Income Levels, Governance and Inclusive Human Development in Sub-Saharan Africa

Forthcoming: Applied Research in Quality of Life. DOI: 10.1007/s11482-019-09755-8

32 Pages Posted: 2 Jul 2019 Last revised: 15 Jul 2019

See all articles by Simplice Asongu

Simplice Asongu

African Governance and Development Institute

Nicholas Odhiambo

University of South Africa - Department of Economics

Date Written: July 1, 2019

Abstract

This study examines how income-driven governance affects inclusive human development in Sub-Saharan Africa with data for the period 2000-2012. The empirical evidence is based on the Generalised Method of Moments (GMM) and Tobit regressions. Nine bundled and unbundled concepts of governance are used: political (voice & accountability and political stability/no violence), economic (government effectiveness and regulation quality) and institutional (corruption-control and the rule of law) governances. The main finding is that ‘middle income’-driven governance has a higher effect on inclusive human development than ‘low income’-driven governance. Policy implications are discussed in the light of: (i) the contemporary relevance of findings; (ii) the pivotal role of a higher income level in the post-2015 sustainable development agenda; and (iii) inconsistent strands in the literature and in foreign aid policies.

Keywords: Inclusive development; Income levels; Governance; Africa

JEL Classification: D31; I10; I32; K40; O55

Suggested Citation

Asongu, Simplice and Odhiambo, Nicholas, Income Levels, Governance and Inclusive Human Development in Sub-Saharan Africa (July 1, 2019). Forthcoming: Applied Research in Quality of Life. DOI: 10.1007/s11482-019-09755-8. Available at SSRN: https://ssrn.com/abstract=3413146 or http://dx.doi.org/10.2139/ssrn.3413146

Simplice Asongu (Contact Author)

African Governance and Development Institute ( email )

P.O. Box 8413
Yaoundé, 8413
Cameroon

Nicholas Odhiambo

University of South Africa - Department of Economics ( email )

PO Box 392
Pretoria, 0003
South Africa

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