Syed Sadaqat Ali Shah, Rabia Rafique, Muhammad Asim Afridi
This study intends to investigate public debt sustainability across 29 Sub-Sahara African (SSA) economies, employing various econometric specifications, for the sampled years 1996–2020. The study employs Bohn's (Are stationarity and cointegration restrictions really necessary for the intertemporal budget constraint? Journal of monetary Economics, 54(7), pp.1837–1847.) framework of sustainability as the baseline model to assess public debt sustainability across the sampled Sub-Sahara African economies. As additional tests of public debt sustainability in order to support the baseline findings, the study also employs panel unit root and timeseries unit tests. The baseline findings from the OLS, panel quantile and instrumental panel quantile regressions show that public debt is sustainable across the panel of SSA economies. The positive and statistically significant response of primary balance under the Bohn's framework of sustainability manifest that the intertemporal budget constraint is not violated in the sampled economies. The consistency in the estimates under the OLS, panel quantile and instrumental panel quantile regressions also show that the estimates are robust throughout the estimation process. Also, utilizing the panel unit root test for public debt sustainability, the findings show that public debt is stationary over the sampled years which implies that intertemporal budget constraint holds and that public debt is sustainable across the sampled SSA economies. However, the timeseries analysis indicate that although majority of the SSA economies have sustainable public debt ratios, four countries namely Uganda, Sudan, Togo and Cote d'Ivoire have unsustainable public debt ratios. The study has important policy implications in terms of prudent public debt management and fiscal management for the sampled SSA economies.
{"title":"Empirical examination of public debt sustainability in African economies: A panel data analysis","authors":"Syed Sadaqat Ali Shah, Rabia Rafique, Muhammad Asim Afridi","doi":"10.1002/pa.2896","DOIUrl":"10.1002/pa.2896","url":null,"abstract":"<p>This study intends to investigate public debt sustainability across 29 Sub-Sahara African (SSA) economies, employing various econometric specifications, for the sampled years 1996–2020. The study employs Bohn's (Are stationarity and cointegration restrictions really necessary for the intertemporal budget constraint? <i>Journal of monetary Economics</i>, <i>54</i>(7), pp.1837–1847.) framework of sustainability as the baseline model to assess public debt sustainability across the sampled Sub-Sahara African economies. As additional tests of public debt sustainability in order to support the baseline findings, the study also employs panel unit root and timeseries unit tests. The baseline findings from the OLS, panel quantile and instrumental panel quantile regressions show that public debt is sustainable across the panel of SSA economies. The positive and statistically significant response of primary balance under the Bohn's framework of sustainability manifest that the intertemporal budget constraint is not violated in the sampled economies. The consistency in the estimates under the OLS, panel quantile and instrumental panel quantile regressions also show that the estimates are robust throughout the estimation process. Also, utilizing the panel unit root test for public debt sustainability, the findings show that public debt is stationary over the sampled years which implies that intertemporal budget constraint holds and that public debt is sustainable across the sampled SSA economies. However, the timeseries analysis indicate that although majority of the SSA economies have sustainable public debt ratios, four countries namely Uganda, Sudan, Togo and Cote d'Ivoire have unsustainable public debt ratios. The study has important policy implications in terms of prudent public debt management and fiscal management for the sampled SSA economies.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-11-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135934567","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This study empirically examines the asymmetric effect of federal transfers in India using a panel dataset of 18 states from 2000–2001 to 2019–2020. In mapping the asymmetric effect of federal transfers on subnational spending across the Indian states, we test it in the extended ‘flypaper effect’ framework, examining whether subnational expenditures respond in the same way to changes in federal transfers. To quantify the extent of the asymmetric effect on the subnational expenditure, we employed the panel non-linear ARDL model. The results suggest that subnational spending has a greater asymmetric response to the increase in federal transfers than to a decrease. At the disaggregate level, ten out of 18 states have a fiscal replacement kind of asymmetric effect in any spending specifications. But only three validate it in the capital and development spending, and seven states validating in the non-development expenditure on the revenue accounts. Replacing the cut in federal transfers with other revenue sources that prioritise non-development spending over development spending is problematic.
