
of 68.1 percent of the USERS. The INACCESS I BLES occupy an intermediate
position with respect to this characteristic. Farms primarily devoted
to livestock enterprises account for 31.9 percent of the farms of
USERS, 19.5 percent of those of the INACCESSIBLES, and 13.3 percent
of those of the NON-ADOPTERS.
The differences between those primarily engaged in agricultural
activities, on the one hand, or in pastoral enterprises, on the other,
diminish when USERS and NON-ADOPTERS are combined, that is when all
of those within reach of the electricity distribution lines are placed
in one group. Given this combination, 72.6 percent of those in the
area serviced by central station electricity mainly raise crops as
compared with 80.5 percent of those beyond the reach of the distribu
tion lines. The similarity of these statistics is considered to
indicate a homogeneity of the entire research area with respect to
type of farming.
As shown in Table 28, there are some major differences in precise
types of farms among those in the categories of the electric use
characteristic. Coffee is more important in the area serviced by
C00PELESCA than is true in that beyond the electricity distribution
lines. The farms devoted to other types of purely agricultural en
deavors are concentrated in the area beyond the electricity lines.
Farms having livestock enterprises are more likely to be operated by
users of electricity than by those of either kind of non-users. In
fact, 64.3 percent of all mixed-livestock places and 54.5 percent of


ESTUDIO SOCIO-ECONOMICO DE SAN CARLOS
Nombre del entrevistador Boleta No.
Fecha
Mes Da Ao
Hora en que comenz la entrevista: A.M. P.M.
Para Uso del Supervisor
Nombre del pueblo ms prximo
Distancia del pueblo ms prximo en varas o kilmetros
Esta casa o establecimiento est al Norte Sur Este
Oeste del pueblo ms prximo.
Para Uso de Oficina
Nombre del entrevistado
Hombre Mujer
(SI NO ES JEFE DE LA FAMILIA) Parentezco con el jefe de la familia
EL ENTREVISTADO Y SU FAMILIA
Quiero comenzar solicitndole informaciones generales de Ud y sus
fami1iares.
1 Por favor, cul es su nombre?
2. Dnde naci Ud?
Provincia Cantn Distrito
8
3. Ha vivido Ud. en esta casa desde que naci? Si No
4. Hace cunto tiempo vive Ud. en esta casa? Aos
224


115
Table 16
Scores of T-Tests for Difference between Arithmetic
Means and Levels of Significance for Categories
and Combinations of Electric-Use Categories by
Satisfaction-with-Life-Situation Indexes
Level of
Satisfaction-with- T-Test Significance for
Life-Situation Indexes Score Two-tailed Test
SIT PRES
USERS/NON-ADOPTERS
6.44
0.001
USERS/NON-ADOPTERS and INACCESSIBLES
4.65
0.001
USERS and NON-ADOPTERS/INACCESSIBLES
2.84
0.010
USERS/INACCESSIBLES
2.43
0.020
SIT PAST
USERS/NON-ADOPTERS
6.94
0.001
USERS/NON-ADOPTERS and 1NACCESS1 BLES
4.73
0.001
USERS and NON-ADOPTERS/INACCESSIBLES
1 .70
0.100
USERS/INACCESSIBLES
2.35
0.020
SIT FUT
USERS/NON-ADOPTERS
0.67
None
USERS/NON-ADOPTERS and
INACCESSIBLES
0.43
None
USERS and NON-ADOPTERS/
INACCESSIBLES
1 .50
0.200
USERS/INACCESSIBLES
1 .13
None
SIT TOT
USERS/NON-ADOPTERS
5.82
0.001
USERS/NON-ADOPTERS and INACCESSIBLES
3.63
0.001
USERS and NON-ADOPTERS/INACCESSIBLES
1 .05
None
USERS/INACCESSIBLES
1 .38
0.200


8
the town. This bridge is one boundary of the region being examined.
Across the bridge from Florencia the road leading to La Fortuna
forks into two routes. The longer of these passes through Villa Fl-
tima de la Vieja (La Vieja) and the shorter one goes through Cuestillas
before the two routes rejoin at Santa Clara. There is but one road be
tween Santa Clara and Jabillos (also written Javillos) At Jabillos
the route once again divides. One passes through San Pedro, San
Isidro de Rfo Peas Blancas (also known as San Isidro de la Tigra or
simply as San Isidro), Chachagua (La Colonia), and San Francisco
(known locally as El Burrito) before arriving at La Fortuna. The
distance between Florencia and La Fortuna is 35 kilometers. Before
reaching San Isidro de Rfo Peas Blancas, a branch road leads off to
La Tigra and San Jos de la Tigra. The second route from Jabillos
passes through La Vega, El Tanque, and Los Angeles before reaching La
Fortuna. These locations are portrayed in Figure 2.
Research Design.
Since the research team was limited to a one-time cross sectional
measurement, an appropriate research design was decided upon and an
appropriate area for its application identified. The lower (southern)
half of the area selected (See Figure 2) is supplied with electric
power generated by the Instituto Costarricense de Electricidad (Costa
Rican Institute of Electricity) (ICE) and distributed by the Cooperati-
va de Electrificacin Rura1 de San Carlos (San Carlos Rural Electric
Cooperat i ve) (COOPELESCA) This area has Irad electricity for three to
four years and is, in effect, an experimental area. The upper portion
of the San Carlos study area is not served by a central electric energy


5
rural electrification is measured by examining the relationship between
use or non-use of this type of power and several social and economic
characteristics. The findings and discussion to be presented indicate
that the analysis of the impact of electrification in a rural area is
as yet an imprecise science. It is impossible to place a price tag
on the value of having electricity. Rather, it is necessary to
measure the force of this phenomenon by demonstrating its relationship
to other variables.
Some Characteristics of the Area Studied.
The area being studied is situated in the Llanos of San Carlos.
The 11 anos are nestled in a large flat valley created by the tributaries
leading into the Rfo Arenal, the F(fo Peas Blancas, and the Rfo San
Carlos. The region is bounded on to the west and south by the base
of the Cordilleras of Tilaran and Platanar, parts of the mountain
range which traverses the country. The eastern and northern sides
have as their boundaries vast expanses of unoccupied territories
consisting of virgin lowlands which extend to the Gulf of Mexico and
to the international boundary with Nicaragua.
The area was only recently settled. Before World War II, only
breaks in the forest existed where new roads' and farms now proliferate.
The land is used for a variety of agricultural and pastoral enter
prises. With reference to types of farming the region is polycultural.
No one size of farm predominates in the zone; rather, farms of all
sizes are to be found. In sum, this is an agricultural and pastoral
area where a wide range of crops and animals are raised on farms which
vary in size from very small to extremely large.


CHAPTER Vil
SUMMARY AND CONCLUSIONS
This study has focused on the impact of rural electrification
in the area of San Carlos, Costa Rica. Numerous data have been
assembled, organized, and analyzed, and specific conclusions have
been presented in the body of this dissertation. It is not deemed
necessary to reiterate at length the major findings of the study.
Rather, this chapter is given over to a presentation of some of the
more salient characteristics of those in the three electric-use
categories and to specific recommendations drawn from the preceding
analyses .
Of paramount importance in this study have been the differences
found between those grouped into three electric-use categories.
According to several characteristics measurable differences have been
found between those who used electricity (USERS), those who could have
but did not use electricity (NON-ADOPTERS), and those beyond the reach
of the electricity distribution lines (INACCESSIBLES) Several of
these differences have been grouped to construct profiles of those
in each category .
USERS are generally better educated than are the non-users of
electricity, with the INACCESS1 BLES being intermediary between the
USERS and NON-ADOPTERS. This is to say that the better-educated
members of the society living along the distribution lines are more
217


42
Accordingly, data were obtained about business establishments located
in the communities.
The impact and use of electricity in rural areas has been subject
to little analysis. One of the few concrete findings is that the
utilization of electricity is correlated with the type of farm and
also the size of the farm (Joseph Davis, 1956). Therefore, a lengthy
section of the schedule was devoted to questions concerning agricul
tural and pastoral enterprises.
The emphasis in the agricultural segment was on information useful
for the study of the complex institutionalized relationships between
man and the land. This encompasses, for the present purposes, the
following: land tenure, size of farms and farm-like entities, and
types of farming.
the influences of the use of electricity were being social as well as economic. The sense of social well-being or
social contentment may be measured by examining one's satisfaction
with his life situation. Questions were included for use in evaluating
this phenomenon. The respondents were asked to compare their present
situation in life (la situacin actual) with other real and hypo
thetical situations.
Social participation exists when people form a community or other
locality group. This phenomenon was of interest for three reasons.
An objective was to evaluate people's awareness of the cooperative
as a means for the distribution of electricity. Accordingly, an ef
fort was made to gather information relating to knowledge of the
functioning of cooperatives, and especially of the Cooperativa de
Electrificacin Rural de San Carlos (COOPELESCA) Secondly, those


206
de Bienestar Comunal (committee for community well-being) which is an
extension of the public health service; Junta de Patronato Escolar
(committee for supporting the school) for the construction or improve
ment of public schools; Junta de Edificadora (building committee) for
the construction of the local church, usually the Roman Catholic
church; and Junta de Progreso (progress committee) which is a com
munity action committee.
The investigator who talks only with the change agents and com
munity or neighborhood leaders of the area would be led to believe
that there is widespread social participation on the part of the
residents in the numerous juntas in the area. The survey research
findings, however, do not support this contention. Seven out of
every ten people interviewed stated that they did not belong to any
organization. The amount of reported membership in organizations,
associations, and cooperatives is presented in Table 30. An inescapable
conclusion which can be drawn from these data is that not only do more
USERS (those who use C00PELESCA electricity) belong to organizations,
57.6 percent, than do either type of non-users of electricity, but
more belong simultaneously to more than one organization.
These results are, of course, influenced by membership in the
electricity distribution cooperative. To be a customer of the
cooperative, one must be a member. Consequently, unless someone else
is paying for the electricity, as in the case with many of the farm
laborers living in electrified houses, users of electricity in the
research population are ipso facto members of an organization. Even
so, 78 of the USERS, or more than 40 percent, did not consider that
they belonged to an organization. When asked specifically if they


169
living scale (LEVELNOE) (See Table 29). Although several of each type
of farm are counted among those in each of the strata of LEVELNOE, *
\
there are some correlations between type of farming and level of
living. While the coffee growers are rather evenly distributed ac
cording to LEVELNOE, those who raise other types of crops are con
centrated in the lower and middle ranks of the level-of-1iving scale.
Those with general farms, where agricultural pursuits prevail over
pastoral activities, are proportionally distributed into the low and
medium level of living groups. Those having general farms, where
the importance of livestock supersedes that of crops, have higher
levels of living. About one-half, 5^.6 percent, of those with livestock
or dairy farms have high scores on LEVELNOE. The conclusion is that
specific types of farming appear to be associated with levels of
living. General agriculturists, have the lower levels of living and
livestock raisers have the higher ones.
The above analysis explains some of the apparent discrepancies
in the preceding section which dealt with the size of farms. It had
been shown that some of those having the smallest places had high
levels of living while some having the largest places had low ones.
9
When the findings on the analysis of both SIZE FARM and TYPE FARM
are combined, these peculiarities can, in part, be explained. In
determining the level of living, the type of production is of at least
equal importance to the amount of land devoted to production. Thus,
for example, the high productivity and value of coffee means a small
acreage may provide for a higher level of living than a larger area
of land devoted to raising corn or beef cattle.
Agricultural and pastoral pursuits are the major economic


