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1 – 10 of 16Hermann Ndoya and Simplice A. Asongu
This study aims to analyse the impact of digital divide (DD) on income inequality in sub-Saharan Africa over the period 2004–2016.
Abstract
Purpose
This study aims to analyse the impact of digital divide (DD) on income inequality in sub-Saharan Africa over the period 2004–2016.
Design/methodology/approach
In applying a finite mixture model (FMM) to a sample of 35 sub-Saharan African (SSA) countries, this study posits that DD affects income inequality differently.
Findings
The findings show that the effect of DD on income inequality varies across two distinct groups of countries, which differ according to their level of globalization. In addition, the study shows that most globalized countries are more inclined to be in the group where the effect of DD on income inequality is negative. The results are consistent with several robustness checks, including alternative measures of income inequality and additional control variables.
Originality/value
This study complements that extant literature by assessing linkages among the DD, globalization and income inequality in sub-Saharan African countries contingent on cross-country heterogeneity.
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Stephen Kelechi Dimnwobi, Ebele Stella Nwokoye, Clement Izuchukwu Igbanugo, Chukwunonso Sylvester Ekesiobi and Simplice A. Asongu
This paper empirically assesses energy efficiency (EE) adoption among firms by examining the factors that drive investment in EE in the Onitsha plastic cluster, South-East…
Abstract
Purpose
This paper empirically assesses energy efficiency (EE) adoption among firms by examining the factors that drive investment in EE in the Onitsha plastic cluster, South-East, Nigeria.
Design/methodology/approach
Self-administered questionnaires were delivered to the selected enterprises. A total of 450 questionnaires were administered of which 423 were certified valid and used for the analysis. A Heckit model was developed and estimated.
Findings
Gender, firm size, Joneses effect and expected cost reduction benefits are the significant determinants of EE investment. However, firm structure, government incentives, regulatory requirements and reduction of carbon emission are insignificant drivers of EE investment decisions in the Onitsha plastic cluster.
Originality/value
This paper presents a foremost attempt at analysing the determinants of energy investment in a cluster in Nigeria.
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This study aims to examine how the starting of business by females can be promoted by assessing critical levels of microfinance institutions (MFIs) penetration that policymakers…
Abstract
Purpose
This study aims to examine how the starting of business by females can be promoted by assessing critical levels of microfinance institutions (MFIs) penetration that policymakers must endeavor to maintain and/or attain in order for female unemployment not to represent a constraint in the doing of business. A constraint in doing business is understood in terms of the procedure that a woman has to go through to start a business.
Design/methodology/approach
The focus of the study is on 44 countries in Sub-Saharan Africa for the period 2004–2018, while the empirical evidence is based on interactive quantile regressions.
Findings
The following findings are established. The validity of tested hypotheses is exclusively apparent in the lowest and highest quantiles of the conditional distribution of the procedure women have to go through to start a business. MFI penetration levels needed to reverse the unfavorable incidence of female unemployment in doing business are provided. These are minimum MFIs penetration thresholds that are required in order for female unemployment not to negatively affect the procedure that a woman should go through to start a business.
Originality/value
The study complements the extant literature by assessing critical microfinance penetration levels that are needed to promote female doing of business, contingent on existing levels of female doing of business.
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Simplice Asongu and Nicholas M. Odhiambo
This study assesses the relevance of foreign aid to the incidence of capital flight and unemployment in 20 countries in sub-Saharan Africa.
Abstract
Purpose
This study assesses the relevance of foreign aid to the incidence of capital flight and unemployment in 20 countries in sub-Saharan Africa.
Design/methodology/approach
The study is for the period 1996–2018, and the empirical evidence is based on interactive quantile regressions in order to assess the nexuses throughout the conditional distribution of the unemployment outcome variable.
