Ethics †Terms to know Essay

Worldview–The way the world is seen & made sense of; framework of individual understanding. e.g. Deism – God abandoned creation Nihilism – Reality has no value; traditional values unfounded Existentialism – Life has no meaning but what we give it Eastern Pantheism – Polytheism, i.e. Hinduism Naturalism – Secular humanism / modernism; God is irrelevant–nothing exists but natural world New Age Pantheism – All is one; no distinction between plants, people; all are God Judeo-Christianity – There is only one God who created universe; God is involved w/ creation Post Modernism – God is dead; truth is a social construct; relativism prevails Ethics–The explicit, philosophical reflection on moral beliefs and practices. (The difference between ethics and morality is similar to the difference between musicology and music. Ethics is a conscious stepping back and reflecting on morality, just as musicology is a conscious reflection on music). Descriptive Ethics–Stating actual moral beliefs. Normative Ethics–Study of what is really right or wrong. Metaethics–Study about field of Ethics. Metaethics Theories Objectivism–There are correct and incorrect answers. Subjectivism–There are no correct or incorrect answers. Absolutism–All moral rules hold without exception–there is only one truth; opposite of relativism, contrasts with consequentialism. Rights–Justified claims upon other(s) for actions or non-actions. Negative Obligation (Right)–An obligation to refrain from something or entitlements to do something without interference from other people. See also autonomy. Positive Obligation (Right)–An obligation to perform / provide, etc., or entitlements that obligate others to do something positive to assist you. In rem–Universal rights (obligations fall on all moral agents). In personam–Restricted rights (obligations fall on selected individuals). General Obligations–moral requirements of all moral beings. Role-related Obligations–moral requirements of specific roles, e.g. MD, priest, etc. Strong Paternalism–Forced acts of beneficence on person able to decide. Weak Paternalism–Forced acts of beneficence on person unable to decide. Negative Paternalism–Refraining from doing something to/for someone. 4 Main Ethical Principles / Values Nonmaleficence–Do no harm; (Primum non nocere – first, do no harm); a negative right. Beneficence–Do good; promoting the welfare of others; actively avoiding harm; a positive right. Autonomy–Non-interference with other’s choices and freedom to make choices / self determination. Justice / Social Justice–Equal treatment for all. Ethical Systems Theories (*Related concepts) *Consequentialism–The end justifies the means; the rightness or wrongness of any action depends on its consequences. *Utilitarianism (act)–To act in a beneficial way based strictly on the good consequences for the most people; case-by-case analysis of each act. *Utilitarianism (rule)– To act in a beneficial way (with good consequences for the most people) based on moral rules; categorical imperative? Deontologism–It’s not whether you win or lose, it’s how you play the game; some actions are right or wrong regardless of their consequences; contrasts with consequentialism. Relativism–it all depends–all points of view are equally valid. Also: When in Rome, do as the Romans do (cultural relativism). Beauty is in the eye of the beholder (personal relativism). *Doctrine of Double Effect–intention is everything; concerns only intended means or ends, not actual means or ends even if predictable (i.e. chemo side-F/Xs). Patient Relationship Models Engineering Model–Just the facts, ma’am; healthcare professionals as scientists presenting facts–patients make decisions based on these facts. Paternalistic Model–Do what I say; decisions are made by healthcare professionals. Contractual Model–Let’s make a deal; healthcare professionals give information–assist patients in decision-making by making recommendations. Confidentiality–Not divulging information which another has revealed on condition of secrecy; patient’s right to privacy (of information). Deontological Argument for the Obligation of Confidentiality–Respecting confidentiality respects patient autonomy. Consequentialistic Argument for the Obligation of Confidentiality–Respecting confidentiality protects and promotes well-being of patients. 3 Accepted Exceptions for Divulging a Patient Confidence–Patient not competent, required by law, protect public interest. Truth Telling (Veracity)–Obligation to tell the truth. Consequentialistic Case for Telling and Withholding the Truth–Do what will most benefit/least harm patient; truth-telling / withholding truth context dependent. 3 (actually 4) Possible Exceptions to the Truth-Telling Rule–Family request, patient request, for the good of others (less so now), avoiding disastrous consequences (extreme cases). 5 Elements of Informed Consent–Competence, information disclosure, understanding, voluntariness, and authorization.

Compare the short story “Flowers for Algernon” Essay

The differences between â€Å"Flowers for Algernon† as a short story and as a movie represent the differences between the two media. In my essay I am going to show, from the differences between the short story and the movie, the differences between the two media, coming up with the conclusion that the short story is the better medium by which to tell this story. One of the most significant differences between the short story and the movie is the developing of Charlie’s character in the story. In the book for example, is nothing said about his family, whereas in the movie is told a lot about his childhood and in the end he also sees his mother. When we see Charlie in the movie identifying himself as lonely, he becomes a more described character than he is in the book. This shows the difference that in a short story we have to develop a character ourselves, but in a movie only throughout one picture of a person we already get a description of this character we would never have got in a short story. In the movie we have seen the information about Charlie we immediately get it supported by information about his family. There are also different kinds of pathos in short story and movie. With the identification of Charlie Ms Kinnian and indirectly Algernon with the loneliness in the movie, they identify themselves as sad. This makes the movie much more pathetic than the short story, because in the short story only the identifying between Charlie and Algernon takes place, which is much less pathetic. What also support the pathos in the movie is the whole emotion around the relationship between Charlie and Ms Kinnian. This could represent the fact that a movie has to be more emotional than a short story, so that the people want to see it. But it could also show that someone who is making a movie has to bring in more pathos in his story, because he shows the story omniscient. That means he has not the chance to tell the story in diary-form and so directly out of the brain of the main character which is much more personal. With short story as diary-form you can see everything through the eyes of the diary writer. To compare the roles of the doctors, doing the operation, also brings up a big difference. In the movie there is no Dr. Nemur, who plays a big role in  the short story. In the short story Dr. Nemur represents the scientific world, which is not always human. Dr. Strauss plays the good, personal and human guy, which also cares about Charlie’s feelings and his psychology. Now in the movie there is only Dr. Strauss, who then has to represent the scientific world but also has to be the good guy. So two flat characters from the short story can be put into one character in the movie. Because Dr. Strauss is representing two characters, he becomes a grotesque person. This happens, because he has to represent a scientific society, which does not have ethics as basis but also has to represent a world of humanity and ethics, which in the short story represent Dr. Nemur. In my opinion the short story is the more successful medium by which to tell the story, because the movie creates you through a lot of emotions one specific opinion about what happens to Charlie. Whereas in the short story you have more chance to create your own opinion about the story, which is a very important thing in stories but also in your life.

Amplitude Modulation (AM) Process Overview

Amplitude Modulation (AM) Process Overview Modulation is the process of modifying the characteristic of one signal in accordance with some characteristic of another signal. In most cases, the information signal, be it voice, video, binary data, or some other information, is normally used to modify a higher-frequency signal known as the carrier. The information signal is usually called the modulating signal, and the higher-frequency signal which is being modulated is called the carrier or modulated wave. The carrier is usually a sine wave, while the information signal can be of any shape, permitting both analog and digital signals to be transmitted. In most cases, the carrier frequency is considerably higher than the highest information frequency to be transmitted. 4.2 Amplitude Modulation (AM) Amplitude modulation is the process of changing the amplitude of a relatively high frequency carrier signal in proportion with the instantaneous value of the modulating signal (information). The carrier frequency remains constant durin g the modulation process but that its amplitude varies in accordance with the modulating signal. An increase in the modulating signal amplitude causes the amplitude of the carrier to increase. Both the positive and negative peaks of the carrier wave vary with the modulating signal. An increase or decrease in the amplitude of the modulating signal causes a corresponding increase or decrease in both the positive and negative peaks of the carrier amplitude. If you interconnect the positive and negative peaks of the carrier waveform with an imaginary line, then you re-create the exact shape of the modulating information signal. This imaginary line on the carrier waveform is known as the envelope, and it is the same as the modulating signal. Amplitude modulation that results in two sidebands and a carrier is often called double sideband amplitude modulation (DSB-AM). In its basic form, amplitude modulation produces a signal with power concentrated at the carrier frequency and in two adja cent sidebands. Each sideband is equal in bandwidth to that of the modulating signal and is a mirror image of the other. Amplitude modulation is inefficient in terms of power usage and much of it is wasted. At least two-thirds of the power is concentrated in the carrier signal, which carries no useful information; the remaining power is split between two identical sidebands, though only one of these is needed since they contain identical information. 4.2.1 Mathematical Representation of AM Suppose we wish to modulate a simple sine wave on a carrier wave. The equation for the carrier wave of frequency fc, taking its phase to be a reference phase of zero, is The equation for the simple sine wave of frequency fm (the signal we wish to broadcast) is Amplitude modulation is performed simply by adding vm(t) to Vc. The amplitude-modulated signal is then The formula for vam(t) above may be written The broadcast signal consists of the carrier wave plus two sinusoidal waves each with a freque ncy slightly different from fc, known as sidebands. For the sinusoidal signals used here, these are at fc + fm and fc − fm. As long as the broadcast (carrier wave) frequencies are sufficiently spaced out so that these side bands do not overlap, stations will not interfere with one another.