110
the other three constructs.
It should be emphasized that only survey data were used in the
analysis of the satisfaction with life situations. It should also
be stressed that self-perceptions alone were measured, so that the
responses must be regarded as being subjective. It should be noted,
however, that when referring to the past and to the present these
evaluations have real referents to the extent that the respondent
was aware of the life situations of h i s ne i ghbors, of his father, and
of his own life five years earlier. Future life situation is, of
course, much more speculative and is, no doubt, influenced by sub
jective optimism as well as by an objective evaluation of future
chances. Regardless of the subjective nature of the responses,
because of the sfze of the research population, it is valid to draw
certain conclusions concerning various groupings of the respondents
based on the results of the satisfaction-with-1ife-situation tabula
tions .
In order to ascertain if the users and non-users of electricity
perceived of themselves differently in comparison with their neigh
bors, the electric use characteristic was cross-tabulated with the
present sat isfaction-with-1ife index (SIT PRES). The results are
presented in Table 14. With the exception of no NON-ADOPTERS in
SIT PRES category five, there is at least one respondent in each of
the cells of the correlation table. This suggests that regardless
of the use or non-use of electricity, people view their lives vis-
a-vis those living near them positively, negatively, and as being
no d i f ferent.
However, as is observable in the table, there are definite


Figure 6
LEVELNOE
4
3
2
Mean Electricity-free Level-of-Llvlng Scale (LEVELNOE)
Scores for USERS, INACCESS IBLES, NON-ADOPTERS, and
Total Population by Number of People per Household
1-2
3-4 5-6
Number of People per Household
7-9
10-16
o
CO


F!gu re 12
Mean Total Sat Isfactlon-wlth-L1fe-S1tuatIon Index (SIT TOT)
Scores for USERS, INACCESS IBLES, and
Under 2 2-9.9 10-49.9 50-99.9 100-over
Size of Farm
(In manzanas)


11
tive materials were amassed both through personal research efforts
of the members of the University of Florida research team and through
the work of a group of Costa Ricans who had been trained to administer
survey schedules. Supplementary secondary data have been drawn from
official publications of the Costa Rican government and from previous
studies dealing with that country.
Personal Involvement.
During July, 1972 I made my first trip to Costa Rica. The pur
pose of the journey was to select a site in which to conduct the present
research project. In preparation for my travels I read a great'deal
about the country, including Costa Rican Life by John and Mavis Biesanz
(19^) This short time spent in the Central American nation was
followed by a stay of one month later in the summer.
My principal purpose for being in Costa Rica was to get to know
the people and to familiarize myself with the area to be studied. In
order to accomplish this, I attempted to immerse myself in the life of
the people in the area. In viewing the events which swirled around
me I used a set of sociological spectacles which had been ground through
my academic training.
As a former Peace Corps Volunteer who had worked in rural com
munities in Colombia, I had some familiarity with rural people in
Latin America. This experience greatly facilitated my gathering of
data .
Much of the data used here was supplemented by the information
gathered through conversations with the people of San Carlos and re
corded in my journal and on pads of paper. Rather than merely at-


200
secondary locality groups. In this section the emphasis is placed on
viewing the ways in which some of these locality groups are linked
together at different levels of integration.
Case Histories .
The method chosen to study the levels of integration is the case-
history approach. The situations of specific individuals are
examined to ascertain how they are ¡ntegratd not only into their
immediate locality group but also, in a variety of ways, into other
groups. Three case histories of actual area residents are presented;
the names and the locations of the residences of these individuals
are ficticious. No attempt is being made to assert that these men
0
are m any way representative of the research population. Rather,
these were the respondents with whom the present author developed
the best rapport and with whom he conducted the most extensive
personal interviews. The value of these case histories is that they
reveal specific instances of individuals integrated into several
1 ocality groups .
Jorge Vargas is a farmer who lives near the site of the con
struction of the new school in San Felipe. He owns a farm of moderate
size on which he raises a variety of crops and grazes a few head of
cattle. Vargas is active in neighborhood organizations and is
considered a neighborhood leader. He is also an innovator who is
among the first to adopt the use of new farming techniques.
San Felipe is one of the rural satellite hamlets found in San
Carlos and is the center of a segmented neighborhood. It contains
a small pulpera and a soccer field and is building a new school .


209
can be considered as organizations. Strangely enough, the respondents
did not mention their participation in these groups. It can be
assumed that this was due to the wording of the questions in the
survey schedule. There are at least three other types of social
participation not evaluated in this study. Because of the sensitivity
of the subjects, no information was sought on participation in either
religious or political activities. Also, the entire field of informal
social interaction was omitted.
The focus of this investigation into social participation was
on an evaluation of the participation of members in the affairs of
J COOPELESCA. It must be concluded that member involvement in the
cooperative is minimal. Although the cooperative form of the organiza-
*
tion may well have drawn people into it during the initial stages,
once the distribution of electricity had become an on-going endeavor,
the structure of the distributor appears to have become inconsequential
The cooperative spirit of COOPELESCA appears to neither affect its
members nor to have given impetus to the creation of other cooperatives
The Impact of Rural Electrification on Nucleated
Settlements
The focus in this section is on the impact of rural electrifica
tion on the nucleated portions of locality groups. Although the in
fluences of the use or non-use of electricity are superimposed on
all segments of the various types of locality groups, they are more
noticeable as they affect the nucleated portions of the neighborhoods
and partial and small communities. This discussion is accordingly
limited to the hamlets found and to the village of La Fortuna.


178
of income was derived from being a teacher, merchant, or some other
non-farm occupation, also operated a farm. Without exception, their
places contain less than 50 manzanas. Apparently these people simply
use the produce of their land to supplement their salaries.
It might seem to be inconsistent that five individuals, who are
unemployed, possess tracts of land used for active production of
agricultural or pastoral goods. These people are retired titular
heads of households. As such, although they own the farms, they no
longer are the operators. In all cases, either their offspring or
sons-in-law are the actual producers.
The large majority of those who own land are also farm operators.
Thirteen of the respondents stated that someone else managed their
farms. Of these, 12 cited a relative as the manager. Only 24 of the
respondents indicated that they were co-owners of the land they used.
Eighteen of these listed relatives as co-owners. Although management
and co-ownership of farms in the area is minimal, both of these func
tions are generally carried out in the context of the family structure.
Thus, even those proprietal aspects of farming which are shared re
main within the bounds of a primary-group relationship.
Insufficient data were compiled to permit a thorough analysis
of the farm laborers. This part of the labor force, however, appeared
to be basically stable. It seems that most of the jornaleros worked
steadily on one farm, and apparently there were few migratory laborers
present in the area at the time the field research was conducted.
Many of the farm laborers stated that they worked on large farms
located outside of the study area. In addition to those heads of
households who were enumerated as hired hands, it was clear that a


92
ship between use of electricity and migration as defined by place of
birth or by place of previous residence. Residential stability,
however, is somewhat greater among USERS than among the non-users.
Since the migration data used here are independent in their relation
ships with use of electricity, it can be stated that the more resi-
dentially stable portion of the population is more likely to adopt
the use of electricity.
Level of Living
Rural sociologists have long been interested in the investigation
of the socio-economic well-being of rural residents. In order to
evaluate this characteristic it is necessary to have instruments, often
level-of-1iving scales, that differentiate between levels of material
well-being. William H. Sewell developed one of the widely used level-
of-1iving scales for his study of Oklahoma farm families (19^0).
Scales such as Sewell's have been found useful for the measurement of
differences in the level of consumption of goods and services. The
primary advantage of this technique is that it incorporates valid data
which can easily be gathered in surveys.
However, until recently, level-of-1iving scales were both time-
bound and culture-bound, in that they were mainly based on the posses
sion of consumer goods. Thus, for example, whereas ownership of a ra
dio in 1930 in the United States had discriminatory value, currently,
since ownership of this item is almost universal, it no longer does.
Likewise, radio ownership would be inappropriate to use in a level-of-
1iving scale comparing, for instance, Oklahoma farm families with


Table 24
Percentages of USERS, 1NACCESSIBLES, and NON-ADOPTERS
by Size of Farm (SIZE FARM) categories and Ratios
of Each to the Others
ii
ii
n
ii
ii
ii
ii
ii
ii
ii
ii
ii
SIZE FARM
Categories

1
2
3
4 & 5
,TOTAL
USERS (percentages)
11.5
39.6
32.3
16.6
100.0
1NACCESS1 BLES (percentages)
5.9
44.7
36.5
12.9
100.0
NON-ADOPTERS (percentages)
19.4
41.9
29.0
9.7
100.0
Ratio of percentages of .
USERS to NON-ADOPTERS
0.59
0.94
1.11
1.71

Ratio of percentages of
USERS to 1NACCESS1 BLES
1.95
0.89
0.88
1.29

Ratio of percentages of
INACCESSIBLES to NON-ADOPTERS
0.30
1.07
1.26
1.33

vn
V£>


Cantidad
234
Es propio?
(Sf o No)
Vagones para el transporte de caa '
Otros vagones '
Arado
Sembradora: Para qu cultivos?
Cosechadora: Para qu cosechas?
Otros: Especificar:
85.Tiene Ud. otros equipos movidos por mquinas? S No
(Si contesta Sf, nombrar los tipos, nmero y posesin):
Equipo Cantidad Es propio?
(S o No)
89
86.Cuntas manzanas de tierra hay en la finca en la cual Ud. trabaja?
87. Cuntos otros peones trabajan en esta finca?
88. Alguna vez ha trabajado en una finca? Sf No
UTILIZACION DE LA ELECTRICIDAD: GENERAL
(EN ESTA SECCION LAS PREGUNTAS No. 89 a No. 132 DEBERAN SER LLENADAS
UNICAMENTE POR AQUELLOS QUE USAN ELECTRICIDAD SUPLIDA POR LA COOPERATIVA
ELECTRICA DE SAN CARLOS)
Estoy muy interesado en saber las maneras por las cuales Ud.,til iza
la electricidad. Quisiera hacerle varias preguntas con respecto a esto.
89. Hace cunto tiempo que Ud ha estado usando electricidad en este
1ugar?


186
and all the other nations: but it would be
possible to extend greatly the list of the functions
that the cities perform for the society of which
they form a part (1970:352).
San Jos performs, to a large extent, all of the functions mentioned
by Smith. Of special importance is the role of the metropolitan-
based community of which San Jos is the urbanized center as the
polit¡cal-administrat ive, manufacturing, commercial, cultural, mass
media, and foreign exchange center of the entire nation.
There are three cities in Costa Rica second in importance to
San Jos. These are Majuela, Heredia, and Cartago. Their importance
is not measured merely by size but also by their functions as com
mercial and political-administrative centers. Each of the urban
portions of these, communities is located in close proximity to the
city of San Jos and each is the polit¡cal-administrative center for
a large segment of the country. These places are, in reality, filter
cities which perform certain functions in San Jos's stead.
The city of Alajuela is the capital of the provincia (province)
of Alajuela in which San Carlos is located. Political and governmental
administrative activities conducted in that city influence the people
who reside in San Carlos. In addition to these duties, and some
commercial services, the major function of Alajuela for the inhabitants
of San Carlos is that of modifying some of the activities which
emanate from San Jos. The center of Alajuela contains many
specialized services not available in the hinterlands. The division
of labor, with non-specialized functions performed in the out-laying
areas and specialized functions concentrated in the city, renders
the rural portion of the community dependent on the urban part.


I certify that 1 have read this study and that in my opinion
it conforms to acceptable standards of scholarly presentation and
is fully adequate, in scope and quality, as a dissertation for the
degree of Doctor of Philosophy.
L .1
. T. Lynn S
4-
Dr T Ly^nn Smith,
Graduate Research
Sociology
cyvv.
Cha irman
Professor
of
I certify that I have read this study and that in my opinion
it conforms to acceptable standards of scholarly presentation and
is fully adequate, in scope and quality, as a dissertation for the
degree of Doctor of Philosophy.
Dr E Wi 1 bur Bock
Associate Professor of Sociology
I certify that I have read this study and that in my opinion
it conforms to acceptable standards of scholarly presentation and
as a dissertation for the
,//
lUL.
Ur.'David Bush
nel l
Professor of History
I certify that I have read this study and that in my opinion
it conforms to acceptable standards of scholarly presentation and^
is fully adequate, in scope and quality^-e'i a dissertation for tfc
degree of Doctor of Philosophy.
'Dr. B^hjamin L. Gorman
Professor of Sociology
I certify that I have read this study and that in my opinion
it conforms to acceptable standards of scholarly presentation and
is fully adequate, in scope and quality, as a dissertation for the
degree of Doctor of Philosophy.
lr. d^eph S. Vandiver
Professor,of Sociology


Map of the Area Studied
D i stances:
Florencia
Florencia
San


227
Ahora me gustara hacerle algunas preguntas con respecto a lo que hace
cuando no est trabajando.
10. Cuando Ud. tiene tiempo, cules son los pasatiempos o cules son
las diversiones que acostumbra realizar:
11. Cules son los pasatiempos o los recreos que ms le gustan a:
Su seora? Soltero Viudo
Sus hijas?
Sus hijos?
12. En qu se divierte habitualmente despus de las seis de la tarde?
13. En los das de la semana, a qu hora, generalmente, se acuesta Ud.?
14. Por lo general, a qu hora se levanta Ud. y su familia?
EXPOS 1C ION A LOS MEDIOS DE COMUNICACION
15.
16.
17.
18.
19.
20.
21 .
Tiene Ud. un radio? Si
V Ud televisin? Si
No
22
nunca mira
Con qu frecuencia ve televisin?
Todos los das De vez en cuando
Raras veces
V Ud. algdn programa que considera de utilidad?
20
No
Cmo se llama el (los) programas?
Tine Ud. un televisor? Si
22
No
Generalmente dnde ve televisin?
En la casa
En la pulpera o cantina
En la c.asa de un vecino o amigo


197
muni ties centered around hamlets were identified. They are larger
than a second type of hamlet-centered locality group found in the
Llanos of San Carlos. Several segmented neighborhoods having
satellite hamlets as their nuclei were encountered. They were placed
in the tenth level of the size of locality groups schema.
Each of the satellite hamlets is in close proximity to one of
the hamlets already discussed. Although each of the smaller places
is a separate entity, it is dependent on and-tightly integrated into
one of the larger hamlets. The locality groups centered on the
satellite hamlets are smaller than the incomplete communities. They
are segmented rural neighborhoods in that each is divided into a
nuclei and a scattered-farmstead portion.
Jt might appear that the small population centers should be
classified as rural neighborhoods rather than as satellite hamlets.
There are, however, institutions such as soccer teams and a school
in each, and a strong group identity which justify their classifica
tion as small hamlets. Rather than being merely isolated places,
each is close to a larger rural hamlet and is tied to and dependent
on it. Those in the smaller, segmented neighborhoods use the meager
commercial, police, and religious services available in the nuclei
of the larger partial communities. Not only are they members of
their own neighborhoods, but also they consider themselves to be
members of the larger, partial communities.
Four satellite hamlets with surrounding segmented neighborhood
were identified. San Isidro de la Fortuna is the satellite hamlet
linked to the small hamlet of Los Angeles, San Jorge to El
Tanque, El Molino to La Vega, and San Jose de la Tigra to La Tigra.


31
(1926) is a compilation of six of his addresses on various aspects
of rural electrification. The problems pointed out by Tripp had been
\
largely resolved in vast areas of the United States by 1944 when
Frederick William Muller published his Public Rural Electrificat?on.
Muller wrote a scholarly account of the work of the United States
Rural Electrification Administration (REA) and of the functioning of
rural electric cooperatives in this country.
Rural Electrification by J. P. Schaenzer (19^8) is of interest
as the standard text on the subject of the use of electricity in the
rural areas of the United States. It deals with the technical
utilization of electric current. Nevertheless, an understanding of
the possible uses of electricity is necessary for comprehending the
forcefulness of this technological advancement. Marquis Childs in
The Farmer Takes ja Hand: The El ect ric Power Revo! ut ion ? n Rural
America (1952) provided a first hand description of the development
and spread of rural electrification in the United States. He, in
effect, provided the standard with which foreign development can be
compared.
Studies of the TVA have focused on the industrial uses of the
electricity generated by the agency and on the rural grassroots
involvement of the people in controlling the agency rather than on
the impact of the electrification. David E. Lilienthal's TVA:
Democracy on the March (19^0 is a polemical discussion of the history
of the TVA and a justification of the grassroots organizations created
by it. Philip Selznich, a sociologist, used the TVA as a setting for
his work on the theory of organization in his TVA and the Grass Roots:
A Study in the Soc i o 1 oqy of Formal Organ ? zat i on (19^-9) All references


83
Marital Status .
More than four-fifths, 81.3 percent, of the heads of households
reported that they were currently married. Another 2.7 percent stated
that they were living in common-law unions. Equal numbers of the heads
of households, 35 or 7.2 percent, stated that they were either single or
widowed. The remaining 1.6 percent of the respondents stated that
they were separated, with one saying that she was divorced.
It is probable the 367 heads of households who stated that they
were married included those married by either civil and/or religious
authorities and those living in common-law unions. Also, there is
reason to believe that some who listed themselves as being single are
living in common-law unions.
Because of the concentration of the respondents in one category,
the married, the examination of differences between users and non
users of electricity according to marital status was not deemed to be
of value.
Migration .
The Meseta Central is the central plateau where metropolitan
San Jos is located and where the major historical development of
Costa Rica has occurred. Outlying areas such as San Carlos have until
fairly recently been of minor importance. The rise in the relative
importance of San Carlos has been accompanied by population growth.
Although the natural increase of the population has been responsible
for some of the population growth in the area, much of it has been
caused by inmigration. In the following analysis of the migration
patterns of the heads of the households two major trends are observed:


210
The communal use or non-use of electricity affects both the
internal social integration of the nuclei and the integration between
locality groups at different levels. The following assertions are
being made concerning the impact of electrification on social integra
tion: 1) the electrification of a hamlet causes a temporary
weakening of the social integration of the locale; 2) locality
groups which are striving to obtain electricity are more integrated
socially than are those which are recently electrified; and 3) elec
trified nuclei are likely to be more highly integrated into larger
locality groups than are non-electrified locales. Data in support
of these assertions are presented in the following paragraphs.
A nucleus is considered as electrified when most of the resi-
0
dencs located in it have access to electricity, in this case that
supplied by C00PELESCA; when electric current is utilized for public
purposes, such as in schools; and when there is street lighting. A
center is considered as non-electrified when there is little or no
electric energy utilized there. In addition, there are two other
categories of the use or non-use of electricity in centers. When
the majority of the commercial establishments and several of the
residences in the nucleus use electricity provided by private plants,
that place is considered as having access to an alternate source of
electricity. Finally, when the residents of an area have some expect
tion of obtaining electrical distribution lines and are making an
effort to change that hope into a reality, that place is defined as
one which is striving to obtain electricity. These categories are
not mutually exclusive; in fact many of the hamlets to be discussed
fall simultaneously into two of the above-mentioned categories.


Table 3
A Comparison of the Occupations of
Heads of Households by the Three Electric-Use Categories
Occupational Categories
n
01
i
3
-n >
Electric-Use
Categories
Farm Laborers
arm Operators
QL
D
t/>
rt
1
Q>
rt-
O
1
(/>
Teachers
Merchants
Unemployed
, Other
Total
USERS
Percent
26.5
37.8
2.7
6.5
11 .9
4.9
9.7
100.0
Number
(49)
(70)
(5)
(12)
(22)
(9.)
(18)
(185)
INACCESSIBLES
Percent
42 .6
40.2
3.5
1 .2
3.5
3.0
6.0
100.0
Number
(72)
(68)
(6)
(2)
(6)
(5)
(10)
(169)
NON-ADOPTERS
Percent
48.0
19.4
5.1
o.o
1 .0
16.3
10.2
100.0
Number
(47)
(19)
(5)
(0)
(1)
(16)
(10)
(98)
TOTAL
Percent
37.2
34.7
3.5
3.1
6.4
6.6
8.5
100.0
Number
(168)
(157)
(16)
(14)
(29)
(30)
(38)
(452)
oo


165
Table 27
A Comparison of Those Engaged in
Agricultural
or Pastoral Activities
by the Three
Electric-Use Categories
Type of Farming
Electric-Use
Categories
Agricultural Pastoral
TOTAL
USERS
Percent
68.1
31 .9
100.0
Number
(64)
(30)
(94)
INACCESS IBLES
Percent
80.5
19.5
100.0
Number
(66)
(16)
(82)
NON-ADOPTERS
Percent
86.7
13.3
100 .0
Number
(26)
(4)
(30)
TOTAL
Percent
75 .7
24.3
100.0
Number
(156)
(50)
(206)


213
locality group is the degree and intensity of the formal social
participation by residents in the affairs of their locale. As in
dicated previously, both the incidence and quality of formal social
participation is apparently low in the portion of San Carlos studied.
This involvement, however, does vary between both segments of the
research area and according to different organizational goals.
Attention is now turned to an examination of the relationships between
^the impact of electrification and social participation in some of
hamlets in order to view the influence of electricity on the nucleated
settlements.
La Vega and San Isidro are both electrified. Those living in
the partial communities centering on these hamlets have immediate
*
access to a variety of goods and services which require the use of
electricity. Several of them have their own television sets; others
frequent store and bars which have television sets. The people
living in these places are able to purchase and store perishable
goods. The public buildings, specifically the schools and community
development meeting halls, are lighted and therefore can be used in
the evenings .
Electricity in La Vega and San Isidro facilitates informal
interaction between residents. People can comfortably congregate in
lighted public places during evening hours. But, at the same time,
the acquisition of electricity has resulted in at least a temporary
eclipse in formal social organizations in the hamlets.
According to the leaders of the hamlets interviewed by this
researcher, the residents were strongly unified in their effort to
obtain electricity. Once this major "felt need" was satisfied, the


