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Item An investigation of the relationship between tax revenues and economic growth: The case of Namibia(University of Namibia, 2024) Kumonika, LukasThis study empirically investigated the relationship between tax revenue and economic growth in Namibia using the annual data for 1981-2020. The time series on GDP, net tax, private consumption and gross capital formation were extracted from annual national accounts tables available on Namibia Statistics Agency’s web site. The ARDL bound test confirmed no cointegration between tax revenue and GDP growth hence, the short-run ARDL was employed. The results of the short-run ARDL revealed a positive and significant contemporaneous relationship between taxation and economic growth. It is therefore, inferred that Namibia conforms to the hypothesis that economic growth and tax revenue reinforce each other In the same vein economic growth is significantly and negatively affected by the some historical values (lags) of net tax.. Moreover, the Granger causality test divulged neither unidirectional nor bidirectional causal relationship between tax revenue and GDP growth. In the final analysis, it is recommended that tax policies should be concurrently implemented with accelerated supply side policies such as business financing, product cost subsidization, entrepreneurial skill acquisition, especially in growth-driving sectors and eventually broaden the tax base. In other words, the results of the study implies that growth policies should be supplemented by a strong tax system so as to optimize revenue collection. The consistence of the findings of this study with the optimal tax theory implies that excessive taxation can distort economic activity, therefore, slow down productionItem Examining the asymmetric effects of fish exports on economic growth in Namibia(University of Namibia, 2024) Shithigona, Vistorina NauyeleThe main aim of this study was to investigate the asymmetric effects of fish exports on economic growth in Namibia. To achieve the main objective, the study used quarterly data from the 2008Q1 to 2020Q4 and employed the Nonlinear Autoregressive Distributed Lag (NARDL) Bounds testing approach for cointegration. The Augmented Dickey Fuller and Phillips Perron tests were applied to examine the order of integration of variables while the vector error correction (VEC) causality technique was used to test for Granger causality. Suitability of NARDL method was confirmed by unit root test results which showed mixed order of integration where some variables were stationary in levels and others were integrated of the first order. Furthermore, the results found evidence of cointegration among variables under study and rejected the null hypothesis of no long run asymmetry between economic growth and fish exports. Therefore, this study presents evidence of long and short run asymmetry between fish exports and economic growth at 5%. Moreover, study results present evidence of unidirectional causality from positive of fish exports shocks (FX_POS) to gross domestic product (GDP) and no evidence of causality from negative shocks of fish exports (FX_NEG) to growth was observed. In the long run, the results showed that FX_POS positively impacts growth at 1% significance level while in the short run FX_POS positively impacts growth at 5%. Also, the second lag of FX_POS positively impacts output at 1% significant level. At the same time, results showed that FX_NEG has an insignificant impact on growth in the short and long run. i ii In the final analysis, this study posits that fish exports in Namibia can be stimulated by improving infrastructure and port facilities as well as improving transportation networks to ensure efficient and timely transportation of fish products from processing centres to portsItem Assessing the relationship between foreign investment flows and foreign exchange reserves in Namibia(University of Namibia, 2024) Sheefeni, Trofimus N.The purpose of this study was to examine the relationship between foreign investment flows (FIF) and foreign exchange reserves (FER) in Namibia for the period of 32 years, from 1991 to 2022, using exchange rate (EXR), real interest rate (RIR), and political stability (POLSTB) as the control variables. The study sought further to determine the nature of the relationship between the variables, as well as the direction of causality. To attain these objectives, the study used macroeconomic time series data and analysed them using various econometrics tools in EViews software, version 9. In detail, the study conducted a unit root test and found the data stationary at mixed orders [I(0) and I(1)]. Thus, the study employed the bound test of cointegration to measure whether the variables are cointegrated in the long-run. The results reveal that a long-run exists between the variables. Therefore, the study applied the ARDL-ECM model to estimate the short-run and long run relationships between the variables. In that light, the results indicate a negative but not statistically significant relationship between EXR and FER in both lags. Against that, the results show a positive but insignificant relationship between RIR and FER, as well as between POLSTB and FER in both lags. Additionally, the results also reveal a positive relationship between FIF and FER, which is significant in lag 2, unlike in lag 1. Finally, the study employed the unrestricted Granger causality test to establish the direction of causality between the variables. The results indicate a unidirectional causality from EXR to FIF, while the rest of the variables are independent of each other. Based on the results, the study recommends that policymakers should enhance foreign investment policies aimed at attracting and retaining foreign investment flows, sustain political stability by implementing effective governance and