Analyzing Economic Growth From Structural Unobserved Component Modeling: The Case of Senegal

15 Pages Posted: 16 Jun 2013 Last revised: 12 Jun 2015

See all articles by Samuel Bates

Samuel Bates

University of Angers - GRANEM

Cheikh Ndiaye

Université Gaston Berger de Saint-Louis

Date Written: July 18, 2013

Abstract

Using the structural unobserved component (UC) modeling, this study will analyze the Senegalese economic growth path after 5 decades of independence by focusing on the potential output, the GDP cycle, and the type of shocks on the GDP. Empirical evidence suggests that an inventory cycle mainly drives the GDP short-term component with a time-varying extent of fluctuations. The main sources of shocks result from external determining factors. However, their persistent effects have been mitigated particularly since the devaluation of 1994. International institutions have motivated the relative successful GDP growth path of Senegal. Nevertheless, some structural internal improvements are needed to balance the financial and productive flaws in order to consolidate both the resilience to shocks as well as the macroeconomic stabilization.

Keywords: Economic growth, Unobserved component modeling, Senegal

JEL Classification: C32, E32

Suggested Citation

Bates, Samuel and Ndiaye, Cheikh, Analyzing Economic Growth From Structural Unobserved Component Modeling: The Case of Senegal (July 18, 2013). Available at SSRN: https://ssrn.com/abstract=2279630 or http://dx.doi.org/10.2139/ssrn.2279630

Samuel Bates

University of Angers - GRANEM ( email )

UFR Esthua
7 allée François Mitterrand
Angers, 49001
France

Cheikh Ndiaye (Contact Author)

Université Gaston Berger de Saint-Louis ( email )

Faculty of Economics and Management, BP.234
Saint-Louis
Senegal

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
31
Abstract Views
245
PlumX Metrics