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Trade Intensity, Fiscal Integration and Income Inequality in ECOWAS

  • Hamitande Dout ORCID logo und Léleng Kebalo ORCID logo EMAIL logo
Veröffentlicht/Copyright: 1. November 2021
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Statistics, Politics and Policy
Aus der Zeitschrift Statistics, Politics and Policy Band 12 Heft 2

Abstract

This paper analyzes the income inequality effect of economic integration in ECOWAS by decomposing economic integration into two dimensions: trade and fiscal integration approximated respectively by trade intensity and fiscal convergence. For robustness purposes, we use different metrics for each dimension. We also consider the introduction in the region of the growth and convergence pact in the analysis of fiscal integration effect on income inequality. The analysis covers the period 1990–2018. For the empirical evidence, the generalized method of moment is used. The results obtained are robust and reveal that improving regional economic integration has a reducing effect on income inequality. Taken individually, trade integration and fiscal integration contribute to reducing income inequality. However, taken together, the reducing effect of economic integration on income inequality is more pronounced. Besides, the results indicate that fiscal integration has more contributed to the reduction of income inequality since the introduction of the first fiscal convergence pact in the region in 2000 than before. For reducing income inequality, our analysis recommends to ECOWAS countries to take steps to remove barriers to regional trade on the one hand, and on the other hand, to converge together on the fiscal front.

Keywords: economic integration; trade integration; fiscal integration; income inequality; growth and convergence pact; ECOWAS
JEL Classification: F14; F15; D31; O15
Corresponding author: Léleng Kebalo, PhD in Economics, Associate Reseacher, LEAMA, University of Lomé, 01BP1515, Lomé, Togo, E-mail:

  1. Research funding: The author(s) received no specific funding for this work.

  2. Availability of data and material: The data that support the findings of this study are available from the corresponding author, upon reasonable request.

  3. Code availability: Authors must make available upon request, to editors and reviewers, any previously unreported custom computer code or algorithm used to generate results that are reported in the paper and central to its main claims.

  4. Conflicts of interest: We wish to confirm that there are no known conflicts of interest associated with this publication and there has been no significant financial support for this work that could have influenced its outcome. This research has not been submitted for publication nor has it been published in whole or in part elsewhere.

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Received: 2021-05-03
Accepted: 2021-10-18
Published Online: 2021-11-01
Published in Print: 2021-12-20

© 2021 Walter de Gruyter GmbH, Berlin/Boston

Artikel in diesem Heft

  1. Frontmatter
  2. Editors Note
  3. Editor’s Note
  4. Special on COVID-19 Research
  5. Covid-19 Response Models and Divergences Within the EU: A Health Dis-Union
  6. Landscape Political Ecology: Rural-Urban Pattern of COVID-19 in Nigeria
  7. The Relationship Between Poverty and COVID-19 Infection and Case-Fatality Rates in Germany during the First Wave of the Pandemic
  8. Covid-19: A Trade-off between Political Economy and Ethics
  9. Special on Inequality, Policy and Society
  10. Causes and Consequences of Income Inequality – An Overview
  11. Monetary Policy and the Top 10%: A Time-Series Analysis Using ARDL and ECM
  12. Trade Intensity, Fiscal Integration and Income Inequality in ECOWAS
  13. Empirical Analysis of the Effect of Fiscal Policy Shocks in China
  14. The Political Economy of Sectoral Credit Provisioning in India: An Empirical Analysis
  15. Perspectives on Gender Stereotypes: How Did Gender-Based Perceptions Put Hillary Clinton at an Electoral Disadvantage in the 2016 Election?
https://doi.org/10.1515/spp-2021-0008
Schlagwörter für diesen Artikel
economic integration; trade integration; fiscal integration; income inequality; growth and convergence pact; ECOWAS

Artikel in diesem Heft

  1. Frontmatter
  2. Editors Note
  3. Editor’s Note
  4. Special on COVID-19 Research
  5. Covid-19 Response Models and Divergences Within the EU: A Health Dis-Union
  6. Landscape Political Ecology: Rural-Urban Pattern of COVID-19 in Nigeria
  7. The Relationship Between Poverty and COVID-19 Infection and Case-Fatality Rates in Germany during the First Wave of the Pandemic
  8. Covid-19: A Trade-off between Political Economy and Ethics
  9. Special on Inequality, Policy and Society
  10. Causes and Consequences of Income Inequality – An Overview
  11. Monetary Policy and the Top 10%: A Time-Series Analysis Using ARDL and ECM
  12. Trade Intensity, Fiscal Integration and Income Inequality in ECOWAS
  13. Empirical Analysis of the Effect of Fiscal Policy Shocks in China
  14. The Political Economy of Sectoral Credit Provisioning in India: An Empirical Analysis
  15. Perspectives on Gender Stereotypes: How Did Gender-Based Perceptions Put Hillary Clinton at an Electoral Disadvantage in the 2016 Election?
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