{"title":"An analysis of asymmetric effect of federal transfers across Indian states","authors":"A. M. Suha, Anoop S. Kumar, P. S. Renjith","doi":"10.1002/pa.2893","DOIUrl":"10.1002/pa.2893","url":null,"abstract":"<p>This study empirically examines the asymmetric effect of federal transfers in India using a panel dataset of 18 states from 2000–2001 to 2019–2020. In mapping the asymmetric effect of federal transfers on subnational spending across the Indian states, we test it in the extended ‘flypaper effect’ framework, examining whether subnational expenditures respond in the same way to changes in federal transfers. To quantify the extent of the asymmetric effect on the subnational expenditure, we employed the panel non-linear ARDL model. The results suggest that subnational spending has a greater asymmetric response to the increase in federal transfers than to a decrease. At the disaggregate level, ten out of 18 states have a fiscal replacement kind of asymmetric effect in any spending specifications. But only three validate it in the capital and development spending, and seven states validating in the non-development expenditure on the revenue accounts. Replacing the cut in federal transfers with other revenue sources that prioritise non-development spending over development spending is problematic.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-10-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"136212005","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This paper analyzes the effects of productive capacities on tax revenue mobilization in 37 Sub-Saharan African countries. Using the Generalized Method of Moment (GMM) approach, the results show that productive capacities measured by the aggregate Productive Capacity Index (PCI) and its eight components, namely human and natural capital, energy, transport, Information and communication technologies, private sector, institutions and structural change positively and significantly affect total tax revenue mobilization. For example, an increase in one point of the PCI corresponds to an increase in total tax revenues by 0.0016 point. The effect of productive capacities also remains positive and significant on tax revenues, even when disaggregated into direct and indirect taxes. This paper contributes empirically to highlighting the importance of productive capacity in tax revenue mobilization. Hence, strengthening productive capacities is important to enhance tax revenue mobilization in Sub-Saharan African countries. To meet the current challenges of mobilizing the fiscal resources needed to meet international agendas, Sub-Saharan African countries must not only work to strengthen overall productive capacity, but also promote the quality of institutions, transport and energy, invest in human capital, create the conditions for real structural transformation, promote good digital governance and a more dynamic private sector.
{"title":"Effect of productive capacities on tax revenue mobilization: Evidence from Sub-Saharan African countries","authors":"Abdou-Fataou Tchagnao","doi":"10.1002/pa.2895","DOIUrl":"10.1002/pa.2895","url":null,"abstract":"<p>This paper analyzes the effects of productive capacities on tax revenue mobilization in 37 Sub-Saharan African countries. Using the Generalized Method of Moment (GMM) approach, the results show that productive capacities measured by the aggregate Productive Capacity Index (PCI) and its eight components, namely human and natural capital, energy, transport, Information and communication technologies, private sector, institutions and structural change positively and significantly affect total tax revenue mobilization. For example, an increase in one point of the PCI corresponds to an increase in total tax revenues by 0.0016 point. The effect of productive capacities also remains positive and significant on tax revenues, even when disaggregated into direct and indirect taxes. This paper contributes empirically to highlighting the importance of productive capacity in tax revenue mobilization. Hence, strengthening productive capacities is important to enhance tax revenue mobilization in Sub-Saharan African countries. To meet the current challenges of mobilizing the fiscal resources needed to meet international agendas, Sub-Saharan African countries must not only work to strengthen overall productive capacity, but also promote the quality of institutions, transport and energy, invest in human capital, create the conditions for real structural transformation, promote good digital governance and a more dynamic private sector.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-10-05","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135482346","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Public health communication acts as a social vaccine in case of pandemics. Prior research has identified that such initiatives often fail to reach vulnerable sections of society. In India, while the first wave of infections mainly hit the urban areas, rural areas witnessed a surge in the second wave. Using the World Bank data, we attempt to understand the effectiveness of public awareness campaigns in rural areas. We use the Ecological Model for public health and find how the various factors relate to public health outcomes. The ecological factors are found to be related to awareness of Covid-19. We find inadequate awareness about the symptoms and preventive measures associated with Covid-19 among the rural population. We also find significant differences in communication and awareness along dimensions such as education and access to media. The role played by SHGs and hospitals in dealing with pandemics is also evident in this study. We conclude that the disparity in public health communication needs to be bridged to ensure equitable access to health information in society during public health crises.
