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Why is Africa so poor? A structural model of economic development and income inequality

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  • David Fielding

Abstract

The paper extends existing work on inequality and economic development by estimating a cross-country structural model that identifies bi-directional relationships between income inequality and other indicators of social and economic development. Overall, lower inequality is associated with improvements in other development indicators, but this is the result of several complex interactions. The most striking feature of the structural model is the insight it provides into the reasons behind the negative “Africa dummy” in previous cross-country growth studies.

Suggested Citation

  • David Fielding, 2001. "Why is Africa so poor? A structural model of economic development and income inequality," CSAE Working Paper Series 2001-05, Centre for the Study of African Economies, University of Oxford.
    • Handle: RePEc:csa:wpaper:2001-05
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    File URL: https://ora.ox.ac.uk/objects/uuid:741639b5-06aa-448f-883e-5ea1fa8395e4
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    Cited by:

    1. Costanza Naguib, 2015. "The Relationship between Inequality and GDP Growth: an Empirical Approach," LIS Working papers 631, LIS Cross-National Data Center in Luxembourg.
    2. Jackson, Emerson Aabraham, 2017. "Hermeneutics of Ceteris Paribus in the African Context," MPRA Paper 97817, University Library of Munich, Germany, revised 05 Oct 2018.
    3. Mr. Gary G. Moser & Mr. Toshihiro Ichida, 2001. "Economic Growth and Poverty Reduction in Sub-Saharan Africa," IMF Working Papers 2001/112, International Monetary Fund.
    4. Henri-François HENNER, 2002. "Compétitivité, réformes budgétaires et réduction de la pauvreté au Bénin. Croissance et pauvreté," Working Papers 200208, CERDI.

    More about this item

    Keywords

    income distribution; social and economic development;

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

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