IDEAS home Printed from https://ideas.repec.org/a/mth/jpag88/v10y2020i2p1-19.html

The Nexus Between Good Governance Indicators And Human Development Index In Africa: An Econometric Analysis

Author

Listed:
  • Paulos C Tsegaw

Abstract

This study examines the association between good governance indicators and the human development index in Africa. Accordingly, it uses the panel data of 49 African countries from 2000-2018 on the six World Bank governance indicators (WGIs) and the UNDP aggregate human development index (HDI). The data are analyzed using descriptive statistics and panel regression analysis. The descriptive statistical analysis shows that most of the countries that are scoring high in the governance indicators are also scoring high in the human development index. It also indicates that Africa's average score in all governance indicators from 2000-2018 ranges between 36.2 % and 40.4%, while the score for human development was 50.8%. Using a one-year moving average, the calculated improvement rates for the eighteen years in all the governance and human development indicators were meager. The finding from the panel regression analysis attests only the three good governance indicators - the rule of law, regulatory quality, and political stability and absence of violence - are significantly and directly associated with the human development index. The finding implies that policy makers in African countries should give emphasis on these three good governance indicators to augment their human development effort.

Suggested Citation

  • Paulos C Tsegaw, 2020. "The Nexus Between Good Governance Indicators And Human Development Index In Africa: An Econometric Analysis," Journal of Public Administration and Governance, Macrothink Institute, vol. 10(2), pages 119-119, December.
    • Handle: RePEc:mth:jpag88:v:10:y:2020:i:2:p:1-19
    as

