dc.contributor.author | Bwire, James O | |
dc.date.accessioned | 2013-05-08T13:42:46Z | |
dc.date.available | 2013-05-08T13:42:46Z | |
dc.date.issued | 1993-07 | |
dc.identifier.uri | http://erepository.uonbi.ac.ke:8080/xmlui/handle/123456789/20359 | |
dc.description.abstract | This paper examines inte.ractions among domestic saving,
private investment and per capita growth in output, and their
response to changes in key macro-economic variables in Kenya
during the period of macroeconomic instability (i.e 1972-92).
Saving is found to be a highly significant positive
determinant of growth performance in Kenya explaining over 50%
of the variations; but real growth is not only a positive
determinant of desired capital stock but also saving itself,
hence the complex positive correlation between these variables. Empirical results obtained using a TSLS estimation shows
that macro-economic instability indicators (external debt
burden, current and expected inflation rate) and factors
"exogenous It to policy control (droughts and population growth)
negatively affected saving, investment and real growth. Terms
of trade, however, stimulated the economy. The effect interest
rate, credit availability, and broader money supply- financial
variables determined in a repressed market- was generally weak
irrespective of the sign implying ineffectiveness of monetary
policy in the then set-up. Implementation of SAPs has not only
depressed investment but also not improved the response of
savers. Hence the recovery of growth during SAP implementation
could be coincidental. Economic policy for the rest of the
reform period should then focus on the basic underlying
factors coupled with greater saving mobilisation and an
enabling environment conducive to private investment activity. | en |
dc.description.sponsorship | University of Nairobi | en |
dc.language.iso | en | en |
dc.subject | Micro-economic adjustment | en |
dc.subject | Policy control | en |
dc.subject | SAP implementation | en |
dc.subject | Empirical analysis | en |
dc.subject | Savings & investment growth | en |
dc.title | Savings-investment-growth interactions and micro-economic adjustment in Kenya:An empirical analysis | en |
dc.type | Thesis | en |
local.publisher | Department of Economics, University of Nairobi | en |