nep-afr New Economics Papers
on Africa
Issue of 2014‒07‒05
thirteen papers chosen by
Christian Zimmermann
Federal Reserve Bank of St. Louis

  1. Agriculture in African Development: A Review of Theories and Strategies By Stefan Dercon; Douglas Gollin
  2. A Time Series and Panel Analysis of Government Spending and National Income By Alimi, R. Santos
  3. Preferential Market Access into the Chinese Market: How Good is it for Africa? By Catherine Yap Co; Ralitza Dimova
  4. Horse trading? EU-African Economic Partnership Agreements (EPAs) By Kohnert, Dirk
  5. Is Anyone Listening? Does US Foreign Assistance Target People's Top Priorities?-Working Paper 348 By Ben Leo
  6. Social acceptance of renewable energy: Some examples from Europe and Developing Africa By Pollmann, Olaf; Podruzsik, Szilárd; Fehér, Orsolya
  7. The Price of Empowerment: Experimental Evidence on Land Titling in Tanzania - Working Paper 369 By Daniel Ayalew Ali, Matt Collin, Klaus Deininger, Stefan Dercon, Justin Sandefur, and Andrew Zeitlin
  8. The Price of Empowerment: Experimental Evidence on Land Titling in Tanzania By Daniel Ayalew Ali; Matthew Collin; Klaus Deininger; Stefan Dercon; Justin Sandefur; Andrew Zeitlin
  9. The political economy of social accountability in rural Uganda By Sophie King
  10. Le système informel de transferts de fonds et le mécanisme automatique du Currency Board : Complémentarité ou antagonisme ? By Moustapha Aman; Nikolay Nenovsky; Ismeal Mahamoud
  11. Bribery and Identification : Evidence from Sudan By Hamilton, Alexander; Hudson, J R
  12. La micro-finance est-elle une solution efficace aux causes du rationnement bancaire ? Une analyse économétrique à travers les modèles probit et binomial négatif : Le cas du Togo By Yawo Agbényégan Noglo
  13. Exploring the Success of BRAC Tanzania’s Microcredit Programme By Dan Brockington; Nicola Banks

  1. By: Stefan Dercon; Douglas Gollin
    Abstract: Agriculture is the largest sector in most sub-Saharan economies in terms of employment, and it plays an important role in supplying food and export earnings. Rural poverty rates remain high, and labor productivity is strikingly low. This paper asks how these factors shape the role of agriculture in African development strategies. Is agricultural growth a prerequisite for growth in other sectors? Or will urbanization and non-agricultural export markets ultimately be the forces that pull the rural economy into higher productivity? We argue that agricultural development strategies will vary widely because of heterogeneity across and within countries.
    Keywords: economic growth, structural transformation, sub-Saharan Africa, rural development
    JEL: O10 O13 O55 Q1 Q18
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:csa:wpaper:2014-22&r=afr
  2. By: Alimi, R. Santos
    Abstract: This study examined the causal relationship between government spending and national income in panel of three African countries – Nigeria, Ghana and South Africa - during the period 1970 to 2012 using Johansen Fisher Panel Cointegration Test and then on a country-by-country basis using time series Johansen-Juselius cointegration techniques. The panel cointegration results indicate a long run relationship between government spending and national income in the whole panel. The Johansen-Juselius cointegration test suggests an existence of long run relationship between government spending and national income only for Ghana as predicted by Wagner, thus suggesting government spending is not an important factor in economic growth in the long run in Nigeria and South Africa. We found an evidence of bi-directional causality granger causality tests for the whole panel. Furthermore, the result from the causality test shows that there is a bi-directional causality that runs from national income to government expenditure and vice versa for Nigeria and South Africa. However, for Ghana, there was a uni-directional causality that runs from government expenditure to national income and there is no feed-back mechanism. We concluded that Government spending enhances National Income enormously and vice-versa in the short run for Nigeria and South Africa.
