The Linkages between FDI and Domestic Investment: Unravelling the Developmental Impact of Foreign Investment in Sub-Saharan Africa

While the recent increase in foreign direct investment (FDI) to African countries is a welcome development, the question remains as to the impact of these resource inflows on economic development. This study posits that a key channel of the impact of FDI on development is through its effects on domestic factor markets, especially domestic investment and employment. In this context, this study analyses the two-way linkages between FDI and domestic investment in Sub-Saharan Africa. The results suggest that firstly, FDI crowds in domestic investment, and secondly, countries will gain much from measures aimed at improving the domestic investment climate. Moreover, there are alternatives to resource endowments as a means of attracting foreign investment to non-resource rich countries.FDI, private investment, public investment, Africa

The search for the key : aid, investment, and policies in Africa

The authors'study of aid, investment, and policies in Africa leads them to four principal conclusions: 1) The traditional links between aid, investment, and growth are not robust. Aid does not necessarily finance investment and investment does not necessarily promote growth. 2) Differences in economic policies can explain much of the difference in growth performance. Poor quality of public services, closed trade regimes, financial repression, and macroeconomic mismanagement explain Africa's poor record. 3) Foreign aid cannot easily promote lasting policy reform in countries where there is no strong domestic movement in that direction. Country ownership of reform is more important than donor conditionally. 4) These three conclusions imply that societies themselves must take the lead in putting growth-enhancing policies in place. When this happens, foreign aid can play a powerful supporting role, bringing ideas, technical assistance, and money. The combination of private investment, good policies, and foreign aid is quite powerful. Where do we stand in the search for the key to growth in Africa? Because past"keys"to growth in Africa have failed, the authors are cautious about claims to a new key. But even if aid-cum-private-investment-cum-policy reform falls short of being the one and only key to growth, disbursing aid into good policy environments would be an improvement on current practices.Decentralization,Fiscal&Monetary Policy,Economic Theory&Research,Environmental Economics&Policies,International Terrorism&Counterterrorism,Trade and Regional Integration,Achieving Shared Growth,Economic Theory&Research,Economic Growth,Environmental Economics&Policies

The Linkages between FDI and Domestic Investment: Unravelling the Developmental Impact of Foreign Investment

Despite the recent increase in foreign direct investment (FDI) to African countries, these resources have not had a meaningful impact on economic development because of limited effects on domestic factor markets, especially domestic investment and employment. In this context, this study analyses the two-way linkages between FDI and domestic investment in Sub-Saharan Africa. The results suggest that firstly, FDI crowds in domestic investment, and secondly, countries will gain much from measures aimed at improving the domestic investment climate. Moreover, there are alternatives to resource endowments as a means of attracting foreign investment to non-resource rich countries. JEL Categories: E22; F21; F23FDI; private investment; public investment; Africa

Estimating quasi-fiscal deficits in a consistency framework : the case of Madagascar

In practice, conventional measures of the fiscal deficit exclude the activities of public financial institutions. As a result, fiscal policies may be applied inappropriately when these institutions - especially the central bank - run large losses (the quasi-fiscal deficit). The macroeconomic effects of the quasi-fiscal deficit are similar to the effects of the deficit from other public entities - and should therefore be included in the public deficit. Conceptual and practical difficulties have so far precluded a definition of quasi-fiscal deficits that is operationally useful and comparable across countries. After studying the methodological and practical problems of treating quasi-fiscal deficits, the authors propose using a flow-of-funds format, which in principle could be standardized across countries. Using Madagascar as an example, they show that the public sector deficit is significantly undervalued if quasi-fiscal deficits are not considered. They contend that such deficits must be taken into account in assessing the success of adjustment problems and development strategies supported by the IMF and the World Bank.Economic Stabilization,Economic Theory&Research,Banks&Banking Reform,Environmental Economics&Policies,National Governance

Newspapers, the early modern public sphere and the 1704-5 Worcester affair

This paper shows how the proliferation of Scottish newspapers and pamphlets in 1704-5 contributed to an international crisis in Anglo-Scottish relations over the Worcester piracy case and influenced the chain of events leading to the Union of 1707. It considers how far a Habermasian concept of the modern public sphere can be applied to this case. It finds that while newspapers helped to shape public opinion and events in what might be termed a public sphere, there is not a strong fit with the Habermasian model and the case is better understood in terms of an early modern public sphere

External debt sustainability and domestic debt in Heavily Indebted Poor Countries

