Abstract:
Most West African countries have experienced economic growth in recent years, yet the
effect on quality of life of the citizens is not being felt. The study therefore seeks to examine
the effect of economic growth on quality of life and the role income inequality plays in this
relationship. To achieve this, the study aims at examining the linkage between economic
growth and quality of life among West Africa countries. It also seeks to determine the role
income inequality plays in the linkage between quality of life and economic growth and
finally, examine other macroeconomic variables that significantly affect quality of life in
West Africa. A panel data of all the 15 West African countries were obtained from
International Financial Statistics and World Development Indicators. Using Auto
Regressive Distributed Lag model, the study finds that economic growth has a significant
positive effect on quality of life. Also, income inequality does not moderate the linkage
between economic growth and quality of life. However, variables such as interest rate and
exchange rate have significant negative effect on quality of life whiles Foreign Direct
Investment significantly influence quality of life positively. The study recommends that,
government should invest in the productive sectors of the economy to boost economic
growth. Also, government should strike a balance between limiting inflation, supporting
economic growth, and maintaining access to affordable credit to help vulnerable people.
Description:
A Thesis in the Department of Applied Finance and Policy Management, School of
Business, submitted to School of Graduate Studies in partial fulfilment
of the requirements for the award of the degree of
Master of Philosophy
(Finance)
in the University of Education, Winneba
SEPTEMBER, 2023