{"title":"Covid-19 communication in emerging markets—Not viral enough?","authors":"Rama Papi Reddy Annapureddy, Saparya Suresh, Varsha Khandker","doi":"10.1002/pa.2894","DOIUrl":"10.1002/pa.2894","url":null,"abstract":"<p>Public health communication acts as a social vaccine in case of pandemics. Prior research has identified that such initiatives often fail to reach vulnerable sections of society. In India, while the first wave of infections mainly hit the urban areas, rural areas witnessed a surge in the second wave. Using the World Bank data, we attempt to understand the effectiveness of public awareness campaigns in rural areas. We use the Ecological Model for public health and find how the various factors relate to public health outcomes. The ecological factors are found to be related to awareness of Covid-19. We find inadequate awareness about the symptoms and preventive measures associated with Covid-19 among the rural population. We also find significant differences in communication and awareness along dimensions such as education and access to media. The role played by SHGs and hospitals in dealing with pandemics is also evident in this study. We conclude that the disparity in public health communication needs to be bridged to ensure equitable access to health information in society during public health crises.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-09-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135243204","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This paper examines the sustainability of the current account deficit (CAD) and validity of the intertemporal budget constraint of India for the period of 1980 to 2019. The cointegration results show that exports and imports are not cointegrated and the current account (CA) series is not mean reverting during the study period. Therefore, the results refute the sustainability of CAD and the validity of the intertemporal budget constraint in the Indian context. Furthermore, the study also emphasised the testing of the disaggregated CA and found that while the goods account is not sustainable, the services account found to be sustainable in the long run. Our findings thus indicate the potential for aggregation bias to have an impact on the overall CA sustainability results. Therefore, policies that help in achieving self-sufficiency on the one hand and export promotion in goods on the other may eventually contribute to CA sustainability.
本文研究了 1980 年至 2019 年期间印度经常账户赤字(CAD)的可持续性和跨期预算约束的有效性。协整结果表明,在研究期间,出口和进口不存在协整关系,经常账户(CA)序列也不存在均值回归。因此,研究结果否定了印度 CAD 的可持续性和跨期预算约束的有效性。此外,研究还强调了对分类 CA 的测试,发现虽然货物账户不可持续,但服务账户从长期来看是可持续的。因此,我们的研究结果表明,总量偏差可能会对总体 CA 可持续性结果产生影响。因此,一方面有助于实现自给自足,另一方面有助于促进货物出口的政策最终可能会有助于核算体系的可持续性。
{"title":"Intertemporal budget constraint and current account sustainability: Evidence from a large emerging economy","authors":"Manoranjan Sahoo, M. Suresh Babu, Umakant Dash","doi":"10.1002/pa.2892","DOIUrl":"10.1002/pa.2892","url":null,"abstract":"<p>This paper examines the sustainability of the current account deficit (CAD) and validity of the intertemporal budget constraint of India for the period of 1980 to 2019. The cointegration results show that exports and imports are not cointegrated and the current account (CA) series is not mean reverting during the study period. Therefore, the results refute the sustainability of CAD and the validity of the intertemporal budget constraint in the Indian context. Furthermore, the study also emphasised the testing of the disaggregated CA and found that while the goods account is not sustainable, the services account found to be sustainable in the long run. Our findings thus indicate the potential for aggregation bias to have an impact on the overall CA sustainability results. Therefore, policies that help in achieving self-sufficiency on the one hand and export promotion in goods on the other may eventually contribute to CA sustainability.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-09-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135061367","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
The study empirically examines the connections between three different measures of financial inclusion with output growth across the states of India. Applying the panel co-integration and error correction model for 26 states and 4 union territories, it concludes that all three measures of financial development with gross fixed capital formation enhance real net state GDP significantly in the long run. Further, a significant reduction in the real net state GDP is also observed during the Global Financial Crisis. This study is important for the Indian policymakers to formulate effective financial inclusion policies leading to the overall development of the Indian economy.
