nep-afr New Economics Papers
on Africa
Issue of 2023‒05‒22
six papers chosen by
Sam Sarpong
Xiamen University Malaysia Campus

  1. Funding the Green Transition: Governance Quality, Public Debt, and Renewable Energy Consumption in Sub-Saharan Africa By Favour C. Onuoha; Stephen K. Dimnwobi; Kingsley I. Okere; Chukwunonso Ekesiobi
  2. Patterns of global and regional value chain participation in the EAC By Krantz, Sebastian
  3. The Effect of the Out of Africa Migration on Cultural Diversity By Wainstock, Daniel Crisóstomo; Galor, Oded; Klemp, Marc
  4. Secondary School Fee Abolition in Sub-Saharan Africa: Taking Stock of the Evidence By Gruijters, Rob J.; Abango, Mohammed A; Casely-Hayford, Leslie
  5. Is there a religious dimension to concern about farmer-herder conflicts in Nigeria? By Daniel Tuki
  6. Assessing investment priorities for driving inclusive agricultural transformation in Tanzania By Aragie, Emerta; Benfica, Rui; Pauw, Karl; Randriamamonjy, Josée; Thurlow, James

  1. By: Favour C. Onuoha (Evangel University Akaeze, Nigeria); Stephen K. Dimnwobi (Nnamdi Azikiwe University, Awka, Nigeria); Kingsley I. Okere (Gregory University, Uturu, Nigeria); Chukwunonso Ekesiobi (Igbariam, Nigeria)
    Abstract: Prompted by the renewable energy funding challenge in sub-Saharan Africa (SSA) amid surging public debt in the region, this study investigates the moderating role of governance quality in the relationship between public debt and REC in the region using the Feasible Generalized Least Squares. The study established that public debt positively impacts REC, but the interactive effect of governance quality and public debt impedes REC. Policy prescriptions are put forward to address the funding challenges of transitioning to a green energy future in SSA by highlighting the critical role of governance.
    Keywords: Public Debt, Renewable Energy Consumption, Governance Quality, Sub-Saharan Africa
    Date: 2023–01
  2. By: Krantz, Sebastian
    Abstract: Using global Multi-Region Input-Output (MRIO) data from 2005-2015, this paper empirically investigates the extent and patterns by which East African Community (EAC) countries have integrated into Global Value Chains (GVCs) and Regional Value Chains (RVCs). Results imply that the foreign content of exports (I2E) and the share of exports being re-exported (E2R) are between 10% and 20% in most EAC countries. During 2005-2015, all EAC members apart from Kenya experienced a decline in E2R. Trade in intermediates with the rest of the world remains 12-14 times greater in value-added (VA) terms than inside the EAC. Kenya expanded its role as a regional supplier of manufactured inputs (higher E2R with EAC partners), and Uganda slightly increased its agricultural input to the Kenyan food processing sector. Furthermore, a downstream shift is evident, by which more VA (both domestic and foreign) is used for the production of final goods while maintaining high levels of exports in primary agriculture and mining. Only Kenya was able to broadly maintain and improve its comparative advantage in manufacturing. Econometric analysis suggests that higher I2E and E2R shares increase GDP with an average elasticity of Ï 0.25 over 2 years. Estimates for manufacturing sectors were slightly higher at elasticities Ï 0.3 in response to E2R shifts. These results imply that policy measures to increase manufacturing competitiveness and promote more horizontal RVCs would benefit EAC economic growth in the medium run.
    Keywords: Regional Integration, Global Value Chains, Africa
    Date: 2023
  3. By: Wainstock, Daniel Crisóstomo (Brown University); Galor, Oded (Brown University); Klemp, Marc (University of Copenhagen)
    Abstract: Evidence suggests that the Out of Africa Migration has impacted the degree of intra-population genetic and phenotypic diversity across the globe. This paper provides the first evidence that this migration has shaped cultural diversity. Leveraging a folklore catalogue of 958 oral traditions across the world, we show that ethnic groups further away from East Africa along the migratory routes have lower folkloric diversity. This pattern is consistent with the compression of genetic, phenotypic, and phonemic traits along the Out of Africa migration routes, setting conditions for the emergence and proliferation of differential cultural diversity and economic development across the world.
    Keywords: diversity, culture, Out of Africa migration, folklore
    JEL: O10 Z10
    Date: 2023–04
  4. By: Gruijters, Rob J.; Abango, Mohammed A; Casely-Hayford, Leslie
