Linking economic status with technology adoption in three emerging economies of Sub-Saharan Africa

2014 ◽  
Vol 25 (1) ◽  
pp. 49-68 ◽  
Author(s):  
Adegoke Oke ◽  
Fred Walumbwa ◽  
Tingting Yan ◽  
Moronke Idiagbon-Oke ◽  
Lucy A. Ojode
Keyword(s):  
Technology Adoption ◽  
Economic Status ◽  
Sub Saharan Africa ◽  
Hierarchical Regression ◽  
Infrastructure Development ◽  
Content Type ◽  
Positive Attitudes ◽  
Sub Saharan ◽  
The Relationship ◽  
Gallup World Poll

Purpose – In this study, the authors aim to understand the antecedents of technology adoption in Sub-Saharan Africa by investigating the relationship between people's economic status, their positive attitudes, and the adoption of communications technology. Design/methodology/approach – The authors used data obtained from the Gallup World Poll that was conducted in 2008. The Gallup World Poll is a survey of residents in more than 150 countries. Based on a sample of 8,787 in Kenya, Ghana and Nigeria, the authors used SEM to test the hypotheses. Findings – Hierarchical regression analyses revealed that economic status significantly predicts both positive attitudes and technology adoption. Further, the authors found that infrastructure development moderates the relationship between economic status and technology adoption. Originality/value – The study attempts to plug the gaps in established theories of technology adoption which typically do not take into consideration factors that are peculiar to LDC contexts.

Does credit market inefficiency affect technology adoption? Evidence from Sub-Saharan Africa

2016 ◽  
Vol 76 (4) ◽  
pp. 494-511 ◽  
Author(s):  
Abdul-Hanan Abdallah
Keyword(s):  
Technology Adoption ◽  
Credit Market ◽  
Sub Saharan Africa ◽  
Food Crops ◽  
Agricultural Technologies ◽  
Data Set ◽  
Content Type ◽  
Unique Data ◽  
Market Inefficiency ◽  
Sub Saharan

Purpose The purpose of this paper is to investigate factors affecting the adoption of agricultural technologies in Sub-Saharan Africa, specifically the role of credit market inefficiency in adoption of agricultural technologies in the region. Design/methodology/approach Most importantly, the paper applies a 2SLS model on a unique data set on nine agrarian countries from Sub-Saharan Africa’s intensification of food crops agriculture (Afrint) to provide evidence on how credit market inefficiency affects adoption of technologies in the sub region. Findings The study finds that the relationship between credit and technology adoption is one-way causal relation (i.e. credit access leads to technology adoption) as opposed to a two-way relation (i.e. mutual dependent relation). Further, the results indicate that credit market inefficiency can be a major barrier to the adoption of yield enhancing technologies in Sub-Saharan Africa. Further, the study showed mixed results for household variables. The results give credence to studies that highlight the importance of infrastructure and risk control in the adoption of new technologies. Research limitations/implications The study is limited to only nine countries in Sub-Saharan Africa. Thus, the findings and interpretations should be considered as such. Further, there is the need for further research that considers all the region so as to establish whether or not there is a relationship between credit market inefficiencies and technology adoption in the region. Practical implications The policy implication is that microfinance institutions should consider scaling up their credit services to ensure that more households benefit from it, and in so doing technology adoption will be enhanced. Originality/value The main contribution of the study lies in its use of a unique data set from Sub-Saharan Africa’s intensification of food crops agriculture (Afrint) to investigation relationship between credit market inefficiency and technology adoption.

Innovation, institutions and economic growth in sub-Saharan Africa – an IV estimation of a panel threshold model

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Joseph Ato Forson ◽  
Rosemary Afrakomah Opoku ◽  
Michael Owusu Appiah ◽  
Evans Kyeremeh ◽  
Ibrahim Anyass Ahmed ◽  
...  
Keyword(s):  
Economic Growth ◽  
Developing Economies ◽  
Innovation Policy ◽  
Threshold Model ◽  
Sub Saharan Africa ◽  
Content Type ◽  
Panel Regressions ◽  
Sub Saharan ◽  
The Impact ◽  
The Relationship

