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A Panel Analysis of Inequality and Driving Factors of Economic Growth Across Economies

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  • Priyanka Muchahary
  • Konita Basumatary

Abstract

The paper examines the relationship between income inequality and economic growth, using various factors like the Gini index, initial per capita GDP, trade and financial openness, financial deepening, population growth, skill premium, energy use, price level ratio, and adult female mortality from 1990 to 2020. Statistical techniques such as ordinary least squares, fixed effects, and random effects regression were used to estimate these relationships. There is a positive relationship between income inequality and economic growth, indicating that higher levels of inequality tend to boost economic growth. Population growth and adult female mortality are consistently and negatively associated with economic growth.

Suggested Citation

  • Priyanka Muchahary & Konita Basumatary, 2024. "A Panel Analysis of Inequality and Driving Factors of Economic Growth Across Economies," World Economics, World Economics, 1 Ivory Square, Plantation Wharf, London, United Kingdom, SW11 3UE, vol. 25(3), pages 28-49, July.
    • Handle: RePEc:wej:wldecn:930
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