On the scholarly contributions of the legendary George Adu

Beginning on a personal note, this paper succinctly presents the salient scholarly works of my teacher and mentor Dr. George Adu to the body of theoretical and empirical literature in economics. His contributions to the field of environmental and natural resources economics and macroeconomics in general cannot be overemphasized. While death might have cut his life short, George’s considerable contributions to knowledge and society will continue to live on. He is a legend.Keywords: George Adu; Environmental economics; Macroeconomic

Record Keeping and the Bottom Line: Exploring the Relationship between Record Keeping and Business Performance among Small and Medium Enterprises (SMEs) in the Tamale Metropolis of Ghana

This paper explores the relationships between record keeping and business performance among SMEs in Ghana. Relying on a sample of 100 SMEs in the Tamale Metropolis, and employing simple regression analyses and Pearson Correlation Coefficient, we found a positive correlation between record keeping and business performance. In particular, we show that the two variables are linearly related. After swapping both the dependent and independent variables in the estimated models, we found a more robust impact on record keeping when it depends on business performance than when the latter depends on the former. We however could not show which variable causes changes in the other, necessitating further research efforts in this direction. While recognising the impact of record keeping on business performance, we conclude that at least in our study area, other performance metrics such as improved customer relations, access to sustainable finance, technology diffusion, and expanding the frontiers of access to internal and international markets are equally critical drivers of SME performance. This calls for conscious and coordinates efforts aimed at enhancing the performance of SMEs in Ghana. Keywords: SMEs, Record Keeping, Business Performance, Entrepreneurshi

Causality and Cointegration Analysis: Evidence from the Brazilian Stock Market

Many studies have focused on examining the cointegration and causality between or among stock markets of different countries. This paper departs from these traditional inter-relationship studies through its investigation on the causality and cointegration between the Brazilian Stock Market (Bovespa) and a listed company (Petrobras) by employing the Granger causality test and error correction technique based on autoregressive distributed lag (ARDL) modelling approach to cointegration. We find empirical evidence of cointegration and that deviation from long-run equilibrium is corrected according to the speed of adjustment. In particular, a disequilibrium resulting from a shock to the stock market is corrected by 3.8% per week. Our findings also show a unidirectional causality running from Bovespa index to share price of Petrobras thus revealing the predictive power of the former. While our Granger causality finding is inconsistent with the preaching of efficient market hypothesis (EMH), it nonetheless fortifies the need for investors and financial analysts to closely monitor the movements of the Brazilian stock market index when investing (or analyzing changes) in Petrobras. Keywords: Bovespa, Petrobras, Cointegration, Causality, Equilibrium, Short-run, Long-ru

Towards Achieving the Sustainable Development Goals (SDGs): The Impact of Debts on Income Inequality in Africa

The Agenda for Sustainable Development provides a framework for the creation of a better and sustainable future for all. The Sustainable Development Goals (SDGs) focus on addressing global challenges, including income inequality. Among others, the SDGs also commit countries to work towards reducing income inequality and as such, lowering income inequality is one of the key issues in Africa. However, given the high levels of debt on the continent, reducing income inequality could be a challenge. Majority of the literature examines the link between debts and economic growth with little attention paid to the impact of debts on income inequality. Moreover, not much is known on whether the relationship between debt and income inequality is non–linear. This study therefore contributes to the existing research efforts by investigating the threshold effects of debts using data from 24 African countries by relying on the sample splitting and threshold estimation approach. The results reveal that, while debts generally dampen income inequality, unbridled debt accumulation above the estimated thresholds does not decrease income inequality, indicating that the income inequality–reducing impact holds at lower levels of debt–to–GDP ratio. This evidence is insensitive to different indicators of income inequality and debts. Findings from this study show how increasing indebtedness contributes to widening income inequality in Africa

Effect of Bureau De Change Establishment on the Stability of Exchange Rates in Nigeria

The purpose of this study is to examine the effect of Bureau de change establishment on the stability of the exchange rate in Nigeria. Ex post-facto and correlation research designs are employed for this study. The sample relied on for the purpose of this work was for the period from 2008-2018. The study relies on secondary data sources such as books, journals, magazines, newspapers, internet, speeches, and document from CBN, NSE and Bureau for public enterprises. The data estimation technique used was ordinary least squares. The findings of the study revealed that the bureau de change establishment impact the stability of the exchange rate in Nigeria. The result indicated that is the long-run relationship between Bureau De change and stability of the exchange rate. The study recommended that participants in the foreign exchange market should undertake forward transactions to serve as an insurance cover (shield) for their spot transactions. The exchange rate of the bureau de change should be closely monitored by monetary authorities to reduce the gap between these rates and the official rates. The government should adopt measures that would bring down the exchange rate of the naira to a US dollar so that Nigerian producers who make use of imported raw materials can continue in business. Keywords: Bureau De Change, Exchange Rate, Stability, Monetary, Naira. DOI: 10.7176/EJBM/12-6-01 Publication date: February 29th 202