Aboriginal people and the Canadian justice system Essay

Aboriginal people and the Canadian justice system - Essay Example Section 35 of the constitution of Canada defines aborigines as 'aboriginal people in Canada include the Indian, Inuit, and metis people of Canada And further sect 35 sub sec 4 states 'notwithstanding any other provision of this act, the aboriginal and treaty rights referred to in sub section 1 are guaranteed equally to male and female.The Federal government of Canada and the provincial government are committed to the principle that, before amendment to class 24 of section 91 of the constitution act 1867 to section 25 of this act or to this part.The Ottawa project for restoration and sentencing is said to be the pilot project .it is said also to one of the several justice projects across Canada that have garnered support of the department of justice.The numerous studies, reports and justice inquires across Canada, and growing body of statistical information, confirmed that aboriginal people experience disproportionately high rates of crime and victimization are over represented in the court and the correctional system, and further, feel a deep alienation from justice system that is to them foreign and inaccessible and reflects both human and fiscal terms are seen to be exhorbitant, but also spiraling.Through persistent dialogue with various levels of government, aboriginal communities across Canada have gradually begun to explore the possibility of administering various components of the criminal justice system. Various difficulties confronting Aboriginal people within the Canadian judicial system have been addressed over the past twenty years but, unfortunately, many problems still exist. High levels of Aboriginal incarceration, one of the most serious problems, are aggravated by inadequate government funding and limited rehabilitation options and resources, and the overall justice system still does not address the cultural needs of Aboriginal peoples. JURISDICTIONAL REACH OF THE INTIATIVES Besides the fact that the restorative and sentencing community projects is a national wide issue which has been deeply entrenched in the constitution via the constitution act 1867,provincial governments have been given the a larger part to play in initiating projects within their provincial jurisdiction to address the issue. Overall, the Program helps Aboriginal people who are in conflict with the criminal justice system to obtain fair, just, equitable, and culturally sensitive treatment. Specifically, the Aboriginal Court work Program seeks to: 1. In the event of as aborigine being accused of a criminal offence and eventually put in custody, the project has devised a way of organizing for bail terms, which in most cases are denied to them. assist Aboriginal people to understand their right to speak on their own behalf or to request legal counsel, to better understand the nature of the charges against them and the philosophy and functioning of the criminal justice system. 2. Also the project is assisting in ensuring that the time spent in pre-trial detention by aboriginal people is reduced. 3. Afford them legal representation in court. 4. Disproportinate level of aboriginal incarceration -the Canadian criminal justice system is rooted in a strong reliance on incarceration and as a result, Canada is placed among the highest users of imprisonment in the world .the emphasis an incarceration as punishment had a detrimental effect on offenders, particularly aboriginal offenders on whom confinement places particularly onerous pressures, given the traditional relationship with the land

Comparing Eulers Method with Numerical Methods Thesis

Comparing Eulers Method with Numerical Methods - Thesis Example Nonetheless, differentiation of equation expressing these systems and shapes was noted to be quite complex. Moreover, these equations are only capable of describing extremely large systems and shapes, so pure mathematical analysis on them is quite impossible. The complex nature of these systems led to the usefulness of numerical approximation and computer simulations. Therefore, this paper will analyze Euler’s method in differentiating these complex mathematical equations. Notably, the numerical approximation techniques that are applied in solving the differential equation were thought of and developed long before the existence of the programmable computers. During the Second World War, people (particularly women) used mechanical calculators (in their rooms) to solve differential equations for war purposes. However, the introduction and increase in programmable computers and computer applications have decreased the cost and increased the speed, thereby increasingly easing solv ing the difference equations of complex systems (Kuang and Cong, 2007). For example, laptops can easily compute a long term interjectory of over one million interacting molecules. For about five to ten years ago, this problem seemed inaccessible to even the then fastest analog supercomputers. This essay will introduce the fundamental principle of numerical approximation and relate to geometry and curved surfaces. Thereafter, it will analyze how simple geometric problems can be handled using Euler’s method. Generally, numerical differential equations are always represented in the equation or functions, f. These functions can handle a wider range of ordinary differential equation (ODEs) and partial differential equations (PDEs). A system of ordinary differential equations can contain any number of unknown functions. However, all these functions must be a derivative of a single independent variable, t that is the same for other functions (Kuang and Cong, 2007). On the other hand , partial differential equations often have two or more independent variables. Differential Equations There are numerous ways of solving differential equations. However, there are fundamental equations upon which all other equations are built. The first order system of differential equation takes the simplest order dy/dt = f(y, t) or y? = f(x, y). Where dy/dy represents the change in y with time and f(y, t) is a function of variables y and t. notably, there are numerous notations for the change d/dt. The most common ones include ? and y’. This equation satisfies numerical integration that means computation from initial point y0 (the initial condition) to the other successive conditions y1, y2, y3 †¦ since differential equations cannot be solved analytically, they take an algorithm that computes the function or equation as precise as possible, that is, yn+1 from yn. In some cases, y may be a vector while the evolution equation may be non-linear differential equations. Pro blem Formulation The main theme of this essay is to use first order differential to solve differential equation under certain set conditions. Consider that the fundamental differential equation of the first order of ordinary differential equation is dy/dx = f(x, y) with the initial boundary condition being y(x0) = y0. Approximate the function y(x) over the sample values of xn

BusinessMGT Unit2 Assignment Example | Topics and Well Written Essays - 1500 words

BusinessMGT Unit2 - Assignment Example It is essential that effective technique should be selected based on an organization’s resources and needs. All business techniques of planning are effective, if they are implemented in a proper way and time. Organizations should build an organizational culture suitable for the planning technique before executing it. The organization has to opt for the planning technique that is flexible and most suitable for its business type. Planning and leadership is managed according to the goals of the organization. Objectives provide the organization with the direction of planning and actions. The main characteristic of objectives and goals is that they should be specific; they should indicate what the company wants to achieve. The objectives must be according to the mission statement. They should be realistic, achievable and motivating (Crow, 2006) Nestle is the world’s largest and leading food company with factories operating in almost all continents. Nestle is thoroughly dedic ated to food; it remains concerned about the quality of food and any problem related to nutrition. The main objective of Nestle is â€Å"to be recognized as the world’s leader in Nutrition, Health and wellness, trusted by all its stakeholders and to be the reference for financial performance in its industry† (Nestle, 2011). It wants to provide people with a variety of food, as well as better food so that they can live a better life. The leadership and trust provides people with good and healthy life. Its slogan â€Å"Good Food, Good Life† defines the ambition of Nestle. Over the years, Nestle has been achieving its goals. The reason behind its success is that it has accomplished what it strived for. The business principles that Nestle has set, help the company in achieving its goals. The company manufactures and markets the products in such a way as to create value that can be maintained over the long term. Nestle values it consumers. The consumers and the organ ization have developed a relation of trust. Without the trust of consumers, the company would not exist. The guidance to the employees in the form of principles has benefited the company and has ensured that highest standards are met. The professionalism and the responsible attitude of management is the reason behind the success of the company. The goals that were defined above are achieved by following the business principles. The principles are not followed by the employees only, but are followed by the top, lower, and middle management. Now the company is providing good life to people by supplying them with good food. The food includes everything from juices to dairy products and from dietary to infant food. References J. Crow, (2006), "What constitutes a good project goal statement?", http://www.projectkickstart.com/html/tips4.htm Nestle, 2011

Discussion 2 Week 10 The Assignment Model Example | Topics and Well Written Essays - 500 words

Discussion 2 Week 10 The Model - Assignment Example ce in the balanced assignment model, the supply and the demand at each source and destination are clearly determined and limited to one, decision makers are provided with the essential tools to solve the problem conveniently. Likewise, as described, when the problem is unbalanced, it is either that the supply exceeds demand, or the demand exceeds the supply (Taylor, 2010). There are several benefits which could be gained from using the assignment model. For one, the decision makers are provided with clear constraints that would facilitate the formulation of decision variables along the indicated expected demand and supply at source and destination. In addition, through a study written by Caulley (1982), it was revealed that the applicability of the assignment model is appreciated in situations where â€Å"there is a variable to be optimized, such as teacher satisfaction. In the example used to demonstrate the assignment model, students are assigned to teachers in a way that matches them up with the students they request as much as possible†¦ The author concludes that the advantages of these models are that they give a better solution than can be obtained by inspection and they take teachers wishes into account regarding assignment† (par. 1). In addition, since these type of problems could be solved using computer applications through Excel or Excel QM, the decision makers could be provided with accurate solutions at the soonest possible time – giving the user of the model the convenience and ease of arriving at the most viable solution within a limited time period. Caulley, D. (1982, February). The Use of Assignment and Transportation Models in Evaluation. Research on Evaluation Program. Paper and Report Series No. 68. Retrieved from eric.ed.gov:

The value of society in The Misanthrope and The importance of being Essay

The value of society in The Misanthrope and The importance of being Earnest - Essay Example Through such ridicule, each play is able to entertain the upper classes, define some of the values of their society and illustrate where each begins to negate the benefits of such conventions. The characters in â€Å"The Misanthrope† appear almost more like caricatures than like real people. Each one of the minor characters remain fundamentally superficial, concerned more with the importance of manners than with the importance of honesty. The various marquises prove to be more silly than serious and the pompous Oronte has convinced himself that he is a paramount writer, demanding praises from his friends and acquaintances regardless of their true opinions of his verses and even going so far as to sue Alceste for not providing this. â€Å"Cà ©limà ¨ne is a manipulative coquette with a sarcastic tongue and a cold heart. Philinte seems a rather neutral character who †¦ is a piece of dramatic structure thrown in simply to be Alceste’s confidant. Éliante is even less defined† (Hubeart, 1996). However, Alceste, as the title implies, is completely opposite these individuals, going to the extremes to try to tear off the masks of hypocrisy, hidden u nder a veneer of manners that he sees about him everywhere he looks. The women are especially emblematic of the types of hypocrisy against which Alceste struggles. Arsinoe emerges as a frustrated old woman, jealous of the younger woman’s status and ability to flaunt custom, but is not herself brave enough to bypass the strict code of manners and accepted behavior to capture the one thing she wants, Alceste’s love. When she chastises Cà ©limà ¨ne for her shocking behavior and gossip, Cà ©limà ¨ne tells her â€Å"There’s a season for love and another for prudishness, and we may consciously choose the latter when the hey-day of our youth has passed—it may serve to conceal some of life’s disappointments† (Act III, scene iv). In this speech,