PurposeThe significant impact of innovation in stimulating economic growth cannot be overemphasized, more importantly from policy perspective. For this reason, the relationship between innovation and economic growth in developing economies such as the ones in Africa has remained topical. Yet, innovation as a concept is multi-dimensional and cannot be measured by just one single variable. With hindsight of the traditional measures of innovation in literature, we augment it with the number of scientific journals published in the region to enrich this discourse.Design/methodology/approachWe focus on an approach that explores innovation policy qualitatively from various policy documents of selected countries in the region from three policy perspectives (i.e. institutional framework, financing and diffusion and interaction). We further investigate whether innovation as perceived differently is important for economic growth in 25 economies in sub-Saharan Africa over the period 1990–2016. Instrumental variable estimation of a threshold regression is used to capture the contributions of innovation as a multi-dimensional concept on economic growth, while dealing with endogeneity between the regressors and error term.FindingsThe results from both traditional panel regressions and IV panel threshold regressions show a positive relationship between innovation and economic growth, although the impact seems negligible. Institutional quality dampens innovation among low-regime economies, and the relation is persistent regardless of when the focus is on aggregate or decomposed institutional factors. The impact of innovation on economic growth in most regressions is robust to different dimensions of innovation. Yet, the coefficients of the innovation variables in the two regimes are quite dissimilar. While most countries in the region have offered financial support in the form of budgetary allocations to strengthen institutions, barriers to the design and implementation of innovation policies may be responsible for the sluggish contribution of innovation to the growth pattern of the region.Originality/valueSegregating economies of Africa into two distinct regimes based on a threshold of investment in education as a share of GDP in order to understand the relationship between innovation and economic growth is quite novel. This lends credence to the fact that innovation as a multifaceted concept does not take place by chance – it is carefully planned. We have enriched the discourse of innovation and thus helped in deepening understanding on this contentious subject.

Trade liberalization and technology absorption in a less developing country context

2015 ◽  
Vol 14 (2) ◽  
pp. 149-170
Author(s):  
Alamedin Bannaga
Keyword(s):  
Trade Liberalization ◽  
Developing Country ◽  
Design Methodology ◽  
Sub Saharan Africa ◽  
Panel Regression ◽  
Content Type ◽  
Factors Affecting ◽  
Technology Absorption ◽  
Sub Saharan ◽  
The Relationship

Purpose – The paper aims to investigate the relationship between trade liberalization and technology absorption in a less developing country context. The objective is to empirically test the relationship between these two variables. This analysis was conducted in Sub-Saharan African economies. Design/methodology/approach – A panel regression of 20 countries in Sub-Saharan Africa was estimated based on a model that takes into account both trade policy and non-policy factors affecting technology absorption. Findings – A positive and significant relationship was found between trade liberalization and technology absorption. This relationship is valid across a variety of model specifications, technology absorption proxies and estimation techniques. Moreover, non-policy factors such as geographical spillover play significant role in technology absorption. Originality/value – The paper examines the link between the trade liberalization and the technology absorption in Sub-Saharan Africa. The analysis is empirical in nature and builds on panel estimations. The novelty of the paper comes from the topic investigated and the focus on a region which has not attracted much attention in the literature.

Corruption, institutions and capital flight: evidence from Sub-Saharan Africa

2018 ◽  
Vol 45 (1) ◽  
pp. 59-76 ◽  
Author(s):  
Eric Osei-Assibey ◽  
Kingsley Osei Domfeh ◽  
Michael Danquah
Keyword(s):  
Portfolio Choice ◽  
Rule Of Law ◽  
Good Governance ◽  
Sub Saharan Africa ◽  
Capital Flight ◽  
Positive Sign ◽  
Institutional Variables ◽  
Content Type ◽  
Sub Saharan ◽  
The Relationship