{"title":"Does financial inclusion stimulate India's economy: A panel data analysis","authors":"Shantanu Ghosh, Tarak Nath Sahu, Girijasankar Mallik","doi":"10.1002/pa.2891","DOIUrl":"10.1002/pa.2891","url":null,"abstract":"<p>The study empirically examines the connections between three different measures of financial inclusion with output growth across the states of India. Applying the panel co-integration and error correction model for 26 states and 4 union territories, it concludes that all three measures of financial development with gross fixed capital formation enhance real net state GDP significantly in the long run. Further, a significant reduction in the real net state GDP is also observed during the Global Financial Crisis. This study is important for the Indian policymakers to formulate effective financial inclusion policies leading to the overall development of the Indian economy.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-09-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46928275","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
The current study reveals that Indian voters' political brand experiences positively influence their engagement and trust in a political party. Voters' addiction to political parties mediates the relationship between their party engagement and voting intentions. Thus, political marketers should increase voters' party brand addiction for proper conversion of party engagement in the ballot box. Although voters' political brand trust directly influences their voting intentions, interestingly, their political brand addictions indirectly influence the relationship between brand trust and voting intentions. The findings advocate that political marketers should ensure positive political party experiences to ensure voters' engagement with the party. Positive party experiences increase voters' trust in the party further. Another critical input for political marketers is the role of political brand addiction, which the study findings corroborate. Political brand addiction develops a set of loyal voters for a party and guarantees those voters' support for the party.
{"title":"Political brand experience and voting intention: Is there a relation?","authors":"Saikat Banerjee","doi":"10.1002/pa.2889","DOIUrl":"10.1002/pa.2889","url":null,"abstract":"<p>The current study reveals that Indian voters' political brand experiences positively influence their engagement and trust in a political party. Voters' addiction to political parties mediates the relationship between their party engagement and voting intentions. Thus, political marketers should increase voters' party brand addiction for proper conversion of party engagement in the ballot box. Although voters' political brand trust directly influences their voting intentions, interestingly, their political brand addictions indirectly influence the relationship between brand trust and voting intentions. The findings advocate that political marketers should ensure positive political party experiences to ensure voters' engagement with the party. Positive party experiences increase voters' trust in the party further. Another critical input for political marketers is the role of political brand addiction, which the study findings corroborate. Political brand addiction develops a set of loyal voters for a party and guarantees those voters' support for the party.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-08-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42508399","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This study investigates the effectiveness of collaborative governance in the context of state and local government responses to the COVID-19 pandemic in Florida. Our analysis uncovers how local authorities have successfully adapted to implement policies to increase resilience and address the crisis, despite facing challenges, constraints, and limitations. Our findings underscore the significance of considering unique local characteristics when addressing pandemics and shed light on the potential influences of state-level actors on Home Rule. Notably, research examining the interplay between state decisions and Home Rule during a pandemic is scarce. We utilize Florida as a case study to examine local government responses to COVID-19, employing a qualitative analysis of data from webinars hosted by the Florida League of Cities and media reports on local government actions. To substantiate our findings and encourage further research, we apply the collaborative governance framework in the context of local government administrative responsibilities.
{"title":"Navigating collaborative governance in Florida: An analysis of local governments resilience amidst the COVID-19 pandemic","authors":"Haris Alibašić, Mattia Casula","doi":"10.1002/pa.2890","DOIUrl":"10.1002/pa.2890","url":null,"abstract":"<p>This study investigates the effectiveness of collaborative governance in the context of state and local government responses to the COVID-19 pandemic in Florida. Our analysis uncovers how local authorities have successfully adapted to implement policies to increase resilience and address the crisis, despite facing challenges, constraints, and limitations. Our findings underscore the significance of considering unique local characteristics when addressing pandemics and shed light on the potential influences of state-level actors on Home Rule. Notably, research examining the interplay between state decisions and Home Rule during a pandemic is scarce. We utilize Florida as a case study to examine local government responses to COVID-19, employing a qualitative analysis of data from webinars hosted by the Florida League of Cities and media reports on local government actions. To substantiate our findings and encourage further research, we apply the collaborative governance framework in the context of local government administrative responsibilities.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-08-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45338997","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
While the literature on digital transformation is growing in several fields, research on the effects of digital innovation in the practice of public affairs is still scattered and unsystematic, mostly focusing on interest groups' social media strategies. However, digital innovation has begun to change the practice of public affairs management in many areas, especially in the form of datafication, AI analytics, and cloud-based knowledge management platforms. Growing possibilities in the use of data science and evidence-informed strategic decision-making have arisen in domains traditionally shaped by intuitions and non-codified professional experience. Based on desk research of case studies and hands-on analyses of three increasingly popular public affairs management software platforms (FiscalNote, Quorum, KMIND), this article develops a practice-oriented analysis of various digital tools and functionalities available to public affairs practitioners today, tackling a gap in the literature on how digital innovation can impact the management of several activities along the different phases of a public affairs campaign (monitoring and analysis, strategy design, action, assessment). The article thus highlights how digital innovation goes way beyond the sheer use of social media in communication activities, impacting the practice of public affairs on a deeper and more strategic level.
