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Institutions, governance and technology catch-up in North Africa

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  • Drine, Imed

Abstract

This paper aims to analyse the effects of institution quality on technology catch-up in five North African countries (Algeria, Egypt, Morocco, Sudan and Tunisia) compared to 3 groups of developing and emerging countries (Sub Saharan Africa, Asia, and Latin America) over the period 1970–2005. The study adopts a two-stage methodology. First, we estimate the technology gap using the metafrontier approach. Then we test the relationship between the technology gap and the quality of governance. The empirical results show that institutions (corruption, law and rules and investment climate) are very important in closing the technology gap and speeding up the technology catch-up. Other determinants of the technology gap are also identified: foreign direct investment, human capital and trade.

Suggested Citation

  • Drine, Imed, 2012. "Institutions, governance and technology catch-up in North Africa," Economic Modelling, Elsevier, vol. 29(6), pages 2155-2162.
  • Handle: RePEc:eee:ecmode:v:29:y:2012:i:6:p:2155-2162 DOI: 10.1016/j.econmod.2012.05.038
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    Cited by:

    1. Bournakis, Ioannis & Tsoukis, Christopher, 2016. "Government size, institutions, and export performance among OECD economies," Economic Modelling, Elsevier, vol. 53(C), pages 37-47.
    2. Kontolaimou, Alexandra & Giotopoulos, Ioannis & Tsakanikas, Aggelos, 2016. "A typology of European countries based on innovation efficiency and technology gaps: The role of early-stage entrepreneurship," Economic Modelling, Elsevier, vol. 52(PB), pages 477-484.
    3. Maurice CATIN & El Mouhoub MOUHOUD, 2013. "Introduction - Productivité Et Capital Humain Dans Les Pays Du Sud De La Méditerranée," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 37, pages 5-9.
    4. Hamilton, Alexander & Hudson, J R, 2014. "Bribery and Identification:Evidence from Sudan," Department of Economics Working Papers 39841, University of Bath, Department of Economics.
    5. Maurice CATIN & El Mouhoub MOUHOUD, 2012. "Inégalités Et Pauvreté Dans Les Pays Arabes : Introduction," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 35, pages 5-9.

    More about this item

    Keywords

    Metafrontier; Technology gap; Catching-up; Efficiency; Stochastic frontier; Governance; North Africa;

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
    • K49 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Other
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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