Southern African economic integration: evidence from an augmented gravity model

Arbeitspapier

This paper investigates the feasibility of creating a common-currency union consisting of 16 countries in Southern Africa. We estimate an augmented-gravity model that includes public deficit, public debt, public expenditure, inflation, and the foreign reserves position. We also integrate Africa-specific variables such as existing economic blocs in the region, colonial heritage, and the convergence of living standards. Our analysis shows that the prospect for further integration in Southern Africa is promising, but many challenges still persist. The existing economic blocs can provide a first stepping stone to a larger currency union, but countries continuously have to cultivate good governance and fiscal discipline.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: IZA Discussion Papers ; No. 4316

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Development Planning and Policy: Trade Policy; Factor Movement; Foreign Exchange Policy ; Economywide Country Studies: Africa
• Thema: Optimum currency area ; gravity model ; Southern African integration ; endogenous optimum currency area theory ; Währungsunion ; Optimaler Währungsraum ; Gravitationsmodell ; Wirtschaftsintegration ; Südliches Afrika ; SADC-Staaten

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Warin, Thierry ; Wunnava, Phanindra V. ; Tengia, Optat ; Wandschneider, Kirsten
• Ereignis: Veröffentlichung
• (wer): Institute for the Study of Labor (IZA)
• (wo): Bonn
• (wann): 2009

Weitere Informationen

• Handle: http://hdl.handle.net/10419/35899
• URN: urn:nbn:de:101:1-20090825553
• Letzte Aktualisierung: 10.03.2025, 11:41 MEZ