Intercultural Communications assignment Example | Topics and Well Written Essays - 500 words - 1

Intercultural Communications - Assignment Example The Canadian culture is under individual culture. This is clearly seen when people meet for the first time, they always want to know what the person does, their accomplishments, individualist culture, and where they live. These items become basis of defining a person. In this country there are also few family names and people are not often defined by their family name but by their accomplishments. Power distance theory analyses the way different cultures deal with inequalities. This is the extent to which people from the minority group in a country accept and expect that there is unequal distribution of power. Canadian culture is characterized with a low power distance. This is evident in workplaces where every employee has equal rights. Company employees have the right to speak out if they are not satisfies with the working conditions. This can be directly or through trade unions. Uncertainty avoidance theory analyses the extent to which people within a culture feel that they are threatened by unknown situations. Canada culture is weak in uncertainty mainly because of the diversity among people. People are more relaxed because they respect each other’s cultural background. Ethiopia is a country that has a diverse mix of linguistic and ethnic background. This country is estimated to have more than 80 different ethnic groups, each having its own culture, language, custom, and tradition (Teum Teklehaimanot, 2015). Ethiopia has a collective culture where relationship among people is emphasized at a greater degree. People are defined by their family names and extended families are the focus of the country’s social system. Relatives from both sides of the family and close friends usually have a close relationship. Quit often when people marry, they live with their families so that there is a group to turn to when need arises. In Ethiopia, there is high power distance, which means that people are expected to respect those who are in power

Dream Analysis Essay Example for Free

Dream Analysis Essay Dreams had always been a part of human existence. Since time immemorial, human beings had always been mystified on the phenomenon of dreaming. As early as 5000 B. C. , early civilizations had recorded and tried to interpret their dreams on clay tablets. The Egyptians, puzzled by the existence of dreams, had even believed in a God of Dreams whom they called Serapis. Up to the present age, theorists and psychologists are still unable to arrive at a definite explanation on why humans dream. Dreams are etched in the human mind in such a way that makes it hard for researchers to objectively study them. At present, there are three major theories that are widely accepted that explain such phenomenon: (1) Freud’s Theory (2) Cognitive Theory and the (3) Activation-Synthesis Theory. Sigmund Freud (1856-1939) believed that a dream exists as a wish fulfillment. According to him, people have unsatisfied or unexpressed desires during the times when they are awake and these desires are being fulfilled unconsciously when people dream through sleeping. For example, a person having unfulfilled sexual desires one or two days prior to sleeping may have dreams that are sexually erotic in nature (may lead to ‘wet dreaming’). Similarly, people who had been forced to suppress their anger during waking hours may have dreams that contain violent elements/scenes (Santrock, 2005, p. 244). This theory of Freud is particularly applicable to a personal experience. Once I broke our printer by accident. I was trying to find a way to fix it but the only solution I could think of is having it repaired by a technician. The main dilemma was that I didn’t have the money to have it fixed. It was very fortunate that no one else used the printer that day. When I slept in the evening, I dreamt that a certain old man came to fix our printer free-of-charge. The dream ended there. It can be seen from this experience that a problem during the day was given a temporary solution through dreaming. Although the printer wasn’t really fixed at all, the dream was sufficient in providing a quick way out of my anxiety caused by the broken printer. Another example was the time when I was craving for some McDonald’s Fries for no particular reason. I haven’t been able to go to the said Fast-Food Shop because my mother borrowed my car. I just slept through my craving for McFries and I ended up dreaming about it, only that in my dream, the fries are much larger than the actual size. According to Freud, our dreams may contain scenes or events from our experiences of the past day or of the day before. One particular dream to illustrate this is my dream that I was able to fly. In the dream, I had my arms stretched over my head and I was flying over our village, very much like Superman. I could connect this dream to my behavior when I went swimming with my friends the day before. During my stay underwater, I had been imitating the flying position of Superman imagining that I was floating in mid-air instead of mid-water. An additional example for this theory of Freud is my dream on the Red Queen. I had watched on home video the movie Alice in Wonderland by Tim Burton. I was so irritated with the Red Queen’s face while I was watching the movie that I dreamt of the character when I slept in the evening. In the dream, I was having a dispute with the Red Queen where in the end I won our fight and I was able to command certain Knights, â€Å"Off with her head! † Perhaps connected to this principle of Freud was my experience when I had a fever. I wasn’t feeling well when I slept and I was feeling a bit scared to sleep in solitude. In the middle of my sleep, I dreamt that I was transformed into a cat and that my friends could not recognize me. I was trying my best to scream my name to them but all that I could manage to say were small meows. The next stage of my dream was that I had a small hole in my skull. The small hole led to the deformation of my skull because it secreted foul-smelling cerebral fluid through it. I woke up in the middle of night sweating and breathing heavily. Even though events from days before may appear in a dream, it does not necessarily mean that the scenes in the dream happen in chronology. More often than not, a dream is a homogenous mixture of different time-frames where the sense of chronology is absent. Tied with this principle is that places where dream scenes may happen need not be logical or real. I had dreams before of having to wake up in my bedroom as the sun was just rising and stepping out of my room, I find myself at the school cafeteria way past dusk. I also had a dream wherein I was standing in front of my friend’s house. That friend of mine had offended me during one of our night-out with the rest of our peers. In my dream, I was back to the scene wherein we were having an intense argument. Then, one second of whirling brought me in front of that friend’s house, waiting for him to come out and ask for forgiveness. He didn’t come out of the house though and I was brought to a garden where I found him sitting on a bench. At the end of the dream, I was the one who asked for his forgiveness. The following morning, before I left for school, he gave me a phone call telling me that he was sorry. According to Freud, there are two components of a dream, a surface element which he called the manifest content and a hidden meaning of the surface element which he called the latent content. For example, Freud states that snakes and neckties present in the dream may mean something else. The snake or necktie is the manifest content while its latent content is a male genitalia. This means the snake or necktie symbolizes a male genitalia. This idea of Freud made me remember a dream I had just this weekend. In the dream, I had been boating with a tour guide on the Amazon River. I was so terrified to see a giant snake swimming just under our boat. The faceless tour guide just told me that the snake couldn’t see us because we were in the snake’s blind spot. I never knew what happened with me on that river, only that in the dream I was transported somewhere else I couldn’t remember. Could my dream mean that I am fantasizing about whatever the snake symbolizes? It’s hard to believe though! The second theory of dreaming is the Cognitive Theory. It states that dreaming involves the same cognitive steps used in the waking mind: processing, memory and problem solving (Santrock, 2005, p. 245). In this theory, hidden meanings of dreams through symbols are not regarded as possible. Dreaming is looked upon as an opportunity for the person to find a state of mind where problems can be solved through creative thinking. Robert Louis Stevenson, for example, said that it was in a dream that he acquired the idea for Dr. Jekyll and Mr. Hyde. Elias Howe claimed also that a dream provided him the idea of creating a sewing needle with the hole for the thread on the blunt tip of the needle and not on the middle. (Santrock, 2005, p. 245). Friedrich Kekule, the proponent of the structure of the benzene, said that the cyclic structure of benzene was seen in a dream wherein he saw a snake trying to bite its own tail as it moves in a circular manner. I could apply this theory in one of my experiences. I was trying to come up with a story on how humans need to face trials as means of being emotionally stronger. The story needed to be as creative as possible because I was going to present it to a youth group in our church. Out of fatigue due to too much thinking, I decided to take a nap on my desk. I dreamt then of a young butterfly inside a cocoon. When I woke up, I was reminded of a story I heard long ago from a Franciscan nun wherein a young man tried to help the young butterfly get out of the cocoon by opening the cocoon himself with the use of a pair of scissors. The butterfly went out of the cocoon weakly with scrawny wings and was unable to fly. The struggle of the butterfly to get out of the cocoon by itself helps it to develop stronger wings that would soon enable it to fly. If I hadn’t dreamt of the young butterfly in the cocoon, I wouldn’t have remembered this story! The third theory is the Activation-Synthesis Theory. It states that dreams are part of the brain’s internal effort to explain the neural activity that still exists even though the person is sleeping (Santrock, 2005, p. 245). Neural networks in areas of the forebrain are involved in both the waking and dreaming behaviors. Primary motor and sensory areas of the forebrain may possibly be activated during the sensorimotor aspects of dreaming. (Santrock, 2005, p. 246). For example, if the dream asks for spatial organization, the parietal lobe would be activated. Similarly, if the dream asks for emotional requirements, the amygdala, hippocampus and frontal lobe may be activated. The movement of dreams in a ‘fantasy-whirling’ manner may be due to the sudden, uncoordinated eye movements of REM sleep. The sudden shift or dissolvation of a particular dream scene is explained as due to the normal cycling of neural activation. During stages of sleep, levels of neurotransmitters may rise and fall wherein particular neural networks are activated and shut down. As a new cycle is activated, that is, new sets of neural networks are activated and shut down, a new dream scene comes to the focus. Dreaming, therefore, becomes a succession of fantasy-transitioned slide shows. In connection to this theory, I once had a dream that involved a real experience while I was sleeping. I managed to open my eyes as I was disturbed in the middle of a sleep. I then saw my mother in my room, fixing the mess I left on my study desk. Subconsciously, I knew that I saw my mother inside my room, but then, as if my brain wanted to explain or make a story out of what I saw, the exact scene came to my dream. In the dream, I stood up and helped my mom fix the mess on my desk, but then my mom turned into a classmate of mine and we were back in the classroom listening intently to our teacher. I woke up in the middle of the night, convinced that I really didn’t stand up to help my mom fix my mess. These three theories explain to us why people dream. Freud’s Theory, The Cognitive Theory and the Activation-Synthesis Theory may view the phenomenon of dreaming in three different perspectives. In the present stage of human knowledge when it comes to explaining the human psyche, it could be said that an absolute explanation for dreaming is nonexistent. However, the three theories may work hand-in-hand in explaining and interpreting human dreaming. Reference Santrock, J. W. Psychology 7. McGraw-Hill Companies Inc. , 1221 Avenue of the Americas. Mew York, NY 10020. 244-246

