Measuring the Effect of Income Inequality, Financial Inclusion, Investment, and Unemployment, on Economic Growth in Africa: A Moderating Role of Digital Financial Technology

Nicholas Bamegne Nambie, Philomena Dadzie and Dorcas Oye Haywood-Dadzie
Additional contact information
Nicholas Bamegne Nambie: Valley View University, Oyibi, Accra-Ghana; & University of Professional Studies, Accra, Ghana
Philomena Dadzie: University of Professional Studies, Accra, Ghana.
Dorcas Oye Haywood-Dadzie: University of Professional Studies, Accra, Ghana.

International Journal of Economics and Financial Issues, 2023, vol. 13, issue 4, 111-124

Abstract: The significance of understanding the effect of income inequality, financial inclusion, investment, unemployment on economic growth in Africa is imperative in academic literature, and contributes meaningfully to policy decision making. All the variables in the study play important roles in economic growth. This paper, therefore empirically analyses the contribution of income inequality, financial inclusion, investment, unemployment, on economic growth using secondary data spanning 2001 to 2022. Two-step system generalized method of moments (GMM) estimator is used to analyse the data extracted from the world development indicators (WDI). It was revealed that, income inequality and unemployment have a significant negative relationship with economic growth whilst financial inclusion and investment also have a significant positive relationship with economic growth. Also, financial technology, which is the moderator variable has significant relationship with economic growth. It was concluded that, policy makers should ensure equitable distribution of wealth, stabilize the economy, develop the skills of young entrepreneurs, and invest in financial technology to enhance economic growth in Africa.

Keywords: Income; Inequality; Investment; Unemployment; Economic-Growth; Financial-Inclusion (search for similar items in EconPapers)
JEL-codes: A1 E6 F3 F4 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.econjournals.com/index.php/ijefi/article/download/14425/7363 (application/pdf)
https://www.econjournals.com/index.php/ijefi/article/view/14425 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eco:journ1:2023-04-14

Access Statistics for this article

International Journal of Economics and Financial Issues is currently edited by Ilhan Ozturk

More articles in International Journal of Economics and Financial Issues from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk ().