scholarly journals Inflation and Economic Growth: Evidence from the Southern African Development Community

2015 ◽  
Vol 83 (3) ◽  
pp. 411-424 ◽  
Author(s):  
Manoel Bittencourt ◽  
Reneé van Eyden ◽  
Monaheng Seleteng
Keyword(s):  
Economic Growth ◽  
Southern African Development Community ◽  
African Development

scholarly journals Knowledge-Based Economy Capacity Building for Developing Countries: A Panel Analysis in Southern African Development Community

2021 ◽  
Vol 13 (5) ◽  
pp. 2890
Author(s):  
Koketso Phale ◽  
Fanglin Li ◽  
Isaac Adjei Mensah ◽  
Akoto Yaw Omari-Sasu ◽  
Mohammed Musah
Keyword(s):  
Economic Growth ◽  
Dynamic Models ◽  
Positive Impact ◽  
Panel Data Analysis ◽  
Southern African Development Community ◽  
African Development ◽  
Knowledge Based ◽  
Knowledge Based Economy ◽  
Long Run ◽  
Average Impact

The Southern African Development Community is lagging behind in terms of knowledge economy relative to other regions worldwide. This dramatically reduces the chances of keeping up with their economically established counterparts in terms of sustainable development. This paper therefore, applies multivariate panel data analysis which is predicted on the Cobb–Douglas production function to analyze the affiliation flanked by knowledge-based economy pillars and economic growth from 1998–2018. The World Bank knowledge-based economy framework is employed. To achieve the study goal, the long-run effect regarding proxies of each pillar in the knowledge-based economy on economic growth is first estimated. Afterwards, the average impact of each pillar is examined using the average impact index (AII). Employment of both conventional unit root and co-integration tests showed all observed series are stationary and co-integrated. Further estimation of the long-run relationship using both static and dynamic models (fixed effect and generalized method of moment) portrayed that government effectiveness, adjusted savings on education expenditure, tertiary enrollment, scientific and technical journals, and mobile cellular subscriptions have significant positive impact on economic growth. Finally, the AII estimation unveiled that the innovation pillar is the most impactful aspect on economic growth followed by education and skills with the least being information and communication technology infrastructure. Feasible policy recommendations are further suggested.

scholarly journals Effects of external financial flows on income inequality in selected Southern African Development Community member states

2021 ◽  
Vol 9 (1) ◽  
Author(s):  
Thamaga E. Letsoalo ◽  
Thobeka Ncanywa
Keyword(s):  
Economic Growth ◽  
Income Inequality ◽  
Foreign Aid ◽  
Economic Performance ◽  
Bank Lending ◽  
Southern African Development Community ◽  
Financial Flows ◽  
African Development ◽  
Cross Border ◽  
Long Run

Background: The developmental goals of various emerging markets are quantitative targets set to reduce income inequality, alleviate poverty, reduce unemployment and achieve continuous inclusive economic growth amongst other key economic performance indicators. The interest is mainly on what can be done on economic performance to fight escalating inequality, increase economic growth and maintain low inflation amongst other economic indicators.Aim: The study investigates the effects of external financial flows on income inequality in the Southern African Development Community (SADC) region.Setting: The study shows the long-run stable relationship between the set of variables.Methods: The study have used the panel cointegration, autoregressive distributed lag and causality techniques.Results: The findings are that in the long run, remittances can strongly reduce income inequality, foreign direct investment (FDI) and cross border bank lending have an increasing effect and foreign aid can weakly reduce inequality. In the short run, FDI and cross border bank lending can strongly explain income inequality, and negative remittances and foreign aid are insignificantly explaining income inequality. Furthermore, the evidence from panel causality confirms the bidirectional causality amongst remittances, cross border bank lending and income inequality, and unidirectional causality in other sets of variables.Conclusion: It can be concluded that external financial flows can play a vital role to reduce persistent income inequality in the SADC region. It is recommended that the SADC governments need to formulate policies on remittances as they have positive returns on human capital, strengthen foreign aid institutions and create conducive environment to attract FDI.

scholarly journals Special economic zones (SEZS) in Southern African development community (SADC)

2016 ◽  
Vol 6 (4) ◽  
pp. 19-23
Author(s):  
Virimai Victor Mugobo ◽  
Misheck Mutize
Keyword(s):  
Economic Growth ◽  
National Income ◽  
Ordinary Least Squares ◽  
Southern African Development Community ◽  
Special Economic Zones ◽  
Net Benefit ◽  
African Development ◽  
Economic Zones ◽  
The Relationship

There have been calls on Southern African Development Community (SADC) governments to device strategies to boost economic growth, structural and infrastructural development. Economists have been recommending that Foreign Direct Investment (FDI) would foster long term economic growth rather than borrowing from multilateral institutions, hence Special Economic Zones (SEZs) have been established to attract investments. However, there have been arguments against SEZs on the net benefit accruing to the host nation from SEZs. This study applied the Ordinary Least Squares (OLS) on 15 SADC member countries’ SEZs profit remittance data and draw a multi-linear regression model to establish the relationship between national income and FDI. The results show that there is a not significant relationship between these variables. Hence there is no net benefit accruing to the host country by establishing SEZs. However long-term benefits may be realised if the companies operating in these zones construct infrastructures and other structural developments.

scholarly journals Sources of Economic Growth in the Southern African Development Community: Its Likely Impact on Povery and Employment

2016 ◽  
Vol 9 (2) ◽  
pp. 211-249 ◽  
Author(s):  
Monaheng Seleteng ◽  
Sephooko Motelle
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Poverty Reduction ◽  
Positive Impact ◽  
Political Stability ◽  
Southern African Development Community ◽  
Efficient Manner ◽  
Factors Affecting ◽  
African Development ◽  
Openness To Trade

AbstractAs a means to combat poverty, many countries still pursue high and stable rates of economic growth. In order to attain sustained economic growth, it is crucial that countries do not only accumulate a certain stock of factors of production, but demonstrate the ability to combine such factors in an efficient manner. This study attempts to investigate the key sources of economic growth in the Southern African Development Community (SADC) region, using different panel data techniques, and make inference on poverty and employment. The findings reveal that factors affecting economic growth in the region are: inflation, government expenditures, openness to trade, human capital, level of financial development, and political stability. Furthermore, from the analysis it can be inferred that a higher growth rate has a positive impact on employment and, hence, may lead to poverty reduction.

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