Purpose The purpose of this paper is to investigate the effect of corruption and institutional governance indicators on capital flight in Sub-Saharan Africa. Design/methodology/approach Using a Portfolio Choice Framework, the study employs two different estimation techniques as Generalized Method of Moment and Fixed Effect Regression on panel data sets of 32 countries in Sub-Saharan Africa over the period 2000-2012. Findings The variable of interest, corruption, retains its expected positive sign and statistically significant across all the estimations. The relationship remains very strong even when other equally important institutional variables such as regime durability, rule of law and independence of the executive are taken into account. This suggests that a higher perception of corruption among public authorities as in bribery, kickbacks in public procurement, embezzlement of public funds, among others facilitates an increase in capital outflow from SSA. The findings further indicate that regime durability and rule of law are important institutional variables that also significantly influence capital flights in SSA. Practical implications The findings imply that institutional reforms should be encouraged if SSA is to win the war against corruption and by extension against capital flight. There should be a creation of democratic environment and good governance practices that foster stronger governance institutions, decline in corruption and better domestic investment climate to help reverse the high spate of capital flight in the region. Originality/value The main value of this paper is using the portfolio choice framework to analyze the relationship between capital flight and corruption in the Sub-Saharan African context.

Business ethics disclosure and corporate governance in Sub-Saharan Africa (SSA)

2020 ◽  
Vol 28 (2) ◽  
pp. 363-387 ◽  
Author(s):  
Nelson Waweru
Keyword(s):  
Corporate Governance ◽  
Business Ethics ◽  
Gender Diversity ◽  
Sub Saharan Africa ◽  
Stock Exchanges ◽  
Government Ownership ◽  
Content Type ◽  
Sub Saharan ◽  
Board Gender Diversity ◽  
The Relationship

Purpose The purpose of this paper is to examine the relationship between business ethics practices disclosure and corporate governance characteristics in Sub-Saharan Africa. Design/methodology/approach The study uses multiple regression to investigate the association between business ethics disclosure (BED) and corporate governance characteristics in SAA. The study sample is based on 573 non-financial corporations listed on the national stock exchanges of Ghana, Kenya, Nigeria, South Africa and Zimbabwe as of 31 December 2015. Findings The findings show that corporate governance characteristics (including the proportion of government ownership, board independence and board gender diversity) are positively and significantly related to BED. Originality/value The study contributes to the limited literature by analyzing the relationship between BED practices and corporate governance characteristics in the sub-Sahara African context, which is significantly different from the Anglo-Saxon world.

scholarly journals Remittances, institutions and human development in Sub-Saharan Africa

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Umar Mohammed
Keyword(s):  
Human Development ◽  
Measurement Errors ◽  
Generalized Method Of Moments ◽  
Sub Saharan Africa ◽  
Future Research ◽  
Content Type ◽  
Lagged Dependent Variable ◽  
Sub Saharan ◽  
The Impact ◽  
The Relationship

PurposeThe purpose of this paper is to examine the relationship between remittances, institutions and human development (HD) in Sub-Saharan African (SSA) countries using data from 2004 to 2018. The study attempts to answer two critical questions: Do the increasing remittances inflow to the region have any effect on human capital development? and does the effect of remittances on human development vary depending on the level of institutional quality?Design/methodology/approachThe analysis uses a dynamic model; system Generalized Method of Moments (Sys-GMM) as this approach controls for the endogeneity of the lagged dependent variable; thus, when there is a correlation between the explanatory variable and the error term, which is normally associated with remittances, it also controls for omitted variable bias, unobserved panel heterogeneity and measurement errors in the estimation.FindingsThe findings indicate a positive and significant impact of remittances on HD in SSA. The results further reveal a substitutional relationship between institutions and remittances in stimulating HD. The estimations mean that remittances promote HD in countries with a weak institutional environment. The findings also establish that the marginal significance of remittances as a source of capital for HD falls in countries with well-developed institutions.Originality/valueMost empirical research on the impact of remittances on HD does not tackle the problem of endogeneity associated with remittances. This study, however, provides empirical evidence by using Sys-GMM that solves the problem. The current study also is the first work to examine the relationship between remittances, institutions and HD in SSA and provides a new guide for future research on the remittance and HD nexus.

scholarly journals Trade and FDI thresholds of CO2 emissions for a Green economy in sub-Saharan Africa

