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No. 3 / 2026 — Autumn

Peer-reviewed articles in economics, finance, public policy, and sustainable development.

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Theoretical and Applied Economics
No. 3 / 2021 (628), Autumn

Estimating the relationship between governance, economic growth, inequality and poverty

Mohammed TOUITOU
University of Algiers, Algeria
Ahmed BOUDEGHDEGH
University of Jijel, Algeria

Abstract. The main purpose of this paper is to estimate the relationship between governance, economic growth, inequality and poverty for 81 countries for the period 2000-2016. We divided the countries into three groups, low-income, lower-middle-income and upper-middle-income countries. We used a structural model with simultaneous equations on Panel data. Our results show that the positive or negative impact of governance on the growth-inequality-poverty triangle changes depending on the dimension of governance taken into account and the sample being studied. Given the negative relationship between inequality and growth, democracy should a second time positively affect economic growth through the reduction of inequalities.

Keywords: governance, economic growth, inequality, poverty.

Contents

1

Two vital reference elements in the evolution of the current model of European integration – The Maastricht Treaty and the implementation of the single currency – Euro

Alin Ioan CREŢU · Alina Ștefania CHENIC

2

Development in Romania during the post-crisis period: A human, economic and social perspective

Maria-Daniela TUDORACHE

3

Multifactorial analysis of the price formation in the terms of a risk-free rate

Constantin ANGHELACHE · Mădălina-Gabriela ANGHEL · Iulian RADU

4

Financial contracts with several types of agents

Laura CONSTANTIN · Ștefan Virgil IACOB · Dana Luiza GRIGORESCU

5

Evaluation of the methodological relationship between real business cycle model and macroprudential policy

Ayşegül Ladin SÜMER

6

Efficiency of commercial banks in India after global financial crises

K. RAVIRAJAN · K.R. SHANMUGAM

7

Effectiveness of monetary policy and interest rate pass-through in India since financial sector reforms

N. KUBENDRAN

8

FDI and ODA effects on recipient countries imports: Evidence from selected MENA countries

Mahmoud M. SABRA

9

Estimating the relationship between governance, economic growth, inequality and poverty

Mohammed TOUITOU · Ahmed BOUDEGHDEGH

10

Environmental Kuznets curve and India: Evidence from autoregressive distributed lag model

Jaganath BEHERA

11

Rural urban migration with heterogeneous firms, heterogonous laborer and the effect of wage subsidy

Sravaitri CHAUDHURI · Ranajoy BHATTACHARYYA · Sukanta BHATTACHARYA

12

The relationship between exchange rates, foreign trade and economic growth: An application on Turkey

Çiğdem ALIM · Necati Alp ERILLI