institutional reforms, and diversify of reserves management to mitigate risks and maximise returns. Finally, the study suggests future research to examine the dynamic impacts of monetary and fiscal policy, assess the effects of global economic trends such as commodity price volatility, and analyse the impact of regional integration agreements on foreign exchange reservesItem Analysing the effect of financial inclusion on income inequality in Namibia(University of Namibia, 2024) Shimueoshili, Tsheya N.B.While there is growing evidence on the effect of financial inclusion on household income and well-being, much is not known about the distributional effects across the different income quintiles. This study contributes to the literature by examining the effect of financial inclusion on household well-being and income inequality in Namibia, using the 2017 nationally representative household financial inclusion survey. Household per capita income and household asset index were created using the UNDP approach and considered as proxies for household income and well-being respectively. Financial inclusion is proxied by access and use of formal bank accounts, savings, and credit accounts. The study employed a two-stage least squares (2SLS) regression to estimate the effect of financial inclusion on household well-being and a quantile regression to investigate to estimate the effect of financial inclusion on income inequality. The study elicits some interesting results. First, the study finds that financial inclusion has a positive and significant effect on household income and well-being. Second, the magnitude of the effects was found to vary between rural and urban households with effects generally higher among urban than rural households. Third, financial inclusion was found to have a positive and significant effect across all quantiles of the income distribution, with greater effects in the higher quantiles when access to formal credit is considered and greater effects in the lower quintiles when access to formal banks and savings accounts is considered. Finally, the study finds that household socioeconomic characteristics such as education and gender of the household head, urban residence, and household size are important determinants of household income and well-being. The study recommends that national and international agencies continue improving access to formal financial services to narrow the gap between the wealthy and the poor, primarily in rural areas and low-income quintile householdsItem Assessing the impact of credit finance on agricultural productivity in Namibia(University of Namibia, 2024) Likius, NaemiThis thesis explores the impact of credit finance on agricultural productivity in Namibia, with the goal of promoting innovative, economically oriented, and modern agriculture to enhance rural living standards and drive food production. The study utilizes the bounds test (ARDL) approach to cointegration, analysing quarterly data from 2001 to 2022 to examine the short-run and long-run dynamics between credit finance and agricultural productivity. The empirical findings indicate that credit finance and prime lending rates have a significant negative impact on agricultural productivity at a 1% level, consistent with prior research. Inflation was found to negatively affect agricultural productivity but was insignificant. The stability of the model was confirmed using the CUSUM of squares, validating the use of the ARDL agricultural gross domestic product function as a target variable. The analysis reveals a unidirectional causality, with agricultural productivity predicting credit. Based on the study's findings, several major policy recommendations are proposed. Firstly, the Namibian government should focus on enhancing the banking sectors to improve farmers' access to credit and financial services, including measures such as financial inclusion, expanded banking services in rural areas, and facilitation of loan availability. Secondly, efforts should be made to develop well-functioning rural loan markets that cater specifically to the agricultural sector, through initiatives such as establishing specialized agricultural financing institutions, providing credit guarantees, and promoting financial literacy programs tailored to the agricultural sector. Thirdly, the development of township banking infrastructure in rural areas can enhance access to financial services and credit for farmers, either through banking branches or mobile banking services. Lastly, short-term and long-term plans should be formulated to support agricultural growth, including enhancing agricultural extension services, promoting technology adoption, improving market access for agricultural products, and strengthening policy and institutional support for the agricultural sector. This study's conclusions emphasize the significant role of credit finance in shaping agricultural productivity and the importance of sustained investment in enhancing productivity over time. The interdependencies among agricultural productivity, credit finance, inflation rate, and prime lending rate underscore the need for a comprehensive understanding of their dynamicsItem Estimating the relationship between health status and labour force participation in Namibia(University of Namibia, 2024) Simon, SaariThe relationship between health and labour force participation is of policy interest due to the important role that health plays in economic development. Evidence suggests that there is a positive relationship between good health status and labour force participation. Using 2015/2016 Namibia Household Income and Expenditure Survey (NHIES), a nationally representative household and individual dataset, this thesis examines the relationship between health status and labour force participation in Namibia, a country where such evidence is scarce. The study employed the