@workingpaper{Asongu_522,
author = {Nwachukwu J C Asongu S. A},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Rational-Asymmetric-Development-Piketty-and-Poverty-in-Africa.pdf},
year = {2016},
date = {2016-10-12},
abstract = {An April 2015 World Bank report on the Millennium Development Goal poverty target has revealed that extreme poverty has been decreasing in all regions of the world with the exception of Africa. This study extends the implications of Thomas Piketty’s celebrated literature from developed countries to the nexus between developed nations and African countries by building on responses from Rogoff (2014) and Stiglitz (2014), post Washington Consensus paradigms and underpinnings from Solow-Swan and Boyce-Fofack-Ndikumana. The central argument presented is that the inequality problem is at the heart of rational asymmetric development between rich and poor countries. Piketty has shown that inequality increases when the return on capital is higher than the growth rate, because the poor cannot catch-up with the rich. We argue that when the return on political economy (or capitalism-fuelled illicit capital flight) is higher than the growth rate in African countries, inequality in development increases and Africa may not catch-up with the developed world. As an ideal solution, Piketty has proposed progressive income taxation based on automatic exchange of bank information. The ideal analogy proposed in tackling the spirit of African poverty is a comprehensive commitment to fighting illicit capital flight based on this. Hence, contrary to theoretical underpinnings of exogenous growth models, catch-up may not be so apparent. Implications for the corresponding upward bias in endogenous development and catch-up literature are discussed.},
keywords = {Capital flight, Development, Foreign aid, Inequality, Piketty},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu_525,
author = {Jacinta Nwachukwu C Simplice A. Asongu},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Comparative-inclusive-development-of-globalisation-in-Africa.pdf},
year = {2016},
date = {2016-10-04},
abstract = {This study examines the impact of globalisation on inclusive human development in 51 African countries for the period 1996-2011 with particular emphasis on income levels (low income versus middle income), legal origins (English common law versus French civil law), resource wealth (oil-rich versus oil-poor), landlockedness (landlocked versus unlandlocked), religious domination (Christianity versus Islam) and political stability (stable versus unstable). The empirical evidence is based on instrumental variable panel Fixed effects and Tobit regressions in order to control for the unobserved heteroegeneity and limited range in the dependent variable. Political, economic, social and general globalisation variables are used. Six main hypotheses are investigated. The findings broadly show that middle income, English common law, oil-poor, unlandlocked, Christian-oriented and politically-stable countries are associated with comparatively higher levels of globalisation-driven inclusive human development. Puzzling findings are elucidated and policy implications discussed.},
keywords = {Globalisation; inequality; inclusive development; Africa},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu_526,
author = {Jacinta Nwachukwu Vanessa Tchamyou Simplice Asongu Enowbi Batuo},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Information-diffusion-market-power-and-financial-access.pdf},
year = {2016},
date = {2016-10-04},
abstract = {This study assesses how information diffusion dampens the adverse effect of market power on the price and quantity of loans provided by a panel of 162 banks from 39 African countries for the period 2001-2011. The empirical evidence is based on three endogenity-robust estimation techniques, namely: (i) Two Stage Least Squares (2SLS), (ii) Generalised Method of Moments (GMM) and (iii) Instrumental Variable Quantile Regressions (QR). Three key results emerge. First, from the GMM results, a mobile phone penetration rate of 54.29, rising to 57 per 100 people are predicted to neutralise the adverse effect of market power on the average loan price and quantity respectively. Second, from the QR, mobile phone penetration rates of 56.20, 52.04 and 42.76 per 100 people is needed to nullify the negative effect of market power on loan quantity at the 0.10th, 0.25th and 0.90th quintiles respectively. Third, a considerably lower internet penetration rate of 9.49 per 100 people is required to counteract the negative impact of market power on loan quantity at the 0.90th quintile.},
keywords = {Financial access; Market power; Information asymmetry; ICT; Africa},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu_527,
author = {Sara Le Roux & Vanessa Tchamyou S Simplice A. Asongu},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Essential-Information-Sharing-Thresholds-for-Reducing-Market-Power.pdf},
year = {2016},
date = {2016-10-01},
abstract = {This study investigates the role of information sharing offices (public credit registries and private credit bureaus) in reducing market power for financial access in the African banking industry. The empirical evidence is based on a panel of 162 banks from 42 countries for the period 2001-2011. Three simultaneity-robust empirical strategies are employed, namely: (i) Two Stage Least Squares with Fixed Effects in order to account for simultaneity and the observed heterogeneity; (ii) Generalised Method of Moments (GMM) to control for simultaneity and time-invariant omitted variables and (iii) Instrumental Variable Quantile regressions to account for simultaneity and initial levels of financial access. In order to ensure that information sharing offices influence market power for loan price (quantity) to decrease (increase), public credit registries should have between 3.156% and 3.3% coverage, while private credit bureaus should have between 1.443 and 18.4% coverage. The established thresholds are cut-off points at which information sharing offices completely neutralise the negative effect of market power on financial access. The thresholds are contingent on the dimension (loan price versus loan quantity) and distribution (conditional mean versus conditional distribution) of financial access.},
keywords = {Financial access; Market power; Information sharing},
pubstate = {published},
tppubtype = {workingpaper}
}