ABSTRACT

Extant studies on the relationship between financial development and inequality have largely adopted single financial indicators especially the private credit/GDP. Unlike these works, the present study adopts a robust total financial development indicator based on four mainstays of financial development of financial deepening, efficiency, stability and access following the World Bank recommendation on the measurement of financial development. Using this measure, the paper examines the relationship in 40 African countries. The empirical results confirm the findings of extant studies that the ratio of private credit to GDP increases inequality in high, middle-low and low-income countries. The total financial development, however, reports mixed evidence. While this measure reduces inequality in high and middle-low income countries, it does not affect inequality in low-income countries. Also, the study finds evidence of a nonlinear relationship only among the low-income countries. The paper recommends that policymakers should formulate wholesome policies that cut across all mainstays of financial development to reduce inequality, particularly, in high and middle-low African countries. Also, policymakers are advised to increase growth in low-income countries so that financial development could reduce inequality. At most, these countries should pay less attention to financial development for inequality-reduction policies among low-income countries.

摘要

现有的关于金融发展与不平等之间关系的研究在很大程度上采用了单个金融指标，尤其是私人信贷/ GDP。与这些工作不同的是，本研究采用了稳健的总金融发展指标，其依据是世界银行对金融发展的衡量标准提出的关于金融深化，效率，稳定性和获得性的四个金融发展支柱。本文使用这种方法研究了40个非洲国家的关系。实证结果证实了现有研究的结果，即私人信贷与国内生产总值的比率增加了高，中，低和低收入国家的不平等。然而，总体财务发展报告的证据参差不齐。尽管这项措施减少了高收入和中低收入国家的不平等现象，它不会影响低收入国家的不平等现象。此外，该研究还发现仅在低收入国家之间存在非线性关系的证据。该文件建议政策制定者应制定有益健康的政策，将金融发展的所有主要内容都纳入考虑范围，以减少不平等现象，特别是在非洲中高等非洲国家。另外，建议决策者增加低收入国家的增长，以便金融发展可以减少不平等现象。这些国家至多在低收入国家中应减少对减少不平等政策的金融发展的关注。该文件建议政策制定者应制定有益健康的政策，将金融发展的所有主要内容都纳入考虑范围，以减少不平等现象，特别是在非洲中高等非洲国家。另外，建议决策者增加低收入国家的增长，以便金融发展可以减少不平等现象。这些国家至多在低收入国家中应减少对减少不平等政策的金融发展的关注。该文件建议政策制定者应制定有益健康的政策，将金融发展的所有主要内容都纳入考虑范围，以减少不平等现象，特别是在非洲中高等非洲国家。另外，建议决策者增加低收入国家的增长，以便金融发展可以减少不平等现象。这些国家至多在低收入国家中应减少对减少不平等政策的金融发展的关注。