probit model to estimate the effect of health on the probability of participating in the labour market. The analysis was further disaggregated to assess the relationship between health status on labour force participation by gender. The results suggest that an increase in the prevalence of chronic illnesses such as diabetes, high blood pressure, joint inflammation, cancer, cardiac disease, epilepsy, respiratory disease, stomach ulcer, chronic kidney disease, and anaemia significantly reduces the probability of labour force participation in Namibia. In addition, disabilities such as difficulty with cleaning, difficulty with walking, difficulty with remembering, and difficulty with hearing significantly reduce the probability of participating in the labour market. The results also show that the effect of chronic illness and disabilities on the probability of labour force participation varies by gender, with the magnitude of the effect generally higher among men. Thus, strengthening current public health strategies or policies that promote good health practices and health outcomes (tobacco and alcohol control policies), thereby enhancing the probability of labour force participation in Namibia. In addition, the promotion of exercising through the establishment of community parks will foster health and labour force participationItem An analysis of the nexus between public debt and private investment: Evidence from Namibia(University of Namibia, 2022) Ngwena, Ester Ndapandula N.Public debt in Namibia has been rising over the years and the question is whether the persistently high debt level can negatively affect private gross fixed capital formation or not. Applying the Autoregressive Distributed Lag (ARDL) model for cointegration on data for the period 2010Q1 to 2019Q4, this study empirically examined the nexus between public debt and private gross fixed capital formation in Namibia. The ARDL test results revealed the existence of a long-run relationship between the variables. Domestic debt and interest rate were found to have a statistically significant negative effect on private gross fixed capital formation in the long-run. These findings are consistent with the Classical and Neoclassical Views, which state that domestic debt crowds-out private investment. Moreover, the Granger Causality test was employed as a confirmatory test to determine the direction of causality between public debt and private gross fixed capital formation. The Granger Causality test results show the presence of no causality between public debt and private investment in Namibia. A bi-directional relationship was, however, found to exist between interest rate and private gross fixed capital formation. Moreover, a statistically significant bi-directional causal relation was also discovered between gross domestic product and gross fixed capital formation. Policy implications from these findings are that proper debt management to support private gross fixed capital formation in Namibia is fundamental. Furthermore, the newly established revenue agency could create new avenues to raise funds to widen the revenue base. Finally, the government could moderately increase external borrowing, albeit with caution, as external debt can be susceptible to external shocks, which affect debt service costItem Assessing the asymmetric implications of the common monetary area on the stability of the Namibian money demand function(University of Namibia, 2023) Ndana, Doughlas MwangalaThe anecdote of this study is broadly focused on assessing the asymmetric implications of the Common Monetary Area (CMA) on the stability of the Namibian money demand function (MDF) using a nonlinear autoregressive distributed lag (NARDL) model covering the period 2001q1 to 2021q3. It is provoked by long extant literature’s recognition that MDF stability is a prerequisite for effective and successful monetary policy implementation. Surprisingly antecedent global and Namibian research results have remained broadly divergent, with the adoption of appropriate models, particularly nonlinear models found to be sparse. A local study that investigated the nonlinear drivers of money demand failed to ascertain the stability of the Namibian MDF, hence, the present research seeks establish the asymmetric impact of the CMA on the Namibian MDF, and ascertain the stability of the function. The results reveal the existence of a long-run relationship between money demand and the South African repo rate (SA_repo), income, three-month TB rate, inflation rate, exchange rate and deposit rate. It has been further found that long-run asymmetric impacts of most variables on the Namibian MDF are incomplete. Focusing on the main thrust of the study, positive shocks in the SA_repo, a CMA proxy, have a significant asymmetric influence on MDF in the long-run. Short-run results of the model are corroborated by a negative and statistically significant error correction term indicating that 23% of short-run deviations are corrected in each quarter over the sample period. The study further show that the short-run effects of most regressors are asymmetric and that the Namibian MDF is stable. The asymmetric dynamic multiplier effects of the SA_repo on the Namibian MDF reveals that positive shocks in the variable dominate their negative counterparts with the impact more pronounced in the long-run. Therefore, as an antidote, in its monetary policy implementation, the Bank of Namibia should vigorously observe upward adjustments in the SA_repo.Item The asymmetric nexus between regional trade and economic growth: A case for Namibia(University of Namibia, 2023) Kavaleka, Gracianu DarioThis paper investigates the nonlinear nexus between trade and economic growth at a country level against that of regional level using Namibia as a laboratory provoked by inconsistent, diverging and polarized evidence in antecedent literature. The