Findings
From the findings, capital flight has a positive unconditional incidence on unemployment, while foreign aid dampens the underlying positive unconditional nexus. Moreover, in order for the positive incidence of capital flight to be completely dampened, foreign aid thresholds of 2.230 and 3.964 (% of GDP) are needed at the 10th and 25th quantiles, respectively, of the conditional distribution of unemployment. It follows that the relevance of foreign aid in crowding out the unfavourable incidence of capital flight on unemployment is significantly apparent only in the lowest quantiles or countries with below-median levels of unemployment. The policy implications are discussed.
Originality/value
The study complements the extant literature by assessing the importance of development assistance in how capital flight affects unemployment in sub-Saharan Africa.
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Simplice Asongu, Christelle Meniago and Raufhon Salahodjaev
This study investigates (1) the effect of foreign direct investment (FDI) on total factor productivity (TFP) and economic growth dynamics and (2) the relevance of value added from…
Abstract
Purpose
This study investigates (1) the effect of foreign direct investment (FDI) on total factor productivity (TFP) and economic growth dynamics and (2) the relevance of value added from three economic sectors in modulating the established effect of FDI on TFP and economic growth dynamics.
Design/methodology/approach
The geographical and temporal scopes are respectively 25 Sub-Saharan African countries and the period 1980–2014. The empirical evidence is based on non-interactive and interactive generalised method of moments.
Findings
The following main findings are established. First, FDI has a positive effect on gross domestic product (GDP) growth, GDP per capita and welfare real TFP. Second, the effect of FDI is negative on real GDP and TFP while the impact is insignificant on real TFP growth and welfare TFP. Third, values added to the three economic sectors largely modulate FDI to produce negative net effects on TFP and growth dynamics.
Practical implications
Policy implications are discussed with particular emphasis on the need to complement added value across various economic sectors in order to leverage on the benefits of FDI in TFP and economic growth.
Originality/value
To the best of the authors’ knowledge, this is the first study to assess how value added from various economic sectors affect the relevance of FDI on macroeconomic outcomes.
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Simplice Asongu and Nicholas M. Odhiambo
The present study investigates the nexus between health performance dynamics and economic growth in 43 countries in sub-Saharan Africa for the period 2004–2018.
Abstract
Purpose
The present study investigates the nexus between health performance dynamics and economic growth in 43 countries in sub-Saharan Africa for the period 2004–2018.
Design/methodology/approach
Four health performance dynamics are used, notably: total life expectancy, male life expectancy, female life expectancy and risk of maternal death. The empirical evidence is based on quantile regressions (QRs) in order to put into perspective the conditional distribution of economic growth.
Findings
The following findings are established: (1) total life expectancy and male life expectancy increase economic growth exclusively in the 10th and 90th quantiles of economic growth; (2) female life expectancy boosts economic growth in the 90th quantile of economic growth and (3) the risk of maternal death reduces economic growth in the 75th and 90th quantiles of economic growth. Policy implications are discussed.
Originality/value
The study complements the literature on the nexus between health performance and economic growth by assessing the nexuses throughout the conditional distribution of economic growth.
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Cheikh Tidiane Ndour and Simplice Asongu
This study examines the relevance of information and communication technologies in the effect of gender economic inclusion on environmental sustainability.
Abstract
Purpose
This study examines the relevance of information and communication technologies in the effect of gender economic inclusion on environmental sustainability.
Design/methodology/approach
The focus is on a panel of 42 sub-Saharan African countries over the period 2005–2020. The empirical evidence is based on generalized method of moments. The environmental sustainability indicator used is CO2 emissions per capita. Three indicators of women’s economic inclusion are considered: female labour force participation, female employment and female unemployment. The chosen ICT indicators are mobile phone penetration, Internet penetration and fixed broadband subscriptions.
Findings
The results show that: (1) fixed broadband subscriptions represent the most relevant ICT moderator of gender economic inclusion for an effect on CO2 emissions; (2) negative net effects are apparent for the most part with fixed broadband subscriptions (3) both positive ICT thresholds (i.e., critical levels for complementary policies) and negative ICT thresholds (i.e., minimum ICT levels for negative net effects) are provided; (4) ICT synergy effects are apparent for female unemployment, but not for female employment. In general, the joint effect of ICTs or their synergies and economic inclusion should be a concern for policymakers in order to better ensure sustainable development. Moreover, the relevant ICT policy thresholds and mobile phone threshold for complementary policy are essential in promoting a green economy.
