Inequality is an essential factor for the alleviation of poverty. In Cameroon, most of the households derive their livelihoods from non-wage income and a better understanding of how different variables affect income inequality is a way to reduce those inequalities and improve social welfare. Studies carried out so far barely make out the determinants among non-wage earners. This study sets out to identify these determinants, using the regression-based decomposition technique and data obtained from the 2005 Employment and Informal Sector Survey (EISS) undertaken by the National Statistic Institute (INS) in Cameroon. Results show that the total inequality of an hourly active income ensues from the ratio of age/experience and unobserved individual heterogeneity among non-wage earners.
I would like to thank Epo Ngah Boniface and Ngo Ntamack Kerly for comments and discussions. I also want to express my gratitude to the REMA Centre for Research in Applied Microeconomics and to the reading committee.
Song Ntamack, S. (2014), "Determinants of Active Income Inequality for Non-Wage Earners in Cameroon", Economic Well-Being and Inequality: Papers from the Fifth ECINEQ Meeting (Research on Economic Inequality, Vol. 22), Emerald Group Publishing Limited, pp. 481-501. https://doi.org/10.1108/S1049-258520140000022016Download as .RIS
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