IDEAS home Printed from https://ideas.repec.org/a/plo/pone00/0275345.html
   My bibliography  Save this article

The combined effect of institutional quality and capital flows on food and nutrition security and undernourishment in Sub-Saharan Africa

Author

Listed:
  • Danny Cassimon
  • Olusegun Fadare
  • George Mavrotas

Abstract

Issues related to malnutrition, broadly defined, have received a growing attention in recent years, not only in connection with the Sustainable Development Goals but also recently with the unprecedented Covid-19 pandemic. At the same time, there exists a complex interaction between institutions, capital flows, and food and nutrition security that has received less attention in the relevant literature. In this paper we estimate a series of dynamic panel data models to examine the impact of institutional quality and capital flows on food security, nutrition security and undernourishment by using panel data for 25 SSA countries over the period 1996 to 2018. One of the key contributions of the paper is the use of both aggregate and disaggregated capital flows to examine the impact on both food and nutrition security, a dimension that has been surprisingly neglected in most of the relevant literature. We combine this with the interaction of various types of capital flows with an institutional quality index we constructed from various governance indicators to examine the impact of institutions on the overall nexus. Finally, we examine the impact not only on food and nutrition security but also on undernourishment. Our findings clearly demonstrate the importance of a heterogeneity approach and reflect on earlier work regarding the role of institutional quality in the overall nexus between external capital flows and various measures of food and nutrition security which leads, and as expected, to an interesting variation in the results obtained, depending on the type of capital flows and the interaction with the governance indicators.

Suggested Citation

  • Danny Cassimon & Olusegun Fadare & George Mavrotas, 2022. "The combined effect of institutional quality and capital flows on food and nutrition security and undernourishment in Sub-Saharan Africa," PLOS ONE, Public Library of Science, vol. 17(10), pages 1-19, October.
    • Handle: RePEc:plo:pone00:0275345
    DOI: 10.1371/journal.pone.0275345
    as