    Download full text from publisher

    File URL: http://www.macrothink.org/journal/index.php/jpag/article/download/16598/13010
    Download Restriction: no
    File URL: http://www.macrothink.org/journal/index.php/jpag/article/view/16598
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Luca Agnello & Vitor Castro & João Tovar Jalles & Ricardo M. Sousa, 2018. "The Impact of Fiscal Consolidation on Human Development," Journal of International Development, John Wiley & Sons, Ltd., vol. 30(3), pages 399-429, April.
    2. Sydney Chikalipah & Daniel Makina, 2019. "Economic growth and human development: Evidence from Zambia," Sustainable Development, John Wiley & Sons, Ltd., vol. 27(6), pages 1023-1033, November.
    3. Huck-ju Kwon & Eunju Kim, 2014. "Poverty Reduction and Good Governance: Examining the Rationale of the Millennium Development Goals," Development and Change, International Institute of Social Studies, vol. 45(2), pages 353-375, March.
    4. Simeon Djankov & Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer, 2002. "The Regulation of Entry," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 117(1), pages 1-37.
    5. Blanchflower, David G. & Oswald, Andrew J., "undated". "Happiness and the Human Development Index: The Paradox of Australia," Economic Research Papers 269620, University of Warwick - Department of Economics.
    6. Asongu Simplice & Nwachukwu Jacinta, 2017. "Globalization and Inclusive Human Development in Africa," Man and the Economy, De Gruyter, vol. 4(1), pages 1-24, June.
    7. Simplice A. Asongu & Joseph Nnanna, 2019. "Foreign aid, instability and governance in Africa," Research Africa Network Working Papers 19/022, Research Africa Network (RAN).
    8. Theodore J. Davis, 2017. "Good governance as a foundation for sustainable human development in sub-Saharan Africa," Third World Quarterly, Taylor & Francis Journals, vol. 38(3), pages 636-654, March.
    9. Charles P. Oman & Christiane Arndt, 2006. "Governance Indicators for Development," OECD Development Centre Policy Insights 33, OECD Publishing.
    10. Bundala, Ntogwa, 2012. "Economic Growth and Human Development; A Link Mechanism: An Empirical Approach," MPRA Paper 47648, University Library of Munich, Germany.
    11. Gisselquist, Rachel M., 2012. "Good Governance as a Concept, and Why This Matters for Development Policy," WIDER Working Paper Series 030, World Institute for Development Economic Research (UNU-WIDER).
    12. John Ishiyama, 2019. "Is Democracy Necessary for Good Governance?," Social Science Quarterly, Southwestern Social Science Association, vol. 100(6), pages 2188-2208, October.
    13. repec:unu:wpaper:wp2012-30 is not listed on IDEAS
    14. Mark McGillivray & Howard White, 1993. "Measuring development? The UNDP's human development index," Journal of International Development, John Wiley & Sons, Ltd., vol. 5(2), pages 183-192, March.
    15. Abdoul' Ganiou Mijiyawa, 2013. "Africa's Recent Economic Growth: What Are the Contributing Factors?," African Development Review, African Development Bank, vol. 25(3), pages 289-302, September.
    16. Rachel M. Gisselquist, 2012. "Good Governance as a Concept, and Why This Matters for Development Policy," WIDER Working Paper Series wp-2012-030, World Institute for Development Economic Research (UNU-WIDER).
    17. Ben Arimah, 2004. "Poverty Reduction and Human Development in Africa," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 5(3), pages 399-415.
    18. Djankov, Simeon & McLiesh, Caralee & Ramalho, Rita Maria, 2006. "Regulation and growth," Economics Letters, Elsevier, vol. 92(3), pages 395-401, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ali, Shahid & Xiaohong, Zhou & Hassan, Syed Tauseef, 2024. "The hidden drivers of human development: Assessing its role in shaping BRICS-T's economics complexity, and bioenergy transition," Renewable Energy, Elsevier, vol. 221(C).
    2. Flavia Massuga & Marcos Aurélio Larson & Marcos Roberto Kuhl & Sérgio Luis Dias Doliveira, 2024. "The influence of global governance on the sustainable performance of countries," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(11), pages 28567-28589, November.
    3. Gilbert Atuto Ang’ana*, 2025. "Re-Thinking Good Governance in Africa: The Strategic Role of Intra-Government Collaboration and Responsible Negotiation," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(4), pages 540-561, April.
    4. Simplice A. Asongu & Samba Diop, 2021. "Human development and governance in Africa: do good fences make good neighbours?," Working Papers 21/051, European Xtramile Centre of African Studies (EXCAS).
    5. Siriki Coulibaly & Pierre Guei, 2023. "Qualitative Analysis of West African Economic and Monetary Union Decades’ Economic Growth," Journal of Economic Statistics, Anser Press, vol. 1(2), pages 44-56, August.
    6. Martins Iyoboyi & Latifah Musa-Pedro, 2024. "Impact of Institutional Quality on the Quality of Life in Africa: An Economic Approach," Applied Research in Quality of Life, Springer;International Society for Quality-of-Life Studies, vol. 19(2), pages 523-545, April.
