This study aims to model the long run determinants of domestic private investment in Côte d'Ivoire. Advanced econometric technique of Auto-Regressive Distributed Lag (ARDL) bounds testing approach is employed. Data from our study covers the period from 1970 to 2012. The results indicate that public investment, foreign direct investment, trade are the major determinants of short run and long run domestic private investment in Côte d'Ivoire while the real GDP growth rate and the interest rate are statistically insignificant. Thus, efforts should be geared to the development of necessary public investments in infrastructure such as supply constant electricity, good highways and elimination of the negative effects of external shocks engendered by the investment uncertainty and the deterioration of terms of trade.
This study analyzes the effect of stock market activity on WAEMU economic growth. A linear growth model is estimated on a panel of six (06) WAEMU countries for the period 1998-2015. The annual data come from the World Bank, the BRVM 3 and the BCEAO 4. The results show that official development assistance and market capitalization have a positive influence on WAEMU's economic activity. Thus, privatizations, tax relief, good governance are to be encouraged at the state and company level.
The objective of our work is to provide an answer to the question of whether or not to link ECO to EURO. For this, we assume that CFA franc is constantly misaligned. Based on WAEMU’s equation of the real exchange rate estimated, we obtain the series of the real exchange rate of balance and the level of misalignment through the HP approach. We use annual WAEMU data for the period 1980-2017 from the World Bank, the International Monetary Fund and the Central Bank of West African States. This result questions the effectiveness of a fixed stowage of the new currency, the ECO to the EURO. However, before the adoption of this new currency, the evaluation of the position of exchange reserves in ECOWAS is necessary. In addition, strengthening productive capacity and better coordination of macroeconomic policies within the ECOWAS economies is highly recommended. It would also be wise to reconsider the budgetary management of ECOWAS states member in order to achieving more convergence.
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