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Inequality Thresholds, Governance and Gender Economic Inclusion in sub-Saharan Africa

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  • Asongu, Simplice
  • Odhiambo, Nicholas

Abstract

Inequality and gender economic exclusion are major policy concerns facing sub-Saharan Africa in the post-2015 development agenda. The study provides critical masses of inequality that should not be exceeded if governance is to promote gender economic participation. The research focuses on 42 countries in sub-Saharan Africa using annual data spanning from 2004 to 2014. The empirical evidence is based on the Generalized Method of Moments. The following findings are established. First, inequality (i.e. the Gini coefficient) levels that completely nullify the positive effect of governance on female labour force participation are 0.708 for political stability, 0.601 for voice & accountability, 0.588 for government effectiveness, 0.631 for regulatory quality, 0.612 for the rule of law, and 0.550 for corruption-control. Second, inequality thresholds at which female unemployment can no longer be mitigated by governance channels include: 0.561 (for political stability) and 0.465 (for the rule of law). Third, inequality levels that completely dampen the positive impact of governance on female employment are 0.608 for political stability, 0.580 for voice & accountability, 0.581 for government effectiveness, and 0.557 for the rule of law. As the main policy implication, for good governance to promote gender economic inclusion, inequality levels should not exceed established thresholds.

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  • Asongu, Simplice & Odhiambo, Nicholas, 2019. "Inequality Thresholds, Governance and Gender Economic Inclusion in sub-Saharan Africa," MPRA Paper 101100, University Library of Munich, Germany, revised Feb 2020.
  • Handle: RePEc:pra:mprapa:101100
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    Cited by:

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    2. Asongu, Simplice A. & Adegboye, Alex & Nnanna, Joseph, 2021. "Promoting female economic inclusion for tax performance in Sub-Saharan Africa," Economic Analysis and Policy, Elsevier, vol. 69(C), pages 159-170.
    3. Joseph I. Uduji & Elda N. Okolo-Obasi & Simplice A. Asongu, 2020. "Women’s Participation in the Offshore and Inshore Fisheries Entrepreneurship: the Role of CSR in Nigeria’s Oil Coastal Communities," Working Papers 20/012, European Xtramile Centre of African Studies (EXCAS).
    4. Simplice A. Asongu & Joseph Nnanna & Paul N. Acha-Anyi, 2020. "Inclusive Education for Inclusive Economic Participation: the Financial Access Channel," Research Africa Network Working Papers 20/019, Research Africa Network (RAN).
    5. Tolulope T. Osinubi & Simplice A. Asongu, 2020. "Globalization and Female Economic Participation in MINT and BRICS countries," Working Papers of the African Governance and Development Institute. 20/058, African Governance and Development Institute..
    6. Joseph Ikechukwu Uduji & Elda Nduka Okolo-Obasi & Simplice Asongu, 2020. "Women’s participation in the offshore and inshore fisheries entrepreneurship: The role of CSR in Nigeria’s oil coastal communities," Journal of Enterprising Communities: People and Places in the Global Economy, Emerald Group Publishing, vol. 14(2), pages 247-275, April.
    7. Pamela E. Ofori & Simplice A. Asongu & Vanessa S. Tchamyou, 2021. "The Synergy between Governance and Economic Integration in Promoting Female Economic Inclusion in Sub-Saharan Africa," Working Papers of The Association for Promoting Women in Research and Development in Africa (ASPROWORDA). 21/005, The Association for Promoting Women in Research and Development in Africa (ASPROWORDA).
    8. Asongu, Simplice A. & Odhiambo, Nicholas M., 2020. "Inequality and gender inclusion: Minimum ICT policy thresholds for promoting female employment in Sub-Saharan Africa," Telecommunications Policy, Elsevier, vol. 44(4).
    9. Ofori, Isaac K. & Ofori, Pamela E. & Asongu, Simlice A., 2021. "Towards Efforts to Enhance Tax Revenue Mobilisation in Africa: Exploring Synergies between Industrialisation and ICTs," EconStor Preprints 241291, ZBW - Leibniz Information Centre for Economics.
    10. Chima M. Menyelim & Abiola A. Babajide & Alexander E. Omankhanlen & Benjamin I. Ehikioya, 2021. "Financial Inclusion, Income Inequality and Sustainable Economic Growth in Sub-Saharan African Countries," Sustainability, MDPI, vol. 13(4), pages 1-15, February.
    11. Chenghong Xu & Mingming Han & Toyo Amegnonna Marcel Dossou & Festus Victor Bekun, 2021. "Trade openness, FDI, and income inequality: Evidence from sub‐Saharan Africa," African Development Review, African Development Bank, vol. 33(1), pages 193-203, March.

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    More about this item

    Keywords

    Africa; Gender; Inequality; Inclusive development;
    All these keywords.

    JEL classification:

    • G20 - Financial Economics - - Financial Institutions and Services - - - General
    • I10 - Health, Education, and Welfare - - Health - - - General
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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