Private Investment and Endogenous Growth: Evidence From Cameroon
December 1, 1997
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Summary
This paper investigates empirically the factors that have influenced economic growth in Cameroon during 1963-96. The results, which support the endogenous-growth-type model, indicate that (1) the aggregate production function exhibits increasing returns to scale; (2) the impact of increases in private investment on growth is large, significant, and robust; (3) increases in government investment have a positive impact on growth; (4) human capital development plays an important role in output expansion; (5) positive externalities are generated by physical and human capital accumulation; and (6) growth is boosted by economic policies that foster external competitiveness and a prudent fiscal stance.
Subject: Expenditure, Financial institutions, Human capital, Labor, National accounts, Private investment, Public investment spending, Stocks
Keywords: boost economic growth, budget deficit, capital stock, CFA franc, Human capital, investment ratio, investment-GDP ratio, long-run economic growth relationship, physical capital, Private investment, production function, Public investment spending, Stocks, Sub-Saharan Africa, WP
Pages:
31
Volume:
1997
DOI:
Issue:
165
Series:
Working Paper No. 1997/165
Stock No:
WPIEA1651997
ISBN:
9781451980004
ISSN:
1018-5941