112
variations according to the SIT PRES index.- For all three categories
of the electric-use characteristic, the modal response was that
individuals considered themselves equal to those living near them.
While more than one half, 54.1 percent, of the USERS expressed this
sentiment, more than one th'ird, 38.4 percent, of those using electric
energy indicated that they were enjoying a better or much better
life than their neighbors. This latter figure contrasts with the one
quarter, 25.5 percent, of the INACCESSIBLES who feel that they surpass
their neighbors and with the mere 14.3 percent of the NON-ADOPTERS
who feel likewise.
The relationships which exist between the various types of users
and non-users and SIT PRES are seen more clearly by examining the
arithmetic means of the scores of the present satisfaction-with-1ife-
situation index. The mean scores are presented in Table 15. Users,
with an average of 3.378, have the highest mean, followed in order
by the INACCESS I BLES and NON-ADOPTERS. The USERS as a group feel
that their situation in life is somewhat better than that of their
neighbors, while the NON-ADOPTERS feel that theirs is somewhat worse.
Part of this variation can be explained by the differences in levels
of living of the two groups, as discussed in the previous section.
The INACCESSIBLES on the average feel that they enjoy a life that
approximates that of their neighbors. In addition to the categories
of the electric-use characteristic it was decided to also evaluate
the differences of scores of SIT PRES between users and non-users
of electricity and between those who could use electricity and those
who reside beyond the reach of power lines. The mean scores needed
for these statistical manipulations are also presented in Table 15.


Figure 4
Sex Ratio
Sex Ratios by Age Groups of Those Living In
Households In the Population Studied In San Carlos
Under 5 5- 10- 15- 20- 25- 30-
9 14 19 24 29 34
35-44 45-54 55-64 65-over
Age
(In years)


56
categories which comprise LEVEL are defined' as follows: category one,
less than 30 points; category two, from 30 to 34; category three, from
35 to 39; category four, from 40 to 44; category five, from 45 to 49;
and category six, 50 or more points.
Even the most cursory perusal of LEVEL reveals an obvious bias.
Several of the responses to the questions used in the construction of
the scale necessitate the use of electrical apparatuses. Consequently,
in some instances non-users could not possibly score as high on LEVEL
as users of electricity. The level-of-1iving scale was subsequently
modified to eliminate the built-in electrical bias. Because they had
responses which necessitated the use of electrical appliances, the
following five questions were eliminated in the construction of a new
scale: "How do you conserve perishable food?"; "What do you use to
clean your floor?"; "What facilities do you have for washing clothes?";
'Vhat system of lighting do you use?"; and "What facilities do you
have for washing dishes?" (see Appendix A, p 246-249 for the responses).
The new construct is the electricity-free level-of-1iving scale (LEVEL
NOE) .
LEVELNOE was constructed by grouping the possible scores, which
could range from zero to forty-five, into five categories. The five
categories which comprise LEVELNOE are defined as follows: category
one, less than 20 points; category two, from 20 to 24; category three,
from 25 to 29; category four, from 30 to 34; and the highest group,
category five, 35 or more points.
Analysis of the social well-being of the inhabitants is an
important aspect of the study of any rural society. To measure the
well-being of those studied, several indexes were constructed for


107
mediate position between USERS and NON-ADOPTERS.
Finally, another possible explanation of differences in LEVELNOE
between those in the various electric-use categories is the size of
farm. Presumably income is related to the size of the farm, modified,
or course, by the type of enterprise. A positive relationship between
the electricity-free level of living scale scores and size of farm
(SIZE FARM) is indeed indicated by the data. Mean LEVELNOE scores
tend to increase as SIZE FARM increases (Figure 9). As is shown later
in this study, USERS have larger farms than either INACCESSIBLES or
NON-ADOPTERS. Yet, once again, even when the size of the farm is held
constant, USERS score higher on LEVELNOE, by a substantial margin,
than INACCESS IBLES or NON-ADOPTERS. Farm size, then, does not explain
the differential in level of living between USERS and others.
Users of electricity have been shown to have higher levels of
living than non-users of electricity. The introduction of control
variables which might be expected to explain the differential in
LEVELNOE existing between USERS and others fail to do so. The
difference remains. Although the data do not conclusively prove that
electricity is causal in this relationship, they strongly suggest
that electricity use is one of, probably, several causal factors
which contribute to the higher levels of living of those who use it
in the Costa Rica study area. Higher levels of living and the
adoption of the use of electricity may be in part the consequence
of other factors. Nevertheless, the fact remains that users of
electricity have higher levels of living and at least part of this
probably is due to the use of electricity per se. Until data are
presented to disprove this finding, increased level of living must


54
radio turned on "from time to time" or "every day" received an index
weight of "1"; the same was done with respect to watching televised-
broadcasts. The self-perceived importance of exposure to the radio
was evaluated by giving an index number of "1" to anyone who said
that he listened to a program which he considered to be of value;
the same was done for evaluating television programs. No attempt
was made to appraise the intrinsic value of the programs.
The respondent was given an index value of "1" if he reported
that he read newpapers. He also received an equal value if he said
that he had magazines in the house. No attempt was made to dif
ferentiate between either newspapers or magazines of varying quality.
The MMEI was constructed with a range of from zero to six, with
the lower figure indicating an absence of exposure. After preliminary
appraisal, the seven point index was reduced to one having four
categories by combining the zero and one groups, and the four, five,
and six categories. This was done because of two considerations.
The extremes of the range contained only a few cases. No one admitted
to no exposure; only twenty-one respondents qualified for inclusion
in the two groups representing maximum exposure. Secondly, the
original index contained a bias which was eliminated in the shorter
version. Originally, to be placed in either category five or six
categories, the respondent had to indicate that he viewed television.
Since there are no television sets in the area not serviced by
COOPELESCA, the inhabitants of that zone were discriminated against.
In the shortened index, a respondent could qualify for inclusion in
the maximum category without being exposed to one of the four types
of media, including television.


TABLE OF CONTENTS
ACKNOWLEDGMENTS u
LIST OF TABLES v
LIST OF FIGURES viii
ABSTRACT x
IINTRODUCTION* 1
IIA REVIEW OF THE LITERATURE 17
IIIPROCEDURES AND METHODOLOGY 36
IVSOCIAL CORRELATES 65
VMAN-LAND FACTORS 140
VITHE IMPACT OF ELECTRIFICATION ON RURAL
NEIGHBORHOODS AND COMMUNITIES 183
VIISUMMARY AND CONCLUSIONS 217
APPENDIX A 223
BIBLIOGRAPHY 252
BIOGRAPHICAL SKETCH 261
lv


60
cuarlo (Costa Rica, Direccin General de Estadstica y Censos, 1965).
Secondly, no huge landholdings, that is of over 1,000 manzanas;
\
were enumerated. Only twelve large landholdings were encountered.
Consequently, rather than attempting to differentiate between large
places of differing size, they were placed in a single category.
A variety of pastoral and agricultural pursuits flourish in San
Carlos. It was found, however, that most farms were devoted to either
one or a few types of enterprises. To facilitate the discussion of
the type of production, it was necessary to categorize the landholdings
into specific types of farms.
Data on the value of produce which would have been sufficiently
accurate to be used for a classification of types of farms were not
obtained through the use of the survey schedules. The classification
utilized here is based instead on the proportion of the land in the
landholdings devoted to certain crops or to the relative importance
of livestock and pasture land versus area in crops.
If one crop predominated on a farm, that is, if it occupied more
than half of the land in crops, that farm was classified as a type of
farm based on that crop. If two or more crops were of nearly equal
importance, the type of farm reflected the polycultural nature of the
farm. In those cases where pasture land occupied the majority of the
land and where livestock were grazed, the place was classified as
pastoral. In those instances where no clear-cut distinctions could
be made, the unit was placed in the appropriate mixed-type of farm
category .
The various type of farming classifications are grouped according
to the following schema:


of interviewers. Oscar Benavides of the Costa Rican Electricity
Institute strongiy supported the study. I would like to especially'
v
thank Freddy Arroyo, manager of th rural electric cooperative of
San Carlos and Alfredo Chavarrfa, our chauffeur, for both their
support and friendship.
The use of the Northeast Regional Data Center of the University
of Florida is acknowledged as is the generous cooperation of the
Centers for Latin American Studies and Tropical Agriculture. This
study was conducted under the auspicies of the Agency for Inter
national Development Grant Csd-359^. I could not have found a finer
typist than Mrs. Marfa Ignacia Cruz.
This dissertation is ours, thanks, Mary. Would that I could
blame my charming daughters Andrea and Nena for the mistakes con
tained herein. Alas, I cannot; I alone am responsible for these
contents .
i i i


This dissertation was submitted to the Department of Sociology in
the College of Arts and Sciences and to the Graduate Council, and
was accepted as partial fulfillment of the requirements for the
degree of Doctor of Philosophy.
Dean, Graduate School
June 197^


67
heads of households. The research instrument was designed to aggregate
data corresponding to the heads of the households. Consequently, most
of the discussion in this dissertation deals with them. Finally, when
possible, relevant characteristics of both the total population and
the 452 heads of families were sorted by the electric-use categories.
In some instances, there are significant differences between those
who use electricity supplied by COOPELESCA (USERS), those who have
chosen not to use electricity (NON-ADOPTERS), and those who lack
access to this source of energy (INACCESS IBLES) .
In certain of the tabulations, the number of respondents varies
because of incomplete answers or the elimination of faulty data.
Age and Sex.
One of the most valuable methods for examining the age of a
population is to sub-divide it into major age categories: under 15
years, between 15 and 64 years, and 65 years of age and older. T.
Lynn Smith provided the rationale for classifying a population in
this manner when he stated:
The decision to employ these three particular cate
gories was influenced by the following considerations:
(1) certainly children should be separated from adults,
and age fifteen is the most practicable point at which
to draw the line betwen the two; (2) in many countries
including the United States, sixty-five is the age
rather generally employed as the lower limit of eli
gibility for social welfare services, such as 'old
assistance,1 that established for the beginning of
voluntary or compulsory retirement, and that gener
ally used for statistical purposes to separate the
'aged' portion of the population from the other; and
(3) if these two criteria are employed, the persons
in between the stated limits automatically constitute
a third category (1960a:155).
Nearly one-half, 49.8 percent, of the resident population is under


257
Ross,
James E .
1972 Cooperative Rural Electr!fication: Case Stud jes i n Pilot
Projects-in Latin America. New York: Praeger Publishers.
Roy, Prodipto, e_t al .
1969 The Impact of Communicat ion on Rural Development: An
Investigation in Costa Rica and India. Bombay: F.
Wieslnger of Shakuntala Publishing House.
Ryan, Bryce F.
1969 Social and Cultural Change. New York: The Ronald Press
Company.
Saenz P., Carlos, and C. Foster Knight
1971 Tenure Security. Land T?11ing and Agricultural Development
In Costa Rica San Jos: University of Costa Rica, School
of Law, Agrarian Law Project.
Sanderson,
1932
Dwight
The Rural Community: The Natural History of a Sociological
Group. Boston: Ginn and Company.
1942
Rural Sociology and Rural Soci a 1 Organization New York:
John Wiley & Sons, Inc.
Saunders, John V. D.
1961a "Mand-Land Relations in Ecuador." Rural Sociology 26
(March): 57-69.
1961b The People of Ecuador: A Demographic Analysis Gainesville
University of Florida Press.
Schaenzer,
1948
J. P.
Rural Electrificat ion, 4th ed .
Publishing Co.
Milwaukee:
The Bruce
Schuler, Edgar, and Walter C. McKain, Jr.
1949 "Levels and Standards of Living." Pp. 295-308 in Carl C.
Taylor et aj_., Rural L i fe in the Un i ted States New York:
Alfred A. Knopf.
Schulman, Sam
1954 A Sociological Analysis of Land Tenure in Latin America .
Gainesville: University of Florida. Ph ,D dissertation
in sociology.
1955 "The Colono System in Latin America." Rural Sociology 21
(March): 34-4-0.