{"title":"Tools of digital innovation in public affairs management: A practice-oriented analysis","authors":"Alberto Bitonti","doi":"10.1002/pa.2888","DOIUrl":"10.1002/pa.2888","url":null,"abstract":"<p>While the literature on digital transformation is growing in several fields, research on the effects of digital innovation in the practice of public affairs is still scattered and unsystematic, mostly focusing on interest groups' social media strategies. However, digital innovation has begun to change the practice of public affairs management in many areas, especially in the form of datafication, AI analytics, and cloud-based knowledge management platforms. Growing possibilities in the use of data science and evidence-informed strategic decision-making have arisen in domains traditionally shaped by intuitions and non-codified professional experience. Based on desk research of case studies and hands-on analyses of three increasingly popular public affairs management software platforms (FiscalNote, Quorum, KMIND), this article develops a practice-oriented analysis of various digital tools and functionalities available to public affairs practitioners today, tackling a gap in the literature on how digital innovation can impact the management of several activities along the different phases of a public affairs campaign (monitoring and analysis, strategy design, action, assessment). The article thus highlights how digital innovation goes way beyond the sheer use of social media in communication activities, impacting the practice of public affairs on a deeper and more strategic level.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-08-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/pa.2888","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47071969","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We reignited the debate that developing countries still struggle to make the most of entrepreneurship due to institutional imbalances. The aim of this study is to empirically examine impact of entrepreneurial governance and ease of doing business on economic growth in a panel of 15 ECOWAS countries. The empirical evidence is based on secondary data from 2000 to 2019 estimated using the Pooled OLS Regression OLS estimator. Using institutional theory, we examined the chain of causality from institutions to entrepreneurship and from entrepreneurship to economic growth. Four findings emerged. Firstly, the regulatory pillar, represented by the indicators of ease of doing business (incorporation procedure, time required to set up a business, and cost of the business), is negatively and significantly related to economic growth. But the indicators of cost of doing business and start-up costs are more detrimental to business and economic growth. Secondly, the normative pillar represented by entrepreneurial governance indicators (government integrity and business freedom) is positively and significantly associated with growth. But the impact of government integrity on economic growth is greater than that of business freedom. Third, the interaction between regulatory and normative pillars is negative and significant. Finally, the cognitive pillar shows mixed results. For example, indicators of investment, trade openness, education, and financial development have positive and significant effects on economic growth, while government size, inflation, and population have negative and significant effects on economic growth. We discuss policy implications for stakeholders in ECOWAS economies.
{"title":"Impact of entrepreneurial governance and ease of doing business on economic growth: Evidence from ECOWAS economies (2000–2019)","authors":"Lukman Raimi, Hazwan Haini","doi":"10.1002/pa.2887","DOIUrl":"10.1002/pa.2887","url":null,"abstract":"<p>We reignited the debate that developing countries still struggle to make the most of entrepreneurship due to institutional imbalances. The aim of this study is to empirically examine impact of entrepreneurial governance and ease of doing business on economic growth in a panel of 15 ECOWAS countries. The empirical evidence is based on secondary data from 2000 to 2019 estimated using the Pooled OLS Regression OLS estimator. Using institutional theory, we examined the chain of causality from institutions to entrepreneurship and from entrepreneurship to economic growth. Four findings emerged. Firstly, the regulatory pillar, represented by the indicators of ease of doing business (incorporation procedure, time required to set up a business, and cost of the business), is negatively and significantly related to economic growth. But the indicators of cost of doing business and start-up costs are more detrimental to business and economic growth. Secondly, the normative pillar represented by entrepreneurial governance indicators (government integrity and business freedom) is positively and significantly associated with growth. But the impact of government integrity on economic growth is greater than that of business freedom. Third, the interaction between regulatory and normative pillars is negative and significant. Finally, the cognitive pillar shows mixed results. For example, indicators of investment, trade openness, education, and financial development have positive and significant effects on economic growth, while government size, inflation, and population have negative and significant effects on economic growth. We discuss policy implications for stakeholders in ECOWAS economies.</p>","PeriodicalId":47153,"journal":{"name":"Journal of Public Affairs","volume":null,"pages":null},"PeriodicalIF":2.6,"publicationDate":"2023-07-31","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45635197","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}