Impact of Institutional Quality on the Quality of Life in Africa: An Economic Approach

This study examines the impact that institutional quality exerts on the quality of life. Using the 2-step system Generalized Method of Moments technique on panel data covering 2006 through 2018 on 47 African countries, the empirical results indicate that institutional quality, proxied by Political Stability and Absence of Violence, Voice and Accountability, and Control of Corruption have a positive impact on the quality of life. While real income, CO2 emissions, internet, education and globalization were found to exert a statistically significant positive impact, government health expenditure, unemployment, urbanization and unemployment negatively affected the quality of life within the period under study. The paper recommends an improvement in the institutional environment. © The International Society for Quality-of-Life Studies (ISQOLS) and Springer Nature B.V. 2023.