EconPapers    
Economics at your fingertips  
 

Governance in mitigating the effect of oil wealth on wealth inequality: a cross-country analysis of policy thresholds

Henri Njangang (), Simplice Asongu (), Sosson Tadadjeu (), Yann Nounamo () and Brice Kamguia ()
Additional contact information
Henri Njangang: University of Dschang, Cameroon
Sosson Tadadjeu: University of Dschang , Cameroon
Yann Nounamo: University of Douala, Douala, Cameroon
Brice Kamguia: University of Dschang, Cameroon

No 21/049, Working Papers from European Xtramile Centre of African Studies (EXCAS)

Abstract: The study assesses the role of governance in modulating the effect of oil wealth on wealth inequality in 45 countries in the world. The empirical evidence is based on Pooled Ordinary Least Squares and the Generalised Method of Moments. The findings show that oil rents unconditionally increase wealth inequality while govenance dyanmics (in terms of rule of law, corruption-control, government effectiveness, regulatory quality) moderate oil rents for an overall net negative effect on wealth inequality. Good governance thresholds at which the unconditional effect of oil rents on the wealth inequality changes from positive to negative are computed and discussed. It follows that while governance is a necessary condition for improving the redistributive effects of oil wealth, it becomes a sufficient condition for net positive improvements in wealth distribution only when some critical levels of good governance have been reached. Other policy implications are discussed.

Keywords: Governance; Oil wealth; Wealth inequality, Panel data (search for similar items in EconPapers)
JEL-codes: F21 F54 L71 (search for similar items in EconPapers)
Pages: 34
Date: 2021-01
New Economics Papers: this item is included in nep-ene and nep-isf
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed

Downloads: (external link)
http://publications.excas.org/RePEc/exs/exs-wpaper ... ealth-inequality.pdf Revised version, 2021 (application/pdf)

Related works:
Working Paper: Governance in mitigating the effect of oil wealth on wealth inequality: a cross-country analysis of policy thresholds (2021) Downloads
Working Paper: Governance in mitigating the effect of oil wealth on wealth inequality: a cross-country analysis of policy thresholds (2021) Downloads
Working Paper: Governance in mitigating the effect of oil wealth on wealth inequality: a cross-country analysis of policy thresholds (2021) Downloads
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:exs:wpaper:21/049

Access Statistics for this paper

More papers in Working Papers from European Xtramile Centre of African Studies (EXCAS)
Bibliographic data for series maintained by Anutechia Asongu Simplice ().

 
Page updated 2022-01-23
Handle: RePEc:exs:wpaper:21/049