The principal aim of this paper is to identify, in the context of the relationship between openness and growth, factors that can account for the poor growth performance of sub-Saharan African (SSA) countries. It is specifically concerned with variables that have a policy interpretation, especially in relation to trade.
After an initial introduction, the contents of this document are as follows: section 2 presents a brief discussion of the data and specifications used in the analysis. Section 3 presents the results for the cross-section, or long-run, relationship. Section 4 extends this analysis with panel estimates to explore the short-run aspects of the relationships. Section 5 concludes with a summary of the main findings and a discussion of the policy implications for African development.
Trade Openness, Trade Costs and Growth: why sub-Saharan Africa performs poorly, Centre for Research in Economic Development and International Trade (CREDIT), University of Nottingham, UK, 23 pp.