    7. Bhekabantu Alson Ntshangase & Kaizer Raseane Makole & Steven Kayambazinthu Msosa, 2023. "Governance of state-owned companies in the energy sector of South Africa: peculiarities and challenges," Insights into Regional Development, VsI Entrepreneurship and Sustainability Center, vol. 5(4), pages 135-144, December.
    8. Evangelia Vasilarou & Michel Zouboulakis, 2023. "Institutionalist impact upon the efficiency of public finance policy. A theoretical approach," Economics Bulletin, AccessEcon, vol. 43(3), pages 1338-1355.
    9. Ali Celik & Ahmet Kostekci, 2025. "Empirical Exploration of the Drivers of Human Development in Central and West Asian Countries: How Effective Are Control of Corruption, Political Stability and the Rule of Law?," Sustainable Development, John Wiley & Sons, Ltd., vol. 33(3), pages 4652-4675, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rachel M. Gisselquist, 2013. "Evaluating Governance Indexes: Critical and Less Critical Questions," WIDER Working Paper Series wp-2013-068, World Institute for Development Economic Research (UNU-WIDER).
    2. Gratiela Georgiana Noja & Mirela Cristea & Nicoleta Sirghi & Camelia-Daniela Hategan & Paolo D’Anselmi, 2019. "Promoting Good Public Governance and Environmental Support for Sustainable Economic Development," IJERPH, MDPI, vol. 16(24), pages 1-21, December.
    3. Simplice A. Asongu & Samba Diop, 2021. "Human development and governance in Africa: do good fences make good neighbours?," Working Papers 21/051, European Xtramile Centre of African Studies (EXCAS).
    4. Evelyn Dietsche, 2017. "Political economy and governance," WIDER Working Paper Series 024, World Institute for Development Economic Research (UNU-WIDER).
    5. ROUGIER Eric, 2015. ""The parts and the whole”: Unbundling and re-bundling institutional systems and their effect on economic development," Cahiers du GREThA (2007-2019) 2015-12, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    6. Chiraag Roy, 2020. "Rethinking Australia’s aid programme to Myanmar: Good governance and “informal constraints”," Development Policy Review, Overseas Development Institute, vol. 38(5), pages 630-645, September.
    7. Gisselquist, Rachel M., 2013. "Evaluating Governance Indexes: Critical and Less Critical Questions," WIDER Working Paper Series 068, World Institute for Development Economic Research (UNU-WIDER).
    8. Evelyn Dietsche, 2017. "Political economy and governance," WIDER Working Paper Series wp-2017-24, World Institute for Development Economic Research (UNU-WIDER).
    9. Serdar Ozturk & Seher Suluk, 2020. "The granger causality relationship between human development and economic growth: The case of Norway," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 9(6), pages 143-153, October.
    10. Rok Spruk & Mitja Kovac, 2018. "Inefficient Growth," Review of Economics and Institutions, Università di Perugia, vol. 9(2).
    11. Fernandes, Ana P. & Ferreira, Priscila & Alan Winters, L., 2014. "Firm entry deregulation, competition and returns to education and skill," European Economic Review, Elsevier, vol. 70(C), pages 210-230.
    12. Giuseppe Vita, 2012. "Normative complexity and the length of administrative disputes: evidence from Italian regions," European Journal of Law and Economics, Springer, vol. 34(1), pages 197-213, August.
    13. Francesco Bripi, 2016. "The Role of Regulation on Entry: Evidence from the Italian Provinces," The World Bank Economic Review, World Bank, vol. 30(2), pages 383-411.
    14. Sameeksha Desai & Johan E. Eklund & Emma Lappi, 2020. "Entry Regulation and Persistence of Profits in Incumbent Firms," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 57(3), pages 537-558, November.
    15. Zechariah Langnel & Ponlapat Buracom, 2020. "Governance, health expenditure and infant mortality in sub‐Saharan Africa," African Development Review, African Development Bank, vol. 32(4), pages 673-685, December.
    16. Gisselquist, Rachel & Niño-Zarazúa, Miguel, 2013. "What can experiments tell us about how to improve governance?," MPRA Paper 49300, University Library of Munich, Germany.
    17. Dima Bogdan & Dima Ştefana Maria, 2016. "Policies for Happiness in the Global Village," Journal of Heterodox Economics, Sciendo, vol. 3(1), pages 17-53, June.
    18. Naseemullah, Adnan, 2023. "The political economy of national development: A research agenda after neoliberal reform?," World Development, Elsevier, vol. 168(C).
    19. Tilman Altenburg & Wilfried Lütkenhorst, 2015. "Industrial Policy in Developing Countries," Books, Edward Elgar Publishing, number 14726, June.
    20. Aamir Aijaz Syed & Assad Ullah & Muhammad Abdul Kamal, 2024. "Does economic policy uncertainty impedes financial inclusion in BRICS economies: the mediating role of quality of governance," Economic Change and Restructuring, Springer, vol. 57(1), pages 1-24, February.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mth:jpag88:v:10:y:2020:i:2:p:1-19. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Technical Support Office The email address of this maintainer does not seem to be valid anymore. Please ask Technical Support Office to update the entry or send us the correct address (email available below). General contact details of provider: http://www.macrothink.org/journal/index.php/jpag .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.