    Download full text from publisher

    File URL: https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0275345
    Download Restriction: no
    File URL: https://journals.plos.org/plosone/article/file?id=10.1371/journal.pone.0275345&type=printable
    Download Restriction: no
    File URL: https://libkey.io/10.1371/journal.pone.0275345?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Taylor, Karl & Driffield, Nigel, 2005. "Wage inequality and the role of multinationals: evidence from UK panel data," Labour Economics, Elsevier, vol. 12(2), pages 223-249, April.
    2. Hansen, Lars Peter, 1982. "Large Sample Properties of Generalized Method of Moments Estimators," Econometrica, Econometric Society, vol. 50(4), pages 1029-1054, July.
    3. Arellano, Manuel & Bover, Olympia, 1995. "Another look at the instrumental variable estimation of error-components models," Journal of Econometrics, Elsevier, vol. 68(1), pages 29-51, July.
    4. repec:eco:journ1:2014-03-23 is not listed on IDEAS
    5. Barrett, Christopher B. & Bellemare, Marc F. & Hou, Janet Y., 2010. "Reconsidering Conventional Explanations of the Inverse Productivity-Size Relationship," World Development, Elsevier, vol. 38(1), pages 88-97, January.
    6. Jakob Svensson, 2000. "Foreign aid and rent-seeking," Springer Books, in: Roger D. Congleton & Kai A. Konrad & Arye L. Hillman (ed.), 40 Years of Research on Rent Seeking 2, pages 165-189, Springer.
    7. Holtz-Eakin, Douglas & Newey, Whitney & Rosen, Harvey S, 1988. "Estimating Vector Autoregressions with Panel Data," Econometrica, Econometric Society, vol. 56(6), pages 1371-1395, November.
    8. Reeves, Aaron & Loopstra, Rachel & Tarasuk, Valerie, 2021. "Wage-Setting Policies, Employment, and Food Insecurity: A Multilevel Analysis of 492 078 People in 139 Countries," SocArXiv 4urcm, Center for Open Science.
    9. Ogunniyi, Adebayo Isaiah & Mavrotas, George & Olagunju, Kehinde Oluseyi & Fadare, Olusegun & Adedoyin, Rufai, 2020. "Governance quality, remittances and their implications for food and nutrition security in Sub-Saharan Africa," World Development, Elsevier, vol. 127(C).
    10. Basu, Parantap & Guariglia, Alessandra, 2007. "Foreign Direct Investment, inequality, and growth," Journal of Macroeconomics, Elsevier, vol. 29(4), pages 824-839, December.
    11. Smith, Lisa C. & Haddad, Lawrence, 2015. "Reducing Child Undernutrition: Past Drivers and Priorities for the Post-MDG Era," World Development, Elsevier, vol. 68(C), pages 180-204.
    12. Loayza, Norman V. & Olaberría, Eduardo & Rigolini, Jamele & Christiaensen, Luc, 2012. "Natural Disasters and Growth: Going Beyond the Averages," World Development, Elsevier, vol. 40(7), pages 1317-1336.
    13. Soriano, Bárbara & Garrido, Alberto, 2016. "How important is economic growth for reducing undernourishment in developing countries?," Food Policy, Elsevier, vol. 63(C), pages 87-101.
    14. Dithmer, Jan & Abdulai, Awudu, 2017. "Does trade openness contribute to food security? A dynamic panel analysis," Food Policy, Elsevier, vol. 69(C), pages 218-230.
    15. Onyinye I Anthony-Orji & Anthony-Orji & Jonathan E Ogbuabor & Emmanuel O Nwosu, 2018. "Foreign Capital Inflows and Unemployment in Nigeria: A New Evidence from ARDL-Bounds Testing Approach," International Journal of Business, Economics and Management, Conscientia Beam, vol. 5(6), pages 176-188.
    16. Mary, Sébastien & Saravia-Matus, Silvia & Gomez y Paloma, Sergio, 2018. "Does nutrition-sensitive aid reduce the prevalence of undernourishment?," Food Policy, Elsevier, vol. 74(C), pages 100-116.
    17. repec:osf:socarx:4urcm_v1 is not listed on IDEAS
    18. Muhammad Khalid Anser & Romanus Osabohien & Olawale Olonade & Alhassan Abdulwakeel Karakara & Idowu Bashiru Olalekan & Junaid Ashraf & Angie Igbinoba, 2021. "Impact of ICT Adoption and Governance Interaction on Food Security in West Africa," Sustainability, MDPI, vol. 13(10), pages 1-11, May.
    19. Dejene Mamo Bekana, 2020. "Does governance quality promote innovation in sub-Saharan Africa? An empirical study across 37 countries," Innovation and Development, Taylor & Francis Journals, vol. 10(1), pages 21-44, January.
    20. Karolina Pawlak & Małgorzata Kołodziejczak, 2020. "The Role of Agriculture in Ensuring Food Security in Developing Countries: Considerations in the Context of the Problem of Sustainable Food Production," Sustainability, MDPI, vol. 12(13), pages 1-20, July.
    21. Mehta, Aashish & Jha, Shikha, 2012. "Corruption, food subsidies, and opacity: Evidence from the Philippines," Economics Letters, Elsevier, vol. 117(3), pages 708-711.
    22. Nickell, Stephen J, 1981. "Biases in Dynamic Models with Fixed Effects," Econometrica, Econometric Society, vol. 49(6), pages 1417-1426, November.
    23. Martin-Shields, Charles P. & Stojetz, Wolfgang, 2019. "Food security and conflict: Empirical challenges and future opportunities for research and policy making on food security and conflict," World Development, Elsevier, vol. 119(C), pages 150-164.
    24. Ogundari, Kolawole & Awokuse, Titus, 2018. "Human capital contribution to economic growth in Sub-Saharan Africa: Does health status matter more than education?," Economic Analysis and Policy, Elsevier, vol. 58(C), pages 131-140.
    25. Sabrine Dhahri & Anis Omri, 2020. "Are international capital flows really matter for achieving SDGs 1 and 2: ending poverty and hunger?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 156(4), pages 731-767, November.
    26. Onyinye I. Anthony-Orji & Anthony- Orji & Jonathan E. Ogbuabor & Emmanuel O. Nwosu, 2018. "Foreign Capital Inflows and Unemployment in Nigeria: A New Evidence from ARDL-Bounds Testing Approach," International Journal of Business, Economics and Management, Conscientia Beam, vol. 5(6), pages 176-188.
    27. Emmanuel O. Nwosu & Anthony Orji, 2018. "A Comparative Analysis of Socioeconomic Indicators and Child Nutritional Status in Nigeria’s Geopolitical Zones," Child Indicators Research, Springer;The International Society of Child Indicators (ISCI), vol. 11(5), pages 1677-1698, October.
    28. Fadare, Olusegun & Zanello, Giacomo & Srinivasan, Chittur, 2022. "The joint effects of terrorism and land access on livestock production decisions: Evidence from northern Nigeria," World Development Perspectives, Elsevier, vol. 27(C).
    29. Anderson, T. W. & Hsiao, Cheng, 1982. "Formulation and estimation of dynamic models using panel data," Journal of Econometrics, Elsevier, vol. 18(1), pages 47-82, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Junqi Liu & Ellis Chukwumerije Nwagu & Rongbing Liu & Qi Wang & Gouranga Chandra Debnath & Roni Bhowmik, 2024. "Effect of Chinese outward FDI on youth unemployment in sub-Saharan Africa," PLOS ONE, Public Library of Science, vol. 19(7), pages 1-35, July.

