The causality relationship between income inequality, debt, and economic growth in Sub-Saharan African countries
            <sup>1</sup>

Obiero, Wilkista Lore; Topuz, Seher Gülşah

doi:10.1080/09638199.2023.2274854

The Journal of International Trade & Economic Development

2023

DOI: 10.1080/09638199.2023.2274854

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The causality relationship between income inequality, debt, and economic growth in Sub-Saharan African countries ¹

Wilkista Lore Obiero,

Seher Gülşah Topuz

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2024

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Foreign or Domestic Public Debt for Cameroon’s Development? An Externality Approach

Nguepi,

Ngouhouo,

Bilan

2024

Sustainability

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Public debt plays a major role in financing projects that support economic growth and sustainable development. As governments may choose between domestic and external borrowing, a comprehensive assessment of their effects would support this choice. Our study provides an integrative view of economic and social outcomes and compares, through externalities, the impacts of external and domestic public debt as methods of financing development, with a focus on the Cameroonian economy. Utilizing a dynamic computable general equilibrium (CGE) model and a microsimulation analysis, we find that domestic debt has more advantages for Cameroon compared to external debt, as it increases the large-scale economic impact by improving household welfare, boosting GDP growth, and progressively reducing poverty and inequality. It is therefore recommended that the Cameroonian government focus on increasing the use of domestic debt as a method of financing development by implementing policies that support domestic saving and promote the development of domestic debt markets.

show abstract

Foreign or Domestic Public Debt for Cameroon’s Development? An Externality Approach

Nguepi,

Ngouhouo,

Bilan

2024

Sustainability

View full text Add to dashboard Cite

show abstract

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The causality relationship between income inequality, debt, and economic growth in Sub-Saharan African countries ¹

Cited by 1 publication

References 39 publications

Foreign or Domestic Public Debt for Cameroon’s Development? An Externality Approach

Foreign or Domestic Public Debt for Cameroon’s Development? An Externality Approach

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The causality relationship between income inequality, debt, and economic growth in Sub-Saharan African countries 1

Cited by 1 publication

References 39 publications

Foreign or Domestic Public Debt for Cameroon’s Development? An Externality Approach

Foreign or Domestic Public Debt for Cameroon’s Development? An Externality Approach

Contact Info

Product

Resources

About

The causality relationship between income inequality, debt, and economic growth in Sub-Saharan African countries ¹