    Keywords: Government Expenditures, National Income, Panel Data Analysis
    JEL: C13 H5 O4
    Date: 2014–05
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:56994&r=afr
  3. By: Catherine Yap Co; Ralitza Dimova
    Abstract: Abstract In 2005 China provided duty-free access to 190 items from 25 least developed sub-Saharan African (SSA) countries. Three years later duty-free access was extended to 454 items from 31 SSA LDCs. We find no evidence that China’s preferential market access program for the least developed sub-Saharan African countries has helped these countries gain competitive edge over other exporters into the Chinese market. While there is evidence of decreased export bundle concentration and movement up the value chain for SSA countries involved in the program, the effect differs significantly across countries.
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:bwp:bwppap:19614&r=afr
  4. By: Kohnert, Dirk
    Abstract: EU- Africa Economic Partnership Agreements (EPAs) are on the brink. In February 2014 West African leaders agreed in principle to conclude an agreement. However, last-minute objections of the heavy-weight Nigeria which wants to protect its infant industries as well as promising trade relations with new global players are likely to prevent the deal. Whether the ECOWAS EPA in its current form would really create a win-win situation for both partners as asserted by the EU is open to question. Scholarly evaluation of the EPAs reveal double-talk and significant barriers to a sustainable development of African economies. The growing preparedness of African states to challenge EU mercantile interest has been effectively backed by agitation of civil society organisations.
    Keywords: international trade, liberalization, West Africa, ECOWAS, EU, EPA, development, regional integration, civic agency
    JEL: F13 F53 F54 N17 N97 Z1
    Date: 2014–06–20
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:57070&r=afr
  5. By: Ben Leo
    Abstract: The United States government has made repeated declarations over the last decade to align its assistance programs behind developing countries’ priorities. By utilizing public attitude surveys for 42 African and Latin American countries, this paper examines how well the US has implemented this guiding principle. Building upon the Quality of Official Development Assistance Assessment (QuODA) approach, I identify what people cite most frequently as the ‘most pressing problems’ facing their nations and then measure the percentage of US assistance commitments that are directed towards addressing them. By focusing on public surveys over time, this analysis attempts to provide a more nuanced and targeted examination of whether US portfolios are addressing what people care the most about. As reference points, I compare US alignment trends with the two regional multilateral development banks (MDBs) – the African Development Bank and the Inter-American Development Bank. Overall, this analysis suggests that US assistance may be only modestly aligned with what people in Sub-Saharan Africa and Latin America cite as their nation’s most pressing problems. By comparison, the African Development Bank – which is majority-led by regional member nations – performs significantly better than the United States. Like the United States, however, the Inter-American Development Bank demonstrates a low relative level of support for people’s top concerns. The paper concludes with a number of policy questions, which should be considered if the US government plans to concertedly pursue closer alignment with local concerns and priorities. These include whether the US government should (1) require regular citizen surveys to help formulate foreign assistance strategies and programmatic priorities; (2) recalibrate health assistance programs in Sub-Saharan Africa; (3) increase support for the African Development Bank; (4) expand under-utilized private sector-based development tools, such as the Overseas Private Investment Corporation; (5) increase its engagement in select Latin American countries to help combat crime and insecurity; (6) better leverage the Millennium Challenge Corporation, which is the only U.S. development institution with an explicit mandate to support country-based priorities; and (7) expand support for USAID’s under-resourced economic growth programs, such as the Development Credit Authority.
    Keywords: US foreign assistance, African Development Bank, Inter-American Development Bank
    JEL: D78 F35
    Date: 2013–12
    URL: http://d.repec.org/n?u=RePEc:cgd:wpaper:348&r=afr
  6. By: Pollmann, Olaf; Podruzsik, Szilárd; Fehér, Orsolya
    Abstract: Current energy systems are in most instances not fully working sustainably. The provision and use of energy only consider limited resources, risk potential or financial constraints on a limited scale. Furthermore, the knowledge and benefits are only available for a minor group of the population or are outright neglected. The availability of different resources for energy purposes determines economic development, as well as the status of the society and the environment. The access to energy grids has an impact on socio-economic living standards of communities. This not fully developed system is causing climate change with all its related outcomes. This investigation takes into consideration different views on renewable energy systems — such as international discussions about biomass use for energy production, “fuel versus food”, biogas use — and attempts to compare major prospects of social acceptance of renewable energy in Europe and Africa. Can all obstacles to the use of renewable energy be so profound that the overall strategy of reducing anthropogenic causes of climate change be seriously affected?
