Do the Effects of Corruption upon Growth Differ Between Democracies and Autocracies?

Assiotis, Andreas; Sylwester, Kevin

doi:10.1111/rode.12104

Cited by 24 publications

(14 citation statements)

References 34 publications

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“…10 Our results differ from Assiotis and Sylwester (2014) as the effect of corruption on growth is positive and significant in autocracy.…”

Section: Marginal Effect Of Democracy and Corruptioncontrasting

confidence: 65%

The corruption–growth relationship: Do political institutions matter?

Saha¹,

Sen²

2019

WIDER Working Paper

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte.Abstract: Corruption is widely believed to negatively affect economic growth. However, many East and Southeast Asia countries either achieved or currently are achieving impressively rapid economic growth despite widespread corruption -the 'East Asian Paradox'. Is this negative relationship equally likely to hold for autocracies and democracies? This paper examines the role of political institutions in mediating the corruption-growth relationship using panel data over one hundred countries for the period 1984-2016. We find clear evidence that corruption-growth relationship differs by the type of political institution, and the growth enhancing effect of corruption is more likely in autocracies than in democracies. The perceived credibility of long-term ruling political elites by promoting economic freedom to do business gives confidence to the firms, vital for investment and growth. Our findings provide suggestive evidence in support of the East Asian Paradox.

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“…10 Our results differ from Assiotis and Sylwester (2014) as the effect of corruption on growth is positive and significant in autocracy.…”

Section: Marginal Effect Of Democracy and Corruptioncontrasting

confidence: 65%

The corruption–growth relationship: Do political institutions matter?

Saha¹,

Sen²

2019

WIDER Working Paper

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“…And some studies aim to separate the effects of corruption on growth according to appropriate variables. Assiotis and Sylwester [116] assume that the effect might differ across democratic and nondemocratic regimes. They conclude that corruption harms economic growth to a larger extent in authoritarian regimes than in democratic countries.…”

Section: Model Specification and Estimation Methodologymentioning

confidence: 99%

Public Debt, Corruption and Sustainable Economic Growth

Kim

2017

Sustainability

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Abstract:There are many studies that look into the relationship between public debt and economic growth. It is hard to find, however, research addressing the role of corruption between these two variables. Noticing this vacancy in current literature, we strive to investigate the effect of corruption on the relationship between public debt and economic growth. For this purpose, the pooled ordinary least squares (OLS), fixed effects models and the dynamic panel generalized method of moments (GMM) models (Arellano-Bond, 1991) are estimated with data of 77 countries from 1990 to 2014. The empirical results show that the interaction term between public debt and corruption is statistically significant. This confirms the hypothesis that the effect of public debt on economic growth is a function of corruption. The sign of the marginal effect is negative in corrupt countries, but public debt enhances economic growth within countries that are not corrupt, i.e., highly transparent.

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“…Corruption is a sensitive subject that may be an issue in all nations to some extent albeit rich or poor (United Nations Office on Drugs & Crime 2009). It is a worldwide problem that can widen the socio-economic gap within society (Gupta et al 2002), may have a negative influence on socio-economic development (Assiotis & Sylwester 2010;Mauro 1995;M endez & Sep ulveda 2012) and can steer government spending (Shleifer & Vishny 1993;Mauro 1998).…”

Section: Introductionmentioning

confidence: 99%

Sick regimes and sick people: a multilevel investigation of the population health consequences of perceived national corruption

Witvliet

Kunst

Arah

et al. 2013

Tropical Med Int Health

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Abstractobjective There is a paucity of empirical work on the potential population health impact of living under a regime marred by corruption. African countries differ in the extent of national corruption, and we explore whether perceived national corruption is associated with population health across all rungs of society.methods World Health Survey data were analysed on 72 524 adults from 20 African countries.The main outcome was self-reported poor general health. Multilevel logistic regression was used to assess the association between poor health and perceived corruption, while jointly accounting for individual-and country-level human development factors. In this research, we use Transparency International's corruption perception index (CPI), which measures 'both administrative and political corruption' on a 0-10 scale. A higher score pertains to a higher rate of perceived corruption within society. We also examined effect modification by gender, age and socio-economic status.results Higher national corruption perception was consistently associated with an increase in poor health prevalence, also after multivariable adjustments, with odds ratio (OR) of 1.62 (95% CI: 1.01-2.60). Stratified analyses by age and gender suggested this same pattern in all subgroups. Positive associations between poor health and perceived corruption were evident in all socio-economic groups, with the association being somewhat more positive among less educated people (OR = 1.61, 95% CI: 1.01-2.58) than among more educated people (OR = 1.40, 95% CI: 0.83-2.37).conclusions This study is a cautious first step in empirically testing the general health consequences of corruption. Our results suggest that higher perceived national corruption is associated with general health of both men and women within all socio-economic groups across the lifespan. Further research is needed using more countries to assess the magnitude of the health consequences of corruption.

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Do the Effects of Corruption upon Growth Differ Between Democracies and Autocracies?

Cited by 24 publications

References 34 publications

The corruption–growth relationship: Do political institutions matter?

The corruption–growth relationship: Do political institutions matter?

Public Debt, Corruption and Sustainable Economic Growth

Sick regimes and sick people: a multilevel investigation of the population health consequences of perceived national corruption

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