Effect of Globalization on Income Inequality in Ghana

Available empirical evidence suggests that globalisation in recent years have had a significant positive impact on various sectors of most economies; however, also exists suggesting this economic process has accentuated poverty and worsened income distribution parts some economies. This study examines the effects foreign direct investment, trade openness remittance inequality Ghana. The paper applied vector error correction model examining effect FDI inflow, result indicates Foreign Remittance, FDI, Trade Openness Gini index, are integrated order one. Additionally, Johansen’s test for cointegration suggest long-run relationship between coefficient (income distribution) examined independent variables. found out negative with Ghana’s inflows no inequality.