Structural adjustment in Africa: Insights from the experiences of Ghana and Senegal

Structural adjustment in Ghana and Senegal has helped create an improved framework for economic growth. But this is a fragile trend, one that could be disrupted by bad weather, adverse terms of trade, and the vagaries of international assistance. The current version of adjustment, however, has produced little enduring poverty alleviation. A weak performance on equity issues, together with rising political expectations, has generated threats to the sustainability of structural adjustment and overall political stability. Alternatively, adjustment policies can be modified to fully incorporate equity and sustainability objectives. In this respect, it is critical for the poor to obtain more effective representation in decision-making on adjustment through indigenous nongovernment organizations.     

Ecotourism development in Ghana: A postcolonial analysis

Despite growing research on ecotourism in Ghana, it is unclear to what extent colonial approaches to forestry and wildlife conservation still influence ecotourism in the country. This paper examines ecotourism development in Ghana from a postcolonialist perspective. It is based on a thematic assessment of primary data from in-depth interviews with a range of ecotourism actors. The paper shows that ecotourism in Ghana, much like colonial forestry and wildlife conservation, faces challenges such as the marginalisation of the local community, the use of neo-crisis narratives, a dependence on international forces, and the marginalisation of local ecological knowledge. It argues for a holistic approach to the development of ecotourism as a win–win strategy for sustainable development.     

Trade liberalisation,structural adjustment and intra-industry trade: A note

Conclusions This note reports tests of the relationship between trade liberalisation and the levels of intra-industry trade, and between levels of IIT and structural adjustment in response to trade liberalisation. It has used a new approach by focussing on the impact of changes in protection on (i) changes in IIT, and (ii) differences in structural adjustment over time in high-IIT and low-IIT sectors.     

Structural adjustment, macroeconomic adjustment and poverty: A methodology for analysis

The object of this paper is to set out a methodology for analyzing the impact on the poor in less developed countries (LDCs) of adjustment to disturbances arising in the international sectors sectors of these economies. The methodology is not based on a detailed general equilibrium model of the whole economy, but instead focuses on the effects of the adjustment process on the sectoral composition of national output and expenditure. The paper provides a framework for the calculation of quantitative estimates of the impact of adjustment on poverty using household income and expenditure surveys currently available in LDCs. It is proposes the use of decomposable poverty indices as a tractable vehicle for calculating the impact of adjustment on overall poverty. This framework does require, however, reasonably disaggregated data on income distribution.     

The welfare effects of the antebellum tariff: A general equilibrium analysis

In this paper a general equilibrium model of the United States in 1859 is developed and solved using the Scarf algorithm. Such a formulation allows the U. S. equilibrium to be computed for differing parameter specifications, so that the comparative static effects of policies involving even very complex interactions within the economy may be analyzed. In this case, the general equilibrium effects of the tariff in the United States are examined by comparing the actual, or initial, equilibrium with a hypothetical equilibrium in which the tariff has been eliminated. We find that the South was in fact injured by the tariff; the price of cotton and the return to slaveholding would have both risen significantly with its elimination. The principal beneficiary of the tariff was free labor. Removal of the tariff would have produced a decrease in the real wage and a slight fall in the return to capital. Overall, real income in the United States would have declined by 1.07 to 1.09% as a result of tariff elimination, or by between $44 and $45 million in current prices. Alternative parameter specifications may produce different results, ranging from the Metzler paradox in the case of very inelastic substitution in R.O.W. consumer demand to cases of increases in real income with tariff elimination in the cases of elastic substitution in either R.O.W. or U. S. consumer demand. A final caveat in judging the results should be inserted here. Factor endowments for 1859 are taken as fixed. The comparative static results here answer the question: What would have the 1859 United States been like if the tariff had been eliminated, allowing time for full adjustment? No dynamic effects are taken into account, such as adjustments in factor supplies. Consequently, the 1859 United States that had consistently followed a free trade policy would have looked quite different from the one that pursued a policy of protection and then eliminated the tariff, which we consider here.     

