Income inequality in Africa, 1990–2019: Measurement, patterns, determinants

•We construct a new database on income inequality in Africa from 1990 to 2019.•Inequality in Africa is very high: the top 10% regional income share reaches 55%. It has remained relatively stable since 1990.•Most of continent-wide income inequality comes from the within-country component rather than...

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Veröffentlicht in:World development 2023-03, Vol.163, p.106162, Article 106162
Hauptverfasser: Chancel, Lucas, Cogneau, Denis, Gethin, Amory, Myczkowski, Alix, Robilliard, Anne-Sophie
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Sprache:eng
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Zusammenfassung:•We construct a new database on income inequality in Africa from 1990 to 2019.•Inequality in Africa is very high: the top 10% regional income share reaches 55%. It has remained relatively stable since 1990.•Most of continent-wide income inequality comes from the within-country component rather than from average income differences between countries.•Settler colonialism and the spread of Islam stand out as robust correlates of differences in inequality between African countries. This article estimates the evolution of income inequality in Africa from 1990 to 2019 by combining surveys, tax data, and national accounts. Inequality in Africa is very high: the regional top 10% income share nears 55%, on par with regions characterized by extreme inequality, such as Latin America and India. Most of continent-wide income inequality comes from the within-country component rather than from average income differences between countries. Inequality is highest in Southern Africa and lowest in Northern and Western Africa. It remained fairly stable from 1990 to 2019, with the exception of Southern Africa, where it increased significantly. Among historical determinants, this geographical pattern seems to reveal the long shadow of settler colonialism, at least in Sub-Saharan Africa; the spread of Islam stands out as another robust correlate. The poor quality of the raw data calls for great caution, in particular when analyzing country-level dynamics.
ISSN:0305-750X
DOI:10.1016/j.worlddev.2022.106162