    Abstract: Several African countries have abolished secondary school fees in recent years, but there is no systematic evidence on the effectiveness of these initiatives. In this study, we take stock of free secondary education (FSE) initiatives in the region and review their impact on equitable access and the quality of teaching and learning, as well as their cost-effectiveness. We start by discussing the theoretical arguments for and against fee abolition. Second, we look at aggregate statistics on enrollment and transition rates, and find that primary school completion remains far from universal in most countries in the region, meaning that most low-income children are currently ineligible for free secondary education. Third, we provide a comprehensive overview of existing FSE policies in sub-Saharan Africa, showing that almost half of all countries in the region have abolished secondary school fees in the last two decades. Finally, we systemically review the empirical evidence on the impact and effectiveness of recent FSE initiatives. We conclude that free secondary education is an appropriate long-term goal for education systems but can be costly and inequitable in the short run, especially if it diverts resources from primary education. Our review suggests four concrete recommendations for policymakers, which are broadly aligned with the principle of ‘progressive universalism’ in improving access to education.
    Date: 2023–04–08
  5. By: Daniel Tuki (Research Fellow, WZB Berlin Social Science Center, Germany)
    Abstract: Although many studies have been conducted on the conflicts between Fulani nomadic herders and sedentary farmers over land and water resources in Nigeria, very few have examined the religious dimension of these conflicts. In fact, some studies have described the religious dimension as an oversimplification of a complex social problem. But is this really the case? Is religion important in understanding the dynamics of the conflict? My instrumental variable regression results show that Muslim domination – a scenario where the population in a local government area (LGA) (i.e. municipality) is predominantly Muslim – reduces the likelihood of being concerned about farmer-herder conflicts. It also shows that Muslims are less concerned about the conflict than Christians. A plausible mechanism behind this finding is that the common religion of Islam shared by the nomadic Fulani herders and the Muslim sedentary population allows for trust to be established between members of the two groups, which in turn makes it easier for conflicts over land and water resources to be resolved amicably without recourse to violence.
    Keywords: Farmer-herder conflict, Pastoral conflict, Muslim domination, Religion, Nigeria
    JEL: D74 N57 Q24 Q25 Z12
    Date: 2023–04
  6. By: Aragie, Emerta; Benfica, Rui; Pauw, Karl; Randriamamonjy, Josée; Thurlow, James
    Abstract: This study utilizes a recursive dynamic general equilibrium model calibrated with data for Tanzania to explore the link between agricultural and rural development spending and four development outcomes: economic growth, job creation, poverty reduction, and diet quality. Results show that no single expenditure option is the most effective in achieving all four desired development outcomes for Tanzania. Productivity-enhancing agricultural interventions in horticulture are effective at generating growth in the agri-food system (AFS) and improving diets, but have a limited effect on employment. Supporting cereal producers has large effects on growth and poverty reduction, with relatively high returns per dollar invested, but its effect on diet quality is weak. Providing livestock services to milk and poultry farmers consistently ranks high across the outcome indicators, with strong employment effects on downstream AFS. Crop research and development and feeder roads generate moderate impacts on all four outcomes. Partially reallocating the budget towards the most cost-effective spending options can substantially increase the development effectiveness for Tanzania of agriculture sector support expenditures. The approach adopted in this study can help policymakers design and prioritize agricultural interventions and expenditure portfolios that better reflect the country’s broad food system.
    Keywords: TANZANIA; EAST AFRICA; AFRICA SOUTH OF SAHARA; AFRICA; agricultural transformation; agrifood systems; diet quality; economic growth; equilibrium; farmers; horticulture; livestock; milk; policy innovation; poultry; poverty reduction; research; rural development;
    Date: 2023

This nep-afr issue is ©2023 by Sam Sarpong. 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.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.