Support for Economic Reform? Popular Attitudes in Southern Africa

Do ordinary people support programs of economic reform? If so, why? If not, why not? This article breaks new ground by reporting and comparing public opinion from seven Southern African countries based on systematic Afrobarometer surveys. It finds that people support some adjustment policies (such as price reforms) but oppose others (such as institutional reforms). An eclectic explanation is offered for these attitudes that draws on structural factors (especially poverty), cultural values (such as self-reliance), and exposure to mass media. The most formative influence on mass economic opinion in Southern Africa, however, is the institutional legacy of settler colonialism as expressed through race and nation.     

好口碑就有好印象吗?社交媒体中奢侈品牌口碑社会属性的负面效应

社交媒体中奢侈品牌口碑的社会属性较为凸显,口碑发布者的先赋地位会影响消费者对奢侈品牌的态度。先赋地位是指个体依赖于性别、原生家庭等先天资源所获得的社会地位。本研究从社会比较的视角,探究口碑发布者先赋地位逆转口碑效价法则的机理和边界,揭示出好口碑却带来坏印象的负面效应。研究结果表明,当口碑发布者具有先赋社会地位时,其正面口碑反而引发口碑接收者的恶意妒忌情绪,使接收者产生负面品牌态度。而且,当口碑接收者有较低社会流动性感知,或口碑内容具有较高品牌显著性时,口碑发布者先赋地位的负面效应更为凸显。本研究改变了社交媒体情境强化口碑效价法则的片面认知,在实践中有助于更深层次地理解社会阶层分化感知对消费者态度的影响,并为奢侈品牌的社交媒体营销提供管理建议。     

Monetary Integration In Eastern And Southern Africa: Choosing A Currency Peg For Comesa

African countries involved in monetary integration projects have been advised to peg their currencies against an external anchor before the definite fixing of exchange rates. In this study, we estimate optimum currency area indices to determine, between four alternatives, which international currency would be the most suitable anchor for Common Market for Eastern and Southern Africa (COMESA) members and for a set of other selected African economies. We conclude that the euro and the British pound prevail over the US dollar or the yen; that the euro would be the best pegging for most, but not all, COMESA members; and that some of these economies display evidence of more intense integration with third countries, with which they share membership in other (overlapping) regional economic communities, than within COMESA.     

Trade integration in the Southern African development community: Prospects and problems 1

The adoption of a trade and development protocol by the member states of the Southern African Development Community (SADC) in August 1996 marks the end of an era of sectoral cooperation and the beginning of a process of trade integration among these countries. This article provides a preliminary analysis of the obstacles and opportunities which trade integration presents for the Southern African region in the context of the institutional and structural factors currently influencing trade patterns both within and outside the region. Critically, the article poses the question whether the provisions of the trade protocol provide an adequate framework for the region's agenda of trade integration and industrial development that is equitable, balanced and mutually beneficial. The analysis demonstrates that it does not, and hence the authors argue that measures that lie beyond the provisions of the trade protocol are a sine qua non for the success of trade integration.     

A social network analysis of the structure and evolution of intra‐African trade

We used social network analysis to examine the country attributes and patterns of intra‐African trade between 2002 and 2017. The results showed that, generally, trade networks in Africa have become denser, and have the characteristics of the core‐periphery structure and small world phenomenon. Trade imbalances are widely found among African countries with the evidence that structure holes exist in intra‐African trade networks highlighted by the motif detectors. Using Quadratic Assignment Procedure, we found that countries that possess closer economic, geographic and cultural distance, but longer institutional distance, are more likely to form trade networks. However, many countries and the regional economic communities on the continent, have not adequately manifested these favourable characteristics for enhancing intra‐African trade. The implications are proposed that countries should develop their strategies, expedite structural adjustment, and foster competitive industries to cope with the external competition and seize opportunities of regional integration brought by the African Continental Free Trade Area (AfCFTA) agreement. It is also critical to efficiently address the overlapping problems of regional economic communities and intensify their coordination with AfCFTA.     

