Summary In this paper we ask what can account for the continuing strong preference for academic education in Africa where the level of development is so low and there are few wage jobs and which form of educational investment, the academic or vocational, is most profitable. We argue that the...

In this paper we investigate if the predictions of three different models of capital adjustment costs are consistent with the observed investment patterns among manufacturing firms in five African countries. We document a high frequency of zero investment episodes, which is consistent with both...

In this paper we investigate if the predictions of three different models of capital adjustment costs are consistent with the observed investment patterns among manufacturing firms in five African countries. We document a high frequency of zero investment episodes, which is consistent with both...