study uses a multilayered approach to measure the impacts of trading with regional blocs on Namibia’s economic growth compared to that of trading as a sole country and the direction of causality between trade and growth. For country (regional) level analysis, annual time series (panel) data over 1980-2020 (2005-2020) was employed to assess the nonlinear relationship between trade and economic growth in the short and long term for Namibia and its regional blocs partners. The study employs the nonlinear ARDL (NARDL), which allows for a distinction between the effect of positive and negative shocks in the underlying policies. The Wald tests for robustness validity of asymmetric relations was applied. Findings reveals that increased exports are positively related to growth at all levels, while increased imports were found to be contributing to growth only at regional levels. When comparing country level results against regional results, findings show that Namibia benefits more in terms of exports when trading as a sole country. While, in terms of imports, Namibia benefits more by trading with regional blocs. Results show that negative shocks in exports have huge impact than positive shocks at country level, while at regional level, positive shocks have huge impact than negative shocks. Moreover, causality results reveal bidirectional causality between exports and economic growth as well as between exports and imports at regional and country level. To absorb Namibian exports towards accelerated growth benefits more value addition across the SADC, SACU and CMA and structural reforms fostering regional trade are recommendedItem An analysis of the impact of public expenditure on private investment in Namibia(University of Namibia, 2023) Nghipona, Jona TuhafeniThis study aimed to analyse the impact of public expenditure on private investment in Namibia from the period 1990 to 2020. In seeking to meet the objective of the stud y, an Autoregressive Distributed Lag (ARDL) model was estimated after the time-series properties of the variables used were tested. The bound test co¬-integration approach a long with ECM was applied to achieve the objectives of the study. Results indicated that the real impact of government expenditure depends upon the type of expenditure under consideration and thus government expenditure can crowd either in or out private investment. The government expenditures on agriculture, health and transport were insignificant in the short run but showed a crowding-in (positive) impact on private investment. In addition, education expenditure along with gross domestic product expenditures show a crowding in (positive) impact on private investment in the short run. Moreover, analysis suggests that more priorities should be given to those expenditures that have complimentary impact on private investment rather than spending on expenditures that are substituting (hindering) private investment. In addition, the Namibian government should adopt consistent fiscal policy measures that can establish budget discipline, transparency and accountability aimed at increasing the standard of living by assuring an efficient public expenditure budget. Furthermore, the government should also increase expenditure on health, since it will enhance private investment through improved health status and labour productivity.Item An examination of the role of stock market development in economic growth in SADC: A panel VAR approach(University of Namibia, 2023) Amunkete, TaimiThis thesis examines the impact of stock market development on economic growth in five SADC countries, namely Botswana, Malawi, Mauritius, Namibia, and South Africa for the period starting from 2004 to 2019. It tests for the existence of a long-run relationship as well the presence of a causal relationship between stock market development and economic growth. The study selects interactions of stock market development with the real economy using panel vector autoregression (VAR) based Granger causality tests as well as impulse response functions and forecast error variance decomposition to interpret the results. Using stock market capitalization, total value traded and stock market turnover as measures of stock market development, the study aims to determine whether these variables have an impact on GDP growth. The results suggest that there is no cointegration among the variables, suggestive of the fact that there exists no long run relationship. In terms of the short-run causal relationships, the Pairwise Granger Causality tests reveal that there is evidence of a short-term unidirectional causal relationship between stock market development and economic growth, running from stock market development to GDP growth. These results are consistent with the supply leading hypothesis, as was originally postulated by Schumpeter (1911). Also commonly referred to as the finance-led growth hypothesis or the finance-growth nexus, it assumes that causality flows from financial sector development to economic growth and not the other way round; and thus, stock market development is deemed the driver of economic growth. Given the importance of stock market development to economic growth, the study recommends prioritisation of stock market activities in the form on government policy interventions, diversification of stock market products and automation of trading system to ensure enhanced performance of stock markets, as a driver for increased economic growth.Item An investigation on the relationship between commodity prices and economic growth in Namibia(University of Namibia, 2022) Lazarus, Hilya NdeshihafelaThe study investigated the relationship between commodity prices and economic growth in Namibia. The main objective of the study was to investigate the relationship between commodity prices and economic growth in Namibia, specifically focusing on the spot price