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 ME  Vol.5 No.2 , February 2014
Relationship between Insurance and Economic Growth in Sub-Saharan African: A Panel Data Analysis
Abstract: This study examined the relationship between insurance and economic growth in sub-Saharan Africa over the period 1986-2011. Pooled OLS, Fixed Effect Model and Generalized Method of Moment Panel Model were employed in the estimation. The estimations of the dynamic panel-data results show that insurance has positive and significance impact on economic growth in sub-Saharan Africa. This shows that premium contributes to economic growth in sub-Saharan Africa which means that a well-developed insurance sector is necessary for the economic development, as it provides long-term investments for economic growth and simultaneously strengthening risk-taking abilities. The results also show that human capita has positive significant impact on economic growth. Openness and interest rate have negative and statistical significant on economic growth.
Cite this paper: T. Akinlo and O. Apanisile, "Relationship between Insurance and Economic Growth in Sub-Saharan African: A Panel Data Analysis," Modern Economy, Vol. 5 No. 2, 2014, pp. 120-127. doi: 10.4236/me.2014.52014.
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