Growth

Unemployment and economic growth in Cote D'ivoire: A disaggregated approach to growth using the Shapley decomposition

Kouakou Thiedje Gaudens-Omer — 2025-03-17

This study analyzes the responsiveness of unemployment to the variation in production in Côte d'Ivoire over the period 1980-2019. By using three approaches of Okun's law (model in difference, model in gap, and disaggregated growth model), we estimate long-term and short-term relationships via error correction models (ECM). The first two approaches highlight the weak link between economic growth and unemployment. The third approach, based on the Shapley decomposition, shows that this low responsiveness of unemployment to the variation in production is essentially due to the fact that final consumption and public expenditure, which largely explain the variability of unemployment, have a very low impact on the unemployment rate. This results from the extroverted nature of the Ivorian model of economic growth. The study recommends that public authorities relocate the production of most consumer goods and equipment, step up policies to promote local industries aimed at replacing certain imported consumer goods and equipment, and strengthen the public procurement and contracts policy in favor of local businesses.

The not-so-great divergence: Asian and western world energy economy before 1815, and beyond

Nathan Matthias Moore — 2025-04-29

Here is an examination of Chinese institutional change and why the debate necessitates a new approach toward studying global economic divergence, one that focuses on a separation of historical mathematical evaluations rather than technological advancement. The Great Divergence debate is a historiographical discipline examining state formation in East Asia and its cultural evolution in juxtaposition with parts of Western Europe. The advent of steam power and other technologies in production and transport allowed Britain and others to extend their momentum past Malthusian restraints and separate themselves from "poorer" countries. But recently, the "California School" of historians like Bin Wong, Kenneth Pomeranz, and Andre Gunder Frank contend that China shared several similarities in proto-industrial development with their Western counterparts throughout Eurasia as late as 1750. My article will add impetus to an even newer argument by focusing on separate commentary from historians studying Europe’s transition to an Arabic numeral system and China’s insistence on traditional numeric methods. Modernity originated from a new abacus based on a ten-place system calculating numbers as large as 10^27, the year some purport it to have first been taught in Europe. Contemporary calculating devices and literacy materials are built on a similar model of arithmetic standards.

Beyond the plantation: Palm oil as a strategic lever for regional development and economic transformation growth in Indonesia

Loso Judijanto — 2025-06-30

Indonesia’s palm oil industry is a key driver of national and regional economic growth, particularly benefiting rural and underdeveloped areas. This study aims to synthesise the constructive contributions of palm oil to local economies by assessing its impact on household income, employment, infrastructure, and regional development. Employing a qualitative integrative literature review, the research systematically analyses over 80 peer-reviewed articles, reports, and academic sources from major databases using thematic content analysis. The findings reveal that palm oil cultivation has significantly increased household incomes, often doubling or tripling them compared to other crops, created over four million direct jobs, and spurred infrastructure improvements such as roads, schools, and healthcare facilities. These developments have contributed to poverty reduction and enhanced social mobility in remote regions. However, the benefits are not uniformly distributed, with smallholders and certain regions receiving a smaller share of economic gains, and persistent challenges related to environmental sustainability and social equity. The practical implications suggest that to sustain and broaden these positive outcomes, policy interventions should prioritise inclusive benefit sharing, support for smallholders, and the adoption of sustainable practices. Strengthening governance and promoting responsible certification schemes are essential to ensure that the palm oil sector continues to drive equitable and sustainable economic transformation in Indonesia.