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The last few years have seen substantial revivals of interest in the determinants of economic growth in Africa, especially in the Sub-Saharan Africa. This paper provides an econometric model that help to examine the impact of market share, interest rate and non-economic factors such as external shocks, structural adjustment policies on the GDP of Sub-Saharan Africa. Economic development data covering the period of 1970 to 2004 was used in estimation with ordinary least square (OLS). The results indicate that market share is the crucial element for low GDP in this region of the world and that high interest rate lowers the GDP and therefore impedes market growth. The econometric analysis showed the failure of interest rate to rise with the GDP has been the result of changes in fundamental determinants.

Market Failure In African Agricultural Marketing Systems: An Econometric Testing And Analysis Of Market Efficiency