Effect of globalization on economic growth: example of african countries

This study aims to determine whether globalization has an effect on the economic growth rates of Sub-Saharan African countries. For this purpose, an economic growth model was established by using Sub-Saharan countries' 1990-2014 data set and these economic growth models were added to the change of globalization index KOF globalization index value, economic globalization index value, political globalization index value and social globalization index value, The effect on it has been tested. The Arellano-Bover / Blundell-Bond dynamic panel data estimator is used as the econometric analysis method for the models. This estimator is also known as GMM (Generalized Moments Method) estimator. In the study of data belonging to 36 sub-Saharan countries, African countries that were subject to econometric analysis were divided into low income countries, low middle income countries and upper middle income countries. There is no economic growth effect of globalization in the model tested by all sub-saharan African countries and low-income sub-Saharan countries. In lower middle income subsaharan Africa countries, political globalization effects economic growth in increasing way. In upper middle income sub-Saharan countries, KOF globalization index and economic globalization index effect growth positively. By the way when income levels increased, globalization has more positive effect on economic growth.