Current account balances and structural adjustment in the euro area

In the past decade, a set of euro area countries has accumulated large current account deficits. After a brief relaxation of the euro area internal imbalances in the wake of the financial crisis, it appears as if this pattern arises anew when times normalize again and Germany still sticks to export-led growth. This issue has been labelled one of the most challenging economic policy issues for Europe inter alia by the European Commission and some other players on the EU level. In this paper, we analyse the role of private restructuring and structural reforms for the urgently needed sustainable readjustment of intra-euro area current account balances. A panel regression reveals a significant impact of structural reforms on intra-euro area current account balances. This implies that in particular structural reforms and wage restraint in notorious current account and budget deficit countries such as Greece are highly suitable to support long-term economic stability in Europe.     

新中国经济结构战略调整的历史变迁及宏观政策分析

新中国经济经历了三次大的结构调整，既有成功经验，也有局限性。在改革开放，建立社会主义市场经济体制新的历史条件下，对新中国经济结构战略调整的变迁及宏观政策进行评价，对当前正在进行的经济结构战略调整的健康发展是有积极的启发和借鉴意义的。     

An analysis of the impact of the first phase of South Africa's motor industry development programme (midp), 1995–2000

The South African motor vehicle industry is an important branch of the local manufacturing sector, contributing significantly to manufacturing value added and employment. Over the last decade, the local industry has undergone a series of policy reforms, and in recent years has increasingly been exposed to globalisation. This article reviews the role of government policy in shaping the industry, and examines the impact of the first phase of the Motor Industry Development Programme on the industry for the period 1995–2000 in respect of domestic production, automotive industry employment, export performance and the automotive trade balance. The article concludes that even though the industry registered strong export growth that contributed to improving the automotive trade deficit, it was deficient in sustaining domestic production and employment levels. The imminent challenge for the local industry's development is to maintain its export growth trajectory in the long term in the absence of costly government protective incentive mechanisms.     

Tourism and welfare in Sub-Saharan Africa: a theoretical analysis

Using the standard theoretical model of trade, we study thewelfare effects of tourism for developing countries with particularreference to Sub-Saharan Africa. We show that tourism can reducewelfare for trade regimes dominated by export taxes or importsubsidies. In addition, we argue that tourist immiserisationis possible for Sub-Saharan Africa. Finally, we show that directforeign investment in tourism, is for the most part, beneficial.     

Food security and structural adjustment: Empirical evidence on the food price dilemma in Southern Africa

This article considers effects of price on food security and the food equation in the developing areas of South Africa. Firstly, the food (or hunger) equation is examined in more detail. Secondly, thefood price dilemma is analysed using empirical data obtained elsewhere in sub‐Saharan Africa. Thirdly, the situation in the developing areas of South Africa is examined. Empirical evidence in sub‐Saharan and Southern Africa accentuates the skewness and concentration in the market participation profile of rural households with respect to especially staples. Supply response to higher prices in these areas is also limited. These findings place the food price dilemma on centre stage in Southern Africa.     

Financial impact of wheat quality standards on South African wheat producers: A dynamic linear programming (DLP) approach

The South African wheat industry has been under pressure in recent years from global economic instability and a fast-changing domestic policy environment. This has manifested itself in declining wheat production and profitability at the farm level. Wheat quality plays a key role in wheat buying decisions, with quality improvements correlating negatively with yield and, ultimately, productivity. Yet any new wheat cultivar released for commercial production must still meet the standards of the country’s wheat classification system, which has led to wheat sometimes being imported in the face of a domestic shortfall. This situation has inevitably led to tension within the industry and affected both performance and pricing. Using various data sources and a dynamic linear programming (DLP) approach, this paper takes an in-depth look at the link between wheat quality and yield, with a view to determining the impact of wheat quality standards (ceteris paribus) on the profitability of South African wheat producers. Results indicated that were these classification discrepancies removed, the country-wide effect on net farm income is estimated to range between ZAR606 million and ZAR920 million per annum.     

Trade openness and household welfare within a country: A microeconomic analysis of Vietnamese households

The positive effects of trade liberalisation on several dimensions of poverty have initiated studies of the trade–poverty relationship. Trade liberalisation accompanies institutional reforms that help to reduce institutional barriers against the poor. This study examines the impacts of trade openness and institutional reforms on rural household welfare at the provincial level through the analysis of the determinants of welfare of rural households in Vietnam. The study employs a model of micro-determinants of growth and tests it on the data from the Vietnam Household Living Standards Surveys (VHLSSs) of 2006 and 2010. What makes the study different from some other studies of the same vein is that it attempts to directly capture the institutional effect on welfare. The study finds that, in the provinces with high institutional reforms and trade openness, the welfare of rural households improved. Institutional reforms in Vietnam appeared to be sluggish in the late 2000s. In particular, both access to land and lower informal charges were the important determinants of welfare improvement over time. These findings suggest that Vietnam should maintain its development by accelerating the process of institutional reforms, thereby helping poor households to improve standards of living.     

