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Finance and Inequality: Exploring Pro-Poor Investment Channels in Africa

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  • Asongu Simplice

    ()
    (Yaoundé/Cameroun)

Abstract

Hitherto very few studies on the inequality-finance(investment) nexus have focused on the African continent owing to lack of relevant data. This paper integrates previously missing investment and financial components in the assessment of how finance affects pro-poor investment channels. Findings reveal, but for the case of foreign investment, financial development dynamics of depth, efficiency, activity and size have an equalizing effect on income distribution through private, public and domestic investment channels. As a policy implication investment-targeted financial reforms that aim to curb poverty should take account of the disequalizing income-effect of foreign investment in undeveloped countries.

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File URL: http://www.afridev.org/RePEc/agd/agd-wpaper/Finance-and-Inequality.-Exploring-Pro-poor-Investment-Channels-in-Africa.pdf
File Function: Revised version, 2013
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Bibliographic Info

Paper provided by African Governance and Development Institute. in its series Working Papers with number 11/016.

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Length: 31
Date of creation: 25 Nov 2011
Date of revision:
Handle: RePEc:agd:wpaper:11/016

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Keywords: Finance; Investment; Poverty; Inequality; Africa;

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Citations

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Cited by:
  1. Asongu Simplice, 2012. "African Development: Beyond Income Convergence," Working Papers, African Governance and Development Institute. 12/002, African Governance and Development Institute..
  2. Asongu Simplice & Michael E. Batuo, 2012. "The Impact of Liberalisation Policies on Inequality in Africa," Working Papers, African Governance and Development Institute. 12/038, African Governance and Development Institute..
  3. Asongu Simplice, 2012. "Globalization and Africa: implications for human development," Working Papers, African Governance and Development Institute. 12/022, African Governance and Development Institute..
  4. Asongu Simplice, 2013. "Inequality, poverty and quality of institutions: which freedom channels of globalization matter for Africa?," Working Papers, African Governance and Development Institute. 13/014, African Governance and Development Institute..
  5. Enowbi Batuo, Michael & Asongu, Simplice A., 2012. "The impact of liberalisation policies on income inequality in african countries," MPRA Paper 43344, University Library of Munich, Germany.
  6. Simplice A, Asongu, 2012. "Globalization, (fighting) corruption and development: how are these phenomena linearly and nonlinearly related in wealth effects?," MPRA Paper 36899, University Library of Munich, Germany.

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