Inequality in Africa: Does injustice matter?

Abstract

AbstractThe following study aims to investigate the impact of injustice on income inequality in Africa between 2000 and 2020. Both male and female injustice levels are evaluated using gender‐specific scores to indicate the injustice suffered by both genders. The study utilized the Gini and Palma ratios as proxies for income distribution inequality. After addressing error term‐related problems with the Newey‐West Standard Corrected Error approach, the findings indicate that injustice is a significant contributor to inequality in Africa, especially for females, with little evidence of male injustice. The results are consistent for both middle and low‐income countries that adopted the French civil law and English common law systems to govern their institutions. Additionally, the study found that educational development and basic welfare maintenance contribute to reducing inequality in Africa, which is exacerbated by many barriers to political inclusion. To address the gender bias in income distribution, policymakers in Africa should design policies that provide equal access to justice for both male and female populations. The study also suggests adopting policies that enhance human capital accumulation and political inclusion in‐state activities to create a safe, just, and equal environment.