    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. Danny Cassimon & Olusegun Fadare & George Mavrotas, 2023. "The Impact of Food Aid and Governance on Food and Nutrition Security in Sub-Saharan Africa," Sustainability, MDPI, vol. 15(2), pages 1-19, January.
    2. Ogunniyi, Adebayo Isaiah & Mavrotas, George & Olagunju, Kehinde Oluseyi & Fadare, Olusegun & Adedoyin, Rufai, 2020. "Governance quality, remittances and their implications for food and nutrition security in Sub-Saharan Africa," World Development, Elsevier, vol. 127(C).
    3. Zouhaier Aloui & Samir Maktouf, 2024. "The Impact of Foreign Direct Investment and Political Stability on Food Security: Evidence from Sub-Saharan African Countries," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 66(2), pages 289-328, June.
    4. Anthony Orji & Jonathan E. Ogbuabor & Chiamaka F. Okolomike & Onyinye I. Anthony-Orji, 2022. "Do Capital Inflows and Financial Development, Influence Economic Growth in West Africa? Further Evidence from Transmission Mechanisms," Econometric Research in Finance, SGH Warsaw School of Economics, Collegium of Economic Analysis, vol. 7(1), pages 71-94.
    5. Piotr Gretszel & Henryk Gurgul & £ukasz Lach & Stefan Schleicher, 2020. "Testing for the economic and environmental impacts of EU Emissions Trading System: A panel GMM approach," Managerial Economics, AGH University of Science and Technology, Faculty of Management, vol. 21(2), pages 99-125.
    6. Binder, Michael & Hsiao, Cheng & Pesaran, M. Hashem, 2005. "Estimation And Inference In Short Panel Vector Autoregressions With Unit Roots And Cointegration," Econometric Theory, Cambridge University Press, vol. 21(4), pages 795-837, August.
    7. repec:zbw:inwedp:652016 is not listed on IDEAS
    8. Rahman, Mizanur, 2008. "The Impact of a Common Currency on East Asian Production Networks and China’s Exports Behavior," MPRA Paper 13931, University Library of Munich, Germany.
    9. Al-Jahwari, Salim Ahmed Said, 2021. "Does the Twin-Deficits doctrine apply to the Gulf Cooperation Council? A dynamic panel VAR-X model approach," MPRA Paper 111232, University Library of Munich, Germany.
    10. Njangang, Henri & Asongu, Simplice A. & Mouchili, Eric, 2024. "Does corruption starve Africa? The mitigating effect of political distribution of power," Journal of Policy Modeling, Elsevier, vol. 46(1), pages 171-197.
    11. Mary, Sebastien & Shaw, Kelsey & Colen, Liesbeth & Gomez y Paloma, Sergio, 2020. "Does agricultural aid reduce child stunting?," World Development, Elsevier, vol. 130(C).
    12. Dithmer, Jan & Abdulai, Awudu, 2017. "Does trade openness contribute to food security? A dynamic panel analysis," Food Policy, Elsevier, vol. 69(C), pages 218-230.
    13. Ridwan Lanre Ibrahim & Usama Al-Mulali & Kazeem Bello Ajide & Abubakar Mohammed & Mamdouh Abdulaziz Saleh Al-Faryan, 2023. "The Implications of Food Security on Sustainability: Do Trade Facilitation, Population Growth, and Institutional Quality Make or Mar the Target for SSA?," Sustainability, MDPI, vol. 15(3), pages 1-23, January.
    14. Jan F. Kiviet, 2005. "Judging Contending Estimators by Simulation: Tournaments in Dynamic Panel Data Models," Tinbergen Institute Discussion Papers 05-112/4, Tinbergen Institute.
    15. João Lourenço Marques & Muhammad Tufail & Jan Wolf & Mara Madaleno, 2021. "Population Growth and the Local Provision of Services: The Role of Primary Schools in Portugal," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 40(2), pages 309-335, April.
    16. Sigmund, Michael & Ferstl, Robert, 2021. "Panel vector autoregression in R with the package panelvar," The Quarterly Review of Economics and Finance, Elsevier, vol. 80(C), pages 693-720.
    17. Feichtinger, Paul & Salhofer, Klaus, 2016. "Decoupled Single Farm Payments of the CAP and Land Rental Prices," Discussion Papers DP-65-2016, University of Natural Resources and Life Sciences, Vienna, Department of Economics and Social Sciences, Institute for Sustainable Economic Development.
    18. David Roodman, 2006. "How to Do xtabond2," North American Stata Users' Group Meetings 2006 8, Stata Users Group.
    19. Seidu, Ayuba & Onel, Gulcan & Moss, Charles Britt, 2018. "Impact of International Remittance on Out-Farm Labor Migration in Developing Countries: A Dynamic Panel Data Analysis," 2018 Annual Meeting, February 2-6, 2018, Jacksonville, Florida 266531, Southern Agricultural Economics Association.
    20. David Roodman, 2009. "A Note on the Theme of Too Many Instruments," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 71(1), pages 135-158, February.
    21. Youssef, Ahmed & Abonazel, Mohamed R., 2015. "Alternative GMM Estimators for First-order Autoregressive Panel Model: An Improving Efficiency Approach," MPRA Paper 68674, University Library of Munich, Germany.

    More about this item

    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:plo:pone00:0275345. 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: plosone (email available below). General contact details of provider: https://journals.plos.org/plosone/ .

    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.