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Re-examining corruption and economic growth nexus in oil dependent economy: Nigeria’s case
Journal of Money Laundering Control Pub Date : 2021-07-22 , DOI: 10.1108/jmlc-06-2021-0057
Mathew Ekundayo Rotimi 1 , Ojo Joseph IseOlorunkanmi 2 , Gift Grace Rotimi 3 , Mishelle Doorasamy 4
Affiliation  

Purpose

The purpose of this study is to empirically examine how corruption impacts economic output growth in Nigeria. This is because of the recent trend in the level of corruption.

Design/methodology/approach

Using time series data ranging from 1995 to 2019, this study used the Johansen cointegration estimating approach and vector error correction mechanism to show an equilibrium relationship between output growth and other variables (oil revenue and corruption). To conduct the integration test, this study in the preliminary, used unit root test.

Findings

This study finds unidirectional and bidirectional causal relationships among variables. Contrary to a few studies, this study shows an equilibrium relationship between output growth and other variables (oil revenue and corruption). Thus, an increase in corruption at equilibrium would weaken output growth. Nonetheless, this study finds a gradual return of the deviation from the long-run stability over an arrangement of imperfect short-run adjustments. Based on the findings, to enhance economic growth, this study recommends zero tolerance for corruption. It also recommends that governments should further strengthen anti-corruption institutions and incorporate anti-corruption movements into decision-making processes.

Originality/value

This study adds to the literature by re-examining for the first time the relationship between corruption and economic growth in Nigeria. This study also deals with some econometrics issues which are found to be appropriate estimation to determine the equilibrium and stability in this study.



中文翻译:

重新审视依赖石油的经济中的腐败和经济增长关系:尼日利亚的案例

目的

本研究的目的是实证检验腐败如何影响尼日利亚的经济产出增长。这是因为最近腐败程度的趋势。

设计/方法/方法

本研究使用 1995 年至 2019 年的时间序列数据,使用 Johansen 协整估计方法和矢量误差校正机制来显示产出增长与其他变量(石油收入和腐败)之间的平衡关系。为了进行整合检验,本研究在初步阶段,使用了单位根检验。

发现

本研究发现变量之间存在单向和双向因果关系。与少数研究相反,本研究表明产出增长与其他变量(石油收入和腐败)之间存在平衡关系。因此,均衡时腐败的增加会削弱产出增长。尽管如此,这项研究发现,在不完美的短期调整安排下,长期稳定性的偏差逐渐恢复。根据调查结果,为促进经济增长,本研究建议对腐败采取零容忍态度。它还建议各国政府应进一步加强反腐败机构,并将反腐败运动纳入决策过程。

原创性/价值

本研究首次重新审视尼日利亚腐败与经济增长之间的关系,从而增加了文献资料。本研究还涉及一些计量经济学问题,这些问题被认为是确定本研究平衡和稳定性的适当估计。

更新日期:2021-07-22
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