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Papers by Giovanni Occhiali

Research paper thumbnail of Power outages and firm performance in Sub-Saharan Africa

Journal of Development Economics, 2018

In this paper we assess the extent to which power outages affect the sales of firms across differ... more In this paper we assess the extent to which power outages affect the sales of firms across different African economies. We address the potential endogeneity concerns endemic in much of the existing literature by constructing an instrument for power outages based on the varying share of electricity produced by hydro-power as a result of variation in the local climate conditions. Using firm-level data for 14 countries from the World Bank Enterprise Surveys, we find evidence of a negative relationship between an unreliable electricity supply and firms’
sales, with a stronger effect for firms that do not own a generator. We find that reducing average outage levels to those of South Africa would increase overall sales of firms in Sub-Saharan Africa by 85.1%, rising to 117.4% for firms without a generator.

Research paper thumbnail of The role of natural resources in economic development. A review of theories and historical experiences

The paper analyses the different roles of NR in the development process, with particular focus on... more The paper analyses the different roles of NR in the development process, with particular focus on their connection with manufacturing, which is often seen as a preferred alternative. For the analysis, the term NR covers both agricultural and non-agricultural commodities. Both theoretical issues and historical experiences will be presented, so to help contextualising different views on the matter. Overall, there is still little theoretical agreement on the general appeal of a NR based development path, even though there are points of agreement between the two different strands of the literature.

Research paper thumbnail of The Changing Role of Natural Gas in Nigeria

Nigeria is endowed with substantial amounts of energy resources, and it has been making large pro... more Nigeria is endowed with substantial amounts of energy resources, and it has been making large profits from their export. However, windfall revenues have also been affecting the Government’s responsiveness and accountability, and they have brought it into collusive relationship with international oil and gas companies operating in the country. A skewed distribution of petroleum resources costs and benefits, as well as the dependence on exports exposing the public finances to volatility in the international markets have represented further major issues. As a result, in spite of the resource abundance, energy access and power generation still represent urgent issues for action in the country. Solid biomass accounts for 74% of the primary energy consumption, while the electrification rate stands at 34% in rural areas. Active power plants are mainly gas-fired, but they face capacity, maintenance, and financial constraints. While historically natural gas has been disregarded or flared into the atmosphere because it was considered a by-product of oil due to lacking market conditions and processing capacity, today the development of a domestic market for natural gas is seen as a key priority to guarantee energy security and boost industrial development in Nigeria. A more efficient and equitable governance of the sector and management of export revenues can play a major role in this sense. In this context, this paper highlights the main current issues and underpins key policy conditions for this transition to take place in Nigeria.

Research paper thumbnail of Ghanaian Energy Markets and the Role of Natural Gas for Local Development

The Ghanaian economy is one of the most successful of Sub-Saharan Africa. Over the last two decad... more The Ghanaian economy is one of the most successful of Sub-Saharan Africa. Over the last two decades it has undergone a process of structural change with shifts from agricultural activities to services. This report presents the most recent figures on Ghanaian energy markets with a focus on the role that natural gas could play for the development of the power sector and the national economy. The use of national gas instead of imported light crude oil in thermal generation would increase the reliability of electricity supply, which has long been considered one of the main obstacles to economic growth. The power sector is not the only sector in which natural gas could play a pivotal role. The financial resources dedicated to imported oil could be directed towards investments in generation capacity, while the emission profile of the country would also stand to gain.

Research paper thumbnail of Research note: Exploring survey data for historical and anthropological research: Muslim–Christian relations in south-west Nigeria

African Affairs, 2016

This research note argues that quantitative survey data on Africa, welcomed by most researchers i... more This research note argues that quantitative survey data on Africa, welcomed by most researchers in public health, economics, and political science , can make an important contribution to the work of historians and anthropologists, especially if it is open to critical analysis. The research note describes the 2012–13 'Knowing Each Other' survey on religion among the Yoruba of southwest Nigeria, which provides strong evidence for a slow shift from Islam to Christianity in the area since 1963, and reflects on the methods and challenges of carrying out the survey and the resulting biases within it. In doing so, the research note draws out lessons on how to use surveys for historical and anthropological research. It also shows how using surveys contributes to understanding the complex and unexplored dynamics of Muslim–Christian relations in Nigeria from the perspectives of locality, age, and gender.

Research paper thumbnail of The Chinese are Here: Firm Level Analysis of Import Competition and Performance in Sub-Saharan Africa

FEEM WORKING PAPERS "NOTE DI LAVORO" SERIES, 2018

This study uses firm level data on 19 Sub-Saharan Africa countries between 2004 and 2016 to provi... more This study uses firm level data on 19 Sub-Saharan Africa countries between 2004 and 2016 to provide a rigorous analysis on the impact of Chinese import competition on productivity, skills, and performance of firms., We measure import competition and ports accessibility at the city-industry level to identify the relevance of firms’ location in determining the impact of Chinese imports competition. To address endogeneity concerns, a time-varying instrument for Chinese imports based on the interaction between an exogenous geographic characteristic and a shock in transportation technology is developed. The results show that imports competition has a positive impact on firm performance, mainly in terms of productivity catch-up and skills upgrading. Of particular interest is the finding that the effects of import competition from China are stronger for more remote firms that have lower port accessibility, an indication that Chinese imports in remote areas improves productivity of laggard firms, employment, and intensity of skilled workers. Our findings indicate that African firms are improving their performance as a consequence of the higher Chinese import intensity, mainly through direct competition and the use of higher quality inputs of production sourced from China.