    Keywords: renewable energy, energy production, future technology, society
    JEL: D71 O13 Q01 R11
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:cvh:coecwp:1607&r=afr
  7. By: Daniel Ayalew Ali, Matt Collin, Klaus Deininger, Stefan Dercon, Justin Sandefur, and Andrew Zeitlin
    Abstract: We report on a randomized field experiment using price incentives to address both economic and gender inequality in land tenure formalization. During the 1990s and 2000s, nearly two dozen African countries proposed de jure land reforms extending access to formal, freehold land tenure to millions of poor households. Many of these reforms stalled. Titled land remains the de facto preserve of wealthy households and, within households, men. Beginning in 2010, we tested whether price instruments alone can generate greater inclusion by oering formal titles to residents of a low-income, unplanned settlement in Dar es Salaam at a range of subsidized prices, as well as additional price incentives to include women as owners or co-owners of household land. Estimated price elasticities of demand confirm that prices-rather than other implementation failures or features of the titling regime-are a key obstacle to broader inclusion in the land registry, and that some degree of pro-poor price discrimination is justified even from a narrow budgetary perspective. In terms of gender inequality, we find that even small price incentives for female co-titling achieve almost complete gender parity in land ownership with no reduction in demand.
    Keywords: land titling, formalization, gender, field experiment, Tanzania
    JEL: J16 K11 O12 O18 Q15
    Date: 2014–05
    URL: http://d.repec.org/n?u=RePEc:cgd:wpaper:369&r=afr
  8. By: Daniel Ayalew Ali; Matthew Collin; Klaus Deininger; Stefan Dercon; Justin Sandefur; Andrew Zeitlin
    Abstract: We report on a randomized field experiment using price incentives to address both economic and gender inequality in land tenure formalization. During the 1990s and 2000s, nearly two dozen African countries proposed de jure land reforms extending access to formal, freehold land tenure to millions of poor households. Many of these reforms stalled. Titled land remains the de facto preserve of wealthy households and, within households, men. Beginning in 2010, we tested whether price instruments alone can generate greater inclusion by offering formal titles to residents of a low-income, unplanned settlement in Dar es Salaam at a range of subsidized prices, as well as additional price incentives to include women as owners or co-owners of household land. Estimated price elasticities of demand confirm that prices – rather than other implementation failures or features of the titling regime – are a key obstacle to broader inclusion in the land registry, and that some degree of pro-poor price discrimination is justified even from a narrow budgetary perspective. In terms of gender inequality, we find that even small price incentives for female co-titling achieve almost complete gender parity in land ownership with no reduction in demand.
    Keywords: land titling, formalization, gender, field experiment, Tanzania
    JEL: J16 K11 O12 O18 Q15
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:csa:wpaper:2014-23&r=afr
  9. By: Sophie King
    Abstract: Abstract Social accountability has become an important new buzzword among development actors seeking to understand the forms of state-society synergy that may be supportive of better public services. Advocates suggest demand-side initiatives are key to increasing the power of the poor in service provision but sceptics are concerned such mechanisms may generate mistrust of existing democratic processes while failing to challenge structural inequalities between disadvantaged citizens and political elites. This paper advances these debates by presenting qualitative research findings about political capabilities outcomes for different stakeholders within rural health and education services resulting from the social accountability interventions of a research and development NGO in Western Uganda. The paper supports arguments in the literature for NGOs to engage in more politicized strategies aimed at tackling structural inequality when seeking to advance the political capabilities of disadvantaged groups. The findings also suggest however, that within the restricted political space of rural Uganda at the current juncture, NGOs can generate limited improvements to service provision by bringing local state and civil society elites together for deliberative problem-solving.
