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Quel niveau de transformation économique pour réduire les inégalités de revenu en Afrique ?
[What level of economic transformation for income inequality alleviation in Africa?]

Author

Listed:
  • Djahini, Edém
  • Ayassou, Kokou

Abstract

The main purpose of this paper is to show an existing level from which economic transformation will lead to income inequality alleviation. It makes use of the Panel Smooth Transmission Regression (PSTR) of González et al. (2005). Applied to panel of 19 African countries from 1960 to 2012, findings suggest that economic transformation will lead to income inequality alleviation only if it reaches the level of 10.8%. Below this level, 1% of economic transformation will increase income inequality about 1.3892%, while it will be reduced about 0.8183% above the level of 10.08%. African countries have therefore, to accelerate their economic transformation process to reduce the income inequality and enhance its economic growth by making it inclusive, durable and fair.

Suggested Citation

  • Djahini, Edém & Ayassou, Kokou, 2016. "Quel niveau de transformation économique pour réduire les inégalités de revenu en Afrique ? [What level of economic transformation for income inequality alleviation in Africa?]," MPRA Paper 74944, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:74944
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    File URL: https://mpra.ub.uni-muenchen.de/74944/1/MPRA_paper_74944.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    Income inequality; economic transformation; fair growth;
    All these keywords.

    JEL classification:

    • L6 - Industrial Organization - - Industry Studies: Manufacturing
    • Z0 - Other Special Topics - - General

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