The impact of trade facilitation factors on South Africa's exports to a selection of African countries

Economic growth can be enhanced through increased trade among countries, provided the correct institutional structures are in place. A country's trade is dependent not only on its own trade facilitation reforms but also on those of the trading partners. This paper, using an augmented gravity model, examines trade facilitation factors that impact on South Africa's exports to other selected African countries. The results of the estimation reveal the following. An improvement in the customs environment within the importing country provides the largest gain in terms of increasing trade flows, followed by the regulatory environment and domestic infrastructure. Furthermore, adjacency and common language impact positively on South African exports, while distance between countries impacts negatively on it. Being part of the Southern African Development Community is also enhancing exports from South Africa, compared with being part of the East African Community.     

Revenue Mobilization in African Countries: Does Natural Resource Endowment Matter?*

Abstract: Natural resource endowment offers great opportunities for achieving high levels of growth and development, notably via fiscal revenue mobilization throughout the entire chain of operations from exploration to production to exports. In the case of African countries, however, resource‐rich countries have not yet been able to take full advantage of their resource wealth to mobilize government revenue. In fact it appears that they have often been outperformed by their resource‐scarce counterparts in this regard. Is the low revenue performance a result of distorted incentives induced by the natural resource bonanza or the lack of capacity to harness the revenue potential from the natural resource industry? This paper explores these questions and provides some empirical evidence based on data from a sample including African countries as well as countries from Latin America, Asia, and the Middle East for the period 1980–2007. The paper undertakes an econometric analysis to examine the factors that determine revenue performance in African countries from a comparative perspective, with a focus on the role of natural resource endowment. The results are consistent with the evidence from the literature, especially with regard to the role of economic structure (notably the share of agriculture in GDP), the tax base (per capita income), and trade. We compute an index of revenue performance that relates the actual revenue to the level predicted by the econometric model and we find that African resource‐rich countries have performed poorly relative to their resource‐scarce counterparts and compared to the oil‐rich Middle Eastern countries. The paper concludes with some policy implications for African countries.     

Financial Development,Foreign Banks and Economic Growth in Africa

This study aims to examine and analyze the impact of financial development and foreign bank penetration on African economies. An empirical study for the period 1995–2015 is conducted using the system GMM estimator. Our empirical results indicate that foreign bank entry has a positive and significant impact on economic growth in the countries of North and Southern Africa, while in the other two regions considered in this study (West and Central Africa, East Africa) the impact is negative and rarely significant. In addition, our results show that the development of financial markets has a positive and significant effect on economic growth only in the Southern African region. The paper concludes that policymakers should focus on long‐term policies to strengthen the financial sector to truly meet the needs of African people.     

Chinese FDI to Africa: What Is the Nexus with Foreign Economic Cooperation?*

Abstract: China, once a major recipient of foreign direct investment (FDI), has recently become one of the main ‘emerging’ investors, especially in developing countries. Chinese Outward Foreign Direct Investment (OFDI) plays a very prominent role in economic interaction with many African countries. This paper empirically investigates the determinants of Chinese OFDI versus 41 African countries over the period 1998–2007. The analysis is novel because it provides empirical support to the existing, so far purely anecdotic, evidence describing Chinese FDI to Africa as driven by natural resources endowments and market potential. The econometric analysis highlights strong interrelationships between Chinese FDI and economic cooperation, which make standard models of investments unfit when assessing the role of China in Africa. It also suggests some new lines of research, exploiting the strong links between these different sources of financing.     

North–South models of intellectual property rights: an empirical critique

Do Southern intellectual property rights (IPRs) affect Northern innovation? There is much theoretical debate on the impact of IPRs in the South on the incentives of Northern firms to innovate and transfer technologies to the South. While empirical research exists on the effects of Southern IPRs on Northern technology transfers, empirical evidence on the effects of Southern IPRs on Northern innovation is absent. This paper seeks to fill that gap. Using a comprehensive micro-database of US multinational firms and their foreign affiliates in developed countries, this study finds that patent protection in the South has statistically insignificant effects on the research and development of these firms. Rather, the patent regimes of developed countries matter significantly to the R&;D of these firms. Developing countries constitute a relatively small share of the world market so that variations in the patent rights of developing economies have contributed marginally to Northern incentives for R&;D.     

