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Examining Imports of Capital Goods From China as a Channel for Technology Transfer and Growth in Sub-Saharan Africa

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  • Jonathan Munemo

Abstract

The author contributes to related literature by analyzing how economic growth in Sub-Saharan Africa is affected by the growing dependency on capital goods from China. The author finds robust evidence in support of the hypothesis that capital goods from China are an important technology transfer channel that enhances economic growth in Africa. Therefore, trade liberalization policies aimed at attracting Chinese capital on a non-preferential basis are important. In addition, the results also suggest that growth strategies based on greater physical and human capital accumulation, increased trade openness, political stability, and less government consumption expenditure are important.

Suggested Citation

  • Jonathan Munemo, 2013. "Examining Imports of Capital Goods From China as a Channel for Technology Transfer and Growth in Sub-Saharan Africa," Journal of African Business, Taylor & Francis Journals, vol. 14(2), pages 106-116, August.
  • Handle: RePEc:taf:wjabxx:v:14:y:2013:i:2:p:106-116
    DOI: 10.1080/15228916.2013.804370
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    References listed on IDEAS

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    1. Murat Şeker, 2012. "Importing, Exporting, and Innovation in Developing Countries," Review of International Economics, Wiley Blackwell, vol. 20(2), pages 299-314, May.
    2. Bee Yan Aw & Xiaomin Chen & Mark J. Roberts, 1997. "Firm-level Evidence on Productivity Differentials, Turnover, and Exports in Taiwanese Manufacturing," NBER Working Papers 6235, National Bureau of Economic Research, Inc.
    3. Harry G. Broadman, 2007. "Africa's Silk Road : China and India's New Economic Frontier," World Bank Publications, The World Bank, number 7186, September.
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    Citations

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    Cited by:

    1. NGUENA Christian-Lambert, 2014. "External Debt Origin, Capital Flight and Poverty Reduction in the Franc Zone: Does the Economic Consequences of Sino-African Relationship matter?," Working Papers of the African Governance and Development Institute. 14/016, African Governance and Development Institute..
    2. Simplice A. Asongu & Jacinta C. Nwachukwu & Gilbert A. A. Aminkeng, 2018. "Lessons from a Survey of China’s Economic Diplomacy," Research Africa Network Working Papers 18/009, Research Africa Network (RAN).
    3. Richmond Atta-Ankomah, 2015. "Chinese Technologies and pro-poor industrialisation in Sub Saharan Africa: The case of furniture manufacturing in Kenya," Globelics Working Paper Series 2015-15, Globelics - Global Network for Economics of Learning, Innovation, and Competence Building Systems, Aalborg University, Department of Business and Management.
    4. Asongu, Simplice A, 2014. "A Development Consensus reconciling the Beijing Model and Washington Consensus: Views and Agenda," MPRA Paper 58757, University Library of Munich, Germany.
    5. Asongu, Simplice A, 2014. "Sino-African relations: a review and reconciliation of dominant schools of thought," MPRA Paper 66597, University Library of Munich, Germany.
    6. Simplice A. Asongu & Paul N. Acha-Anyi, 2019. "A Survey on the Washington Consensus and the Beijing Model: Reconciling Development Perspectives," Working Papers of the African Governance and Development Institute. 19/050, African Governance and Development Institute..
    7. Simplice A. Asongu & Gilbert A.A. Aminkeng, 2013. "The economic consequences of China--Africa relations: debunking myths in the debate," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 11(4), pages 261-277, November.
    8. Simplice Asongu & Jacinta C. Nwachukwu & Gilbert A. A. Aminkeng, 2018. "Lessons from a Survey of China’s Economic Diplomacy," Working Papers of the African Governance and Development Institute. 18/009, African Governance and Development Institute..
    9. Simplice Asongu & John Ssozi, 2016. "Sino-African Relations: Some Solutions and Strategies to the Policy Syndromes," Journal of African Business, Taylor & Francis Journals, vol. 17(1), pages 33-51, January.
    10. Simplice Asongu & Jacinta C. Nwachukwu & Gilbert A. A. Aminkeng, 2014. "China’s Strategies in Economic Diplomacy: A Survey of Updated Lessons for Africa, the West and China," Working Papers of the African Governance and Development Institute. 14/036, African Governance and Development Institute..
    11. Bonga-Bonga, Lumengo & Biyase, Mduduzi, 2018. "The impact of Chinese textile imports on employment and value added in the manufacturing sector of the South African economy," MPRA Paper 88181, University Library of Munich, Germany.

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