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A note on poverty, growth, and inequality nexus: evidence from a panel of sub-Saharan African countries

Alaa Mohamd Shoukry, Musarrat Jabeen, Khalid Zaman (), Showkat Gani and Alamzeb Aamir
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Alaa Mohamd Shoukry: King Saud University
Musarrat Jabeen: National Defense University
Khalid Zaman: University of Wah
Showkat Gani: King Saud University
Alamzeb Aamir: FATA University

Quality & Quantity: International Journal of Methodology, 2018, vol. 52, issue 5, 2173-2195

Abstract: Abstract This study investigates the relationship between growth, inequality and poverty in a panel of 42 sub-Saharan African countries by using the latest 13 household surveys, during the period of 1981–2012. The study proposed a relatively new concept of pro-poor growth, which includes both the linear and non-linear growth components in a cross-sectional time series data, called ‘Pro-equality Growth Index (PeGI)’. The results confirm the ‘negative-linear’, ‘inverted U-shaped’, and ‘negative asymptotic U-shaped’ relationship between mean survey income and inequality in different model specifications. PeGI confirms the pro-equality growth process during 1984–1987 and 1996–1999 while remaining growth phases confirm the ‘anti-equality’ growth.

Keywords: Poverty; Economic growth; Income inequality; Pro-equality growth index; Dynamic panel GMM estimator; Sub-Saharan Africa (search for similar items in EconPapers)
Date: 2018
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