Regional Integration in ECOWAS: Real Heterogeneity and Analysis by Convergence Clubs

International Journal of Economics and Management Studies

© 2019 by SSRG - IJEMS Journal

Volume 6 Issue 8

Year of Publication : 2019

Authors : Dzidzogbé Hechely LAWSON

10.14445/23939125/IJEMS-V6I8P113

How to Cite?

Dzidzogbé Hechely LAWSON, "Regional Integration in ECOWAS: Real Heterogeneity and Analysis by Convergence Clubs," SSRG International Journal of Economics and Management Studies, vol. 6,  no. 8, pp. 120-128, 2019. Crossref, https://doi.org/10.14445/23939125/IJEMS-V6I8P113

Abstract:

The aims of this paper is to analyze the real convergence of ECOWAS economies. The analysis for the period 1990-2017 shows a perverse convergence of economies and a potential convergence club presence. Taking into account the process of convergence clubs by the Kernel method, densities of the Markov chain, and Phillip and Sul method, four convergence clubs is identified in the ECOWAS region.By forming classes representing the level of wealth of different economies over time, the results show the persistence of economies in different classes. Over the period 1990-2017, the ECOWAS countries are more marked by a greater mobility of economies from the richest to the less wealthy classes than the transition from less wealthy to richer classes.

Keywords:

Real convergence, convergence club, ECOWAS, Markov chain

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