Public spending and economic growth: evidence from Ghana (1970–2004)

Governments undertake expenditures to pursue a variety of objectives, one of which is economic growth. This paper examines aggregated and disaggregated expenditure on economic growth in Ghana over the period 1970–2004. Expenditure on education and health represents human capital development, while expenditure on roads and waterways captures infrastructure development. The study reveals that the aggregated government expenditure retarded economic growth. The study's findings show that expenditures on health and infrastructure promote economic growth, while those on education had no significant impact in the short run. In addition, the political economy variables?namely the nature of governance (democracy) and political instability (years of changes in government and military dictatorship)?proved significant in explaining Ghana's economic growth over the study period.     

Political feasibility of structural adjustment in africa: an application of SAM mixed multipliers

The implementation of structural adjustment programs (SAPs) has often been undermined by opposition from politically powerful groups who are favored by existing policies. To assess the political sustainability of SAPs this paper uses social accounting matrices for three African countries to model the income effects of stylized SAPs on different socioeconomic groups. The analysis reveals wide variation in the likelihood for typical SAPs to be acceptable to political elites while generating growth in the rest of the economy. The presence of a rural elite or strong farm-nonfarm linkages can enhance the political sustainability of SAPs.     

Eastern Germany and the conflict between wage adjustment,investment, and employment: A numerical analysis

Eastern Germany and the Conflict between Wage Adjustment, Investment, and Employment: A Numerical Analysis. — In this paper, some light is shed on the dynamics of the adjustment process in eastern Germany by studying the linkages between the dynamics of wage adjustment, investment, and employment. An extended dynamic investment model, which includes adjustment costs for capital and revision costs for investment, is presented. This model is specified according to the east German economy and analyzed numerically by an optimization method based on direct collocation. Results are obtained for the time horizon of adjustment and for the implications of different wage strategies on the path of investment and employment.     

Structural adjustment: A survey of the issues and options

The article raises and attempts to answer questions such as: adjustment for what purpose? to what shocks? of what factors or forces? by whom? who loses and who benefits from adjustment? and adjustment how? It also discusses the question of adjustment when? The distinction between external and internal shocks is rejected as neither helpful for the allocation of blame nor for the justification of raising finance. An analysis of the impact on the poor is sketched out. After a brief discussion of the role of the market and government intervention in adjustment policy and the fallacy of aggregating country policies, there follows a discussion of the double paradox of conditionality: why should a donor impose conditions that are in the best interest of the recipient, and why, instead of paying for getting good advice, is the recipient rewarded with extra money? Ten possible reasons are given. The paper ends with proposals as to how to overcome the conflict between national sovereignty and assuring that donor money is well spent.     

Nominal shocks and the current account: A structural VAR analysis of 14 OECD countries

This paper provides some empirical evidence on one of the most controversial theoretical implications of the new open economy literature, which refers to the role of the current account in the international monetary transmission mechanism. In order to throw some light on this issue, two structural VAR models are estimated separately for 14 industrialized countries. The main empirical results highlight the importance of the role of nominal disturbances for current account fluctuations. Additionally, it is found that expansionary nominal shocks generate temporary current account surpluses, whose size is positively correlated with the openness of the individual countries. JEL no. C32, E40, F41, F42     

The Marshall Plan and the Spanish postwar economy: a welfare loss analysis1

This article uses historical fact as a natural experiment to measure a country's welfare loss from shifting from an allowed to a restricted trade situation, based on international trade theory. A welfare loss of 8 per cent of GDP is found. The evolution of domestic import and export prices in Spain in 1940–58 fits international trade theory assumptions. The main years of autarky are not those commonly considered, but 1947–55, marked by the exclusion of Spain from the Marshall Plan and the Madrid Treaty between Franco's regime and the US. The upper‐bound welfare loss for 1947–55 is 26 per cent of GDP.