jrge
Abstract - Democracy, Governance and Power Transfer in Post Colonial Africa: Examining Military Intervention in Zimbabwe
|
|
Abstract: The article conceptually examines the political role played by the military in aiding the transition and eventual transfer of power in Zimbabwe after the 37 year rule by veteran nationalist Robert Mugabe in November 2017. It reflects on Mugabe’s presidency and the implementation of controversial macro-economic policies which led to an unsustainable government with the highest inflation and unemployment levels in non-conflict zones globally. Due to Mugabe’s old age and fragile health, political posturing and opportunism had become rife in the ruling ZANU PF party leading to purging and possible anarchy. This invoked discontent within the army ranks who subsequently intervened, ostensibly to deal with corrupt elements around the presidency. Social contract theory was adopted to explicate the relationship between the Zimbabwean leadership and the masses in the context of good governance. Both broadcast and print media reports were used to provide narrative evidence regarding the military’s actions. Reference to policy documents was done to examine the effect of the military intervention by the Zimbabwe Defence Forces (ZDF) on civil society, government and ZANU PF in the context of constitutional imperatives. The article argues that, despite its controversial outlook, military intervention may provide a fresh impetus in the power transfer dynamics in Africa, particularly where leaders have overstepped their social contract with the people. Keywords: Democracy, governance, military, power, Zimbabwe. |
Abstract - Do Poor Financial Performance Indicators Affect Municipal Grants Budget Allocation in South Africa?
|
|
Abstract: The Auditor-General South Africa (AGSA) Report for the 2017/18 financial year-end indicates that 87 per cent of municipalities failed to achieve clean audits, quoting a lack of robust internal control and poor financial management, lack of accountability and consequences for non-compliance as causes. The report further highlighted the three statutory areas of poor financial management; irregular expenditure, wasteful and fruitless expenditure, and unauthorized expenditure. This paper intends to explore how the national government in South Africa allocates budgets to municipalities and aims to identify whether there is a consideration of municipality performance when allocating grants. A qualitative study was conducted, and there was a review of secondary data to explore the budget allocation and actual spending of municipalities. In addition to the secondary data review, the relationship between the municipal grants allocation and the three areas of poor financial management were analysed through correlation analysis as per data extracted from the South African National Treasury (NT) budget allocation, and the AGSA reports. The study identified municipalities which have been the top contributors in poor financial management for four (4) years between 2014/15 to 2017/18 financial years (FY). Furthermore, the study identified the type of audit opinions received by the respective municipalities. Lastly, the study identified whether there is a correlation between municipalities' previous year’s performance and future performance about the allocation of grants by the NT. The results of the study demonstrated that there is no significant relationship between national grant allocation and actual spending of municipalities. This indicates that the South African NT does not use performance-based budgeting when allocating grants to municipalities. The paper recommends the use of effective performance budgeting to promote accountability. The use of performance budgeting will improve transparency, effective mechanisms and good practices which might enhance the performance of municipalities and result in accountability and the possible achievement of clean audit reports. Keywords: Accountability, Audit Reports, Municipalities, Performance Budgeting, Poor Financial Management. |
Abstract - Money Growth and Inflation: An Empirical Investigation of the Monetary Unions in West Africa
|
|
Abstract: We analyzed money growth and inflation between 1967 and 2015 for 6 and 8 member countries of West African Monetary Zone and the West African Economic Monetary Union respectively, using Panel data techniques. In our main specification, the regression result shows that a positively significant relationship exists between money growth and the rate of inflation in the West African Monetary Zone. There is an indication that 1% change in broad money growth produces a 28% increase in inflation rate. In the case of WEAMU, a negative and significant relationship was found between broad money growth and inflation showing that a 1% change in broad money supply produces about 9% decline in inflation rate. While WAMZ takes to monetarism, UEMOA takes to Keynesianism. Our findings provide strong supports for more of central control and extensive use of fiscal policy in WAEMU and more active role of monetary variables in directing and influencing economic decisions in the WAMZ for economic sustainability. Keywords: Inflation, Money Growth, WAEMU, WAMZ, Panel Data, Fixed Effect, Random Effect. |
Abstract - Republics and Monarchies: A Differential Analysis of Economic Growth Link
|
|
Abstract: This paper examined whether a significant difference in economic growth exists between constitutional monarchies and republics. A review of political economy philosophies does indicate that government is the foundation of economic development. However the type of government that best nurtures economic growth remains contentious. The paper inclines on political economy philosophies of John Locke and Thomas Hobbes and blends with the capital growth theory of Milton Friedman. The paper applied a theoretical review and a brief empirical analysis approach. This paper contributes by providing empirical support to anecdotal assertions that economic growth may not only depend on government type (constitutional monarchy or republic), but on the efficacy of government. In addition, whilst previous researchers have largely used time series data, this paper brings a nuance by using cross sectional data, which is devoid of fluctuations. Data from forty eight countries of the world were used to compare democracy and monarchy regimes with their levels of economic growth measured by GDP per capita. Applying both Chi-square, t-test of difference and graphical analysis, results show a P-value of more than 0.05 in both the Chi-square and t-test statistics, which provides an empirical support of lack of significant relationship between governance type (constitutional monarchy or republic) and economic growth. Albeit lack of significance, the ‘mean GDP’ is slightly higher for monarchy countries than in republic countries. Similarly, the variance statistic (a measure of instability) is lower for constitutional monarchies and higher for republics, indicating that constitutional monarchies appear more economically stable than republic countries. Based on the findings, the paper provides a framework for further research. It also recommends future research agenda to explore this phenomenon by including absolute monarchies and autocratic regimes in an empirical setting and to use a current cross sectional data devoid of fluctuations. The paper provides practical recommendation that being a republic is not a sufficient panacea for economic growth if the excesses that retard growth are left unbridled, these includes inter alia undue interference that obscures economic certainty for investors. Keywords: Democracy, economic growth; economic stability, monarchy and Republic. |
