Economic Security and Political Governance Crisis in the Central African Republic

Pacific Yapatake () and Shan Li
Additional contact information
Pacific Yapatake: Zhejiang University, Hangzhou, China
Shan Li: Zhejiang University, Hangzhou, China

No 18/001, CEREDEC Working Papers from Centre de Recherche pour le Développement Economique (CEREDEC)

Abstract: Nowadays the Central African Republic (CAR) is experiencing huge economic insecurity which mostly derives from the political governance crisis that the country has been continuously undergoing since its independence in 1960. This paper examines the relationship between political governance crisis and economic security in the country covering the period of 1996-2015, using two stage instrumental analysis and second order asymptotic tests. The results show that political stability and absence of violence/terrorism ,voice and accountability, proxies of political governance crisis played a different role on national income per capita, agricultural raw materials exports, agriculture value added, external balance on goods and services, food exports, food imports, foreign direct investment, GDP growth, GDP per capita growth, inflation, wage and salaried workers, industry value added, total natural resources rent and trade , proxies of economic security. The importance of sustainable political governance stability and the implementation of appropriate reforms at institutional level are a preconditions to economic security.

Keywords: Economic security; political governance crisis; two stage instrumental analysis; Second order asymptotic test; CAR (search for similar items in EconPapers)
JEL-codes: A12 B22 C50 I O55 P37 (search for similar items in EconPapers)
Pages: 21
Date: 2018-01
New Economics Papers: this item is included in nep-his
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Forthcoming: African Development Review

Downloads: (external link)
http://publications.ceredec.org/RePEc/aby/aby-wpap ... African-Republic.pdf Revised version, 2018 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aby:wpaper:18/001

Access Statistics for this paper

More papers in CEREDEC Working Papers from Centre de Recherche pour le Développement Economique (CEREDEC)
Bibliographic data for series maintained by Anutechia Asongu Simplice ().