scholarly journals The Political Economy of Industrialization in Sub-Saharan Africa: Evaluating the Role of Institutions

2022 ◽  
Vol 14 (1) ◽  
pp. 77-108
Author(s):  
Lionel Effiom ◽  
Emmanuel Uche

Sub-Saharan Africa has recently witnessed rising growth rates, but the continent is still largely not industrialised. Mainstream empirical diagnosis has identified the paucity of physical and human capital as the main culprit. However, with the increasing inflow of capital into the continent, such arguments have become hackneyed. A possible culprit identified in the evolving development literature is the quality of institutions. How much has the quality of institutions, structured largely by the prevailing political economy of individual states, influenced Africa’s industrial performance? This study deploys descriptive and analytical methodologies to proffer answers to these questions. The estimates obtained from the Pool Mean Group Panel Autoregressive Distributed Lag (PMG-ARDL) as well as the Augmented Mean Group (AMG) panel estimators point strongly to the fact that institutions are bane of industrialization in Sub-Saharan Africa (SSA). Specifically, we find evidence that in the long run, regulatory quality, rule of law and control of corruption all impact the manufacturing subsector negatively and significantly. The panacea is not only within the matrix of optimal resource allocation, but must integrate the entire political and sociological process, involving governments at all levels, non-governmental organisations (NGOs) and faith-based groups.

2021 ◽  
pp. 002190962199085
Author(s):  
Huiping Dong ◽  
Yifei Cai ◽  
Xing Shi

This study aims to investigate whether globalisation promotes economic output in Sub-Saharan African countries in both the short run and the long run. Based on the latest version of the KOF globalisation index, we employ a newly developed bootstrap autoregressive distributed lag model to analyse this question. Compared to the traditional autoregressive distributed lag model, which ignores the degenerate cases, the new approach could avoid spurious cointegration. Results show that globalisation and economic output are positively correlated for most Sub-Saharan African countries, while the causal effect cannot be concluded except for a couple of exceptions. This finding implies that globalisation cannot guarantee an increase in economic output in the long run for most Sub-Saharan African countries. The Granger causality test shows that globalisation leads to economic output for Burundi, Gabon, Rwanda, Senegal and Zambia in the short run. Conversely, economic output leads to globalisation for Burkina Faso, Cameroon, Ghana, Kenya and Senegal. For Senegal, globalisation and economic output mutually determine each other and therefore form a positive spiral development path. Policymakers should be aware of the specific features of different economies in making sound globalisation policies to avoid the underlying adverse effects of global integration.


2020 ◽  
Vol 14 (1) ◽  
pp. 113-129
Author(s):  
S. O. AKINBODE ◽  
T. M. BOLARINWA ◽  
O. O. HASSAN

Economies of Sub-Saharan African (SSA) countries have been growing slowly in recent time. Economic growth is thought to affect inequality but not much is known about the nature of such relationship in SSA and there is no concordance among the few available. This paper examined the relationship between economic growth and inequality in the region using data from 1990 to 2017estimated with the Panel Autoregressive Distributed Lag (ARDL) Model and Granger Causality. Hausman’s test suggested the superiority of the Pooled Mean Group (PMG) over the Mean Group (MG) Model. The PMG results showed that economic growth had significant and negative effect on income inequality (proxy by GINI-coefficient) in the long run suggesting a state of the later part of the Kuznet curve. This is in addition to the negative effect in the short run which is contrary to the theory. Furthermore, the result of the Granger Causality test revealed evidence of unidirectional relationship running from economic growth to income inequality in the region. Therefore, the study recommended that governments of Sub-Saharan African countries should implement policies and programmes capable of sustaining and improving inclusive growth in order to avoid high income inequality in the region.      


2019 ◽  
Vol 51 (58) ◽  
pp. 6235-6263 ◽  
Author(s):  
Elliot Boateng ◽  
Frank W. Agbola ◽  
Amir Mahmood

2021 ◽  
Vol 13 (2) ◽  
pp. 595
Author(s):  
Mirza Nouman Ali Talib ◽  
Masood Ahmed ◽  
Mirza Muhammad Naseer ◽  
Beata Slusarczyk ◽  
József Popp

Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and sensitive to climate change. This study aims to investigate the overall long-run impacts of temperature and precipitation on agricultural growth in 32 Sub-Saharan African countries. As proposed by Chudik and Pesaran, our estimations are based on augmented autoregressive distributed lag(ARDL) modelling and panel estimators with multifactor error structures. We estimate the “dynamic common correlated long-run effects (DCCE)” through the cross-sectionally augmented distributed lag (CS-DL) approach as well as through the cross-sectionally augmented autoregressive distributed lag (CS-ARDL). For robustness check, we also consider the cross-sectionally augmented error correction method (CS-ECM) and the common dynamic process augmented mean group (AMG). The study suggests that rising temperatures have significantly developed a negative long-term relationship with the agricultural growth in Sub-Saharan Africa. At the same time, the long-run effect of precipitation is less important and not statistically significant in most estimations. According to the CS-DL approach, the negative impact of a 1°Crise in temperature could be as high as a 4.2 to 4.7 percentage point decrease in the agricultural growth rate. The results indicate that the warming climate has considerably damaged the agrarian activities in Sub-Saharan Africa, necessitating adaptive climate measures to avoid any food scarcity or economic stagnation in agricultural driven African countries.


Author(s):  
Husam Rjoub ◽  
Chuka Uzoma Ifediora ◽  
Jamiu Adetola Odugbesan ◽  
Benneth Chiemelie Iloka ◽  
João Xavier Rita ◽  
...  

Sub-Saharan African countries are known to be bedeviled with some challenges hindering the economic development. Meanwhile, some of these issues have not been exhaustively investigated in the context of the region. Thus, this study aimed at investigating the implications of government effectiveness, availability of natural resources, and security threats on the regions’ economic development. Yearly data, spanning from 2007 to 2020, was converted from low frequency (yearly) to high frequency (quarterly) and utilized. Data analysis was conducted using Dynamic heterogeneous panel level estimators (PMG and CS-ARDL). Findings show that while PMG estimator confirms a long-run causal effect of governance, natural resources, and security threats on economic development, only natural resources show a short-run causal effect with economic development, while the CS-ARDL (model 2) confirms the significance of all the variables both in the long and short-run. Moreover, the ECT coefficients for both models were found to be statistically significant at less than 1% significance level, which indicates that the systems return back to equilibrium in case of a shock that causes disequilibrium, and in addition, reveals a stable long-run cointegration among the variables in the model. Finally, this study suggests that the policy makers in SSA countries should place more emphasis on improving governance, managing security challenges, and effectively utilizing rents from the natural resources, as all these have severe implications for the economic development of the region if not addressed.


2021 ◽  
Vol 21 (1) ◽  
Author(s):  
Monica Ansu-Mensah ◽  
Frederick Inkum Danquah ◽  
Vitalis Bawontuo ◽  
Peter Ansu-Mensah ◽  
Tahiru Mohammed ◽  
...  

Abstract Background Free maternal healthcare financing schemes play an essential role in the quality of services rendered to clients during antenatal care in sub-Saharan Africa (SSA). However, healthcare managers’ and providers’ perceptions of the healthcare financing scheme may influence the quality of care. This scoping review mapped evidence on managers’ and providers’ perspectives of free maternal healthcare and the quality of care in SSA. Methods We used Askey and O’Malley’s framework as a guide to conduct this review. To address the research question, we searched PubMed, CINAHL through EBSCOhost, ScienceDirect, Web of Science, and Google Scholar with no date limitation to May 2019 using keywords, Boolean terms, and Medical Subject Heading terms to retrieve relevant articles. Both abstract and full articles screening were conducted independently by two reviewers using the inclusion and exclusion criteria as a guide. All significant data were extracted, organized into themes, and a summary of the findings reported narratively. Results In all, 15 out of 390 articles met the inclusion criteria. These 15 studies were conducted in nine countries. That is, Ghana (4), Kenya (3), and Nigeria (2), Burkina Faso (1), Burundi (1), Niger (1), Sierra Leone (1), Tanzania (1), and Uganda (1). Of the 15 included studies, 14 reported poor quality of maternal healthcare from managers’ and providers’ perspectives. Factors contributing to the perception of poor maternal healthcare included: late reimbursement of funds, heavy workload of providers, lack of essential drugs and stock-out of medical supplies, lack of policy definition, out-of-pocket payment, and inequitable distribution of staff. Conclusion This study established evidence of existing literature on the quality of care based on healthcare providers’ and managers’ perspectives though very limited. This study indicates healthcare providers and managers perceive the quality of maternal healthcare under the free financing policy as poor. Nonetheless, the free maternal care policy is very much needed towards achieving universal health, and all efforts to sustain and improve the quality of care under it must be encouraged. Therefore, more research is needed to better understand the impact of their perceived poor quality of care on maternal health outcomes.


Sign in / Sign up

Export Citation Format

Share Document