The Nexus of Macroeconomic Policy and Entrepreneurship Performance in West Africa

Abstract

This study examined the effect of selected public policies on entrepreneurship activities in the anglophone and francophone divides of West Africa to determine the nexus of performance using several analytics techniques. The data used were obtained from secondary sources originating from institutional organisations in ten selected countries from the 2000 to 2018. An institutional framework for entrepreneurship indicators was adopted as a measure for entrepreneurship in the region otherwise known as TEA. Using the ARDL analysis on the cross sectional data, the empirical evidence reveals that, while monetary policy was more significant in promoting TEA in Anglophone countries, fiscal policy did better in the francophone countries. The study recommends that governments should harness, formulate and execute the best of monetary and fiscal policies in West African countries. The contribution of the private sector partnership in the drive to 'promote entrepreneurship should also be encouraged in such a way that the economies in the countries aim towards innovative and efficiency competitiveness in democratic societies.