Social Infrastructure and Economic Growth

Social Infrastructure and Economic Growth Abstract This dissertation has had a focus on the relationship and links between social infrastructure and economic growth in the context of Sub-Saharan countries. Predictability in development and growth is oftentimes linked to various endogenous conditions that can ultimately enhance or detract from the overall potential of a modern nation. The object of this research was represented by social and economic indicators in 23 Sub-Saharan countries. The aim was to find out whether the social infrastructure has a statistically significant impact on economic growth in this region. In order to reach this aim, the method of regression analysis has been implemented. The study has covered a wide range of social and economic variables observing them for a period from 1980 to 2008. The results of the study revealed that only population growth, life expectancy and savings rates are statistically significant determinants of economic growth in Sub-Saharan countries. This finding has supported the assumpti on that social infrastructure is an important factor that effect economic growth and development. However, the research has been limited by the lack of information on all 33 countries in Sub-Saharan region. Therefore, the sample was reduced to 23 countries. Furthermore, some social indicators such as Gini coefficient and mortality rates were not available for some of the older years in the sample. The study ends with recommendations to policy makers and discussion of implications. Dedication and Acknowledgment This dissertation is dedicated to my parents who I love unconditionally. I would like to express my gratitude to the University staff for the knowledge they shared with me and inspiring me to think critically. Authors Declaration I declare that the research project has been independently prepared by myself and represents an original work with no plagiarism. All external ideas and quotations have been properly referenced. The full list of references is contained at the end of the dissertation. Chapter 1: Introduction 1.1 Background As economic theory has evolved over the past several decades, a variety of variables have begun to infiltrate the standard models of growth and development. Roseta-Palma et al. (2010), for example, recognise that human capital has become an increasingly important variable in growth modelling, suggesting that the force behind such capital can radically alter the shape and potential of industry and markets. However, there is an inherent expectation of support, one which is based on the conceptualisation of the social infrastructure that leads the vocal masses to expect national investment in their wellbeing. To perform within a developing nation, society must be supported. The support must include effective health care and improved educational standards. The perpetuation of economic performance within diverse marketplaces ultimately relies upon the sustainability of such practices, leveraging human capital and contributing to market development. The theoretical background of this dissertation is represented by the elements of the economic theory that explains the growth and expansion as well as the role and influence of social factors. Econometric models put forward by the UN will be of particular importance. The research project will also review the arguments of famous contemporary economists such as Stiglitz (2009) and Jones and Klenow (2010). This will serve a useful theoretical background to the wider analysis, which is required for answering the research questions. The literature review will also cover the mainstream development theories such as dependency theory and social justice theory. From a conceptual perspective, researchers such as Newman and Tomson (1989) provide a precedence of focusing on social factors in economic development. They argue that social infrastructure is an essential element in sustainable long term growth of the economy. This theory may only be accepted as valid if it is statistically supported using the case studies of the economies. The testing has previously conducted by Jones and Klenow (2010). The researchers indeed supported the theory by finding that economic growth was boosted by increasing life expectancy in many countries. However, these researchers have not found such support of the theory for African countries in Sub-Saharan region. Therefore, this dissertation will attempt to study this region in more details and find statistical dependency between the social infrastructure and economic growth. Using the method of multiple regressions, a sample of 23 countries in Sub-Saharan region will be explored. The study will cover a period from 1980 to 2009. 1.2 Aims and Objectives In African countries, economic growth is a function of a wide range of variables such as foreign aid, foreign direct investments (FDI), policy reformation and liberalisation and others. This investigation seeks to examine a link, which is frequently overlooked in this dynamic and evolving economic system: social infrastructure. There is an innate reciprocity between social infrastructure and economic growth, one which requires further definition within the context of African evolution in order to determine the true order of events. In order to limit the scope and breadth of this study, the following aims and objectives were established: †¢ To determine whether social infrastructure is a fundamental determinant of economic growth. †¢ To explore statistical significance of social infrastructure as a determinant of the economic growth in Sub-Saharan countries. †¢ To recommend strategic policy implications for the transition economies in Sub-Saharan region that would help them to grow and expand. 1.3 Research Questions Based on the aforementioned aims and objectives, particular research questions were defined. They focus on investigation of the relations between the African social infrastructure and economic growth experienced by various nations within this region. It may be argued that the socio-economic aspects, which contributed to successes for many nations, remain inconsistent and non-definable today. Based on this supposition, the following research questions were defined prior to engaging in the investigative process: †¢ What are the primary threats/pitfalls associated with economic growth in Sub-Saharan Africa today? †¢ Does social infrastructure have a statistically significant impact on economic growth in Sub-Saharan countries? 1.4 Chapter Layout In order to standardise the research project, it was important to create a clear structure and presentation format. The study is structured in a way that would allow for progressing from more general information regarding the Sub-Saharan countries to more specific information regarding the variables that have a direct impact on the growth of the transition economies. The rest of the research project has the following structure. †¢ Chapter 2: Literature Review. This chapter focuses on a broad range of theoretical and empirical data that has been retrieved from a variety of academic sources. This literature review explores the determinants of the social infrastructure for developing nations, focusing on Sub-Saharan Africa. †¢ Chapter 3: Methodology. This chapter highlights the research methodology chosen during the collection and analysis of empirical data. Based on the precedence established by the past researchers, econometric modelling is used as the main method of the r esearch. This chapter also discussed the strategies and approached that were used with their justification. †¢ Chapter 4: Data Presentation. This chapter reveals the main findings and results of the research. The historical statistical data is presented and analysed. Correlation and regression analysis is applied to the data. The main results are summarised in tables and figures. †¢ Chapter 5: Discussion and Analysis. In this section, a synthesis of academic and empirical data is presented. The discussion is focused on the original research questions and objectives. They are compared to the findings achieved by previous researchers. Similarities and differences are analysed and explained. †¢ Chapter 6: Conclusions and Recommendations. The final chapter provides the final insight into the relations between social infrastructure and economic growth in Sub-Saharan countries. Recommendations for future research are offered since the research project has encountered par ticular limitations that have to be addressed in the future. Furthermore, policy implications are recommended in this chapter. Chapter 2: Literature Review 2.1. Measuring Economic Growth While it is widely recognised that the measurement of economic growth provides an accurate picture of development and achievement in transition nations, the inherent value of such metrics has been questioned during the last decade because of several pitfalls. Hoogvvelt (2001:8) argues that in early development models, all emphasis was placed on strategic enhancement of the transition economies with impoverished nations. A traditional indicator of economic growth is represented by GDP. While conceptually indicative of growth and economic expansion, this indicator has been recently challenged as an effective measurement of sustainable national development. In fact, researchers such as Stiglitz (2002, 2007) and Collier (2007) have offered the arguments on the fact that GDP fails to represent an accurate picture of national economic welfare. It is argued to limit the identification of economic inequality and circumvent such influential social indicators as mortality rates, GNI per capita , education levels, etc. Other researchers such as Thakur (2006) have suggested that the United Nations Human Development Index (HDI) should be used as an alternative measure of economic growth besides the GDP. 2.2. Growth Models The economic theory provides different growth models that explain the factors of economic growth and help to determine what cause an economy to expand. Among the well-established theories of growth are the neo-classical models suggested by Solow (1956: 65) and Ramsey (1928: 543). However, there are also alternative models that have recently been proposed. The most notable example is the endogenous growth model. 2.2.1. Neo-classical Growth Model of Solow and Ramsey The exogenous growth model has been originally presented by Solow (1956: 65). It is an extension of the previously formulated Harrod-Domar growth model. The latter suggests that the rate of economic growth is a function of the productivity of the countrys capital and the savings rates. Solow (1956: 65) has improved the Harrod-Domar growth model by differentiating between the new capital that emerged from the use of new technology and old capital. Diminishing returns started playing an important role in the exogenous growth model. Solow (1956:65) has also added labour to the determinants of the economic growth. The researcher argues that more than one factor of production should be included in the growth model. These factors are capital and labour. The researcher also emphasises the role of the technological progress in the economic growth. However, the model may be criticised for failing to provide the explanation of how and why the technology develops. In addition, the exogenous growth model may be criticised for neglecting the factor of entrepreneurship, which is argued to have a strong impact on economic growth (Braunerhjelm, 2008: 51; Audretsch et al, 2006: 119). Mathematically, the exogenous growth model may be presented as follows: Where Y is the output of the country; K is total capital (both new and old); L stands for labour; A represents technological development. The exogenous growth model is heavily reliant on the indicators estimated per capita. Hence, it places a significant emphasis on the role of the population growth in the economic growth. The capital per worker is argued to be growing only if the savings rates exceed the rate of populations growth and the level of depreciation of the capital. The exogenous growth model also suggests that the savings rate would be steady in the long run and have a positive correlation with the economic growth, i.e. the countries with higher savings rates will be expected to have higher economic growth. However, this notion was criticised by Ramsey (1928: 543) who proposed an alternative neo-classical model of growth. In his model the savings rates are assumed to be varying and not constant. The Ramsey model has changed the way the capital is modelled. Mathematically, it is represented as follows: Where k is capital; c is consumption; ÃŽ ´ is the rate of depreciation of capital; f (k) is the value of total production. Since the savings rates are not viewed as constant, the level of consumption is also considered as a varying process since it is tightly connected to savings. Since neither Ramsey nor Solow model of growth included the factor of entrepreneurship and explained technological progress as an endogenous process, an alternative model has been developed. It is called endogenous growth model (Barro and i-Martin, 2004: 205). 