Sensitivity Analysis of Operational Priorities

Ntogwa Bundala ()

Sumerianz Journal of Economics and Finance, 2019, vol. 2, issue 7, 62-81

Abstract: Specifically, this paper examines the applicability and effectiveness of the African Development Bank’s priorities known as the “High-Five priorities†in poverty eradication in Africa. These priorities are agriculture, industries, regional integration, infrastructures and quality of human life. The study uses exploratory research strategy and simple random technique. The panel data are sampled from 2013 to 2017 in 48 Sub -Saharan African countries. The random effects model and vector autoregressive (VAR) model are used to analyse the data. The study finds that the High-Five Bank priorities are ineffective to reduce the income and non-monetary poverty rate in a short – term and evidenced to be effective for long-term. Moreover, the priorities evidence to have a power to reduce the poverty gap in a short-term. The paper recommends that the prioritising on the High-Five priorities is a relevant for the long- term goals, but lacks its relevance for short- term interventions. Therefore, for optimal poverty eradication strategy, short- term and long- term strategy are required.

Keywords: High-Five priorities; Poverty eradication; Poverty gap index; Multidimensional poverty index; And poverty headcount rate. (search for similar items in EconPapers)
Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:sum:sjefsm:2019:p:62-81

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