The imf african trade
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The IMF & African Trade. Aaron Kratzat. ---. Does the IMF … A) Increase South-South Trade by Decreasing Tariffs? B) Make Trade Better for Western States in Africa by Decreasing North-South Tariffs? C) Both D) Neither?. ---.

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The IMF & African Trade

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The IMF & African Trade

Aaron Kratzat


---

  • Does the IMF …

  • A) Increase South-South Trade by Decreasing Tariffs?

  • B) Make Trade Better for Western States in Africa by Decreasing North-South Tariffs?

  • C) Both

  • D) Neither?


---

  • 20 states: Angola, Benin, Burkina Faso, Burundi, Cameroon, CAR, Congo Rep, Cote d’Ivoire, DR Congo, Kenya, Madagascar, Malawi, Mozambique, Nigeria, Rwanda, Senegal, So. Africa, Togo, Uganda & Zambia


Hypotheses

  • Increase IMF Loans 

  • No change in South-South manufacturing tariffs

  • No change in agricultural tariffs

  • Decrease in North-South manufacturing tariffs


Hypotheses (cont)

  • Increase % of GDP from Agriculture -->

  • Per Capita GDP decreases

  • Foreign Direct Investment decreases


Hypotheses Cont

  • FDI goes up as Freedom House Rating (inverted so most free is highest) and IMF loans go up, FDI goes down as Tariff Levels go up, and COMESA members will have more FDI


Hypotheses

  • Increase IMF Loans 

  • No change in South-South manufacturing tariffs

  • No change in agricultural tariffs

  • Decrease in North-South manufacturing tariffs


Hypotheses (cont)

  • Increase % of GDP from Agriculture -->

  • Per Capita GDP decreases

  • Foreign Direct Investment decreases


Hypotheses Cont

  • FDI goes up as Freedom House Rating (inverted so most free is highest) and IMF loans go up, FDI goes down as Tariff Levels go up, and COMESA members will have more FDI


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