In this paper we stress the limits of the current debt sustainability framework used in the IMF-WB HIPC Initiative and the necessity to include domestic public debt into the analysis. The standard sustainability analysis does not take into account the fully-fledged budget constraint and the feedback effects of the fiscal and monetary adjustment required by multilateral programs. The switch from foreign to domestic borrowing, and rising domestic real interest rates are likely to undermine the overall sustainability and the success of debt relief programs. This work focuses on the evaluation of public debt sustainability in a simple accounting framework. We use data on external public debt (multilateral and bilateral) and on domestic public debt to underline how the inclusion of domestic debt into the analysis undermines the sustainability target.HIPC; Domestic debt; Debt sustainability; Debt Relief

Disabled: Watching Stories of the Malagasy Deaf

Dislabeled: Mislabeled and Disabled - two words that Malagasy Deaf individuals have used in this project to describe themselves and the struggles of their community. This project explores dynamics between the mainstream Malagasy society and the marginalized Deaf community as well as the dynamics within the Deaf community of Antsirabe. I argue that mainstream stereotypes of the Deaf are manifested in the ways these individuals see themselves as well as the opportunities that society offers them. I also argue that individuals who have high proficiency in Malagasy Sign Language have wider access to public services as well as a higher degree of participation in daily life, both with other Deaf individuals as well as hearing communities

Standards as barriers and catalysts for trade and poverty reduction.

The importance of food standards in global agricultural trade has increased strongly, but the effects are uncertain. Several studies argue that these standards imposed by high-income countries diminish the export opportunities for developing countries and concentrate the benefits of trade with processing and retailing companies and large farms, thereby casting doubt on the development impact of international agricultural trade. Other argue that the standards can be catalysts for growth. In this paper we critically review the arguments and empirical evidence on the link between increasing food standards, developing country exports and welfare in those countries. We conclude that the evidence is often weaker as claimed. We also provide new insights from two recent survey-based empirical studies. We conclude that standards can be a catalyst for trade, growth and poverty reduction in developing countries.Trade;

Standards as Barriers and Catalysts for Trade and Poverty Reduction

The importance of food standards in global agricultural trade has increased strongly, but the effects are uncertain. Several studies argue that these standards imposed by high-income countries diminish the export opportunities for developing countries and concentrate the benefits of trade with processing and retailing companies and large farms, thereby casting doubt on the development impact of international agricultural trade. Other argue that the standards can be catalysts for growth. In this paper we critically review the arguments and empirical evidence on the link between increasing food standards, developing country exports and welfare in those countries. We conclude that the evidence is often weaker as claimed. We also provide new insights from two recent survey-based empirical studies. We conclude that standards can be a catalyst for trade, growth and poverty reduction in developing countries.Food Security and Poverty, International Relations/Trade,

Original biographies from the Dictionary of African Christian Biography

A publication of the Dictionary of African Christian Biography with U.S. offices located at the Center for Global Christianity and Mission at Boston University. The editors are pleased to offer the first annual cumulative volume of the Journal of African Christian Biography, the monthly scholarly publication that was launched in June of 2016. Since then, the life stories of twelve individuals who played vital roles in and through their faith communities have been published online as free downloads. But it is important that a selection of DACB stories be more readily available to those without access to the internet. As I mentioned in the fall 2016 newsletter of the DACB, each issue of the journal is available in its e-journal, on-line version, where it is configured either as A4 or 8.5 x 11 format printable as booklets, ready for local printing and binding or stapling. Our intention is to make it easy for academics and church leaders in various parts of Africa to make print copies of the journal available to their students, colleagues or church members. And so it is with this cumulative volume.This issue focuses on: 1. "Walatta Petros and Hakalla Amale, Pious Women of Ethiopia," with commentary by Dr. Jonathan Bonk, Project Director. 2. Walatta Petros. 3. Hakalla Amale. 4. Bishop Josiah Kibira of Tanzania, Ecumenical Statesman. 5. Josiah Mutabuzi Isaya Kibira. 6. Josiah Kibira. 7. David Lonkibiri Windibiziri. 8. Abiodun Babatunde Lawrence. 9. Dominic Ignatius Ekandem. 10. William Wadé Harris, Prophet-Evangelist of West Africa: His Life, Message, Praxis, Heritage, and Legacy. 11. William Wadé Harris. 12. Michael Timneng and Jeremiah Chi Kangsen: Christianity Beyond the Missionary Presence in Cameroon. 13. Michael Timneng. 14. Jeremiah Chi Kangsen. 15. Rainisoalambo, Ravelonjanahary, and Volahavana Germaine (Nenilava): Revival Leaders of Madagascar. 16. Rainisoalambo. 17. Ravelonjanahary. 18. Volahavana Germaine (Nenilava). 19. Recent Print and Digital Resourcews Related to Christianity in Africa