The effect of entrepreneurship training on the capacity building program of Kano state enterprise development training institutes

Kano state enterprise development training institutes were established with the expectation to further promote and increase the number of small enterprises owners, improve the sustenance of small businesses, and reduce unemployment in the society.The institutes have graduated many students some of whom have ventured into businesses and others did not start any.Even those that have started hardly sustaining them beyond six months.It is against this backdrop, the study therefore aimed at understanding the effect of entrepreneurship training on the capacity building program with concerns to training quality, trainers competence, and availability and functionality of training facilities in the institutes.A survey research design was used, hence primary data were collected through questionnaire. A sample of 370 respondents were selected using convenient sampling technique. With the use of multiple regression analysis, the results of the study showed that training quality, trainers competence and training facilities have significant effect on capacity building effectiveness. The study thus recommended that the training institutes should standardise the admission process, curricula and improve on post training support activities.They should also determine trainers training needs and should send them for further training.The institutes should provide up-to-date training facilities with effective maintenance mechanism.Also, the study make some recommendations for future studies to in-corporate other effective variables like government political will and funding that could explain the remaining variance in capacity building effectiveness

Aid Volatility and Structural Economic Transformation in sub-Saharan Africa: Does Finance Matter?:Economic Research Southern Africa (ERSA) Working Paper 655

This paper departs from the traditional aid—economic growth studies through its examination of the impact of aid and its volatility on sectoral growth by relying on panel dataset of 37 sub-Saharan African (SSA) countries for the period 1980—2014. Findings from our system generalisedmethods of moments (GMM) show that, while foreign aid significantly drives economic transformation, aid volatility deteriorates sectoral value additions with huge impact on the non—tradable sector and a no apparent effect on the agricultural sector. However, the deleterious effect of aid volatility on structural economic transformation in SSA is weakened bya well—developed financial system with a large dampening impact on the tradable sector. Our evidence therefore provides unequivocal support forthe notion that development of domestic financial markets enhances aid effectiveness

Mediating Effect of Entrepreneurial Skills on the Relationship between Entrepreneurial Orientation and Entrepreneurial Intention

The uncertainty nature of today’s environment and the increase in unemployment across the globe necessitate the need to improve entrepreneurial activities among graduates. Although, prior studies have documented empirical support of entrepreneurial orientation to entrepreneurial intention, the role of entrepreneurial skills has not been fully documented. Also, the effect of entrepreneurial orientation differs with individual cultures. Hence, the study examined the mediating role of entrepreneurial skills on the relationship between entrepreneurial orientation and entrepreneurial intention using a sample of 143 Nigerian students. This study used a quantitative research approach, while the Partial Least Square Equation Modelling (PLS-SEM) was used for data analysis. The findings of the study revealed that both entrepreneurial orientation and entrepreneurial skills have positive relationships with entrepreneurial orientation. In addition, entrepreneurial skills mediate the relationships between entrepreneurial orientation and entrepreneurial intention. The findings of this study reinforce the assumption that EO shapes the activities of entrepreneurs, while their ES, in terms of negotiating, opportunity recognition and networking ability increases on a daily basis which will lead to entrepreneurial success

Determinants of bank credit in Ghana: A bounds-testing cointegration approach

Using the Autoregressive Distributed Lag (ARDL) framework, this paper examines the relevant factors influencing allocation of bank credit to the private sector in the Ghanaian economy for the period 1970 to 2011. The results show that broad money supply, bank assets, real lending rate, and bank deposits are significant determinants of bank credit in both the short and long-run. Inflation also exerts significant positive impact only in the short-run. The study infers the lack of successive governments’ commitment to pursue policies that boost the supply of credit to the private sector. Our findings further reveal that increases in deposits mobilization by banks does not necessarily translate into supply of credit to the private sector. A plausible deduction from the findings is that reduced government’s domestic borrowing, lower cost of borrowing, and lower central bank reserve requirements for commercial banks in Ghana are needed to stimulate higher lending and credit demand.Keywords: Bank credit; ARDL cointegration; Real lending rate; Bank deposit; Ghana