IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/62309.html
   My bibliography  Save this paper

Diversification in Africa in a macroeconomic perspective

Author

Listed:
  • Galy, Michel

Abstract

This paper contrasts the poor performance of African economies over the past 30 years with the remarkable development of East Asian newly industrialized countries. It provides evidence that the lack of diversification, stemming from the adoption of inward-looking strategies, interventionist policies, and the absence of a competitive environment, is at the root of the lagging development of African countries. Sound macroeconomic policies and structural reforms to foster capital and labor mobility, as well as trade liberalization are a prerequisite to enhance the economic growth potential of African countries.

Suggested Citation

  • Galy, Michel, 1995. "Diversification in Africa in a macroeconomic perspective," MPRA Paper 62309, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:62309
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/62309/1/MPRA_paper_62309.pdf
    File Function: original version
    Download Restriction: no
    File URL: https://mpra.ub.uni-muenchen.de/62361/1/MPRA_paper_62309.pdf
    File Function: revised version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-1037, October.
    2. Kemal Dervis & Peter A. Petri, 1987. "The Macroeconomics of Successful Development: What Are the Lessons?," NBER Chapters, in: NBER Macroeconomics Annual 1987, Volume 2, pages 211-262, National Bureau of Economic Research, Inc.
    3. Easterly, William & Kremer, Michael & Pritchett, Lant & Summers, Lawrence H., 1993. "Good policy or good luck?: Country growth performance and temporary shocks," Journal of Monetary Economics, Elsevier, vol. 32(3), pages 459-483, December.
    4. K. J. Arrow, 1971. "The Economic Implications of Learning by Doing," Palgrave Macmillan Books, in: F. H. Hahn (ed.), Readings in the Theory of Growth, chapter 11, pages 131-149, Palgrave Macmillan.
    5. A. Derosa, 1992. "Increasing Export Diversification in Commodity Exporting Countries: A Theoretical Analysis," IMF Staff Papers, Palgrave Macmillan, vol. 39(3), pages 572-595, September.
    6. Prebisch, Raúl, 1950. "The economic development of Latin America and its principal problems," Sede de la CEPAL en Santiago (Estudios e Investigaciones) 29973, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Krüger Jens J. & Cantner Uwe & Hanusch Horst, 2003. "Explaining International Productivity Differences / Erklärung internationaler Produktivitätsunterschiede," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 223(6), pages 659-679, December.
    2. Thomas Ziesemer, 2018. "Testing the Growth Links of Emerging Economies: Croatia in a Growing World Economy," Bulletin of Applied Economics, Risk Market Journals, vol. 5(1), pages 1-27.
    3. KOCH, Wilfried, 2006. "Total Factor Productivity equation and development accounting: New evidence," LEG - Document de travail - Economie 2006-04, LEG, Laboratoire d'Economie et de Gestion, CNRS, Université de Bourgogne.
    4. Levine, Ross & Renelt, David, 1991. "Cross-country studies of growth and policy : methodological, conceptual, and statistical problems," Policy Research Working Paper Series 608, The World Bank.
    5. Afolabi Tunde Ahmed & Tsimisaraka Raymondo Sandra Marcelline & Sabi Couscous Mouhamadou Nazirou, 2021. "Empirical Study of the Impact of Governance on Economic Structural Change: Evidence from Sub-Saharan African Countries," International Journal of Science and Business, IJSAB International, vol. 5(8), pages 260-277.
    6. Sergey Kadochnikov & Anna Fedyunina, 2013. "Export diversification in the product space and regional growth: Evidence from Russia," Papers in Evolutionary Economic Geography (PEEG) 1327, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Dec 2013.
    7. V. V. Chari & Patrick J. Kehoe & Ellen R. McGrattan, 1996. "The Poverty of Nations: A Quantitative Exploration," NBER Working Papers 5414, National Bureau of Economic Research, Inc.
    8. J. Bradford De Long & Lawrence H. Summers, "undated". "Equipment Investment and Economic Growth: How Robust Is the Nexus?," J. Bradford De Long's Working Papers _114, University of California at Berkeley, Economics Department.
    9. A. P. Thirlwall, 2013. "Economic Growth in an Open Developing Economy," Books, Edward Elgar Publishing, number 15208.
    10. Amitava Krishna Dutt, 2017. "Heterodox Theories Of Economic Growth And Income Distribution: A Partial Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 31(5), pages 1240-1271, December.
    11. Barbier,Edward B., 2007. "Natural Resources and Economic Development," Cambridge Books, Cambridge University Press, number 9780521706513.
    12. Jens Krueger & Uwe Cantner & Horst Hanusch, 1998. "Explaining International Productivity Differences," Discussion Paper Series 179, Universitaet Augsburg, Institute for Economics.
    13. Romano, Donato, 1996. "ENDOGENOUS RURAL DEVELOPMENT AND SUSTAINABILITY: A EUROPEAN (NON ORTHODOX) PERSPECTIVE; Proceedings of the Fifth Joint Conference on Agriculture, Food, and the Environment, June 17-18, 1996, Padova, I," Working Papers 14396, University of Minnesota, Center for International Food and Agricultural Policy.
    14. Raouf Boucekkine & Fernando Del Río & Omar Licandro, 2003. "Embodied Technological Change, Learning‐by‐doing and the Productivity Slowdown," Scandinavian Journal of Economics, Wiley Blackwell, vol. 105(1), pages 87-98, March.
    15. Mikhail Y. Afanasyev & Alexander V. Kudrov, 2021. "Economic Complexity, Embedding Degree and Adjacent Diversity of the Regional Economies," Montenegrin Journal of Economics, Economic Laboratory for Transition Research (ELIT), vol. 17(2), pages 7-22.
    16. Johannes W. Fedderke & John M. Luiz, 2005. "Does Human Generate Social and Institutional Capital? Exploring Evidence From Time Series Data in a Middle Income Country," Working Papers 029, Economic Research Southern Africa.
    17. John Bound & Breno Braga & Joseph M. Golden & Gaurav Khanna, 2015. "Recruitment of Foreigners in the Market for Computer Scientists in the United States," Journal of Labor Economics, University of Chicago Press, vol. 33(S1), pages 187-223.
    18. Wilson, E.J. & Chaudhri, D.P., 2000. "Endogeneity, Knowledge and Dynamics of Long Run Capitalist Economic Growth," Economics Working Papers wp00-03, School of Economics, University of Wollongong, NSW, Australia.
    19. Rosendahl, Knut Einar, 2004. "Cost-effective environmental policy: implications of induced technological change," Journal of Environmental Economics and Management, Elsevier, vol. 48(3), pages 1099-1121, November.
    20. France Krizanic & Zan Jan Oplotnik & Vasja Kolsek & Alenka Kavkler, 2015. "Production Factors Use in the European Electricity Producing Companies During the Last Financial Crisis," International Journal of Energy Economics and Policy, Econjournals, vol. 5(3), pages 725-730.

    More about this item

    Keywords

    African economies; Diversification; International trade; Comparative advantage; Trade specialization; Terms of Trade; Endogenous growth; Macroeconomic policies; Structural reforms;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O23 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Fiscal and Monetary Policy in Development
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:62309. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.