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971. What Drives Quality of Schools in Africa? Disentangling Social Capital and Ethnic Divisions

Author:
Guillaume Hollard and Omar Sene
Publication Date:
08-2014
Content Type:
Working Paper
Institution:
Afrobarometer
Abstract:
Because of limited governmental resources in Africa, communities are often left in charge of managing their own schools. Two theories of African community’s ability to engage in collective action and improve quality of schools have emerged. While cross-country evidence underlines ethnic divisions as a key limit to collective action in Africa, field work suggests that social capital (i.e. the community’s ability to engage in collective action or establish shared norms) is the main driver of the quality of local public goods. In this paper, we use Afrobarometer data to test the role of social capital and ethnic divisions in determining the quality of schools. We capture social capital by the average level of trust and ethnic divisions via an index of ethnic fractionalization. We skirt reverse causality problems between trust and quality of public goods by using historical information on the settlement patterns of ethnic groups in Sub-Saharan Africa. This yields measures of ethnic inherited trust which we use as an instrument for trust. To address concerns about endogenous residential sorting, we instrument ethnic fractionalization by the initial population density of ethnic historical homelands. We find that a one percent increase in the local level of trust increases the quality of local public goods by 0.2 to 1.14 percent. After controlling trust we discover ethnic fragmentation plays only a marginal role.
Topic:
Education, Ethnicity, Youth, Social Capital, and Students
Political Geography:
Africa

972. Another Resource Curse? The Impact of Remittances on Political Participation

Author:
Kim Yi Dionne, Kris L. Imman, and Gabriella R. Montinola
Publication Date:
01-2014
Content Type:
Working Paper
Institution:
Afrobarometer
Abstract:
International remittances have grown dramatically over the past few decades. Existing scholarship on the impact of remittances has focused on their socioeconomic effects. This article focuses instead on the political impact of remittances, and in particular, its effect on political participation. Recent work on Mexico suggests that remittances may be a resource curse. They insulate recipients from local economic conditions, weaken the link between government performance and individual well-being, and reduce incentives to participate in politics. The resource model of participation, however, suggests that since remittances increase incomes, they should increase political engagement. To our knowledge, we provide the first cross-country, individual-level analysis on remittances’ effect on political participation. We employ data from 27,713 individuals across 20 sub-Saharan African countries. We find that remittance recipients are less likely to vote but more likely to participate in politics by contacting government officials directly as well as joining demonstrations and protest marches. Our work thus shows that remittances may not necessarily demobilize citizens, as previous work on Mexico suggests.
Topic:
Politics, Elections, Citizenship, Voting, and Participation
Political Geography:
Africa and Sub-Saharan Africa

973. Stunted Growth: Why Don't African Firms Create More Jobs?

Author:
Vijaya Ramachandran, Leonardo Iacovone, and Martin Schmidt
Publication Date:
02-2014
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
Many countries in Africa suffer high rates of underemployment or low rates of productive employment; many also anticipate large numbers of people to enter the workforce in the near future. This paper asks the question: Are African firms creating fewer jobs than those located elsewhere? And, if so, why? One reason may be that weak business environments slow the growth of firms and distort the allocation of resources away from better-performing firms, hence reducing their potential for job creation.
Topic:
Economics, Industrial Policy, International Trade and Finance, Markets, and Fragile/Failed State
Political Geography:
Africa and Israel

974. Development as Diffusion: Manufacturing Productivity and Sub-Saharan Africa's Missing Middle

Author:
Vijaya Ramachandran, Alan Gelb, and Christian J. Meyer
Publication Date:
02-2014
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
We consider economic development of Sub-Saharan Africa from the perspective of slow convergence of productivity, both across sectors and across firms within sectors. Why have "productivity enclaves", islands of high productivity in a sea of smaller low-productivity firms, not diffused more rapidly? We summarize and analyze three sets of factors: First, the poor business climate, which constrains the allocation of production factors between sectors and firms. Second, the complex political economy of business-government relations in Africa's small economies. Third, the distribution of firm capabilities. The roots of these factors lie in Africa's geography and its distinctive history, including the legacy of its colonial period on state formation and market structure.
Topic:
Development, Economics, Industrial Policy, and Markets
Political Geography:
Africa

975. Foreign investments in Uganda's oil sector: linkages and issues for the local economy

Author:
Anne Mette Kjær
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
The Ugandan economy resembles many other economies in sub-Saharan Africa in that it has a large subsistence sector, relies on a few primary commodities for export and depends on aid to finance its public services. Oil and minerals have so far not been important to the economy. However, this might change as an estimated 3.5 billion barrel oil reservoir has been discovered in Uganda's Western and Northwestern Albertine Graben. Minerals have also been found and are being sold off as concessions. If oil revenues start to be mobilized as currently planned (2016-17), significant changes in not only government finance but also in the governments' relationships with donors and in state–society relations are likely to occur. The consequences for local communities and the environment are also likely to be significant.
Topic:
Development, Economics, Oil, Natural Resources, Foreign Aid, Fragile/Failed State, and Foreign Direct Investment
Political Geography:
Uganda and Africa

