Can aid stimulate productivity in Sub-Saharan Africa? A dynamic panel approach

Katarzyna Świerczyńska , Agata Kliber

Abstract

The aim of the study was to examine the impact of the official development aid (ODA) on productivity in Sub-Saharan Africa. As development policies embrace different types of aid interventions, we decomposed aid by type of flows and analysed their relations with 24 African states’ productivity (measured by total factor productivity) over the period 1995-2014. Results of the dynamic panel model estimation reveal important implications for the development cooperation policy agenda. It appears that although total value of ODA does not support productivity, technical aid disbursements are associated with higher total factor productivity. This implies that the implementation of technical cooperation enables absorption of technology and contributes to the increase of technology development in recipient Sub-Saharan African countries. The results are fairly robust. Moreover, in this study we confirm that low infrastructure development and shortages in primary education are associated with lower productivity, while trade openness, development of financial market, and political stability - with higher productivity values.
Author Katarzyna Świerczyńska (WE / KPEiPR)
Katarzyna Świerczyńska,,
- Department of Economic Journalism and Public Relations
, Agata Kliber (WIiGE / KMS)
Agata Kliber,,
- Department of Applied Mathematics
Journal seriesBusiness and Economic Horizons, ISSN 1804-1205, e-ISSN 1804-5006, (N/A 20 pkt)
Issue year2019
Vol15
No1
Pages158-186
Publication size in sheets1.4
Keywords in Polishoficjalna pomoc rozwojowa, Afryka Subsaharyjska, absorpcja technologii, produktywność
Keywords in EnglishOfficial development assistance, technical cooperation, Sub-Saharan Africa, technology absorption, total factor productivity
ASJC Classification1403 Business and International Management; 2000 General Economics, Econometrics and Finance
DOIDOI:10.15208/beh.2019.10
URL https://academicpublishingplatforms.com/downloads/pdfs/beh/volume35/201904190431_10_BEH_2019_Vol15_Issue1_Swierczynska_and_Kliber_Can_aid_stimulate_productivity_Sub-Saharan_Africa_158-186.pdf
Languageen angielski
Score (nominal)20
Score sourcejournalList
ScoreMinisterial score = 20.0, 06-04-2020, ArticleFromJournal
Publication indicators WoS Citations = 0; Scopus SNIP (Source Normalised Impact per Paper): 2018 = 0.167
Citation count*1 (2020-07-01)
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* presented citation count is obtained through Internet information analysis and it is close to the number calculated by the Publish or Perish system.
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