Research paper thumbnail of Power outages and firm performance in Sub-Saharan Africa

Journal of Development Economics, 2018

In this paper we assess the extent to which power outages affect the sales of firms across differ... more In this paper we assess the extent to which power outages affect the sales of firms across different African economies. We address the potential endogeneity concerns endemic in much of the existing literature by constructing an instrument for power outages based on the varying share of electricity produced by hydro-power as a result of variation in the local climate conditions. Using firm-level data for 14 countries from the World Bank Enterprise Surveys, we find evidence of a negative relationship between an unreliable electricity supply and firms’
sales, with a stronger effect for firms that do not own a generator. We find that reducing average outage levels to those of South Africa would increase overall sales of firms in Sub-Saharan Africa by 85.1%, rising to 117.4% for firms without a generator.

Research paper thumbnail of The role of natural resources in economic development. A review of theories and historical experiences

The paper analyses the different roles of NR in the development process, with particular focus on... more The paper analyses the different roles of NR in the development process, with particular focus on their connection with manufacturing, which is often seen as a preferred alternative. For the analysis, the term NR covers both agricultural and non-agricultural commodities. Both theoretical issues and historical experiences will be presented, so to help contextualising different views on the matter. Overall, there is still little theoretical agreement on the general appeal of a NR based development path, even though there are points of agreement between the two different strands of the literature.

Research paper thumbnail of The Changing Role of Natural Gas in Nigeria

Nigeria is endowed with substantial amounts of energy resources, and it has been making large pro... more Nigeria is endowed with substantial amounts of energy resources, and it has been making large profits from their export. However, windfall revenues have also been affecting the Government’s responsiveness and accountability, and they have brought it into collusive relationship with international oil and gas companies operating in the country. A skewed distribution of petroleum resources costs and benefits, as well as the dependence on exports exposing the public finances to volatility in the international markets have represented further major issues. As a result, in spite of the resource abundance, energy access and power generation still represent urgent issues for action in the country. Solid biomass accounts for 74% of the primary energy consumption, while the electrification rate stands at 34% in rural areas. Active power plants are mainly gas-fired, but they face capacity, maintenance, and financial constraints. While historically natural gas has been disregarded or flared into the atmosphere because it was considered a by-product of oil due to lacking market conditions and processing capacity, today the development of a domestic market for natural gas is seen as a key priority to guarantee energy security and boost industrial development in Nigeria. A more efficient and equitable governance of the sector and management of export revenues can play a major role in this sense. In this context, this paper highlights the main current issues and underpins key policy conditions for this transition to take place in Nigeria.

Research paper thumbnail of Ghanaian Energy Markets and the Role of Natural Gas for Local Development

The Ghanaian economy is one of the most successful of Sub-Saharan Africa. Over the last two decad... more The Ghanaian economy is one of the most successful of Sub-Saharan Africa. Over the last two decades it has undergone a process of structural change with shifts from agricultural activities to services. This report presents the most recent figures on Ghanaian energy markets with a focus on the role that natural gas could play for the development of the power sector and the national economy. The use of national gas instead of imported light crude oil in thermal generation would increase the reliability of electricity supply, which has long been considered one of the main obstacles to economic growth. The power sector is not the only sector in which natural gas could play a pivotal role. The financial resources dedicated to imported oil could be directed towards investments in generation capacity, while the emission profile of the country would also stand to gain.

Research paper thumbnail of Research note: Exploring survey data for historical and anthropological research: Muslim–Christian relations in south-west Nigeria

African Affairs, 2016

This research note argues that quantitative survey data on Africa, welcomed by most researchers i... more This research note argues that quantitative survey data on Africa, welcomed by most researchers in public health, economics, and political science , can make an important contribution to the work of historians and anthropologists, especially if it is open to critical analysis. The research note describes the 2012–13 'Knowing Each Other' survey on religion among the Yoruba of southwest Nigeria, which provides strong evidence for a slow shift from Islam to Christianity in the area since 1963, and reflects on the methods and challenges of carrying out the survey and the resulting biases within it. In doing so, the research note draws out lessons on how to use surveys for historical and anthropological research. It also shows how using surveys contributes to understanding the complex and unexplored dynamics of Muslim–Christian relations in Nigeria from the perspectives of locality, age, and gender.

Research paper thumbnail of The Chinese are Here: Firm Level Analysis of Import Competition and Performance in Sub-Saharan Africa

FEEM WORKING PAPERS "NOTE DI LAVORO" SERIES, 2018

This study uses firm level data on 19 Sub-Saharan Africa countries between 2004 and 2016 to provi... more This study uses firm level data on 19 Sub-Saharan Africa countries between 2004 and 2016 to provide a rigorous analysis on the impact of Chinese import competition on productivity, skills, and performance of firms., We measure import competition and ports accessibility at the city-industry level to identify the relevance of firms’ location in determining the impact of Chinese imports competition. To address endogeneity concerns, a time-varying instrument for Chinese imports based on the interaction between an exogenous geographic characteristic and a shock in transportation technology is developed. The results show that imports competition has a positive impact on firm performance, mainly in terms of productivity catch-up and skills upgrading. Of particular interest is the finding that the effects of import competition from China are stronger for more remote firms that have lower port accessibility, an indication that Chinese imports in remote areas improves productivity of laggard firms, employment, and intensity of skilled workers. Our findings indicate that African firms are improving their performance as a consequence of the higher Chinese import intensity, mainly through direct competition and the use of higher quality inputs of production sourced from China.