2.2.2. Endogenous Growth Model The previously discussed exogenous growth models suggested that a countrys GDP is a function of the savings rate and technological advances. Nonetheless, these exogenous growth models failed to show how savings are determined and how the technological changes are driven. These limitations are effectively solved by the endogenous growth model. It suggests that savings rates are simply a function of the utility maximising actions of the economic agents. Given the financial constraints, companies would aim to maximise their net income while consumers will tend to maximise their utility (Romer, 1986: 89). The endogenous growth model also explains technological progress as a result of the favourable policies from the government that do not restrict innovations and changes in the industries. It is valid to argue that in developing countries the governments may attempt to put certain restrictions on changes and innovations in order to protect the key sectors of the economy. The endogenous growth theory suggests that such actions would lead to a slowdown in the economic growth in the longer term. The theory also views company investments in the research and development as the way to technological progress and faster economic growth. Hence, the theory explains the growth of the economy with microeconomic elements (Aghion and Howitt, 1992: 323). However, the model has also been criticised in the economic literature. For example, Parente (2001: 51) argues that the endogenous growth model, even though being more complex, still fails to explain why there is a divergence in the national income per capita in emerging economies and developed countries. 2.3. The Social Factors, Economic Development and Equality A widespread academic research on social equality demonstrates that impoverished nations have traditionally failed to achieve healthy social infrastructure, which can sustain development amongst all groups of the population. Sebitosi and Pillay (2005:2045), for example, argue that poverty â€Å"is largely due to failure by society to productively deploy human resources† (Sebitosi and Pillay, 2005: 2045). The researchers argue that the governments of the countries with transition economies and policymakers cannot actively engage every individual in economic activities. In many cases, funding welfare programmes that were fiscally unsustainable has had minimal impact on the social welfare of the national inhabitants (Sebitosi and Pillay, 2005:2045). This is also illustrated by the efforts made by the African National Congress (ANC) in the late 1990s and early 2000s. Ultimately, it is the strategic utilisation of national resources that will allow for perpetuated social stability, gradual reduction of poverty over and improvement of social infrastructure. Sebitosi and Pillay (2005:2048) argue that availability of resources and the specifics of the culture determine the social infrastructure in a country. This, in turn, plays a role in the economic growth and development. Equality is a term used for describing the gap between the rich part of the population and the poor. This term is also expanded to describe the difference in rights between males and females, young and old, native and foreign ethnic groups, etc. Researchers such as Morvaridi (2008) and Houtzager (2005) argue that the merits of equality should be used as indicators of long term sustainability and economic growth of a nation. Anderson and Cavnagh (2009) have presented empirical evidence on the existence of income inequality and gender inequality that negatively impact the economic growth and development. Other academics (e.g. Sen, 2001) suggest that innate human rights must play a fundamental role in the development discourse, emphasising deficiencies within the national infrastructure that interrupt widespread equality. Accessibility and availability of resources and the level of social equality in developing nations are frequently identified as primary indicators of social development. Researchers such as Moradi and Baten (2005) have modelled social inequality according to anthropometric data. The model is focused on the level of development of social groups over the past decade. Their evidence highlights two different phenomena that have implications for policymakers in the future. First, the authors argue that evolution of the food supply has a direct and measurable impact on the physical characteristics of the population. Second, the marked increase in the social inequality has a direct impact on the resource accessibility and, subsequently, on the growth pattern of the surveyed nations (Moradi and Baten, 2005:1254). The implications of such evidence transcend the limitations of the model itself. The researchers recommend the governments to provide favourable external conditions for redistribution of wealth and resources in order to achieve higher rates of economic growth and development. 2.4. Resources, Social Determinants of Development and Opportunities In economic analysis of national development, indicators of sustainable growth are oftentimes linked to the advancement of technology, resources, and industrial activity. From a social standpoint, it is the access to resources and provision of more advanced amenities that allow researchers to effectively measure progress. Buys (2009:1496), for example, explored a widespread diffusion of cellular phones throughout Sub-Saharan Africa, modelling competitive networks according to the population concentration and government policy measures. Their time-scale representation of progress in cell-phone usage throughout this continent suggests that strategic policy reform has provided the most significant opportunity for widespread distribution of such technologies (Buys, 2009:1497). Improved competition amongst providers led to the spread of a sustainable low cost technology across the countries. This evidence suggests that opportunities play an important role in social and economic development. These opportunities, however, should be provided by the government and policy makers. Social factors in the sustainability of economic growth can oftentimes be overlooked in academia. Researchers focus instead on more tangible variables, attempting to model economic growth using purely economic variables and neglecting social factors. Chou (2006:910) demonstrates how social capital, as a strategic resource, can have a measurable and long term impact on the growth of a nation and its economic development. Essentially, as policymakers provide the resources for social capital to develop and expand, the infrastructure will simultaneously expand, allowing individuals to use the skills they have developed in a more effective and productive way. Over the long term, Chou (2006) suggests that technology and favourable policies of the government will lead countries to sustainable economic growth and stronger social infrastructure. Other models of social infrastructure have focused on the more practical composition of this expanding network. They emphasised such factors as the progress in transportation and population movement patterns. Porter (2002:286), for example, suggests that sustained improvements in both rural and urban transportation signal development progress in African nations. In particular, the author argues that economic recession of the 1980s and 1990s in African countries was reinforced by the poor condition of roads, transport and weak infrastructure. The deterioration of the transport infrastructure would reduce transport efficiency for the exchange of goods and services, resulting in a downward spiral in commercial activities (Porter, 2002:287). Porter (2002:296) argues that one of the methods to provide sustainable economic development is to stimulate the ‘scaling up of the national economy through the installation and evolution of social institutions. So, focusing on inequity in social development and the limitations imposed on infrastructure development and sustainability, the reviewed academics demonstrate how the consequence of restrictive social development is ultimately the deterioration of economic growth. The following empirical investigation will attempt to model such occurrences in modern Sub-Saharan Africa, highlighting those key variables that affect economic development. Chapter 3: Research Methodology 3.1. Research Model Researchers such as Moradi and Baten (2005:1234) argue that anthropometric models are fundamentally beneficial in the studies of national development, providing valuable insight into particular social factors that are indicative of long term development. In their analysis of Sub-Saharan African development, the authors used such models to analyse the data on accessibility of resources (i.e. nutritional and health inputs), providing a bounding metric by which they were able to evaluate inequality in the region (Moradi and Baten, 2005:1236). In a research model that was focused on a similar issue regarding the social determinants of economic growth, Newman and Tomson (1989:464) used World Bank databases to identify particular social indicators and statistically connect them to economic development. The methods and models of this dissertation are based on the research methodology of Newman and Tomson (1989: 464) and Jones and Klenow (2010). The econometric models will be represented by several equations that start from simpler ones and progress to the more complicated, which include additional variables and dummies. The list of equations that will be used is provided below. gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÃŽ µij (1) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ÃŽ µij (2) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + ÃŽ µij (3) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + Ï dummyrij + ÃŽ µij (4) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + Ï dummytij + ÃŽ µij (5) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + Ï dummyrij + Ï„dummytij + ÃŽ µij (6) Among these models, the best one will be selected with the Akaike information criterion. Random and fixed effects will be used in the panel regression models to investigate, for example, the impact of the geographical location on the economic growth and other factors. A general form of the panel regression model with fixed effects will be as follows: yij = ÃŽ ± + ÃŽ ²Xij + uij, where the error term u is assumed to be a sum of the fixed effect and another error term: uij = ÃŽ ¼i + ÃŽ ½ij. The random effect model will be different from this one in how it explains ÃŽ ¼i and ÃŽ ½ij . These terms are assumed to be completely independent. Furthermore, they random variable effect implies that these terms are normally distributed, i.e. The choice of the methodology is consistent with the theoretical concepts of the growth models reviewed in the literature and supported by such economists as Solow (1956), Romer (1986) and Barro and i-Martin (2004). The theory of economic growth expressed by these economists mainly suggests that a countrys GDP is a function of both economic variables and social. In particular, it has been seen in the literature review that exogenous growth model connects GDP with the savings rates and technical progress. The theory of Solow (1956) and the growth theories in Barro and i-Martin (2004) also suggest that GDP is related to the population (social variable) because the latter determines the amount of capital and labour as factors of production. Hence, the core of the econometric model has been built on the exogenous growth theory proposed by Solow (1956) and explained in Barro and i-Martin (2004). However, it was found in literature review that this theory was also criticised. The models ha s been enhanced by inclusion of additional variables to make it more complicated and create a representation of social infrastructure, which is a key focus of the research. 