Is Mozambican Growth Sustainable? A Comprehensive Wealth Accounting Prospect

Timothée, Ollivier (2009): Is Mozambican Growth Sustainable? A Comprehensive Wealth Accounting Prospect.

Abstract

We estimate the wealth of Mozambique in 2000 and 2005 in order to assess the sustainability of its development path. Our methodology builds on Arrow et al. (2007). We show that Mozambican growth is driven mainly by human and physical capital accumulation, while the pressure on natural capital remains low. Moreover, changes in knowledge and institutions significantly enhance the outcome of the different capital assets while population growth has a strong downward effect on wealth per capita. In the end, we conclude that Mozambique, unlike many other sub-Saharan countries, followed a sustainable growth path in recent times.

• Item Type: MPRA Paper
• Language: English
• Keywords: natural capital, sustainable development, Mozambique, comprehensive wealth accounting
• Subjects: Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q56 - Environment and Development ; Environment and Trade ; Sustainability ; Environmental Accounts and Accounting ; Environmental Equity ; Population Growth; E - Macroeconomics and Monetary Economics > E0 - General > E01 - Measurement and Data on National Income and Product Accounts and Wealth ; Environmental Accounts; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q0 - General > Q01 - Sustainable Development; E - Macroeconomics and Monetary Economics > E2 - Consumption, Saving, Production, Investment, Labor Markets, and Informal Economy > E21 - Consumption ; Saving ; Wealth

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