Is FDI from China Goodfor Labour Productivity in Sub-Saharan Africa? A Panel Cointegration

IF 16.4 1区化学 Q1 CHEMISTRY, MULTIDISCIPLINARY

Accounts of Chemical Research Pub Date : 2024-01-15 DOI:10.1177/00157325231214047

Chimere O. Iheonu, Basil Abia, Princewill U. Okwoche, I. Ifelunini

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Abstract

China’s political and economic engagement in Africa has increased over the last two decades, resulting in a significant increase in Chinese foreign direct investment (CFDI) into the region. In this study, the link between CFDI and the productivity of labour is investigated in 22 sub-Saharan African countries from 2003 to 2020. The study utilised panel cointegration techniques that are suitable in the absence of cross-sectional dependence and take stationarity and long-run relationships into consideration. The findings from the panel dynamic ordinary least squares (OLS) and the fully modified OLS revealed that CFDI is important for driving labour productivity in the long run. In the short run, however, the study finds no significant influence of CFDI on labour productivity. Further findings reveal that CFDI Granger causes labour productivity. Additionally, the study finds that capital per labour is a necessity for boosting the productivity of labour in the region. The study recommends that African countries strengthen investment promotion agencies that actively facilitate CFDI and also negotiate favourable trade and investment agreements with China that promote technology transfer and skills development. JEL Codes: C23, F21, J24

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来自中国的外国直接投资是否有利于提高撒哈拉以南非洲的劳动生产率？面板协整

过去二十年来，中国在非洲的政治和经济参与不断增加，导致中国对该地区的外国直接投资（CFDI）大幅增长。本研究调查了 2003 年至 2020 年期间 22 个撒哈拉以南非洲国家的外国直接投资与劳动生产率之间的联系。研究采用了面板协整技术，该技术适用于不存在横截面依赖性的情况，并考虑了静态和长期关系。面板动态普通最小二乘法（OLS）和完全修正 OLS 的研究结果表明，从长期来看，外国直接投资对提高劳动生产率非常重要。但在短期内，研究发现外国直接投资对劳动生产率没有显著影响。进一步的研究结果表明，外商直接投资是劳动生产率的格兰杰原因。此外，研究还发现，劳动力人均资本是提高该地区劳动生产率的必要条件。研究建议非洲国家加强投资促进机构，积极促进外商直接投资，并与中国谈判有利的贸易和投资协定，以促进技术转让和技能发展。JEL Codes：C23, F21, J24

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来源期刊

Accounts of Chemical Research 化学-化学综合

CiteScore

31.40

自引率

1.10%

发文量

312

审稿时长

2 months

期刊介绍： Accounts of Chemical Research presents short, concise and critical articles offering easy-to-read overviews of basic research and applications in all areas of chemistry and biochemistry. These short reviews focus on research from the author’s own laboratory and are designed to teach the reader about a research project. In addition, Accounts of Chemical Research publishes commentaries that give an informed opinion on a current research problem. Special Issues online are devoted to a single topic of unusual activity and significance. Accounts of Chemical Research replaces the traditional article abstract with an article "Conspectus." These entries synopsize the research affording the reader a closer look at the content and significance of an article. Through this provision of a more detailed description of the article contents, the Conspectus enhances the article's discoverability by search engines and the exposure for the research.