976. Social Accountability and Public Service Delivery in Rural Africa

Publication Date:
01-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
Social accountability as a tool for development planning is gaining foothold in international donor circles. It is concerned with the responsibility and responsiveness of state authorities, as well as the ability of citizens to make claims and hold those who exercise power to account for their actions.
Topic:
Civil Society, Non-Governmental Organization, Foreign Aid, and Governance
Political Geography:
Africa

977. From enclave to linkage economies? A review of the literature on linkages between extractive multinational corporations and local industry in Africa

Author:
Michael W. Hansen
Publication Date:
02-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
If African developing countries are to benefit fully from the current boom in foreign direct investment (FDI) in extractives (i.e. mining and oil/gas), it is essential that the foreign investors foster linkages to the local economy. Traditionally, extractive FDI in Africa has been seen as the enclave economy par excellence, moving in with fully integrated value chains, extracting resources and exporting them as commodities having virtually no linkages to the local economy. However, new opportunities for promoting linkages are offered by changing business strategies of local African enterprises as well as foreign multinational corporations (MNCs). MNCs in extractives are increasingly seeking local linkages as part of their efficiency, risk, and asset-seeking strategies, and linkage programmes are becoming integral elements in many MNCs' corporate social responsibility (CSR) activities. At the same time, local African enterprises are eager to, and increasingly capable of, linking up to the foreign investors in order to expand their activities and acquire technology, skills and market access. The changing strategies of MNCs and the improving capabilities of African enterprises offer new opportunities for governments and donors to mobilize extractive FDI for development goals. This paper seeks to take stock of what we know about the state of and driving forces of linkage formation in South Sahel Africa extractives based on a review of the extant literature. The paper argues that while MNCs and local enterprises by themselves will indeed produce linkages, the scope, depth and development impacts of linkages eventually depend on government intervention. Resource-rich African countries' governments are aware of this and linkage promotion is increasingly becoming a key element in their industrialization strategies. A main point of the paper is that the choice between different linkage policies and approaches should be informed by a firm understanding of the workings of the private sector as well as the political and institutional capacity of host governments to adopt and implement linkage policies and approaches.
Topic:
Development, Economics, Markets, Foreign Aid, and Foreign Direct Investment
Political Geography:
Africa

978. Migration and social mobility in Burkina Faso: historical perspectives on the migration divide

Author:
Anne Sofie Westh Olsen
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
Mobility is a resource and a privilege that is unevenly distributed between countries, and within countries. People from developing countries depend on visas and residence permits to a larger extent than citizens of the developed world. Most migration policy research determines the inequality of mobility mainly as a consequence of restrictive immigration policies in destination countries. The focus of this paper is instead on the limited access order that has led to unequal access to migration between people from an African sending country, which has been largely overlooked. This paper shows the historical emergence of a migration divide between intercontinental and intra-African migrants. Through a historical analysis, the paper under-lines how academic migration to France became a means to social mobility in Burkina Faso after independence, while today there is a breakdown of the social elevator via migration since preferential access to migration is likely to enhance the divide between rich and poor.
Topic:
Economics, Migration, Poverty, Social Stratification, and Labor Issues
Political Geography:
Africa and France

979. The Development of Natural Resource Linkages in Mozambique: The Ruling Elite Capture of New Economic Opportunities

Author:
Lars Buur
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies (DIIS)
Abstract:
This paper explores linkage creation in Mozambique related to mega-projects in natural resource extraction and development from a political economy perspective. It explores through a focus on linkage development related to extractive industries in Mozambique the 'best practice' attempts between commodity producers and local content providers. The paper argues that a relatively elaborate state organizational and institutional setup based on policies, strategies and units with funding tools has emerged over time in order to begin to reap the benefits of large-scale investments in the extractive sectors. However, despite the formal acknowledgement, very little has been achieved with regard to forward and backward linkages, state institutions are often despite the official government rhetoric of importance simply bypassed not only by foreign investors, but also by the political leadership.
Topic:
Development, Economics, International Trade and Finance, Political Economy, Natural Resources, and Foreign Direct Investment
Political Geography:
Africa

980. From Transformation to Mediation: The Arab Spring Reframed

Author:
Richard Youngs
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Carnegie Endowment for International Peace
Abstract:
Politics in the Middle East are increasingly polarized and fragmented. The Arab Spring's citizen-led spirit of reform is still alive, but societies are increasingly torn apart by bitter tensions between Sunni and Shia, secular liberals and Islamists, and governments and civil society. As polarization has deepened, the concern with engaging in dialogue to bridge differences has intensified. The relationship between these mediation efforts and support for systemic reform will be a pivotal factor in the Middle East's future political trajectory.
Topic:
Conflict Resolution, Civil Society, Democratization, Islam, Regime Change, Governance, and Sectarianism
Political Geography:
Africa, Middle East, and Arabia