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

Author

Listed:
  • Wang Jiaqun

    (Chaohu University, China)

  • Kihumuro Jotham

    (Beijing Normal University, Beijing, China)

  • Toyo A. M. Dossou

    (Cotonou, Benin)

  • Alastaire Sèna Alinsato

    (Cotonou, Benin)

  • Simplice A. Asongu

    (Johannesburg, South Africa)

Abstract

The tourism literature has largely neglected another important factor that may influence the tourism and income inequality relationships. This factor reflects democractic institutions of the destination country. To contribute to the tourism literature, this studyattemmps to fill a gap in the tourism 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 A. M. Dossou & Alastaire Sèna Alinsato & Simplice A. Asongu, 2024. "Tourism and income inequality in sub-Saharan African countries: the role of democracy," Working Papers of the African Governance and Development Institute. 24/008, African Governance and Development Institute..
    • Handle: RePEc:agd:wpaper:24/008
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    References listed on IDEAS

    as
    1. Peprah, James Atta & Ofori, Isaac Kwesi & Asomani, Abel Nyarko, 2019. "Financial development, remittances and economic growth: A threshold analysis," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 7(1).
    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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    Keywords

    Tourism; democracy; income inequality; Africa; PCSE;
    All these keywords.

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