Drivers of Earnings Inequalities in Urban Cameroon

Résumé fourni par la source

Abstract Labour income makes up a substantial share of households’ income in both developed and developing countries. This justifies the focus of this chapter on the analysis of the dynamics and extent of earnings inequality in urban areas in Cameroon. Using data from the National Institute of Statistics for 2001, 2005, 2010 and 2014, our results indicate that earnings inequality fell sharply between 2001 and 2010, and rose between 2010 and 2014, with persistent inequality at the upper tail of the distribution. We use the Recentered Influence Function regression to examine the impact of supply and demand factors on wage distribution and inequality indicators. Our results reveal that while secondary education is likely to reduce earnings inequality, higher education, job informality, and self-employment appear to be factors that increase inequality.

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