of uranium and zinc as well as the price per carat of diamond exported. Quarterly time series data was used for the period of 1994Q1 to 2018Q4 and data were collected from the Bank of Namibia, Namibia Statistics Agency, World Bank, Cameco Website and The Global Economy. The Autoregressive Distributed Lag (ARDL) method was used to capture the long run relationships between growth and the commodity prices. The equation was modelled under the ARDL technique, where GDP is the dependent and the prices of the commodities are the independent variables. In order to determine the long run relationship of variables, the study employed ARDL Bound test. The empirical results show that there exists an insignificant long run negative association between GDP and the spot price of uranium as well as between GDP and the spot price for zinc. However, the empirical results show that the long run relationship between GDP and the unit export price for diamonds is positive. Based on the Granger Causality test, the study concluded that there are no causal effects between growth and the spot price of diamond, and between growth and unit export price for diamond debt. Conversely, there is unidirectional causality between the price of zinc and GDP growth rate. Causality runs from price of zinc to growth. Based on the findings, the study recommends that Namibia should invest in value addition on the commodities. Value addition has become a globally accepted remedy for economic growth as it will lead to employment creation, higher commodity prices and an improved balance of trade.Item Investigating the determinants of access to health care services in Namibia(University of Namibia, 2022) Haivela, ElinaThe argument concerning the link between household/individual, community characteristics and health services utilisation in extant literature is relatively broad. Using data adopted from the Namibia Household Income and Expenditure Survey (NHIES) conducted between April 2015 and March 2016, this thesis investigated the determinants of access to health care services in Namibia. The probit and multinomial logit regression analysis were used to estimate the effect of household/individual and community characteristics on access to health care services and health care provider choice in Namibia. The study finds that household income, gender, medical insurance, household place of resident and education status increase the probability of accessing health care services. It further reveals that household income, medical insurance, gender and education status significantly influences health care provider choice probability. Therefore, the study confirms that individual/household and community socioeconomic factors do affect health care utilization and significantly explain the choice between private, public and traditional/others health services in Namibia. The findings suggest that there is greater need to uplift the living conditions of people in rural areas, make health care provision accessible to all households in Namibia. Consequently, the study serves as an opportunity for policy makers to pay more attention to improving citizens’ level of education, income and access to medical coverage which are some of the key determinants of access to health care services in Namibia.Item Investigating the impact of financial deepening on economic growth in Namibia(University of Namibia, 2022) Munepapa, MikaThe main objective of the study was to investigate the impact of financial deepening on economic growth with specific reference to the Namibian economy. The study utilized quarterly time series data from 2004 to 2019. The paper used the ratio of money supply as percentage of gross domestic product, domestic credit to private sector as percentage of gross domestic product, and bank liquid reserves to asset ratio as proxies for financial deepening, whereas gross domestic product represented economic growth. The data were tested for unit root, where stationarity outcomes indicate that the variables were integrated of order zero (I(0)) and order one (I(1)). In that light, the study conducted a cointegration test using Wald test to determine the long-run relationship between financial deepening and economic growth. The Wald test results reveal the presence of long-run relationship between the financial deepening variables and real gross domestic product. Further, the study employed autoregressive distributed lag error correction model to estimate the dynamics of the financial deepening variable to the study. Additionally, pairwise Granger causality test was applied to determine the direction of causality among financial proxies and gross domestic product. From the error correction model, the results show that the ratio of money supply as percentage of gross domestic product was significant to the model, although the impact is very minimal. Lastly, the findings did not indicate any Granger causality among financial deepening variables and economic growth in Namibia. Hence, apart from money supply, the study recommends policy makers to focus more on other indicators to boost economic growth in Namibia.Item An investigation of the relationship between public infrastructure investments and fiscal sustainability in Namibia(University of Namibia, 2022) Shatika, Anna N.E.N.The study investigates the relationship between public infrastructure investment and fiscal sustainability in Namibia. The study aimed to determine whether there is a link between public infrastructure investment and fiscal sustainability indicators, such as the budget deficit, public debt, and growth. The study uses indicators of fiscal sustainability to highlight the ability of the Namibian public sector to meet its financial obligations, as well as determine the direction of causality and establish if they have any long-run relationship with public infrastructure investment. The study employs