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Simplice Asongu ◽  
Nicholas M. Odhiambo
Keyword(s):  
Negative Impact ◽  
Positive Impact ◽  
Trade Openness ◽  
Sub Saharan Africa ◽  
Green Economy ◽  
Fdi Inflows ◽  
Content Type ◽  
Sub Saharan ◽  
Generalised Method Of Moments ◽  
The Relationship

Purpose This study aims to focus on assessing how improving openness influences carbon dioxide (CO2) emissions in sub-Saharan Africa (SSA). Design/methodology/approach This study focusses on 49 countries in SSA for the period 2000–2018 divided into: 44 countries in SSA for the period 2000–2012; and 49 countries for the period 2006–2018. Openness is measured in terms of trade and foreign direct investment (FDI) inflows. The empirical evidence is based on the generalised method of moments. Findings The following main findings are established. First, enhancing trade openness has a net positive impact on CO2 emissions, while increasing FDI has a net negative impact. Second, the relationship between CO2 emissions and trade is a Kuznets shape, while the nexus between CO2 emissions and FDI inflows is a U-shape. Third, a minimum trade openness (imports plus exports) threshold of 100 (% of gross domestic product (GDP)) and 200 (% of GDP) is beneficial in promoting a green economy for the first and second samples, respectively. Fourth, FDI is beneficial for the green economy below critical masses of 28.571 of net FDI inflows (% of GDP) and 33.333 of net FDI inflows (% of GDP) for first and second samples, respectively. It follows from findings that while FDI can be effectively managed to reduce CO2 emissions, this may not be the case with trade openness because the corresponding thresholds for trade openness are closer to the maximum limit. Originality/value This study complements the extant literature by providing critical masses of trade and FDI that are relevant in promoting the green economy in SSA.

Entrepreneurial activity in the Albertine Graben region of Uganda: the role of infrastructure development and entrepreneurial orientation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammed Ngoma ◽  
Peter Dithan Ntale ◽  
Mwesigye Castro
Keyword(s):  
Entrepreneurial Orientation ◽  
Small Businesses ◽  
Quantitative Data ◽  
Self Report ◽  
Entrepreneurial Activity ◽  
Hierarchical Regression ◽  
Infrastructure Development ◽  
Content Type ◽  
The Relationship

PurposeThe purpose of this paper is twofold (1) to establish the relationship between infrastructure development and entrepreneurial orientation (EO) on the entrepreneurial activities in the Albertine Graben region of Uganda and (2) to establish whether entrepreneurial orientation mediates the relationship between infrastructure development and entrepreneurial activity.Design/methodology/approachQuantitative data were collected from a sample of 118 enterprises, mainly small businesses. The authors sent out 118 self-administered questionnaires of which 93 useable questionnaires were returned, giving a response rate of 79%. Quantitative data were processed and analyzed using SPSS version 21. Analyses such as correlation, hierarchical regression and mediation were carried out to understand (1) the relationship between the variables, (2) the prediction potential of the independent variables to entrepreneurial activity and (3) the mediation role of EO on the relationship between infrastructure activity and business performance.FindingsThe authors found out that infrastructure developments are a significant predictor of entrepreneurial activity (ß = 0.432**, p < 0.01), explaining 21.6% of entrepreneurial activity in the region. EO was found to have a significant positive relationship with entrepreneurial activity (r = 0.580**, p < 0.01). The results of a hierarchical regression indicate that both infrastructure development and EO explain 42% of the entrepreneurial activity in the Albertine region. Mediation analysis indicated that EO is a partial mediator in the relationship between infrastructure development and entrepreneurial activity.Research limitations/implicationsThe results are based on self-report statistics. The model explains 42% of entrepreneurial activity thus there is need to examine the influence of other factors which contribute the 58% to entrepreneurial activity. The study was also limited to public infrastructure, with much attention on transportation (roads) and energy (electricity). Future studies can consider looking at private infrastructure as well.Practical implicationsUnderstanding the role of infrastructure development and EO helps government and other development partners to know the type, quantity and quality of the infrastructure required as well as how to grow the EO of entrepreneurs to boost entrepreneurial activity in the region.Originality/valueThis paper provides insights into our understanding of the relationship between infrastructure development, entrepreneurial orientation and entrepreneurial activity using evidence from Uganda’s oil rich region. The originality of this paper further lies in the discovery of the partial mediation of entrepreneurial orientation in the relationship between infrastructure development and entrepreneurial activity. This is the first time such a study is conducted in an African developing country such as Uganda whose oil exploration activities are still in their infancy.

