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This article examines the welfare impact of foreign direct investment ( FDI ) in a panel of 20 African countries over the period 2000-2013. We explore the multifactor and nonmonetary measures of welfare and the nonlinear effect of FDI on welfare. We used the Driscoll and Kraay standard errors and augmented mean group ( AMG ) estimator by Eberhardt and Teal ( 2010 ) to account for cross-sectional dependency, endogeneity, and heterogeneity within panel units. The results indicate that although FDI is welfare enhancing, the nonlinear terms report mixed fi ndings. When a multifactor indicator is employed, the increase in the nonlinear term is lower than the linear part. However, there is strong evidence that FDI is ultimately welfare enhancing when a nonmonetary indicator is employed. From an international business perspective, the fi ndings have unlocked the welfare effects of international business on African host economies. International businesses through FDI can enhance welfare in Africa countries. However, the optimal efficacy of FDI -welfare impact differs across the various dimensions of welfare.

Purpose This paper aims to test the volatility and analyses the macroeconomic determinants of house price volatility in Namibia over the period 2007 Quarter 1 to 2017 Quarter 2. It further explores the causal relations between house price volatility and its determinants. Design/methodology/approach The study used autoregressive conditional heteroskedastic and generalized autoregressive conditional heteroskedastic models to test for volatility. The vector error correction model was used to analyse the determinants and causal relations. Findings The results support the hypothesis that house prices in Namibia exhibits persistent volatility. It was further established that past period volatility’ GDP and mortgage loans are the key determinants of house price volatility. Additionally’ there exists unidirectional causality from GDP and mortgage loans to house price volatility. Practical implications Policy implications emanating from the study implies that macroeconomic fundamentals should be monitored closely to mitigate the issues of house price volatility. Originality/value The study is the first of its kind in Namibia to address the pertinent issues of ever increasing housing prices.

The paper aims to examine the determinants of inflation in Namibia for the period 1993-2013. It was necessitated by the recent increase in consumer prices as world economies remain volatile. Moreover, theoretical and empirical predictions are not without ambiguities on the determinants of inflation in any given economy. The paper employed a co-integration technique to assess the determinants of inflation in Namibia. Empirical results suggest that inflation was mainly driven by imports and government spending for the period under review. Policy implications emanating from the study suggest that the country is vulnerable to external price changes from the markets whence its imports come from, especially those from South Africa. Also, the significance of government expenditure postulates that the Namibian government should reconsider its excessive spending (budget deficit) on the economy.

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