Financial Inclusion, Globalization and Structural Transformation in Developing Countries: A Finite Mixture-of-Regressions Approach

Abstract

Recently, weak macroeconomic conditions in developing countries have been driven by supply chain disruptions caused by the COVID-19 pandemic and exacerbated by the outbreak of the war in Ukraine. These supply chain disruptions and the related protectionist policies have highlighted the potential costs of reliance on certain staple goods imports and revealed the importance of structural transformation in many countries. Indeed, they have reduced developing countries access to key agricultural commodities such as fertilizers and leading to dramatic Journal of Economic Integration