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Revisiting the Inequality-Well-being Nexus: The Case of Developing Countries

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Abstract

This study examines the inequality-well-being nexus in 66 developing countries spanning from 2006 to 2017. Well-being is approached through the subjective well-being perspective, while inequality is considered in terms of differences in income distribution. The findings obtained using the Generalized Method of Moments (GMM) and the IV-Tobit strategies reveal that inequality proxied by the Gini index, the Palma ratio and the Atkinson ratio, hurts subjective well-being proxied by the Life Ladder index. The findings of the study suggest policymakers should formulate policies that will help reduce income inequality to improve the well-being of the citizens. This is in line with the setting of international policy objectives toward the attainment of the Sustainable Development Goals (SDGs) aimed at reducing extreme poverty and inequality. One way of achieving this is through the creation of decent employment for all.

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The data supporting the findings of this study is available upon a reasonable request addressed to the corresponding author.

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Authors and Affiliations

  1. University of Dschang, Dschang, Cameroon

    Muhamadu Awal Kindzeka Wirajing, Tii N. Nchofoung & Roger Tsafack Nanfosso

  2. Ministry of Trade, Yaoundé, Cameroon

    Tii N. Nchofoung

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  1. Muhamadu Awal Kindzeka Wirajing
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Correspondence to Tii N. Nchofoung.

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Appendix

Appendix

Table 4 Matrix of correlations
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Table 5 Data, source, and description of variables
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Table 6 List of countries
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Wirajing, M.A.K., Nchofoung, T.N. & Nanfosso, R.T. Revisiting the Inequality-Well-being Nexus: The Case of Developing Countries. Glob Soc Welf (2023). https://doi.org/10.1007/s40609-023-00278-7

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