Selznick, Philip
1949 TVA and the Grass Roots: A Study in the Sociology of
Formal Organizations. Berkeley: University of California
Press .


50
Originally the Intent had been to take a random sample of the
heads of households of an area. After careful consideration, however,
it was decided to include all of the heads of the households in a
designated zone. This meant interviews with the entire universe rather
than with a sample .
A methodological digression is in order here. The decision to
interview persons in all of the households in the area studied rather
than in every Nth one proved to be economical in terms of time,
expenditures, and quality of data. Generally the interviewers were
able to walk from one interview to the next. The very real possibili
ty of interviews being conducted in houses not included in a sample
was avoided. Furthermore, the problems of sampling errors and chance
distributions of data were eliminated. Finally, because the purpose
of the survey was to compare characteristics of users and non-users
of electrical energy, and not to obtain data which were representative
of a larger universe, the method was justified.
Because the users of electricity supplied by C00PELESCA were
easily identifiable, the parameters of this population were drawn
first. If a building had electricity lines leading to it from a
C00PELESCA distribution line, its occupants were classified as users
of COOPELESCA-supplied energy.
The existence of a specific type of line between easily distin
guishable poles and buildings is a precise indicator of either present
or previous use of COOPELESCA-supplied electricity. In the study
area, all of the C00PELESCA distribution 1 i'nes parallel principal
roads. The established pattern of locating residences along the roads
has facilitated the distribution of electricity. Because the dwellings


122
used as control variables are so used.
The specific variables used in the following analyses are: age
of the head of the household (AGE HEAD), education of the head of the
household (ED HEAD), size of the landholdings (SIZE FARM), and the
electricity-free level-of-1iving scale (LEVELNOE) In order to
eliminate cross-tabulation cells containing small numbers of cases,
the upper two groups of LEVELNOE were combined for this analysis.
The technique used is that of cross-tabulating the SIT TOT
score with the electric-use categories while controlling for the spe
cific additional variables being examined. For example, each of the
five categories of AGE HEAD are viewed separately. Arithmetic means
of SIT TOT were calculated for USERS, INACCESSIBLES, and NON-ADOPTERS
for each AGE HEAD category. The mean score for each of the categories
of AGE HEAD were plotted and joined with lines for presentation in
graphic form. The results of the analysis when controlling for AGE
HEAD is set forth in Figure 10.
No significant association between age of the head of the house
hold and total satisfaction with life situation is revealed. Defi
nite patterns are revealed by the comparison of the various groups
of users and non-users. Regardless of age, USERS are more satisfied
with life than are NON-ADOPTERS. For heads of households under 30
years of age, the difference is not great. Thereafter, the gap
between the two widens. Although SIT TOT varies more for the INAC
CESS IBLES than it does for those in the other two groups, with one
exception, the scores for these non-users are intermittent between
those of the USERS and NON-ADOPTERS. The older INACCESSIBLES are
more satisfied than are the remainder of the respondents. The older


82
Table 5
Size
of Households by Frequency of
and Number of People
Occurrence
Number of
Persons
Cumulat ¡ve
Size of Household
Households
Number-
Percent
Percent
1
15
15
0.6
100.0
2
38
76
2.8
99.4
3
47
141
5.2
96.6
4
58
232
8.5
91 .4
5
58
290
10.6
82.9
6
58
348
12.7
72.3
7
42
294
10.8
59.6
8
39
312
11 .4
48.8
9
37
333
12.2
37.4
10
23
230
8.4
25.2
11
11
121
4.4
16.8
12
12
144
5.3
12.4
13
7
91
3.3
7.1
14
4
56
2.1
OO

CO
15
2
30
1 .1
1 .7
16
1
16
0.6
0.6
TOTAL
452
2,729
100.0


55
Level-of-1iving scales are commonly used in social science re
search as surrogate variables for measuring socio-economic status.
In the present study such a scale was utilized as an indicator of the
well-being of the households being studied. The scale used is pat
terned on that developed by John C. Belcher (1972). This scale
focuses on the actual utilization of material items to satisfy a
household function rather than solely on possession. The need to
extract valid cross-cultural comparisons was of paramount importance
in selecting a model for the level of living scale used. The Belcher
scale embodies this capability. With this measure it is possible to
compile both individual and collective scores which can be statis
tically compared with those of studies of other societies.
*
The level-of-1iving scale (LEVEL) used in this study is based on
the responses to fourteen questions (see Appendix A, p 246-249) for
the list of questions used in the construction of LEVEL). There were
six possible responses for each of the questions. Five of the
acceptable answers were rank ordered, from a response indicating
the absence or minimal method of satisfying a function to the most
advanced or more proficient means of fulfilling a function. The
remaining response position was a residual category for which there
were no pre-coded answers. These non-coded responses were placed
in the correct ordered categories during the coding process.
The responses to each of the fourteen questions were coded from
one to five, with the five being reserved for the most technical or
expedient means of satisfying the particular function. The possible
raw scores ranged from zero to seventy. After a preliminary analysis
of the data, the level of living scale was constructed. The six


Table 9
A Comparison of the Length of Residence in the Present
House of Heads of Households by the Three Electric-Use
Categories
Length of Residence in Present House in Years
Electric-Use I 2 3 4 5 TOTAL
Categories
(Under 1 )
(1-2)
(3-5)
(6-10)
(11 -over)
USERS
Percent
32.0
36.7
49.4
38 .7
50.0
41 .0
Number
(33)
(36)
(43)
(29)
(41)
(182)
INACCESSIBLES
Percent
25.0
25.5
20.6
18.2
10.3
37.2
Number
(42)
(42)
(34)
(30)
(17)
(165)
NON-ADOPTERS
Percent
27.9
20.6
10.3
16.5
24.7
21 .8
Number
(27)
(20)
(10)
(16)
(24)
(97)
TOTAL
Percent
100.0
100.0
100.0
100.0
100.0
100.0
Number
(102)
(98)
(87)
(75)
(82)
(444)
U3
O


81
unrelated farm laborers, servants, or friends also reside in the house
hold. Because of the tendency to have a wide range of relatives and
\
unrelated persons living together,'the average number of people
sharing the same dwelling in the San Carlos area is large.
As is shown in Table 5 the size of households ranges from single
residents to sixteen people living together. The distribution is
moderately asymetrical and is skewed to the right.
Most persons live in households which have between three and
twelve members. Six-member households account for the largest number
of people closely followed by those containing nine members. The mean
size is 6.0. Three-fifths of the population lives in households
having seven or more members.
The data were analyzed in an attempt to ascertain if there were
significant differences between those in the three categories of the
electric-use characteristic according to the size of households. The
differences found were slight. The patterns of the size of household
found for each of the categories were similar to those of the total
group. The arithmetic means for each of the categories are as follows:
5.9 for USERS, 6.1 for INACCESS IBLES, and 6.2 for NON-ADOPTERS. The
average household of USERS has less than six persons in it and is
smaller than the mean size of families for either of the groups of non
users of electricity. Of the non-users, the NON-ADOPTERS have, on an
average, the larger families living in one dwelling. The differences,
however, between the means of these groups probably are of little or
no s i gn i ficanee .


Table 29
A Comparison of Those In Categories of
Type of Farm (TYPE FARM) by Categories of Electrlclty-free
Level-of-Llving Scale (LEVELNOE)
LEVELNOE
Categories
1
(coffee)
TYPE
2
(other
agricul
ture)
FARM Categories
3 4
(general (general
agricul- livestock)
ture
5
(1Ive-
stock and
dairy)
TOTAL
1 & 2 (low)
Percent
31 .1
44.0
29.5
7.1
22.7
29.6
Number
04)
(22)
08)
(2)
(5)
(61)
3 (medium)
Percent
31 .1
42.0
41 .0
39.3
22.7
36.9
Number
(14)
(21)
(25)
(ID
(5)
(76)
4 & 5 (high)
Percent
37.8
14.0
29.5
53.6
54.6
33.5
Number
07)
(7)
(18)
05)
(12)
(69)
TOTAL
Percent
100.0
100.0
100.0
100.0
100.0
100.0
Number
(45)
(50)
(61)
(28)
(22)
(206)
-vj
o


152
These small parcels of land are ones upon which crops
are grown to supplement the income of the cultivator
rather than to serve as a major source of his income.
Since under the*preva i 1ing circumstances the conuco
cannot be made to produce enough to provide even a
subsistence level of existence for the agriculturalist
and his family, it cannot be regarded as a farm.
Rather, as a tract of land used merely to supplement
income derived from other sources the conuco must be
considered separately from the other explotaciones
which are viewed as farms. The conuco must be
viewed as a 'farm-like1 or 'sub-farm' unit (1971:
24-5) .
The category of lotes is one of five classifications of the size
of farms (SIZE FARM) used in this study,
those agricultural-pastoral units of less
this limit is consistent with neither the
Considered as lotes are all
than two manzanas. Since
Costa Rican census clas
sifications nor with those used by Upham (1969) in his pioneering work
on the study of man-land relations in Central America, the reasons for
selecting this figure should be given. Both the census bureau and
Upham consider as sub-farms those tracts of less than one manzana.
This limit appears to be artificially low, especially in San Carlos
where,- because it has been recently inhabitated, the land is not a
thoroughly devoted to production as in other parts of the country.
Because of the coding procedures used, it is impossible to dif
ferentiate between the size of plots having less than one manzana.
This becomes crucial in those instances where land owned and that
used under some contractual arrangement are considered as comprising
one unit. Errors would have been introduced had two or more plots
been added without assuming that they would total more than one
manzana. Thus, since the upper limit of this category could not
statistically be kept at one manzana, it was raised to 1 .9 manzanas.
Once the upper limit of the category of sub-farms had been


240
Equipo
Tiene No tiene Descr?pc in
Bomba para agua domstica
tamao hp
Bomba para riego
tamao hp
Ordeadora
Separadora
Enfriadora de leche
Calentador de agua
Ventilador elctrico
Incubadora para puercos
Incubadora para pollos
Compresor de aire
4
Cargador de bateras
Mol¡no de azcar
Otros, especificar
119.Planea comprar equipo elctrico para su finca? S
121
No
120.Qu equipo planea comprar?
121.La electricidad le ha servido de algo en su finca? S
No
123
No sabe
126
122.
123.
124.
En qu le ha servido?
Por qu no?
126
Cundo empez Ud. a utilizar electricidad para este ffn?
125. Cmo supo Ud. de este uso de la electricidad?