The relationship between corporate governance, corruption and forward-looking information disclosure: a comparative study

2017 ◽  
Vol 17 (2) ◽  
pp. 284-304 ◽  
Author(s):  
Ben Kwame Agyei-Mensah
Keyword(s):  
Corporate Governance ◽  
Descriptive Analysis ◽  
Sub Saharan Africa ◽  
African Countries ◽  
Content Type ◽  
Listed Firms ◽  
Sub Saharan ◽  
The Impact ◽  
The Relationship ◽  
Forward Looking

Purpose This paper aims to examine the relationship between corporate governance, corruption and disclosure of forward-looking information in listed firms in two African countries, Botswana and Ghana. Design/methodology/approach The study uses 174 firm-year observations between the period of 2011-2013 for listed firms in the two countries. Each annual report was individually examined and coded to obtain the disclosure of forward-looking information index. Descriptive analysis was performed to provide the background statistics of the variables examined. This was followed by regression analysis which forms the main data analysis. Findings The findings show that firms in the least corrupt country, Botswana, disclose more forward-looking information than firms in Ghana, one of the most corrupt countries in sub-Saharan Africa. This confirms the relationship between the transparency level of a country and the transparency level of the listed firms in that country. Originality/value This is one of the few studies in sub-Saharan Africa that considered the impact of corporate governance factors on transparency and disclosure of forward-looking information. This study contributes to the literature on the relationship between corporate governance and disclosure by showing that disclosure of forward-looking information in Ghana is associated with the proportion of independent board members. The disclosure of forward-looking information in Botswana on the other hand is influenced by board ownership concentration. The findings of this study will help market regulators in Ghana, Botswana and sub-Saharan Africa, Security and Exchange Commission (SEC) and the Sub-Sahara African Exchanges in evaluating the adequacy of the current disclosure regulations in their countries.

scholarly journals Infrastructure development and industrial sector productivity in Sub-Saharan Africa

2020 ◽  
Vol 22 (1) ◽  
pp. 91-109 ◽  
Author(s):  
Chukwuebuka Bernard Azolibe ◽  
Jisike Jude Okonkwo
Keyword(s):  
Water Supply ◽  
Industrial Sector ◽  
Transport Infrastructure ◽  
Sub Saharan Africa ◽  
Infrastructure Development ◽  
Content Type ◽  
Telecommunication Infrastructure ◽  
The World ◽  
Sub Saharan ◽  
Sanitation Infrastructure

PurposeThe purpose of this study is to examine whether the state of infrastructure development in Sub-Saharan Africa actually stimulates industrial sector productivity, using a panel data set of 17 countries spanning from 2003 to 2018.Design/methodology/approachThe study used panel least square estimation technique to examine the relationship between the variables.FindingsThe result of the study indicates that the major factor that influences industrial sector productivity in Sub-Saharan Africa is their quantity and quality of telecommunication infrastructure. Analysis shows that the relatively low level of industrial sector productivity in Sub-Saharan Africa is largely due to their poor electricity and transport infrastructure and underutilization of water supply and sanitation infrastructure.Practical implicationsThe government should partner with other developed countries of the world such as Germany, Japan, Sweden, Netherlands, Austria, Singapore, United States of America, United Kingdom, Switzerland and United Arab Emirates, which are the top ten countries in infrastructure ranking as currently released by the World Bank, to equally extend their quality infrastructure to their own country for enhanced industrialization.Originality/valueThe novelty of this research lies on the fact it is a cross-country study as against the few empirical studies that focused only on a single country. Also, the study made use of the four main indicators of infrastructure development in an economy, which are electricity infrastructure, transport infrastructure, telecommunication infrastructure and water supply and sanitation infrastructure, to examine its effect on industrial sector productivity in Sub-Saharan Africa.

Sign in / Sign up

Export Citation Format

Share Document