Bridging the Gap Living Standards in Africa: The  role of entrepreneurship and digital infrastructure

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Jude Edeh

Abstract

Most African countries face numerous socio-economic challenges, including poverty, high unemployment rates, lack of access to healthcare services, and limited access to quality education. While research, particularly from advanced economies, suggests that entrepreneurship is essential for improving living standards, its impact in low-income countries remains unclear. This paper addresses this concern by analysing the interconnected effects of entrepreneurship and digital infrastructure on living standards in Africa. Using panel data from 22 lower-middle-income African economies between 1990 and 2023, the study employs the Lewbel instrumental variable (IV) estimation approach to address potential selection bias and endogeneity issues arising from reverse causality. The empirical results reveal that the impact of entrepreneurship on enhancing living standards depends on the availability of digital infrastructure. This study offers implications for governments and policymakers in developing countries, guiding them on how to improve the effectiveness of entrepreneurship on living standards.

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How to Cite
Edeh, J. (2025). Bridging the Gap Living Standards in Africa: The  role of entrepreneurship and digital infrastructure. Sustainability Impacts Review, 1(1). https://doi.org/10.64138/j.sir.2025.10002

How to Cite

Edeh, J. (2025). Bridging the Gap Living Standards in Africa: The  role of entrepreneurship and digital infrastructure. Sustainability Impacts Review, 1(1). https://doi.org/10.64138/j.sir.2025.10002