Abstract

This paper has studied the West African region or Economic Community of West African States (ECOWAS) which includes fifteen countries and its relationship with China. Three countries (Cote d’Ivoire, Ghana, and Nigeria) of the fifteen countries which are economically representative in the west African region to represent the overall-region were studied. Therefore, the objective of this study is to investigate the spatial effect of Chinese trade and investment on the economic growth of West Africa. The study focuses on the period from 1960-2014 using the dynamic panel data approach and spatial autoregressive approach for the econometric analysis of this topic. Empirically, the results show that trade openness with China has a positive impact on the neighboring countries of the region, especially for those who share the same border. Chinese investment is vital to the region’s economic growth as the results show that one dollar investment increase from China to the host country increases the economic growth in the neighboring countries by 0.328%.

Highlights

  • Over the last decade, the relationship between China and Africa has been given a lot of attention by many scholars

  • Chinese investment is vital to the region’s economic growth as the results show that one dollar investment increase from China to the host country increases the economic growth in the neighboring countries by 0.328%

  • This shows that a country with a year of economic growth has on average the potential to show even more growth the following year

Read more

Summary

Objectives

The objective of this study is to investigate the spatial effect of Chinese trade and investment on the economic growth of West Africa

Methods
Results
Conclusion
Full Text
Paper version not known

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.