3.2. Research Instruments, Approach and Sampling Based on the research model presented by Moradi and Baten (2005) and Newman and Tomson (1989), this investigation is focused on the changes in economic growth as a result of a number of social and economic variables that have been described. Researchers Thomas (2003) and Creswell (2009) provide models of empirical research, emphasising a unique link between both quantitative (statistical, data-driven) and qualitative (phenomenological, experience-driven) data streams. Their mixed method research approach places one of these two methods in a primary position over the other, allowing the subsequent research to serve as a validation mechanism. The data used in the dissertation is entirely based on economic development statistics within the Sub-Saharan African counties. However, the various phenomena, which contribute to such development, are of primary concern for the relevance and validity of this investigation. Therefore, a mixed method research approach was chosen for the study. Using this method, statistical findings will be achieved and later compared with various economic and social phenomena across the surveyed nations. Because there are 33 different nations currently associated with Sub-Saharan Africa, this research has chosen a sample of the top 23 countries in terms of population, attempting to retrieve data that is directly relevant to the conceptualisation of the long term sustainable growth and the impact of the social infrastructure on this process. Non-probability sampling technique has been implemented in choosing the countries. This decision may be justified by the fact that total population represented by the 33 countries in Sub-Saharan region is quite small and could be used without picking a sample. However, sampling was needed since a limited amount of data was available for the countries. Historical statistics have been gathered from Penn World Table, International Monetary Fund (IMF, 2010) and World Bank (2010) database. These sources provided information for only 23 counties in the Sub-Saharan region. 3.3. Strategy of Research While all of Africa could have provided very general information relative to the development of these nations as a conglomerate, it was important to evaluate the social infrastructure of these nations to narrow the scope of the research. The case study research strategy has been employed in order to investigate the social and economic situation in all the companies within the chosen sample. The case study strategy, which was popularised by Yin (2009), allows the researcher to extract particular data from complex problems and identify those variables, which are most significant. Furthermore, this strategy allows for effective exploration of both the statistics and context of the problem (Saunders et al, 2007, p.119). Yin (2009) presents a model of the investigative case study, suggesting that the breadth and focus of research questions will ultimately define the methods employed during the study. His validation of the case study strategy as a valuable tool within academic research is based on the depth and scope of the data generated from such investigation (Yin, 2009:14). Following such case study guidance and the mixed method approach previously discussed, this research was conducted in an effort to determine whether or not the social infrastructure has a direct and measurable impact on overall economic performance of the countries in Sub-Saharan region. The data sources were retrieved from two globally respected sources: The World Bank and the International Monetary Fund (IMF). Economic indicators were also gathered from Penn World Table. These databases have compiled specific economic and social data on the majority of the nations in the world, providing a resource for academics and policymakers. While the World Bank (2010) remained the primary source of the data, the IMF (2010) database was used for comparative purposes and in order to identify several variables not found within the World Bank annals. All analysis was conducted using Microsoft Excel and Eviews 6 statistical package. 3.4. Limitations As previously mentioned, the scope of the research in this empirical case study was limited to the top 23 countries in Sub-Saharan region. This limitation arose from the lack of economic and social data for the rest ten countries in the region. World Bank (2010) provided most but not all information that was needed. Another important limitation of the research, which is worth noting, is the lack of observations for several social indicators. It was noted previously that the sample of data covers 23 countries with the time range from 1980 to 2009. While many of the economic variables such as GDP were available for this period, some social indicators such as mortality rate were available only for a period of up to 5 years. Therefore, the overall sample will have to be shrunk to run the regression with these variables that have fewer observations. This is expected to have a negative impact on the accuracy of the study and estimated statistics. Chapter 4: Data Presentation and Analysis World Bank (2010) has provided economic and social data for twenty three countries in Sub-Saharan region. However, most of the data contained missing points. In order to avoid the problem of missing points, sixteen Sub-Saharan countries have been selected to be analysed for which more complete data was available. The data ranges from 1980 to 2008. However, some of the social indicators such as health expenditure and mortality rate were available only for a limited time period. The health expenditure indicator was available only for a period from 2003 to 2007. Mortality rate indicator was available only for a period from 1998 to 2008. Due to the differences in the time period of data several panel regressions will be run and the best model will be chosen by means of the Hausman test. Panel regression analysis has provided a number of advantages to the research project. First of all, it has allowed for gathering a large number of observations that totalled 4,250. If only time-series analysis was used, there would have been fewer observations. Similarly, in a cross sectional analysis the number of observations would solely depend on the number of countries included. Panel regression analysis has allowed for combining both time and cross sectional dimensions making the analysis more advanced. Secondly, another advantage of using the panel data analysis was higher degrees of freedom. This is a result of the more observations that the method has provided. Degr Social Infrastructure and Economic Growth Social Infrastructure and Economic Growth Abstract This dissertation has had a focus on the relationship and links between social infrastructure and economic growth in the context of Sub-Saharan countries. Predictability in development and growth is oftentimes linked to various endogenous conditions that can ultimately enhance or detract from the overall potential of a modern nation. The object of this research was represented by social and economic indicators in 23 Sub-Saharan countries. The aim was to find out whether the social infrastructure has a statistically significant impact on economic growth in this region. In order to reach this aim, the method of regression analysis has been implemented. The study has covered a wide range of social and economic variables observing them for a period from 1980 to 2008. The results of the study revealed that only population growth, life expectancy and savings rates are statistically significant determinants of economic growth in Sub-Saharan countries. This finding has supported the assumpti on that social infrastructure is an important factor that effect economic growth and development. However, the research has been limited by the lack of information on all 33 countries in Sub-Saharan region. Therefore, the sample was reduced to 23 countries. Furthermore, some social indicators such as Gini coefficient and mortality rates were not available for some of the older years in the sample. The study ends with recommendations to policy makers and discussion of implications. Dedication and Acknowledgment This dissertation is dedicated to my parents who I love unconditionally. I would like to express my gratitude to the University staff for the knowledge they shared with me and inspiring me to think critically. Authors Declaration I declare that the research project has been independently prepared by myself and represents an original work with no plagiarism. All external ideas and quotations have been properly referenced. The full list of references is contained at the end of the dissertation. Chapter 1: Introduction 1.1 Background As economic theory has evolved over the past several decades, a variety of variables have begun to infiltrate the standard models of growth and development. Roseta-Palma et al. (2010), for example, recognise that human capital has become an increasingly important variable in growth modelling, suggesting that the force behind such capital can radically alter the shape and potential of industry and markets. However, there is an inherent expectation of support, one which is based on the conceptualisation of the social infrastructure that leads the vocal masses to expect national investment in their wellbeing. To perform within a developing nation, society must be supported. The support must include effective health care and improved educational standards. The perpetuation of economic performance within diverse marketplaces ultimately relies upon the sustainability of such practices, leveraging human capital and contributing to market development. The theoretical background of this dissertation is represented by the elements of the economic theory that explains the growth and expansion as well as the role and influence of social factors. Econometric models put forward by the UN will be of particular importance. The research project will also review the arguments of famous contemporary economists such as Stiglitz (2009) and Jones and Klenow (2010). This will serve a useful theoretical background to the wider analysis, which is required for answering the research questions. The literature review will also cover the mainstream development theories such as dependency theory and social justice theory. From a conceptual perspective, researchers such as Newman and Tomson (1989) provide a precedence of focusing on social factors in economic development. They argue that social infrastructure is an essential element in sustainable long term growth of the economy. This theory may only be accepted as valid if it is statistically supported using the case studies of the economies. The testing has previously conducted by Jones and Klenow (2010). The researchers indeed supported the theory by finding that economic growth was boosted by increasing life expectancy in many countries. However, these researchers have not found such support of the theory for African countries in Sub-Saharan region. Therefore, this dissertation will attempt to study this region in more details and find statistical dependency between the social infrastructure and economic growth. Using the method of multiple regressions, a sample of 23 countries in Sub-Saharan region will be explored. The study will cover a period from 1980 to 2009. 1.2 Aims and Objectives In African countries, economic growth is a function of a wide range of variables such as foreign aid, foreign direct investments (FDI), policy reformation and liberalisation and others. This investigation seeks to examine a link, which is frequently overlooked in this dynamic and evolving economic system: social infrastructure. There is an innate reciprocity between social infrastructure and economic growth, one which requires further definition within the context of African evolution in order to determine the true order of events. In order to limit the scope and breadth of this study, the following aims and objectives were established: †¢ To determine whether social infrastructure is a fundamental determinant of economic growth. †¢ To explore statistical significance of social infrastructure as a determinant of the economic growth in Sub-Saharan countries. †¢ To recommend strategic policy implications for the transition economies in Sub-Saharan region that would help them to grow and expand. 1.3 Research Questions Based on the aforementioned aims and objectives, particular research questions were defined. They focus on investigation of the relations between the African social infrastructure and economic growth experienced by various nations within this region. It may be argued that the socio-economic aspects, which contributed to successes for many nations, remain inconsistent and non-definable today. Based on this supposition, the following research questions were defined prior to engaging in the investigative process: †¢ What are the primary threats/pitfalls associated with economic growth in Sub-Saharan Africa today? †¢ Does social infrastructure have a statistically significant impact on economic growth in Sub-Saharan countries? 