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
Date Written: July 1, 2019
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
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