Procedures Used in Collecting the Survey Data.
The survey research data were collected by trained Costa Rican
interviewers. The work was performed under a contract between the
Uni vers ity of Florida and t,he Instituto de Invest igaciones Econmicas
y Sociales (institute for Economic and Social Studies) of the Univer
sity of Costa Rica. The University of Flor.ida research team consisted
of the present author, Dr. John Saunders, and Galen C. Moses. Victor
Hugo Cspedes, the acting director of the Instituto, was in charge of
making arrangements for hiring personnel, training the interviewers,
and administering the filling out of approximately 500 interview
schedules. Cspedes employed Alvaro Vargas to serve as the field
supervisor of the Costa Rican research team. Both Cspedes and
Vargas, who has his licentiate in economics, have had previous exper
ience in research projects such as the present one.
The interviewers received three days of intensive training.
Vargas conducted most of the training sessions which consisted of
explaining the intricacies of the survey schedule, the goals of the
research project and the manner in which the interviewers were to
conduct themselves in the field. Emphasis was placed on establishing
rapport with the respondents, on insuring that those interviewed
would understand the various questions, on seeing that all efforts
were made to prevent the premature termination of interviews, and on
making certain that all respondents were satisfied at the end of their
interviews. The training took into account the fact that the re
spondents would not be experienced in granting interviews. The inter
viewers were to help them through what would be a learning situation.


214
members of. the locality groups relaxed their collective Improvement
efforts and enjoyed the fruits of their labor. Only recently have '
the residents begun to band together to confront other communal
problems and form DINADECO committees. Evidence of this is found in
La Vega where work was beginning again on both the neighborhood
development meeting hall and the Catholic church which have stood
partially constructed for four years. It appears that the field
research portion of this study coincided with a resurgence in formal
social participation in community development organizations in the
electrified hamlets.
In the hamlets of Los Angeles and El Tanque there is some use
made of electricity generated by private plants. Principally,
electric current is used in stores and is generated only during
short periods of time, usually from 6:00 to 9:00 p .m. The quantity
of power is such that only a couple of low-wattage 1ightbulbs can
be lit in the stores. The current is insufficient to operate ap
pliances such as refrigerators, stoves, or television sets.
Major efforts were being made in both Los Angeles and El Tanque,
as well as in the rural neighborhood of San Rafael, to obtain
COOPELESCA-suppl ied electrical energy. The activities directed towards
attaining this goal included the organization of fiestas to collect
funds for the construction of public lighting, the compilation of
lists of potential users of electricity, and the informal organiza
tion of a directorate of individuals to carry out negotiations with
C00PELESCA. At the time the field research for this study was being
conducted, these activities were in a preliminary stage, but appeared
to have a strong social integrating force in their respective places.


Figure 1
Location In Costa Rica of the Area Studied
-P-


142
line vi 11 age .
The two types which differ most sharply are the farm village
and the single farmstead. Perhaps they can be best understood through
a comparison of their characteristics. Smith, in discussing the
village form of settlement, says:
A generalized picture of such a settlement usually consists
of five parts: (1) forming the core is the village proper,
made up of the homes, barns, and other farm buildings; (2)
nearest the village are small garden plots; (3) more remote
are the cultivated lands; (4) sometimes competing with
the cultivated plots for land adjacent to the village and
sometimes beyond the arable lands are pastures; and (5)
most remote from the village at the outer limits of the
community's domain usually are to be found waste lands
and woods (1953:201).
In marked contrast with the village form is the single farmsteads'
pattern "in which each farm home is located among the fields worked
by the family" (Smith, 1953:209). Thus, the dwelling in the latter
system can be characterized as being isolated whereas those in the
former might be characterized as being nucleated.
There are both advantages and disadvantages inherent in each of
these forms of settlement. In the scattered farmsteads type, because
of the proximity to the fields and animals, both farm management and
farm labor are facilitated. The wide separation of the houses,
however, results in infrequent social contacts and, often, a lack
of easy access to both utilities and personal social services. On
the other hand, farm operators and hired hands living in villages
have to commute to work. Not only is this costly in terms of time,
but it also prevents optimal contact of the worker to his duties.
I For a complete analysis of the major characteristics of set
tlement patterns see Smith (1953: 129-233; I9^7b:257-286; 1972a:245-
256) and Smith and Zopf (1970:103-132). The following analysis of
the concepts closely follows Smith.


138
Table 22
A Comparison of Respondents According to
Grouped Categories of Total Satisfact¡on-w¡th-Life-
Situation Index (SIT TOT) by Categories of Mass-Media
Exposure Index (MMEI)
MME 1
Categories
1-3
(low)
SIT TOT
4
Categories
5
(high)
TOTAL
l (low)
Percent
17.9
67.5
14.6
100.0
Number
(27)
(102)
(22)
(151)
2 (moderately low)
Percent
13.6
60.3
26.1
100 .0
Number
(25)
(HI)
(48)
(184)
3 (moderately high)
Percent
6.4
48.1
45 .5
100.0
Number
(5)
(38)
(36)
(79)
4 (high)
Percent
10.5
42.1
47.4
100.0
Number
(4)
(16)
(18)
(38)
TOTAL
Percent
13.5
59.1
27.4
100.0
Number
(61)
(267)
(124)
(452)


electricity and appear more likely to adopt- the use of electricity
in their homes than do those engaged in other types of farming.
Farm operators are more inclined to use electricity in their homes
than are farm laborers. Evidence is presented to show the existence
of an agricultural ladder in San Carlos.
The themes of locality groups, levels of integration, and social
participation are used to construct a framework for viewing the
impact of electrification on nucleated rural settlements. A theo
retical typology of the locality group identified in the area is
presented. The process of obtaining electricity is shown to be an
integrative force until an area is energized at which time it appears
to retard community organization activities. In a community the use
of electricity both strengthens internal integration of the locality
group and causes an increased dependency upon larger communities.
xi i


180
The relative importance of different age groupings among farm laborers,
farm administrators, and farm operators gives a strong indication that
\
an agricultural ladder operates in the area of San Carlos.
The farm operators enumerated in the research population are
appreciably older than are either the farm laborers or farm adminis
trators. In fact, the group median age of farm operators is 10.1
years older than that of the farm laborers and 11 .0 years older than
that of the farm administrators (See Table 31). While more than one-
half, 57 .4 percent, of the farm laborers are under 40 years of age,
less than one-quarter, 21 .6 percent, of the farm operators are as
youthful At the other end of the age spectrum it is found that,
whereas only 7.2 percent of the farm laborers are 60 years of age. or
oldr, about one-quarter, 25.8 percent, of the farm operators are
sextegenarians The farm administrators occupy a unique position with
regard to age. Over three-quarters of them, 81.2 percent, are between
30 and 49 years of age.
The analysis has shown that the hired hands are younger than the
farm operators. Although it has not been demonstrated that individuals
who were just farm laborers in their youth have become farm operators
in later life, there is at least an indication that this indeed
transpires in San Carlos.
The contention that there is an agricultural ladder operating
in the area studied is supported by two points stressed earlier.
First, the area has been shown to be one of moderate-sized farms.
These entities can be acquired by the enterprising young person who
has accumulated some savings. Second, and especially germane, are
the results of the examination of the size of farms owned by those


80
ployed (See Table 4).
Table 4
Percentages of Users of Electricity by Occupational Categories'"
J
Occupation
Percent Adopting
Electricity
Teachers
100.0
Merchants
95.7
Farm Operators
75.4
Farm Laborers
51 .0
Unemployed
36.0
Based on data in Table 3 for USERS and NON-ADOPTERS
It is evident, therefore, that the use of electricity is closely
related to occupation. In general, the higher the occupational status
the greater the adoption rate for electricity. Also, the greater
the utility of electricity for the achievement of occupational pur
poses the greater the adoption rate.
Size of Households.
A total of 2,729 persons live in the 452 households enumerated.
The normal family consists of a married couple and their offspring.
In addition, however, there are many instances of three-generation
families. Not infrequently blood relat¡ves' such as brothers or sisters,
uncles or aunts, and nephews and nieces of either the head of the
household or his spouse also live in the household. In some cases


220
which optimize ease of delivery of utilities.
Because of the lack of utilization of electric power for
productive uses in agricultural and pastoral enterprises, it was im
possible to present a complete analysis of rural electrification as
a function of land tenure. It was indicated, however, that both the
range and intensity of the use of electricity on farms would increase
directly with an increase in the percentage of farm owner-operators
in the farm labor force of a particular areas. If this association
were to be validated in further studies, it would point to the
advisability of placing electricity in those rural areas with the
largest proportions of farm owner-operators.
It has been shown that the process of obtaining electricity
#
was a unifying experience for those in nucleated rural hamlets and
villages. However, once the electricity distribution system had
been energized, the locales having received electricity were likely
to enter a stage of hiatus in communal organization activities.
Thus, there are both integrative and disintegrative forces associated
with the electrification of rural hamlets and villages.
This study has demonstrated that there is a definite need for
further evaluations of the impact of rural electrification both in
Costa Rica and elsewhere. Such research could profitably be directed
toward examining the causal relationships between the use of elec
tricity and level of living and satisfaction with life. Also the
influence of the institutionalized relationships between man and
the land on the adoption and intensity of use of electricity merits
further investigation.
It is recommended that the area of San Carlos examined in this


CHAPTER I
INTRODUCTION
This is a study of the impact of rural electrification in Costa
Rica. It is an evaluation of the effect the adoption of the use of
electricity has had on the residents of a rural sector of San Carlos.
The focus is on the differentials in selected variables and character
istics found between users and non-users of electricity.
The use of electric energy for both domestic and farm purposes
is now accepted as indispensable in most rural areas of the United
States. This is not, however, the case in vast regions of Latin America.
In both Central and South America, the existence of electricity distri
bution lines is the exception rather than the rule. There are cur
rently, however, major programs underway in several countries to extend
new distribution lines into areas previously not having access to
electrical energy.
The introduction of a technological innovation creates changes
in the lives of members of societies. This study is an attempt to
examine some of the changes related to the introduction of electricity
into a rural area.
Obj ecti ves
The primary objective of this study is to examine the impact of
electrification on the members of a rural society in Costa Rica. The
1


39
United States. As a result, when doubt arose as to the form of any
portion of the schedule, considerations which might help to clarify
a point either for the interviewer or the respondent took precedence
over ease of analysis. A casualty of this consideration was any
pre-coding of the schedule. It was decided that the configurations
needed for pre-coding purposes would only confuse the interviewers.
Consequently, they were eliminated from the final form of the schedule.
The schedules were designed so that theoretically each would
o
take approximately one hour to administer. This time limitation dic
tated certain restrictions on both the type and number of specific,
questions which could be included. For example, it would have been
of interest to have gathered data on household expenditures. This,
however, would have entailed adding a large number of questions in
cluding a series of time-consuming queries designed to inquire about
precise disbursements for food, medical services, clothing, etc. This
clearly was impractical. Furthermore, experience has shown that
respondent fatigue sets in after about 45 minutes, affecting the
quality of the data obtained.
To facilitate the work of the interviewers, a single schedule
was devised for use by all of the interviewers. In order to shorten
the length of the interviews, the schedule included a variety of filter
questions, thereby often enabling the interviewer to bypass certain
subsequent questions. No one individual was asked all of the questions
contained in the schedule. For example, those who used electricity
2The actual length of the interviews varied between 25 minutes
and two hours. The average time was approximately 40 minutes.