1.4 Chapter Layout In order to standardise the research project, it was important to create a clear structure and presentation format. The study is structured in a way that would allow for progressing from more general information regarding the Sub-Saharan countries to more specific information regarding the variables that have a direct impact on the growth of the transition economies. The rest of the research project has the following structure. †¢ Chapter 2: Literature Review. This chapter focuses on a broad range of theoretical and empirical data that has been retrieved from a variety of academic sources. This literature review explores the determinants of the social infrastructure for developing nations, focusing on Sub-Saharan Africa. †¢ Chapter 3: Methodology. This chapter highlights the research methodology chosen during the collection and analysis of empirical data. Based on the precedence established by the past researchers, econometric modelling is used as the main method of the r esearch. This chapter also discussed the strategies and approached that were used with their justification. †¢ Chapter 4: Data Presentation. This chapter reveals the main findings and results of the research. The historical statistical data is presented and analysed. Correlation and regression analysis is applied to the data. The main results are summarised in tables and figures. †¢ Chapter 5: Discussion and Analysis. In this section, a synthesis of academic and empirical data is presented. The discussion is focused on the original research questions and objectives. They are compared to the findings achieved by previous researchers. Similarities and differences are analysed and explained. †¢ Chapter 6: Conclusions and Recommendations. The final chapter provides the final insight into the relations between social infrastructure and economic growth in Sub-Saharan countries. Recommendations for future research are offered since the research project has encountered par ticular limitations that have to be addressed in the future. Furthermore, policy implications are recommended in this chapter. Chapter 2: Literature Review 2.1. Measuring Economic Growth While it is widely recognised that the measurement of economic growth provides an accurate picture of development and achievement in transition nations, the inherent value of such metrics has been questioned during the last decade because of several pitfalls. Hoogvvelt (2001:8) argues that in early development models, all emphasis was placed on strategic enhancement of the transition economies with impoverished nations. A traditional indicator of economic growth is represented by GDP. While conceptually indicative of growth and economic expansion, this indicator has been recently challenged as an effective measurement of sustainable national development. In fact, researchers such as Stiglitz (2002, 2007) and Collier (2007) have offered the arguments on the fact that GDP fails to represent an accurate picture of national economic welfare. It is argued to limit the identification of economic inequality and circumvent such influential social indicators as mortality rates, GNI per capita , education levels, etc. Other researchers such as Thakur (2006) have suggested that the United Nations Human Development Index (HDI) should be used as an alternative measure of economic growth besides the GDP. 2.2. Growth Models The economic theory provides different growth models that explain the factors of economic growth and help to determine what cause an economy to expand. Among the well-established theories of growth are the neo-classical models suggested by Solow (1956: 65) and Ramsey (1928: 543). However, there are also alternative models that have recently been proposed. The most notable example is the endogenous growth model. 2.2.1. Neo-classical Growth Model of Solow and Ramsey The exogenous growth model has been originally presented by Solow (1956: 65). It is an extension of the previously formulated Harrod-Domar growth model. The latter suggests that the rate of economic growth is a function of the productivity of the countrys capital and the savings rates. Solow (1956: 65) has improved the Harrod-Domar growth model by differentiating between the new capital that emerged from the use of new technology and old capital. Diminishing returns started playing an important role in the exogenous growth model. Solow (1956:65) has also added labour to the determinants of the economic growth. The researcher argues that more than one factor of production should be included in the growth model. These factors are capital and labour. The researcher also emphasises the role of the technological progress in the economic growth. However, the model may be criticised for failing to provide the explanation of how and why the technology develops. In addition, the exogenous growth model may be criticised for neglecting the factor of entrepreneurship, which is argued to have a strong impact on economic growth (Braunerhjelm, 2008: 51; Audretsch et al, 2006: 119). Mathematically, the exogenous growth model may be presented as follows: Where Y is the output of the country; K is total capital (both new and old); L stands for labour; A represents technological development. The exogenous growth model is heavily reliant on the indicators estimated per capita. Hence, it places a significant emphasis on the role of the population growth in the economic growth. The capital per worker is argued to be growing only if the savings rates exceed the rate of populations growth and the level of depreciation of the capital. The exogenous growth model also suggests that the savings rate would be steady in the long run and have a positive correlation with the economic growth, i.e. the countries with higher savings rates will be expected to have higher economic growth. However, this notion was criticised by Ramsey (1928: 543) who proposed an alternative neo-classical model of growth. In his model the savings rates are assumed to be varying and not constant. The Ramsey model has changed the way the capital is modelled. Mathematically, it is represented as follows: Where k is capital; c is consumption; ÃŽ ´ is the rate of depreciation of capital; f (k) is the value of total production. Since the savings rates are not viewed as constant, the level of consumption is also considered as a varying process since it is tightly connected to savings. Since neither Ramsey nor Solow model of growth included the factor of entrepreneurship and explained technological progress as an endogenous process, an alternative model has been developed. It is called endogenous growth model (Barro and i-Martin, 2004: 205). 2.2.2. Endogenous Growth Model The previously discussed exogenous growth models suggested that a countrys GDP is a function of the savings rate and technological advances. Nonetheless, these exogenous growth models failed to show how savings are determined and how the technological changes are driven. These limitations are effectively solved by the endogenous growth model. It suggests that savings rates are simply a function of the utility maximising actions of the economic agents. Given the financial constraints, companies would aim to maximise their net income while consumers will tend to maximise their utility (Romer, 1986: 89). The endogenous growth model also explains technological progress as a result of the favourable policies from the government that do not restrict innovations and changes in the industries. It is valid to argue that in developing countries the governments may attempt to put certain restrictions on changes and innovations in order to protect the key sectors of the economy. The endogenous growth theory suggests that such actions would lead to a slowdown in the economic growth in the longer term. The theory also views company investments in the research and development as the way to technological progress and faster economic growth. Hence, the theory explains the growth of the economy with microeconomic elements (Aghion and Howitt, 1992: 323). However, the model has also been criticised in the economic literature. For example, Parente (2001: 51) argues that the endogenous growth model, even though being more complex, still fails to explain why there is a divergence in the national income per capita in emerging economies and developed countries. 2.3. The Social Factors, Economic Development and Equality A widespread academic research on social equality demonstrates that impoverished nations have traditionally failed to achieve healthy social infrastructure, which can sustain development amongst all groups of the population. Sebitosi and Pillay (2005:2045), for example, argue that poverty â€Å"is largely due to failure by society to productively deploy human resources† (Sebitosi and Pillay, 2005: 2045). The researchers argue that the governments of the countries with transition economies and policymakers cannot actively engage every individual in economic activities. In many cases, funding welfare programmes that were fiscally unsustainable has had minimal impact on the social welfare of the national inhabitants (Sebitosi and Pillay, 2005:2045). This is also illustrated by the efforts made by the African National Congress (ANC) in the late 1990s and early 2000s. Ultimately, it is the strategic utilisation of national resources that will allow for perpetuated social stability, gradual reduction of poverty over and improvement of social infrastructure. Sebitosi and Pillay (2005:2048) argue that availability of resources and the specifics of the culture determine the social infrastructure in a country. This, in turn, plays a role in the economic growth and development. Equality is a term used for describing the gap between the rich part of the population and the poor. This term is also expanded to describe the difference in rights between males and females, young and old, native and foreign ethnic groups, etc. Researchers such as Morvaridi (2008) and Houtzager (2005) argue that the merits of equality should be used as indicators of long term sustainability and economic growth of a nation. Anderson and Cavnagh (2009) have presented empirical evidence on the existence of income inequality and gender inequality that negatively impact the economic growth and development. Other academics (e.g. Sen, 2001) suggest that innate human rights must play a fundamental role in the development discourse, emphasising deficiencies within the national infrastructure that interrupt widespread equality. Accessibility and availability of resources and the level of social equality in developing nations are frequently identified as primary indicators of social development. Researchers such as Moradi and Baten (2005) have modelled social inequality according to anthropometric data. The model is focused on the level of development of social groups over the past decade. Their evidence highlights two different phenomena that have implications for policymakers in the future. First, the authors argue that evolution of the food supply has a direct and measurable impact on the physical characteristics of the population. Second, the marked increase in the social inequality has a direct impact on the resource accessibility and, subsequently, on the growth pattern of the surveyed nations (Moradi and Baten, 2005:1254). The implications of such evidence transcend the limitations of the model itself. The researchers recommend the governments to provide favourable external conditions for redistribution of wealth and resources in order to achieve higher rates of economic growth and development. 