On the asymmetric effect of real exchange rate on growth: Evidence from Africa

Purpose ― This study investigates the asymmetric effect of real exchange rates on the economic growth of twenty African countries for the period 2005 to 2019. Design/Method/Approach ― A refined method of Granger and Yoon (2002) was used to decompose real exchange into appreciation and depreciation. To address the problem of endogeneity and cross-sectional dependence, a two-steps system generalized method of moments, Driscoll-Kraay estimator, and Augmented Mean group were used. Findings ― This study established the presence of asymmetries in the real exchange rate in the region. Further, the study found that real exchange rate appreciation inhibits economic growth while real exchange rate depreciation is beneficial to growth in the region. The results are robust to different estimation techniques. Practical Implications ― The outcome of this study supports the traditional view of exchange rates on macroeconomic variables. Hence, findings from this study can help investors and policymakers in the region to better understand the dynamics of the exchange rate and its effect on economic growth. Originality/Value ― This study enriches the literature on the relationship between exchange rate and growth, especially in Africa using a refined approach to decompose exchange rate into appreciation and depreciation

Market size and foreign direct investment in sub-Saharan Africa: the role of education

This study examines the role of education in the nexus between foreign direct investment (FDI) and market size in sub-Saharan African countries from 2005 to 2015 using a panel of 30 countries. Market size is proxy by gross domestic product and population while two variables are used to measure education; primary school enrolment and secondary school enrolment. Difference Generalised Method of Moments (GMM) is used as the estimation technique. The result shows that education and market size have positive and significant effect on foreign direct investment. The interactive effect of market size (population and gross domestic product) and education (both primary and secondary school enrolment) has positive effect on foreign direct investment. The study concludes that policy maker in the region should focus more on the quality of education rather than quantity of education

Access to Finance, Indigenous Technology and Food Security in Nigeria: Case Study of Ondo Central Senatorial District

Research purpose: Food security remains a major component of economic development. Many developing nations are facing challenges of food insecurity, which had contributed to starvation and other societal problems. With adequate food intake, human healthy living is assured. This study investigates the impact of access to formal finance and indigenous technology and knowledge on food security in Ondo central senatorial district in Ondo state, Nigeria

Foreign direct investment and poverty reduction in sub-Saharan Africa: does environmental degradation matter?

Abstract This paper investigates the threshold effect of environmental degradation on the FDI-poverty nexus in sub-Saharan Africa for the period 1986–2018. The study used panel threshold regression for the empirical analysis. The evidence from threshold regression using different measures of poverty and environmental degradation shows that the poverty reduction effect of FDI is not eroded by environmental degradation. The study found overwhelming evidence that at the higher level of environmental degradation, FDI contributes significantly to poverty reduction except when Household final consumption is used to proxy poverty and FDI produces an insignificant effect on poverty reduction at the higher level of methane emissions and nitrous oxide emission. Based on this finding, any attempts to reduce environmental degradation by reducing the inflow of FDI will worsen poverty rates in the region

Monetary Policy Shocks and Industrial Output in Nigeria: A Dynamic Effect

The study examines the dynamic effect of positive and negative monetary policy shocks on industrial output in Nigeria. Quarterly secondary data covering the period from 1986 to 2015 were used for the study. Applying Autoregressive Distributed Lag (ARDL), the results shows that both negative monetary policy shocks and positive monetary policy shocks have negative effect on industrial output in Nigeria both in the short run and in the long run. The study recommend that monetary policy should the used with caution in Nigeria

Fiscal deficit in sub-saharan Africa: A new intuition from the institution and political drivers.

Motivated by the growing fiscal deficits in sub-Saharan Africa, this study examines fiscal deficit's economic, political, and institutional drivers using a panel of twenty-three sub-Saharan African countries. Panel spatial consistent correlation, dynamic fixed effects autoregressive distributed lag, and feasible generalised ordinary least squares were used as the estimation techniques. Our findings reveal that while per capita income, trade openness, population, and religious tension increase the size of fiscal deficit, bureaucracy quality, government stability, Law and order, and military in politics reduce the extent of fiscal deficit. However, corruption control, democratic accountability, and internal conflict have weaker statistical evidence. Furthermore, the study established evidence of long-run co-integration relationships among institutional factors, economic factors, and fiscal deficits in SSA. Per capita income has a significant positive influence in the short run but a negative effect in the long run. Population and religious tension positively impact fiscal deficit in both periods. However, democratic accountability, government stability, and the military in politics significantly negatively impact fiscal deficit in the long run. This study concludes that beyond economic factors, institutional and political factors are significant drivers of fiscal deficit in sub-Saharan Africa. Therefore, strengthening the institutional quality and creating a stable political environment would lessen the accumulation of fiscal deficit

Ferulic acid interventions ameliorate NDEA-CCl4-induced hepatocellular carcinoma via Nrf2 and p53 upregulation and Akt/PKB-NF-κB-TNF-α pathway downregulation in male Wistar rats

Hepatocellular carcinoma is a prevalent form of liver cancer that is life threatening. Many chemically synthesized anti-cancer drugs have various degrees of side effects. Hence, this study investigated the effect of FEAC interventions on NDEA-CCl4-induced HCAR in male Wistar rats. HCAR was induced by intraperitoneal administration of 200 mg/kg of NDEA and 0.5 mL/kg CCl4 (as a promoter of HCAR). Following the induction of HCAR, rats were treated differently with two different doses (25 and 50 mg/kg) of FEAC. HCAR induction was confirmed by the significant elevation of serum levels of ALT, AST, and α-FP. Also elevated significantly were liver levels of Akt/PKB, NF-κB, TNF-α, MDA, GSH, and activities of GST, SOD, and CAT, while levels of liver p53 and Nrf2 were significantly lowered compared with normal rats. Treatment interventions with both 25 and 50 mg/kg of FEAC against the DEN-CCl4-induced HCAR gave comparable effects, marked by a significant reduction in the levels of serum ALT, AST and α-FP, as well as liver levels of MDA, GSH, Akt/PKB, NF-κB, TNF-α, GST, SOD, and CAT, while levels of liver p53 and Nrf2 were significantly elevated compared with normal rats. Put together and judging by the outcomes of this study, FEAC being a potent antioxidant may also be potent against chemical-induced HCAR via upregulation of p53 and Nrf2, as well as downregulation of the Akt/PKB-NF-κB pathway in rats