Health Expenditures and Health Outcomes in Africa*

Abstract: This paper provides econometric evidence linking African countries’ per capita total as well as government health expenditures and per capita income to two health outcomes: infant mortality and under‐five mortality. This relationship is examined using data from 47 African countries between 1999 and 2004. Health expenditures have a statistically significant negative effect on infant and under‐five mortality rates. The magnitude of our elasticity estimates are in consonance to those reported in the literature. For African countries, our results imply that total health expenditures (as well as the public component) are certainly important contributors to health outcomes. In addition, we find that both infant and under‐five mortality are positively and significantly associated with sub‐Saharan Africa. The reverse is true for North Africa. While ethnolinguistic fractionalization and HIV prevalence positively and significantly affect the health outcomes, higher numbers of physicians and female literacy significantly reduce these health outcomes. These results have important implications for attaining the targets envisioned by the Millennium Development Goals. The data implications are also discussed.     

Market Power of Domestic Marketers and its Influence on the Consequences of the Korea–US and Korea–Australia FTAs on the Beef Market

Domestic, US and Australian beef, which are differentiated by country of origin, are sold in Korea. In this differentiated product market, tariff reductions through Free Trade Agreements (FTAs) are expected to strengthen the competitiveness of imported beef and, therefore, to mitigate the effects arising from the market power of domestic marketers. The present study develops a simulation model that evaluates this mitigating effect by explicitly reflecting the market structure that domestic beef marketers constitute. The simulation results indicate that the farm-retail marketing margin would decrease by 10.59% or 6.79% due to the Korea–US and Korea–Australia FTAs, respectively, if domestic beef marketers formed a cartel or an oligopoly market (i.e. the degree of market power is 0.5), while the marketing margin under a competitive market scenario is simulated to have no change. The value of beef production would decrease by 1009 million dollars if the marketers form a cartel and hence exercise monopoly power. The FTAs are simulated to reduce the value of beef production by 564 million dollars under the competitive market scenario.     

Pre‐colonial culture,post‐colonial economic success? The Tswana and the African economic miracle

Cultural explanations of economic phenomena have recently enjoyed a renaissance among economists. This article provides further evidence for the salience of culture through an in‐depth case study of one of the fastest‐growing economies in the world during the last 50 years—Botswana. The unique culture that developed among the Tswana before and during the early days of colonialism, which shared many features with those of western nation‐states, appears to have contributed significantly to the factors widely seen as determinants of Botswana's post‐colonial economic success: state legitimacy, good governance and democracy, commercial traditions, well‐established property rights, and inter‐ethnic unity. Neighbouring Southern African cultures typically did not exhibit these traits.     

CREDIT POLICY STRESS IN THE WEST AFRICAN ECONOMIC AND MONETARY UNION

This paper examines credit policy stress in the West African Economic and Monetary Union and provides evidence that a regional credit policy would not suit all the countries that are members of this currency union. Some countries obtain a higher volume of domestic credit when policy is conducted at a domestic level than they would in the context of a single regional policy. Furthermore, there are differences in the country‐specific reaction function to changes in the economic environment. To show the inappropriateness of a regional credit policy within the West African Economic and Monetary Union area, we compute credit stress indicators both for the countries and for the region taken as a whole. The stress indicators represent the gap between the optimal policies conducted at country and regional levels. Our study covers the period from 1980 to 2007.     