a combination of three dynamic estimation models for robust estimates of co-integration regression derived from empirical evidence for 25 years from 1994 to 2019. There is evidence of a causal relationship between public infrastructure investment and fiscal sustainability indicators (Budget Balance, Public Debt, and Growth). In addition, the study found that public infrastructure investment (PII) had a significant unidirectional positive long-run relationship with GDP growth and budget balance, while total public debt had a bidirectional negative relationship with PII in the long run. The study revealed a short-run unidirectional positive relationship between public infrastructure and total public debt, as well as a negative short-run relationship with budget balance. The research confirmed the existence of causal linkages and established their magnitudes and directions. Thus, it advises that modelling thresholds be concentrated on assisting decision-making for development finance planning and resource mobilisation sustainably.Item Investigating the crowd-out effects of tobacco and alcohol expenditure on household resource allocation in Namibia(University of Namibia, 2020) Iipumbu, Laili TamukondjomeitaaloTobacco and alcohol consumption are not only unhealthy, but also potentially bum a hole in household disposable income, reducing expenditure on basic household commodities. Evidence suggests that the impact is higher in low- and middle-income countries and among poorer households. Using the 2015/ 16 Namibia Household Income and Expenditure Survey (NHIES), a nationally representative household-level dataset, this thesis examines the crowding-out effects of tobacco and alcohol expenditure on household resource allocation to food and non-food needs. A system of quadratic conditional Engel curves was estimated for a set of eleven broad groups of commodities using a Three-Stage Least Squares Generalised Method of Moments, an econometric approach that minimises the problem of simultaneity bias. For sensitivity, the study employed two measures of tobacco and alcohol expenditure. The first measure is binary equivalent to one if the household spends on tobacco and/or alcohol. The results suggest that tobacco and alcohol-consuming households spend less on basic commodities such as housing, furnishing, transport, recreation, education, accommodation and health, and spend more on food and clothing. The second measure, household expenditure share on tobacco and/or alcohol, suggests that expenditure on these goods crowds out expenditure on health, education, accommodation and miscellaneous, and crowds in food , clothing, communication and recreation. The analysis is further disaggregated to control for preference heterogeneity of households (some goods and services are perceived differently based on household socioeconomic status). The resu lts point to a vicious circle of poverty where the poor are trapped in poverty by reducing spending on basic household basic needs. The results indicate that any public policy option that reduces the consumption of tobacco and alcohol does not only enhance the associated health benefits, but also helps to improve the living standards of households, especially poor and vulnerable households.Item Analysing the effects of interest rate and reserve requirement ratio on bank credit risk in Namibia(University of Namibia, 2020) Andreas, AiliThe study assessed the effect of monetary policy instruments (interest rates and reserve requirements) on banking institutions risk, measured in terms of non-performing loans. The study used quarterly data from Bank of Namibia from 2001 Qi to 2017Q3. The study employed the Autoregressive Distributive Lag (ARDL) lag model to determine the effects. Since the reserve requirements is seldom used in Namibia and ever kept at one percent of the bank's total liabilities to the public, it was considered dormant. Therefore, shocking the reserves requirements up-or down-wards is not plausible in the Namibian economy. The variables considered are non-performing loans (NPL), as a dependent variable and interest rates (I), banks tier I capital (CA), banks ' total assets (TAJ, gross domestic product (GDP), and private credit extension (CR); as the explanatory variables. The results indicate that there is a short run negative effect between interest rates and bank risk, which implies that the low rate would increase the bank 's non-performing loans. The negative relationship indicates that low inflation or price stability does not guarantee financial stability in the economy. The Granger causality results indicate non-causality between interest rates and bank risk, but interest rates Granger cause economic growth and private sector credit that have a direct effect to bank risks.Item An empirical analysis of the effects of fertility on maternal health status in Namibia(University of Namibia, 2022) Amwaama, DorteaThe study examines the effect of fertility on maternal health status in Namibia. Cross-section data from the Namibia Demographic and Health Survey for 2013 was used. Firstly the study estimated the Zero-Inflated Poisson (ZIP) model to analyze the effect of socio-economic factors on fertility. Secondly, the Linear Probability Model (LPM) was employed to examine the effect of fertility on maternal health status. To account for possible endogeneity in the fertility variable in the maternal health status model, the Instrumental variable (2SLS) method was used. The use of contraceptive was used as an instrumental variable for fertility. Moreover, the study made use of Body Mass Index and the probability of a mother being underweight as proxies for maternal health status. The study findings shows that age of the mother, mother’s marital status, household size and proportion of contraceptive use to positively associate with fertility. On the other hand, urban