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:bwp:bwppap:19514&r=afr
  10. By: Moustapha Aman (ERUDITE - Equipe de Recherche sur l'Utilisation des Données Individuelles en lien avec la Théorie Economique - Université Paris Est Créteil Val de Marne); Nikolay Nenovsky (CRIISEA - Centre de Recherche sur l'Industrie, les Institutions, et les Systèmes Economiques d'Amiens - Université de Picardie Jules Verne, LEO - Laboratoire d'économie d'Orleans - CNRS : UMR7322 - Université d'Orléans); Ismeal Mahamoud (CRUD - Centre de Recherches de l'Université de Djibouti - Université de Djibouti)
    Abstract: Nous proposons une étude empirique analysant le lien entre un régime monétaire et les pratiques monétaires informelles, tous deux se situant dans le cadre du système monétaire d'un pays, celui du "Currency Board" à Djibouti. Les résultats économétriques, de différents tests de cointégration entre la balance des paiements, la base monétaire et le système informel des transferts de fonds ("hawala") pour la période 2002 - 2011, montrent que ces pratiques informelles se développent en harmonie avec le régime monétaire, extrêmement rigide. L'interaction du secteur formel et informel permet d'obtenir un équilibre macro-monétaire et fait perdurer le régime de "Curency Board".
    Keywords: "Currency-Board" ; mécanisme automatique ; "Hawalas" ; liquidité ; balance des paiements et offre de monnaie
    Date: 2014–06–25
    URL: http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01012133&r=afr
  11. By: Hamilton, Alexander; Hudson, J R
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:eid:wpaper:39841&r=afr
  12. By: Yawo Agbényégan Noglo (MOSAIQUES-LAVUE - Université Paris X - Paris Ouest Nanterre La Défense)
    Abstract: L'objet de cet article est d'étudier les déterminants économétriques de la performance de remboursement de groupes de crédit bénéficiant du financement auprès de deux institutions de micro-finance (WAGES et FUCEC) au Togo. Les résultats probit et négatif binomial issus des données de notre enquête de terrain effectué en 2008 dans les zones rurales et semi-urbaines de la région Maritime (hors Lomé) ont révélé que le monitoring (visites des pairs, activités similaires), le capital social (même sexe, même ethnie), les sources informelles de crédit (les banquiers ambulants, les tontines et les usuriers) et l'âge du groupe ont contribué à la bonne performance de remboursement des groupes avec un taux de 75%.
    Keywords: Micro-finance; prêt de groupe; performance de remboursement; déterminants; probit; binomial négatif; Togo
    Date: 2013–07–22
    URL: http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01016185&r=afr
  13. By: Dan Brockington; Nicola Banks
    Abstract: Abstract This paper explores the growth of BRAC’s microcredit programme in Tanzania and some of the variety in and patterns of that growth. BRAC’s microfinance programme has grown dramatically and significantly within Tanzania and serves tens of thousands of women across large parts of the country. We examine quantitative data from April 2011 to April 2013, and use observation of groups and client and staff interviews from 2012-2013 to explore that success. We argue that the growth is based upon its effective marketing strategy and the fundamental usefulness of BRAC’s loans to its clients. But the findings also show that members were leaving at the time of the research. This could reflect a number of dissatisfactions that BRAC’s clients have with some aspects of BRAC’s microfinance products and the performance of its staff. The staff problems are confirmed by the staff themselves, both senior and junior. They are consistent with failings, across all of Tanzania, with respect to training and capacity in the finance and microfinance sectors generally. They also reflect the difficulties of cross-cultural adaptation, and learning to work in Tanzanian contexts (for Bangladeshi staff), and learning to work in a Bangladeshi organisation (for Tanzanian staff) that were current at the moment we conducted our observations. The interesting development, which has happened rapidly after this research concluded, is that BRAC’s staffing has changed significantly, with many more senior Tanzanian appointments. This may have considerable implications for the continued development of the organisation.
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:bwp:bwppap:20214&r=afr

This nep-afr issue is ©2014 by Christian Zimmermann. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
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