Using panel data the question whether Africa's growth performance can be accounted for is analyzed in the framework of the augmented Solow model. Our results indicate that this model can account for Africa's low growth performance, provided that we allow for unobserved country specific effects...

Recent studies find that democracy increases economic growth but often do not address through what channels such an effect could travel. This study considers whether or not democracy strengthens the rule of law, an institutional measure purported to increase economic growth. Utilizing a panel...

This paper reviews the literature on the impact of ethnic diversity on economic development. Ethnically polarized societies are less likely to agree on the provision of public goods and more likely to engage in rent seeking activities providing lower levels of social capital. Initial conditions...

Comparison between Sub-Saharan Africa (SSA) and East Asia indicates that gender inequality in education and employment is estimated to have reduced SSA's per capita growth in the 1960-92 period by 0.8 percentage points per year. Therefore reducing gender-based asset inequality in SSA is an...

This essay is a comparison study of traditional Neoclassical growth theory and new growth theory. It also discusses growth theory in the real world by investigating the so called “growth miracles” and “growth disasters” scenarios in the developing world. Finally, the essay performs a...

This paper argues that understanding the mechanisms of growth requires going beyond the reduced form, and demonstrates important differences in the mechanisms of growth in Africa. Certain policy distortions and exogenous factors are more costly to growth in Africa than elsewhere, while the...

This paper reviews the literature on the impact of ethnic diversity on economic development. Ethnically polarized societies are less likely to agree on the provision of public goods and more likely to engage in rent seeking activities providing lower levels of social capital. Initial conditions...

South Africa's democratic transition in 1994 created expectations of a dramatic turnaround in the economic performance. Trade and financial sanctions and internal political opposition to the apartheid government had contributed to the poorest ten-year growth performance (1984 - 1993) since the...

The link between the mortality and epidemiological transitions is used to identify the effect of the former on the fertility transition: a mortality transition that is not accompanied by improving morbidity causes slower demographic and economic change. In a model where children may die from...