Measure of Macroeconomics of CFA Zone Countries Compare to SSA Countries

Abstract

The research is financed by the school of finance and economics of Jiangsu University (+86 511 8878 0011)

Abstract

The influence of services activity in the economic development regarding the macroeconomics tactics and application. We investigate the sources of macroeconomics fluctuations in Sub-Saharan African (SSA) countries with particular attention to the development growth, federal investment, gross national income and consumer price with a structural Vector Auto regression (VAR) model with limited capital mobility and long run restrictions to identify the shocks.  The research data analyzed by Linear square, in the first step data has been manipulated by level of stationary in first root and then with unit root individually classify the regions distribution with each expects to estimation development and confirm that even though the development techniques by individual development of SSA. However, terms of growth intention and development tend to influence the CFA zone to a greater extent and there seems to be a higher influence of demand shocks on output and the federal investment and consumer prices in the non-CFA countries. Supply and terms of trade shocks tend to dominate output movements in the CFA and non-CFA countries alike.

Keywords: Economic development; SSA and CFA; macroeconomics

DOI: 10.7176/RJFA/11-4-11

Publication date: February 29^th 2020