nep-afr New Economics Papers
on Africa
Issue of 2018‒04‒09
five papers chosen by
Sam Sarpong
The University of Mines and Technology

  1. Trends in African Migration to Europe: Drivers Beyond Economic Motivations By Giménez Gómez, José M. (José Manuel); Walle, Yabibal M.; Zergawu, Yitagesu Zewdu
  2. Forest Taxation and REDD+: An Analysis of Potential Impacts in Cameroon, Ghana and Sierra Leone By Spratt, Stephen; Kargbo, Philip; Marfo, Emmanuel; Ngungoh, Emmanuel; Ramcilovik-Suominen, Sabaheta
  3. China and globalization: the insertion of the Chinese car industry in Algeria and Morocco By Thierry Pairault
  4. Determinants of FDI in South Africa: Do macroeconomic variables matter? By Nandipha Dondashe; Andrew Phiri
  5. Subnational Value Added Tax in Ethiopia and Implications for States’ Fiscal Capacity By Krever, Richard; Wollela, Abehodie Yesegat

  1. By: Giménez Gómez, José M. (José Manuel); Walle, Yabibal M.; Zergawu, Yitagesu Zewdu
    Abstract: The current migration and refugee crisis in Europe requires an understanding of the different migration drivers beyond the well-known economic determinants. In this paper, we view migration from a broader human security perspective and analyze the determinants of regular and irregular migration flows from Africa to Europe for the period 1990-2014. Our results show that, in addition to economic determinants, a combination of push and pull factors influence the migration decisions of individuals. In particular, rising political persecution, ethnic cleansing, human rights violations, political instability and civil conflicts in African source countries are all signi cantly associated with increased migration flows into European destination countries. Therefore, our results underscore the need for the EU and European countries to collaborate with the source countries, not only in terms of supporting economic development in the source countries, but also in promoting human security: human rights, democracy, peace and social stability. Keywords: International migration; asylum seeker; refugee crisis; human security; Poisson Pseudo-Maximum Likelihood. JEL classi fication: F22; O15
    Keywords: Migracions de pobles -- Àfrica, 32 - Política,
    Date: 2017
  2. By: Spratt, Stephen; Kargbo, Philip; Marfo, Emmanuel; Ngungoh, Emmanuel; Ramcilovik-Suominen, Sabaheta
    Abstract: This research explores the impacts that REDD+ could have on forest tax systems in three countries in sub-Saharan Africa, and considers how policy could be designed to increase the chances that these impacts are positive. To assess this, a methodological framework is identified and adapted. The framework has been used to explore how the implementation of a new policy regime affects the interests and thus behaviours of actors in related, existing regimes. The implementation of REDD+ in relation to forest tax systems seems well suited to such an approach. The countries concerned are Cameroon, Ghana and Sierra Leone. While they are at different stages of the process, a common finding is that long-term impacts will depend on the detail of REDD+ design and implementation, and that many of the most important decisions have yet to be taken. Domestically, the key outstanding questions are: the extent of stakeholder participation in the design and implementation of programmes; how equitably financial benefits are distributed; whether REDD+ coverage is restricted to forest areas that are already protected, or extended to areas currently used for commercial forestry; how monitoring, reporting and verification (MRV) is implemented and whether this overlaps with forestry reporting practices; whether REDD+ is implemented nationally or locally; and whether existing or new channels are used.
    Keywords: Governance,
    Date: 2018
  3. By: Thierry Pairault (CECMC-CCJ - Centre d'études sur la Chine moderne et contemporaine - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique)
    Abstract: From Bandung to the present day, China's place and role in Africa have evolved considerably. Thierry Pairault shows that through the desire to integrate Chinese carmakers and manufacturers in the Algerian and Moroccan economies, the shift towards a predominant market logic in Sino-African relations is also accompanied by a gradual changeover between regions - in this case from Algeria to Morocco. Also appears a diversion of the internationalization of China. The partnerships signed by Chinese companies in the Algerian and Moroccan automobile sectors are less the manifestation of their integration than a modality of the globalization of traditional manufacturers through their Chinese partners - not to say their Chinese subsidiaries.
    Abstract: De Bandung à nos jours, la place et le rôle de la Chine en Afrique ont considérablement évolué. Thierry Pairault montre qu’à travers la volonté d’insertion dans les économies algérienne et marocaine des constructeurs et équipementiers automobiles chinois, le basculement vers une logique de marché prédominante dans les relations sino-africaines s’accompagne également d’un basculement progressif entre pôles régionaux – en l’espèce de l’Algérie vers le Maroc. Apparaît en outre un détournement de l’internationalisation de la Chine. Les partenariats que signent les entreprises chinoises dans les filières automobiles algérienne et marocaine sont moins la manifestation de leur insertion qu’une modalité de la mondialisation des constructeurs traditionnels par l’intermédiaire de leurs partenaires chinois – pour ne pas dire leurs filiales chinoises.
    Date: 2018
  4. By: Nandipha Dondashe (Department of Economics, Nelson Mandela University); Andrew Phiri (Department of Economics, Nelson Mandela University)
    Abstract: In this study we examine the macroeconomic determinants of FDI for the South African economy using data collected between 1994 and 2016 using the ARDL model for cointegration. The specific macroeconomic determinants which are used in the study are per capita GDP, the inflation rate, government size, real interest rate variable, and terms of trade. With the exception of inflation the remaining macroeconomic determinants employed in the study are positively and significantly related with FDI. However, in the short-run all variables are positively and significantly correlated with FDI. Collectively, these results have important implications for policymakers.
    Keywords: FDI, ARDL cointegration, Financial crisis, South Africa.
    JEL: C13 C22 C51 C52 F21
    Date: 2018–01
  5. By: Krever, Richard; Wollela, Abehodie Yesegat
    Abstract: In most federal systems, state governments are funded through a combination of direct fiscal transfers from the central government, and the revenue they collect directly from locally adopted taxes. Ethiopia is a federal polity, but follows a slightly different path in the case of its most important tax source – value added tax (VAT). As is the case in many developing countries, VAT is a major source of government revenue in Ethiopia, and the tax is levied under central government legislation. However, unlike the more common practice of a central government collecting VAT and then earmarking some of the revenue for transfer to states, collection rights and administration powers over VAT imposed on a portion of the economy in Ethiopia are assigned directly to state governments. The result is a fiscal relationship between central and state governments in Ethiopia that is distinctive in three main respects.
    Keywords: Governance,
    Date: 2018

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