Originality/value
The study complements the extant literature by assessing linkages between information technology, gender economic inclusion and environmental sustainability.
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Olatunji Shobande, Lawrence Ogbeifun and Simplice Asongu
This study aims to explore whether globalization and technology are harmful to health using a global panel data set of 52 countries over the period 1990–2019.
Abstract
Purpose
This study aims to explore whether globalization and technology are harmful to health using a global panel data set of 52 countries over the period 1990–2019.
Design/methodology/approach
The study focused on four continents: Africa, the Americas, Asia/Oceania and Europe. The authors used four advanced econometric methodologies, which include the standard panel fixed effect (FE), Arellano–Bover/Blundell–Bond dynamic panel, Hausman–Taylor specification and two-stage least squares (FE-2SLS)/Lewbel-2SLS approaches.
Findings
The empirical evidence highlights the significance of globalization and technology in promoting global health. The findings suggest that globalization has various impacts on global health indicators and that technology is useful in tracking, monitoring and promoting global health. In addition, the empirical evidence indicates that a truly health-centred process of globalization and technological innovation can only be realized by ensuring that the interests of countries and vulnerable populations to health risks are adequately considered in international decision-making regarding global economic integration.
Originality/value
The authors suggest that achieving the aspiration of global health will entail the use of globalization and information technology to extend human activities and provide equal access to global health.
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The purpose of the study is to assess if a policy of female inclusive education should be complemented with a policy of female ownership of bank accounts to fight female…
Abstract
Purpose
The purpose of the study is to assess if a policy of female inclusive education should be complemented with a policy of female ownership of bank accounts to fight female unemployment. The study therefore examines how female ownership of bank accounts moderates the incidence of female education on female unemployment.
Design/methodology/approach
The focus is on 44 sub-Saharan African (SSA) countries for the period 2004–2018 and the empirical evidence is based on interactive quantile regressions. The interactions are tailored such that female ownership of bank accounts influences the effect of female inclusive education on female unemployment.
Findings
From the empirical findings it is evident that female ownership of bank accounts does not effectively moderate female education in order to reduce female unemployment unless complementary policies are considered. The complementary policies should be in view of boosting the interaction between female education and female bank account ownership in increasing employment opportunities for the female gender and by extension, reducing female unemployment. The invalidity of the moderating effect is robust to the inclusion of more elements in the conditioning information set as well as accounting for other dimensions of endogeneity such as simultaneity and the unobserved heterogeneity. Policy implications are discussed.
Originality/value
This study contributes to the extant literature by assessing how female ownership of bank accounts complements female inclusive education to reduce female unemployment.
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Omang Ombolo Messono and Simplice Asongu
This study aims to investigate the effects of the historical prevalence of infectious diseases on contemporary entrepreneurship. Previous studies reveal numerous proximate causes…
Abstract
Purpose
This study aims to investigate the effects of the historical prevalence of infectious diseases on contemporary entrepreneurship. Previous studies reveal numerous proximate causes of entrepreneurship, but little is known about the fundamental determinants of this widespread economic concern.
Design/methodology/approach
The central hypothesis is that historical pathogens exert persistent impacts on present-day entrepreneurship. The authors provide support for the underlying hypothesis using ordinary least squares and two-stage least squares with cross-sectional data from 125 countries consisting of the averages between 2006 and 2018.
Findings
Past diseases reduce entrepreneurship both directly and indirectly. The strongest indirect effects occur through GDP per capita, property rights, innovation, entrepreneurial attitudes, entrepreneurial abilities, entrepreneurial aspirations and skills. This result is robust to many sensitivity tests. Policymakers may take these findings into account and incorporate disease pathogens into the design of entrepreneurship.
Originality/value
The novelty of this paper lies in the adoption of a historical approach that sheds light on the deep historical roots of cross-country differences in entrepreneurship.
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