Inequality, information technology and inclusive education in sub-Saharan Africa

Nnanna²,

Acha-Anyi

2019

SRJ

Purpose This study aims to investigate the role of information and communication technology (ICT) in modulating the effect of governance on insurance penetration in 42 Sub-Saharan African countries using data for the period 2004-2014. Design/methodology/approach Two insurance indicators are used in the analysis, namely, life insurance and non-life insurance. The three ICT modulating dynamics used include mobile phone penetration, internet penetration and fixed broadband subscriptions. Six governance channels are also considered, namely, political stability, “voice & accountability”, regulation quality, government effectiveness, the rule of law and corruption-control. The empirical evidence is based on generalized method of moments. Findings The following main findings are established. First, mobile phone penetration does not significantly modulate governance channels to positively affect life insurance while it effectively complements “voice & accountability” to induce a positive net effect on non-life insurance. Second, internet penetration complements governance dynamics of political stability, government effectiveness and rule of law to induce positive net effects on life insurance and corruption-control for an overall positive effect on non-life insurance. Third, the relevance of fixed broadband subscriptions in promoting life insurance is apparent via governance channels of regulation quality, government effectiveness and the rule of law while fixed broadband subscriptions do not induce significant overall net effects on non-life insurance though the conditional effects are overwhelmingly significant. Originality/value To the best of the authors’ knowledge, studies on the relevance of ICT in promoting insurance consumption through governance channels are sparse, especially for a region such as Sub-Saharan Africa where insurance penetration is low compared to other regions of the world.

Section: Intuitionsupporting

confidence: 65%

Information technology, governance and insurance in Sub-Saharan Africa

Nnanna²,

Acha-Anyi

2019

SRJ

“…The ICT variables that are adopted align with the contemporary literature which has argued for the relevance of involving many ICT indicators in empirical analyses in order to provide findings with greater room for policy implications (Tchamyou, 2017;Asongu and Odhiambo, 2018;Efobi et al, 2018;Asongu, Amankwah-Amoah, Nting & Afrifa, 2019). The adoption of the control variables is also motivated by contemporary inclusive development literature, notably: Meniago and Asongu (2018), Tchamyou, Erreygers and Cassimon (2019b) and Asongu and Odhiambo (2019).…”

Section: Datamentioning

confidence: 96%

Inequality and gender inclusion: Minimum ICT policy thresholds for promoting female employment in Sub-Saharan Africa

Telecommunications Policy

Odhiambo

2020

Self Cite

The study assesses how ICT modulates the effect of inequality on female economic participation in a panel of 42 countries in sub-Saharan Africa over the period 2004-2014. Three inequality indicators are used, namely: the Gini coefficient, the Atkinson index and the Palma ratio. The adopted ICT indicators are mobile phone penetration, internet penetration and fixed broadband subscriptions. Three gender economic inclusion indicators are also used for the analysis, namely: female labour force participation, female unemployment and female employment. The Generalised Method of Moments is employed as empirical strategy. The findings show that enhancing ICT beyond certain thresholds is necessary for ICT to mitigate inequality in order to enhance gender economic participation. First, for female labour force participation, a minimum threshold of 165.714 mobile phone penetration per 100 people is required for the Palma ratio. Second, minimum ICT thresholds for the reduction of female unemployment are: (i) 87.783, 107.486 and 152.500 mobile phone penetration per 100 people for respectively, the Gini coefficient, the Atkinson index and the Palma ratio; (ii) 39.618 internet penetration per 100 people for the Atkinson index and (iii) 4.500 fixed broadband subscriptions for the Palma ratio. Third, the corresponding ICT thresholds for the promotion of female employment are: (i) 120.369 and 85.533 mobile phone penetration per 100 people for respectively, the Gini coefficient and the Atkinson index and (ii) 30.005 internet penetration per 100 people for the Gini coefficient. The established thresholds make economic sense and can be feasibly implemented by policy makers in order to induce favourable effects on gender economic inclusion dynamics.

“…In computing net effects (i.e. entailing unconditional and conditional effects), the mechanism is naturally the variable reflecting the unconditional effect (Asongu, Orim & Nting, 2019). Second, the extensive margin theory is also relevant in this research because of the word "inclusive" which characterizes two of the three main variables of interest: inclusive education and inclusive economic participation.…”

Section: Theoretical Underpinningsmentioning

confidence: 99%

Inclusive education for inclusive economic participation: the financial access channel

Nnanna²,

Acha-Anyi

2020

Purpose The purpose of this study is to assess how inclusive education affects inclusive economic participation through the financial access channel. Design/methodology/approach The focus is on 42 sub-Saharan African countries with data for the period 2004-2014. The empirical evidence is based on the generalised method of moments. Findings The following findings are established. First, inclusive secondary education moderates financial access to exert a positive net effect on female labour force participation. Second, inclusive “primary and secondary school education” and inclusive tertiary education modulate financial access for a negative net effect on female unemployment. Third, inclusive secondary education and inclusive tertiary education both moderate financial access for an overall positive net effect on female employment. To provide more gender macroeconomic management policy options, inclusive education thresholds for complementary policies are provided and discussed. Originality/value Policy implications are discussed in the light of challenges of economic development in the sub-region and sustainable development goals.