CONVERGING HORIZONS: A DEEP DIVE INTO AFRICAN ECONOMIC DYNAMICS AND INCOME CONVERGENCE

Abstract

Achieving convergence, particularly in terms of economic development, social progress, and institutional growth, has long been a central challenge within economic regions. Convergence serves as a vital precondition for discussions about establishing economic and monetary unions. However, research on national and regional income convergence in Africa remains limited, primarily due to data availability constraints. This paper fills this gap by shedding light on the convergence dynamics within African nations.We examine the interrelationships among various convergence measures commonly used in public economics literature to explore income distribution and convergence possibilities among African countries. Special attention is devoted to discerning differences in the convergence processes between economically disadvantaged and more affluent African nations. Our research addresses crucial questions regarding the potential for convergence among African countries, including whether relatively impoverished economies will continue to lag behind and whether income inequality across African nations is on the rise or decline.Measuring convergence in per capita GDP is especially critical for understanding the recent political and social transformations in many African countries. The findings of this study provide valuable insights for policymakers, offering a nuanced understanding of the future of regional convergence in Africa. This research extends beyond traditional regression analysis or correlation assessments by simultaneously examining three distinct cases of income dynamics: β-convergence, σ-convergence, and leapfrogging.