2.4. Resources, Social Determinants of Development and Opportunities In economic analysis of national development, indicators of sustainable growth are oftentimes linked to the advancement of technology, resources, and industrial activity. From a social standpoint, it is the access to resources and provision of more advanced amenities that allow researchers to effectively measure progress. Buys (2009:1496), for example, explored a widespread diffusion of cellular phones throughout Sub-Saharan Africa, modelling competitive networks according to the population concentration and government policy measures. Their time-scale representation of progress in cell-phone usage throughout this continent suggests that strategic policy reform has provided the most significant opportunity for widespread distribution of such technologies (Buys, 2009:1497). Improved competition amongst providers led to the spread of a sustainable low cost technology across the countries. This evidence suggests that opportunities play an important role in social and economic development. These opportunities, however, should be provided by the government and policy makers. Social factors in the sustainability of economic growth can oftentimes be overlooked in academia. Researchers focus instead on more tangible variables, attempting to model economic growth using purely economic variables and neglecting social factors. Chou (2006:910) demonstrates how social capital, as a strategic resource, can have a measurable and long term impact on the growth of a nation and its economic development. Essentially, as policymakers provide the resources for social capital to develop and expand, the infrastructure will simultaneously expand, allowing individuals to use the skills they have developed in a more effective and productive way. Over the long term, Chou (2006) suggests that technology and favourable policies of the government will lead countries to sustainable economic growth and stronger social infrastructure. Other models of social infrastructure have focused on the more practical composition of this expanding network. They emphasised such factors as the progress in transportation and population movement patterns. Porter (2002:286), for example, suggests that sustained improvements in both rural and urban transportation signal development progress in African nations. In particular, the author argues that economic recession of the 1980s and 1990s in African countries was reinforced by the poor condition of roads, transport and weak infrastructure. The deterioration of the transport infrastructure would reduce transport efficiency for the exchange of goods and services, resulting in a downward spiral in commercial activities (Porter, 2002:287). Porter (2002:296) argues that one of the methods to provide sustainable economic development is to stimulate the ‘scaling up of the national economy through the installation and evolution of social institutions. So, focusing on inequity in social development and the limitations imposed on infrastructure development and sustainability, the reviewed academics demonstrate how the consequence of restrictive social development is ultimately the deterioration of economic growth. The following empirical investigation will attempt to model such occurrences in modern Sub-Saharan Africa, highlighting those key variables that affect economic development. Chapter 3: Research Methodology 3.1. Research Model Researchers such as Moradi and Baten (2005:1234) argue that anthropometric models are fundamentally beneficial in the studies of national development, providing valuable insight into particular social factors that are indicative of long term development. In their analysis of Sub-Saharan African development, the authors used such models to analyse the data on accessibility of resources (i.e. nutritional and health inputs), providing a bounding metric by which they were able to evaluate inequality in the region (Moradi and Baten, 2005:1236). In a research model that was focused on a similar issue regarding the social determinants of economic growth, Newman and Tomson (1989:464) used World Bank databases to identify particular social indicators and statistically connect them to economic development. The methods and models of this dissertation are based on the research methodology of Newman and Tomson (1989: 464) and Jones and Klenow (2010). The econometric models will be represented by several equations that start from simpler ones and progress to the more complicated, which include additional variables and dummies. The list of equations that will be used is provided below. gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÃŽ µij (1) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ÃŽ µij (2) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + ÃŽ µij (3) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + Ï dummyrij + ÃŽ µij (4) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + Ï dummytij + ÃŽ µij (5) gdpij = ÃŽ ± + ÃŽ ²popij + ÃŽ ³pop65ij + ÃŽ »lifij + ÃŽ ´savij + ÏÆ'mortfij + ÃŽ ½mortmij + ωhexpij + Ï dummyrij + Ï„dummytij + ÃŽ µij (6) Among these models, the best one will be selected with the Akaike information criterion. Random and fixed effects will be used in the panel regression models to investigate, for example, the impact of the geographical location on the economic growth and other factors. A general form of the panel regression model with fixed effects will be as follows: yij = ÃŽ ± + ÃŽ ²Xij + uij, where the error term u is assumed to be a sum of the fixed effect and another error term: uij = ÃŽ ¼i + ÃŽ ½ij. The random effect model will be different from this one in how it explains ÃŽ ¼i and ÃŽ ½ij . These terms are assumed to be completely independent. Furthermore, they random variable effect implies that these terms are normally distributed, i.e. The choice of the methodology is consistent with the theoretical concepts of the growth models reviewed in the literature and supported by such economists as Solow (1956), Romer (1986) and Barro and i-Martin (2004). The theory of economic growth expressed by these economists mainly suggests that a countrys GDP is a function of both economic variables and social. In particular, it has been seen in the literature review that exogenous growth model connects GDP with the savings rates and technical progress. The theory of Solow (1956) and the growth theories in Barro and i-Martin (2004) also suggest that GDP is related to the population (social variable) because the latter determines the amount of capital and labour as factors of production. Hence, the core of the econometric model has been built on the exogenous growth theory proposed by Solow (1956) and explained in Barro and i-Martin (2004). However, it was found in literature review that this theory was also criticised. The models ha s been enhanced by inclusion of additional variables to make it more complicated and create a representation of social infrastructure, which is a key focus of the research. 3.2. Research Instruments, Approach and Sampling Based on the research model presented by Moradi and Baten (2005) and Newman and Tomson (1989), this investigation is focused on the changes in economic growth as a result of a number of social and economic variables that have been described. Researchers Thomas (2003) and Creswell (2009) provide models of empirical research, emphasising a unique link between both quantitative (statistical, data-driven) and qualitative (phenomenological, experience-driven) data streams. Their mixed method research approach places one of these two methods in a primary position over the other, allowing the subsequent research to serve as a validation mechanism. The data used in the dissertation is entirely based on economic development statistics within the Sub-Saharan African counties. However, the various phenomena, which contribute to such development, are of primary concern for the relevance and validity of this investigation. Therefore, a mixed method research approach was chosen for the study. Using this method, statistical findings will be achieved and later compared with various economic and social phenomena across the surveyed nations. Because there are 33 different nations currently associated with Sub-Saharan Africa, this research has chosen a sample of the top 23 countries in terms of population, attempting to retrieve data that is directly relevant to the conceptualisation of the long term sustainable growth and the impact of the social infrastructure on this process. Non-probability sampling technique has been implemented in choosing the countries. This decision may be justified by the fact that total population represented by the 33 countries in Sub-Saharan region is quite small and could be used without picking a sample. However, sampling was needed since a limited amount of data was available for the countries. Historical statistics have been gathered from Penn World Table, International Monetary Fund (IMF, 2010) and World Bank (2010) database. These sources provided information for only 23 counties in the Sub-Saharan region. 3.3. Strategy of Research While all of Africa could have provided very general information relative to the development of these nations as a conglomerate, it was important to evaluate the social infrastructure of these nations to narrow the scope of the research. The case study research strategy has been employed in order to investigate the social and economic situation in all the companies within the chosen sample. The case study strategy, which was popularised by Yin (2009), allows the researcher to extract particular data from complex problems and identify those variables, which are most significant. Furthermore, this strategy allows for effective exploration of both the statistics and context of the problem (Saunders et al, 2007, p.119). Yin (2009) presents a model of the investigative case study, suggesting that the breadth and focus of research questions will ultimately define the methods employed during the study. His validation of the case study strategy as a valuable tool within academic research is based on the depth and scope of the data generated from such investigation (Yin, 2009:14). Following such case study guidance and the mixed method approach previously discussed, this research was conducted in an effort to determine whether or not the social infrastructure has a direct and measurable impact on overall economic performance of the countries in Sub-Saharan region. The data sources were retrieved from two globally respected sources: The World Bank and the International Monetary Fund (IMF). Economic indicators were also gathered from Penn World Table. These databases have compiled specific economic and social data on the majority of the nations in the world, providing a resource for academics and policymakers. While the World Bank (2010) remained the primary source of the data, the IMF (2010) database was used for comparative purposes and in order to identify several variables not found within the World Bank annals. All analysis was conducted using Microsoft Excel and Eviews 6 statistical package. 3.4. Limitations As previously mentioned, the scope of the research in this empirical case study was limited to the top 23 countries in Sub-Saharan region. This limitation arose from the lack of economic and social data for the rest ten countries in the region. World Bank (2010) provided most but not all information that was needed. Another important limitation of the research, which is worth noting, is the lack of observations for several social indicators. It was noted previously that the sample of data covers 23 countries with the time range from 1980 to 2009. While many of the economic variables such as GDP were available for this period, some social indicators such as mortality rate were available only for a period of up to 5 years. Therefore, the overall sample will have to be shrunk to run the regression with these variables that have fewer observations. This is expected to have a negative impact on the accuracy of the study and estimated statistics. Chapter 4: Data Presentation and Analysis World Bank (2010) has provided economic and social data for twenty three countries in Sub-Saharan region. However, most of the data contained missing points. In order to avoid the problem of missing points, sixteen Sub-Saharan countries have been selected to be analysed for which more complete data was available. The data ranges from 1980 to 2008. However, some of the social indicators such as health expenditure and mortality rate were available only for a limited time period. The health expenditure indicator was available only for a period from 2003 to 2007. Mortality rate indicator was available only for a period from 1998 to 2008. Due to the differences in the time period of data several panel regressions will be run and the best model will be chosen by means of the Hausman test. Panel regression analysis has provided a number of advantages to the research project. First of all, it has allowed for gathering a large number of observations that totalled 4,250. If only time-series analysis was used, there would have been fewer observations. Similarly, in a cross sectional analysis the number of observations would solely depend on the number of countries included. Panel regression analysis has allowed for combining both time and cross sectional dimensions making the analysis more advanced. Secondly, another advantage of using the panel data analysis was higher degrees of freedom. This is a result of the more observations that the method has provided. Degr