Digital divide, globalization and income inequality in sub-Saharan African countries: Analysing cross-country heterogeneity

Arbeitspapier

The aim of this paper is to analyse the impact of digital divide on income inequality in subSaharan Africa over the period 2004-2016. In applying a finite mixture model (FMM) to a sample of 35 sub-Saharan African (SSA) countries, this study posits that digital divide affects income inequality differently. Our findings show that the effect of digital divide on income inequality varies across two distinct groups of countries, which differ according to their level of globalization. In addition, the study shows that, most globalized countries are more inclined to be in the group where the effect of digital divide on income inequality is negative. The results are consistent to several robustness checks, including alternative measures of income inequality and additional control variables. The study complements that extant literature by assessing linkages between the digital divide, globalization and income inequality in sub-Saharan African countries contingent on cross-country heterogeneity.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: AGDI Working Paper ; No. WP/22/064

Classification and Topics

• Classification: Wirtschaft ; Semiparametric and Nonparametric Methods: General ; Economic Development: Human Resources; Human Development; Income Distribution; Migration ; Technological Change: Choices and Consequences; Diffusion Processes ; Economywide Country Studies: Africa
• Subject: Digital Divide ; Income Inequality ; Globalization ; Finite Mixture model

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Ndoya, Hermann ; Asongu, Simplice
• Event: Veröffentlichung
• (who): African Governance and Development Institute (AGDI)
• (where): Yaoundé
• (when): 2022

Further information

• Handle: http://hdl.handle.net/10419/269071
• Last update: 10.03.2025, 11:43 AM CET