社会企业与商业企业市场营销的比较分析与建议

社会企业作为一种创新型组织有别于商业企业,相比于商业企业市场营销理论的成熟,社会企业的市场营销理论还处于探讨和摸索阶段。文章采用比较研究的方法,分析了两者的市场营销影响因素、运营基础、营销策略的异同点,揭示了社会企业的市场营销也是要遵循企业生存本质——提供社会需要的产品,进而指出社会企业的市场营销可以借鉴商业企业的市场营销理论,但同时要重视两者之间的区别,开发更加适合的营销理论和采用更加有效的市场营销方法。最后,基于比较研究的结论,提出有效提升社会企业市场营销的几点建议。     

Water,energy and sustainable economic development in South Africa

The interaction between macroeconomics and sustainable development is important to all countries. This relationship is of particular concern to developing countries where the economic and natural resource bases are often more closely intertwined than in industrialised nations. A research programme for investigating these issues in South Africa was initiated by the Macroeconomics Programme Office of the World Wide Fund for Nature (Washington, DC, USA), funded with a grant from GTZ (Deutsche Gesellschaft für Technische Zusammenarbeit). It was carried out by a number of local research teams under the guidance of a broad steering committee and under the management of the Development Bank of Southern Africa. For the purposes of a manageable research project, two areas were selected where the South African economy and environment strongly interact - water and energy - together with a number of important economic sectors that use water and energy as key inputs in their production processes. The research examined macroeconomic and environmental interactions in these complexes of sectors, with particular emphasis on the effects of changing pricing and regulatory regimes for water and energy. This article presents and discusses first the analytical framework, followed by the results in each sector, and closes with some general policy conclusions with regard to the macroeconomy and the environment.     

The politics of social protection expenditure and financing in southern Africa

Social protection is expanding in southern Africa, but consideration of its fiscal base is usually limited to affordability concerns. Little attention is paid to the different sources of revenue or how the interests of contributors to social protection may affect spending priorities. This article suggests there is a link between revenue source and social protection spending. Aid dependent countries' social protection policy is mostly determined by donors. The governments of countries that rely on natural resources or Southern African Customs Union revenue are relatively free to shape social protection policy. Only in countries that rely on domestic tax-based revenue, where the government must consider the interests of the taxpayer, is there something resembling a social contract for social protection, in which the citizens engage with their government through an exchange-based logic. This article concludes that a broad and diversified tax base is an important mechanism for creating a reciprocal relationship of this kind and thus increasing social spending.     

产业集群转型背景的营销渠道解构:浙江证据

通过理论分析和跨案例研究,建立和论证了一个产业集群国际营销渠道控制模型。发展中国家的地方产业集群转型升级路径之一是嵌入全球价值链的渠道控制环节。产业集群国际营销渠道控制是一种跨组织控制,其控制变量包括:治理结构、控制机制和控制水平,需要完善的辅助支撑体系和基础条件。浙江产业集群国际营销渠道控制中,专业市场营销国际化具有浙江特色,成长于制造型产业集群中的龙头企业,近些年来已开始实践与尝试纵向一体化或建立国际分销战略联盟,这种趋势将逐渐成为主流。     

Are Manufacturing Exports the Key to Economic Success in Africa?

The poor performance of many African economies has been associatedwith low growth of exports in general and of manufacturing exportsin particular. The two most successful countries in Africa havebeen Botswana and Mauritius. In Botswana, rapid export growthfollowed the discovery of diamonds; in Mauritius, manufacturingexports played a major role. In this paper we draw on both macroand micro evidence from nine African countries to investigatewhether manufacturing exports are the key to success in Africa.We do this by posing three questions. First, how close is thelink between export and income growth? Second, is there evidencefrom these African countries that manufactured exports haveled to greater economic success? Third, what has limited thesuccess of firms in the manufacturing sector? We argue thatexport and income growth are very closely linked. However, thereis, for this sample of countries, no evidence that if theirexports are manufactures, growth rates are higher. We show thatthe factors that limit the success of African manufacturingfirms in exporting are their levels of efficiency and smallsize. We argue that the key to success in an area where Africahas a potential cost advantage — labour-intensive garments— is to enable large firms to use a more labour-intensivetechnology than is the case at present.