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Tourism and income inequality in sub-Saharan African countries: the role of democracy

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  • Wang Jiaqun
  • Kihumuro Jotham
  • Toyo Amègnonna Marcel Dossou
  • Alastaire Sèna Alinsato
  • Simplice A. Asongu

Abstract

The tourism literature has largely neglected another important factor that may influence the tourism and income inequality relationship. This factor reflects democratic institutions of the destination country. To contribute to the tourism literature, this study attempts to fill a gap in the corresponding literature by investigating the moderating effect of democracy on the tourism-income inequality nexus for a panel of 23 sub-Sharan African countries over the period 2000-2020. The empirical evidence is based on the panel corrected standard errors (PCSE) estimation technique. The results obtained from our study show that tourism and democracy unconditionally worsen income inequality. Moreover, democracy complements tourism to further undermine income distribution as positive synergies are apparent. Policy implications are discussed.

Suggested Citation

  • Wang Jiaqun & Kihumuro Jotham & Toyo Amègnonna Marcel Dossou & Alastaire Sèna Alinsato & Simplice A. Asongu, 2024. "Tourism and income inequality in sub-Saharan African countries: the role of democracy," Current Issues in Tourism, Taylor & Francis Journals, vol. 27(18), pages 2878-2898, September.
    • Handle: RePEc:taf:rcitxx:v:27:y:2024:i:18:p:2878-2898
    DOI: 10.1080/13683500.2024.2321336
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    1. James Atta Peprah & Isaac Kwesi Ofori & Abel Nyarko Asomani, 2019. "Financial development, remittances and economic growth: A threshold analysis," Cogent Economics & Finance, Taylor & Francis Journals, vol. 7(1), pages 1625107-162, January.
    2. Bibhuti Sarker & Farid Khan, 2020. "Nexus between foreign direct investment and economic growth in Bangladesh: an augmented autoregressive distributed lag bounds testing approach," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 6(1), pages 1-18, December.
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