29
entitled "Levels of Living in Hacienda and .Smal1-Farm Villages."
Thomas L. Norris analyzed the economic systems which evolve around
both large and small landholdings in his chapter "Economic Systems:
Large and Small Land Holdings."
What could become the 'standard work on man-land relations in
Central America, A Sociological Analys? s of Man-Land Relat ions in
Central America, was written by W. Kennedy Upham (1969). His analyses
of various aspects of the institutionalized relationships between man
and the land in Costa Rica serve as models for several segments of
this dissertation. His work is of added value in that it incorporated
the complete results of the Costa Rican 1963 Censo Agropecuario,
(census of agriculture).
The Agrarian Law Project, a joint venture being carried out by
the United States Agency for International Development (AID) and the
Universidad Nacional de Costa Rica (National University of Costa Rica),
has conducted research into legal and economic problems in rural areas
of Costa Rica. Two of the publications resulting from this project
have made major contributions to the study of man-land relations in
Costa Rica. David S. Clark wrote Rent?ng, Sharecropping and other
Ind? rect Land Tenure Forms ?n Costa Rica: A Legal and Economic
Analysis (1971). Carlos Saenz P. and C. Foster Knight co-authored
Tenure Security, Land T?11ing, and Agricultural Development ?n Costa
Rica (1971). Although both of these works emphasized legal aspects
of man-land relations, they nevertheless add significantly to further
the understanding of several of the sociocultural systems found in
rural areas in Costa Rica.


245
156.
157.
158.
159.
160.
Sabe Ud. el nombre de su delegado en la Cooperativa Elctrica
158
de San Carlos? Sf
Cmo se llama?
No
Ha Ud asistido alguna vez a una reunin de la Cooperativa
160
Elctrica de San Carlos? S
No
A cuntas reuniones ha asistido Ud?
Es Ud. miembro de la Asociacin Sancarlea de Promotores del
Bienestar? Sf No
PROPENS I DAD A LA MIGRACION
(SI EL ENTREVISTADO ES UN AGRICULTOR 0 VIVE EN UNA FINCA, PREGUNTAR:)
161 Tiene Ud. intenciones de pasar muchos aos ms trabajando en el
164
campo? S f
No
162. Tiene Ud. intenciones de quedarse en este mismo sitio?
168
Sf
No
163.Adnde le gustara irse? Hgame el favor de nombrar el lugar
165
164. Hacia dnde piensa irse?
165. Qu piensa hacer en ese lugar?
166. Si Ud. se pasara de su casa, le importara que la casa tuviera
electricidad? Sf No Por qu
167. Ha pensado Ud. seriamente en irse del campo a otro lugar?
Sf No
168. Ha pensado seriamente en cambiar de ocupacin? Sf
No


235
Menos de un ao
1 a 2 aos
3 a 4 aos
Ms de 4 aos (indicar el nmero de aos)
90. Cmo se llama la organizacin de la cual Ud. recibe electricidad?
91. Antes de la Cooperativa recibi electricidad de otra fuente?
S No 96
92. De cul fuente?
93. Por cunto tiempo us esa otra fuente de electricidad? aos.
94. Cunto pag Ud. por la electricidad que recibi de esta otra fuen
te durante un mes? Colones No sabe
95. Tiene Ud. planeado comprar aparatos o mquinas elctricas adicio
nales? (Sf No ) 100
96. Qu utensilios o aparatos planea comprar?
(Marcar abajo en el espacio correspondiente)
97. Cundo cree que podr comprarlo?
(Marcar abajo en el espacio correspondiente)
98. Tiene intencin de comprar al contado o a plazos?
(Marcar abajo en el espacio correspondiente)
Aparato o mquina Cundo piensa comprarlo Al contado A plazos
99.En su opinin, qu cosas puede Ud. hacer con la electricidad que
no podra hacer si no tuviera electricidad?


100
Table 12
Scores of T-Tests for Difference between Arithmetic
Means and Levels of Significance for Categories and
Combinations of Categories of the Electric-Use Char
acteristic by Electricity-free Level-of-Living Scale
(LEVELNOE)
Electric-Use
Categories
T-Test
Sco re
Level of
Significance for
Two-tailed Test
USERS to NON-ADOPTERS
10.85
0.001
USERS to INACCESSIBLES
8.18
0.001
INACC ESS1BLES TO NON-ADOPTERS
4.49
0.001
USERS to NON-ADOPTERS and
INACCESSIBLES
4
10.95
0.001
The relationship between the use of electricity and level of
living is dramatically shown when comparing the LEVELNOE scores of
the USERS and NON-ADOPTERS. This is demonstrated in Table 13. The
percentages of the USERS and NON-ADOPTERS by category of LEVELNOE
are presented. The figures for these users and non-users are com
pared in the form of a ratio. The importance of USERS vis-^-vis
NON-ADOPTERS increases directly with a corresponding rise in the
value of LEVELNOE. This shows the extent to which USERS are highly
concentrated in the middle and upper ranges of the scale and NON
ADOPTERS in the lower part of it.
In summary, the evidence supports the proposition that there are
demonstrable relationships between level of living and the use of
electricity. Although both users and non-users of electricity are


51
are generally located near the road, by driving along it one can see
virtually all of the buildings which have been wired for electricity.
\
Consequently, it was decided that visibility of a building from the
road was an adequate criterion for use in the selection of the research
population.
Some objections to this criterion may be raised. It could be
argued that it does not take into account geographic variations which
may influence the distance one can see. Were the area one of extreme
geographic fluctuations, the objection would, to a large degree, be
valid. However, the area is rather uniformly flat. Thus, the
geographic variations had no appreciable effect on the view from the
roads. Secondly, it might be thought that topographical variations
would significantly affect the selection of the research population.
In only a few instances was the view of the houses along the road
obscured by such things as trees or other buildings. In almost all
cases, all or at least part of the building was visible from the road.
Before the field work on the survey was conducted, the present
author made a complete inventory of the houses which were eligible
for inclusion. For this purpose he used several maps which showed the
location of all the dwellings. Both the maps and observations made.
in situ showed only a small number of residences out of sight from the
road. Special effort was made to insure that those few dwellings
which might improperly have been excluded because they were invisible
from the road were included.
Another criterion was also used in the selection of residences.
Because of the confounding influences which would have been intro
duced had a substantial number of users been connected to a source


151
sarily adjacent, but located either in one
cantn (county-1 ike entity) or in neighbor
ing cantones, as long as they form part of
the same economic and technical unit (Costa
Rica, Direccin General de Estadstica y
Censon, 1965:21)**.
This census definition has taken major steps to rectify short
comings which are usually inherent in most definitions of fincas.
One of the often included weaknesses is that noted by T. Lynn Smith
which he describes as:
the grouping together in the one monolithic class
of explotaciones, the huge number of small
subsistence tracts from which a high proportion
of the farm laborers gain substantial parts of
the livelihood and the units of various types
that could qualify letitimately for classifica
tion as small subsistence farms, family-sized
farms, plantations, or huge latifundia (Smith,
1967:108).
As a point of clarification of Smith's statement: explotaciones
are fincas, and 1 atifundia are huge landholdings usually owned by
absentee land owners on which large portions of the land is idle,
frequently even being withheld from production.
The Costa Rican census definition of finca explicitly excludes
all tracts of land of less than one manzana from consideration as
farms. Although these tracts of land do not qualify to be termed
farms, they are nevertheless plots, or lotes as they are referred to
in Costa Rica, on which active agricultural and pastoral production is
pursued. Comparable places were noted by Davis in his study of man-
land relations of Norte de Santander, Colombia and referred to as
conucos These plots were described as follows:
b
Translated by J. Michael Davis.


173
Costa Rican land is held by proprietors "in fee simple." This
is the system of ownership which gives the landholder, "virtually
absolute right to use and dispose of the land" (Smith and Zopf, 1970:
161) Although the owner holds almost absolute rights to the land,
the state does retain the right to eminent domain for purposes of
public necessity and the right of taxation. As noted by Upham, the
following restrictions have also been legalized:
the property owner has the obligation to allow passage
to an adjacent owner who lacks public access to his land.
He must also refrain from harming land of another by
such acts as the planting of trees or building walls
improperly (1969:197).
A basic tenet of the form of land ownership in Costa Rica is that the
proprietor may use the land as he sees fit.
The legal regulation of the relations of man to the land is a fun
damental aspect of the land tenure system. Salas and Barahona in
their definitive study of agrarian law in Costa Rica dealt with this
topic (1971). According to these authors:
The current most important law dealing with land
tenure in Costa Rica is the Land and Colonization
Law of 1961 which created the Land and Colonization
Institute (ITCO) as an autonomous entity. This law
subsums the activities previously regulated under
the laws of Public Control of Land in the Public
Domain of 1939, of Squatter Occupants of 19^2, and
of Economic Development of 1959 (Salas and Barahona,
1971:205-206).'
Among other objectives, the Land and Colonization Law encompasses the
following: to insure that land tenure arrangements result in increase
of agricultural production, to cancel the right to the land from those
who use it for speculation, to stimulate the formation of cooperatives
10
Translated by J. Michael Davis