residence, education and listening to the radio all proved to have a negative relationship with fertility. In the maternal health status model the study results shows that high fertility increases the women’s body mass index and reduces the probability of a women being underweight. Furthermore, the study emphasizes the importance of family planning awareness programs for the country especially the use of contraceptives in order to control fertility. In order to control for and maintain maternal health, the study recommends the investment in maternal education, the promotion of family planning awareness programs and promoting female empowerment. Based on the limited empirical studies on maternal health status, fertility and mortality in Namibia, this study adds to the empirical evidence in this area and also creates room for further research on fertility and maternal health.Item An analysis of financial development and economic growth nexus evidence from the South African Development Community(University of Namibia, 2022) Mufika, Diladileni SabinaWhile there is vast evidence on finance-growth literature, the lack of consensus in the literature calls for continuous, renewed and more robust evidence. This study extends the empirical analysis of finance-growth nexus, by examining the possible non-linear relationship that could exist for the SADC region. The study analysed the impact of financial development on economic growth using annual panel dataset for 16 SADC countries from the period 1995 to 2019. The study used three proxies for financial development, namely, broad money, domestic credit to private sector, and domestic credit to private sector by banks. The study employed the system generalized method of moments (SYGMM) to address panel estimation problems, such as the presence of unobserved country specific effects, common time effects and potential endogeneity. The study found that liquid liabilities and domestic credit to the private sector have a negative and significant relationship with economic growth. The study found no non-linear relationship between financial development and economic growth when domestic credit to the private sector and liquid liabilities are considered. However, the results suggest an inverse U-shaped relationship between domestic credit to the private sector and economic growth. The results show a uni-directional causality between economic growth and financial development, confirming the demand-following hypothesis in the SADC region. For SADC to support growth through financial development, there is need to promote reforms that will address factors hindering the potentials of financial development in stimulating growth. This includes adopting appropriate policies that improve innovative financial infrastructure and promoting sound regulatory frameworks. In addition, it is recommended that pro-growth policies be strengthened so that growth subsequently pulls with it financial development.Item Estimating income-related health inequalities associated with tobacco and alcohol in Namibia(2022) Nghipandulwa, Martha TangeniA number of studies have examined the contribution of tobacco and alcohol use to the socioeconomic-related inequalities in health. Such evidence has been important for the formulation of anti-smoking and alcohol policies. However, focus has been on self-assessed health, a subjective health outcome and much is not known regarding the joint contribution of tobacco and alcohol to income-related health inequalities. This study contributes to this growing literature by estimating the separate and joint contribution of tobacco and alcohol to income-related health inequalities using more objective measures of health. The study made use of the 2015/16 Namibia Household Income and Expenditure Survey (NHIES), a national representative survey. The study employed the Erreygers corrected concentration index (CCI) to estimate income-related health inequalities and a decomposition technique to estimate the contribution of tobacco and alcohol use to income-related health inequalities. The probit and ordinary least square to estimate the effects of tobacco and alcohol on health. Based on the CCI for income-related health inequality, the majority of the health outcomes are found to concentrate significantly among the poor. The CCI for tobacco-related health inequality is positive and significant for many of the health indicators, suggesting that poor health is concentrated among tobacco users and even more on heavy consumers. The CCI for alcohol-related health inequality is negative and significant for several health outcomes, suggesting that the prevalence of these health outcomes is concentrated among non-alcohol consumers. The probit estimates indicate that consuming alcohol increases the probability of being sick by 0.8% points, and being diagnosed with a chronic disease by 2.5% points. Tobacco consumption has no significant effect on the probability of having a chronic disease but increases the probability of being sick by 2% point. The results show that consuming both goods contribute positively to income-related health inequalities. The contributions from tobacco use alone are positive ranging from 0.07% for the health index to 0.29% for being diagnosed with a chronic disease, while those from alcohol consumption alone are negative. This illustrates that individuals who jointly consume these goods have a higher risk of being diagnosed with a chronic disease than those who consume only one or none of the goods. This is consistent with existing literature suggesting that while alcohol and tobacco alone are strongly related to the risk of ill-health, the simultaneous exposure to tobacco use and alcohol consumption had a strong multiplicative effect on health. Thus, any policy options that reduce the consumption of both goods are essential in reducing income-related health inequalities.