203
borhood which is separate from, although quite close to, a hamlet
which is the center of a partial community.
It is Don Csar's role as a leader which has most closely tied
him into several locality groups. He is the president of the com
munity development junta of Rfo Tigrillo and has used his influence
to help improve the area. Largely due to his efforts, a grain-drying
plant was constructed near Rfo Tigrillo. Don Csar worked closely
with all phases of the planning and construction of the governmentally-
financed plant. This involvement placed him in contact with a wide
variety of people who reside outside of the area. As a result of
this, Don Csar's home is a frequent stopping place for officials who
have reasons for visiting San Carlos.
Don Csar owns both the farm on which he resides and a second
place located near La Fortuna. His son now farms the place near La
Fortuna where Don Csar previously lived. Since he frequently com
municates with his son and since he formerly lived in the community
centering on La Fortuna, Don Csar is integrated into that community.
As a Protestant, Don Csar differs from most of his neighbors in
both his religious and social activities. Because of his religion,
Don Csar does not drink alcoholic beverages. Thus, he does not
participate in a major social activity, that of drinking in the small
stores and dance halls. This, in turn, weakens, to some extent, the
social integration of the man in his primary locality group.
Due to his geographic location, Don Csar is a member of two
basic locality groups: that of his rural neighborhood and that of
the incomplete community of which Rfo Tigrillo is the nucleus. His
interest in his son's farm has caused him to remain integrated in


remainder of those studied resided beyond the reach of the lines. To
insure validity of the results of the study, an area was secured
which was relatively homogeneous in all respects with the exception
of the availability of electricity.
The substantive findings concerning the relationships between
rural electrification and other characteristics are grouped according
to: social characteristics, man-land relations, and locality groupings.
Those heads of households who adopted the use of electricity
are likely to be younger, better educated, in occupations where they
could profit from the use of electricity, and residential1y more
stable than are those who could have but who chose not to adopt
electricity. These findings appear to be significant in that those
who had no access to electricity have characteristics intermediate
between those who did and those who chose not to become consumers of
electricity. Higher level of living, satisfaction with life situa
tion and exposure to the mass media are found to be associated with
the use of electricity compared with non-use.
In agricultural zones, such as rural San Carlos, the institu
tionalized relationships between man and the land are instrumental in
determining the rate of adoption and uses of electricity. The con
centration of the population in quasi-line villages and hamlets
facilitated the installation of a electricity distribution system
more than a settlement pattern in which the rural inhabitants are
dispersed on scattered farmsteads. Operators of medium to large
farms are more likely to become users of electricity than are those
who farm smaller places. Those who engage in specific types of
agricultural or pastoral production have more productive uses of


2n
La entrevista tuvo lugar:
Adentro de la casa o del establecimiento del entrevistado
En el frente de la casa o del establecimiento del entrevistado
Otro lugar, explicar


12
tempting to talk with as many people as possible, I patterned my re
search along lines previously learned as a community organizer. An
expedient means of initiating a constructive discussion with someone
is to be presented to or introduced to that person by a friend or
acquaintance of his.
My primary contacts were two persons who were well known in the
area. The first was Seor Freddy Arroyo, who was then director of
COOPELESCA. Seor Arroyo is a long-time resident of the area. He
was the former head of the canton's police department, and delegate
to the national assembly. Seor Arroyo not only presented me to
several influential people, but also allowed me to use his name-freely
as an aid in meeting others.
The second was Larry Halsey, a former Peace Corps Volunteer in
the village of El Tanque, who gave me a long list of his former friends
and acquaintances. Mr. Halsey had been a successful Volunteer who had
made a wide circle of friends in the area. I became, in effect, a
vehicle for carrying news of Larry to his friends. This helped me to
quickly develop a rapport so that I could ask questions about various
aspects of the community.
Because I was working in collaboration with Costa Ricans who
were conducting interviews with the people of the area, I had an en
trance into most of the houses involved. As a supervisor of the inter
viewers, I frequently visited the respondents to check on the completed
interviews. Almost without exception the people were pleased with the
interviews they had granted. Since the workers had been courteous,
many of the respondents were willing to talk more about the impact
of electrification. Thus, the original interviews served to lay
the foundation for more intensive discussions which I held with


4
2 4. B3 5


3
sociologists in the United States. The earliest articulation of many
of the concepts and methods of viewing society used in this presenta
tion was set forth by Pitirim A. Sorokin, Carle C. Zimmerman, and
Charles J. Galpin (1930). The conceptual framework of these authors
was more fully developed and applied by T. Lynn Smith in, among other
works, his analyses of the sociology of rural life (19^+0, 19^9, and
1953). Smith also further refined and applied this frame of reference
in his major studies of Brazil and Colombia (1967a and 1972a).
Most of the previous applications of the conceptual framework
used in this dissertation have dealt with analyses of members of
societies in given political-administrat ive geographic areas. A major
goal of the present endeavor is to incorporate a specific frame of
reference to view the impact of a technological innovation on the
members of a rural society.
Scope
This is a study of people living in a specific part of the Llanos
of San Carlos in the Canton of San Carlos, Province of Alajuela,
Costa Rica (See Figure 1). The primary data were gathered in an
intensive survey research project during the month of August, 1972.
The temporal scope of the data is limited to the period in which they
were collected. These data are augmented by others derived from
library research, personal observations, and consultations with experts
in various fields.
Substantively this presentation assembles, evaluates, and
organizes some of the more significant data concerning the influences
of the use of electrical energy in a rural area. The impact of the


205
Social Participation'
The degree of involvement by residents in community and neigh
borhood organizations is a reasonable indicator of the social integra
tion of a particular locale. Attention is now turned to an examina
tion of the formal social participation in organizations, associa
tions, and cooperatives. Special consideration is given to viewing
the influence of COOPELESCA as an integrating force.
There is a plethora of community development organizations in
the San Carlos area. They fall roughly into two types: cooperatives
and community or neighborhood improvement associations. In addition
to COOPELESCA there are at least two other cooperatives in the area.
The Coope rat i va de Ahorro ^ Crdito de Ciudad Quesada (Savings and
and Credit Cooperative of Ciudad Ouesada) (C00CIQ.UE) is, as its name
implies, a savings and credit cooperative. C00PETRINIDAD is an
agricultural cooperative which deals primarily with the marketing
and selling of the crops produced by its members. The national com
munity development agency (Di recein Nacional de Desarrollo de 1 a
Comunidad) ()PINADECO) is attempting to establish its committees
throughout San Carlos as well as elsewhere in Costa Rica. Theoretically
the Asociaciones de Desarrollo Comunal (community development associa
tions) being organized by DINADECO are designed, among other things,
to replace the multiple project-specific juntas found in the area.
DINADECO has established its juntas in La Fortuna. La Tigra, La Vega,
and San Isidro de Ro Peas Blancas. These juntas have not as yet
superseded the project-specific organizations. In many of these same
locales, are found some or all of the following organizations: Junta


Table 15
Arithmetic Means for Respondents of Sat 1sfactlon-
wlth-Llfe Indexes for Categories and Combinations
of Electric-Use Categories'
Electric-Use
Categories and
Combinations of
Categories
SIT PRES
Satisfaction with
SIT PAST
Life Indexes
SIT FUT
SIT TOT
USERS
3.4
4.1
4.3
4.3
INACCESS IBLES
3.1
00

4.4
4.2
NON-ADOPTERS
2.8
3.3
4.3
3.8
USERS and NON-ADOPTERS
3.2
3.8
4.3
4.1
NON-ADOPTERS and 1NACCESS1 BLES
3.0
3.6
4.4
4.0
TOTAL
3.2
3.8
4.4
4.1
*
3.0= Same


119
demonstrate that regardless of the use or non-use of electricity, the
respondents are very optimistic. The INACCESS I BLES are slightly more
\
inclined to expect future betterment than are the USERS who in turn
have SIT FUT scores which exceed those of the NON-ADOPTERS. There
are no statistically significant differences in the mean scores of
the various categories and combinations of categories according to
SIT FUT (See Table 15) .
Although the variations found in the analysis of the future
satisfaction-with-1ife-situation index are not statistically important,
it is nevertheless interesting that the INACCESS IBLES on an average
scored higher on this index than the other groups. While the survey
data were being gathered, plans to electrify the area between La.
Fortuna and Los Angeles were being readied. The residents of the
area were cognizant of this. The expectation of receiving electri
city might have affected their attitudes for the future. This could
account for the somewhat higher mean score of the INACCESSIBLES than
of the NON-ADOPTERS on the SIT FUT index.
The total satisfaction-with-1ife index is a compilation of the
three indexes already discussed. It is a methodological construct
which aggregates the self-perceived responses comparing one's
satisfaction with life with other present, past, and future considera
tions. The SIT TOT was cross-tabulated with the electric-use
characteristics; the results are presented in Table 19. Due to the
statistical procedures used, the scores are slightly skewed towards
the upper portions of the index. The discriminatory power of this
index, however, is demonstrated in the analysis of the arithmetic
means presented in Tables 15 and 16. The mean score of USERS is


68
15 years of age. Only 3.1 percent is over 65 years of age. The
remaining 47.1 percent of the inhabitants are in the productive years
of life, i.e. between 15 and 64 years old. This, therefore, is a
population with a very large proportion of the people being under 15
years of age. On the other hand, the proportion of the elderly is
ve ry 1ow.
The examination of the major age groups is an effective although
gross method of viewing the age components of the population. A more
detailed multi-dimensional method is the age-sex pyramid. According
to T. Lynn Smith:
The primary factors with which one must reckon in
explaining the general configuration of any age-sex
distribution, any specific features it may undergo,
are, of course, the same three that may be involved in
any population change, namely, births, deaths, and
migration (1960a:155) .
Figure 3 graphically presents an age-sex configuration for the research
population.
Both a preponderance of the young and a small number of the aged
are evident in the age-sex pyramid. Of special interest is the fact
that children under five years of both sexes are less numerous than
children five to nine years old. It is probable that this reflects
a dramatic drop in the birth rate in Costa Rica that occurred during
preceding five years. This decrease is partially due to the increased
use of effective methods of birth control.
With the exception of the youngest age group, the size of the
age cohorts of both males and females steadily decreases as age in
creases. This is the result partially of high birth rates in the
past and also of high death rates.


45
The people of San Carlos would be assisting the research project by
granting the interviews. An effort was made to insure that the inter
viewers expressed appreciation for the cooperation that they received.
During the training period both the interviewers and trainers
were given every opportunity to suggest changes in the schedule. This
training, therefore, constituted an initial pre-test of the schedule
itself.
The interviewers pre-tested the instrument in the field in the
Canton of Cartago. Although it would have been beneficial to have
introduced the workers to the actual research area, it was feared
that a premature entrance into the area of San Carlos might contami
nate future responses. Consequently, a different rural area was
*
chosen.
The day after the field test of the instrument, a final training
session was conducted. During this, the interviewers were debriefed
on their experiences and the completed schedules were closely
examined. Some modifications were made in the instrument as a result
of points elaborated during the final training period.
On Wednesday, August 16, 1972 the interviewing team left San
Jos for Ciudad Quesada. The next day the interviewing began. Along
with thorough supervision in the field, the interviewers received
periodic training sessions. Each interviewer was required to recheck
his work before turning it in. Inevitably, numerous errors went
undetected in this process. Vargas and Davis then reviewed the forms.
They talked with the workers, sometimes with the entire group, to
discuss mistakes and how to avoid them in the future. All of the
survey data were collected in a period of three weeks.


262
From June, 1972 to August, 1973 he was' an Associate in Inter
national Programs with the Institute of Food and Agricultural Sciences
of the University of Florida. During this time he worked extensively
in Costa Rica and Colombia. Currently he is a Data Analysis Specialist
on a special Law Enforcement Assistance Administration project with
the Ocala, Florida Police Department, implementing a community crime-
prevention program.
J. Michael Davis is married to the former Mary Foecke and is the
father of two charming daughters, Andrea Paloma and Nena Elizabeth.
He is a member of the American Sociological Association, the Rural
Sociological Association, and the Population Association of America.