On the dynamic effects of foreign aid on corruption

Arbeitspapier

We assemble more pieces on the puzzle of the aid-corruption nexus. In essence, we extend the debate on the effect of foreign aid on corruption by providing evidence on dynamic effects of wealth, legal origin, religious-domination, regional proximity, openness to sea, natural resources and politico-economic stability. The empirical evidence from dynamic panel GMM estimation is based on 53 African countries for the period 1996-2010. The findings show that the positive effect of foreign aid on corruption is most significant in: Middle-income, French civil-law, Christian-dominated, non-oil exporting and landlocked countries. Moreover, there is also some scanty evidence of foreign aid increasing corruption-control in Lower Middle income and Not-landlocked countries. Justifications for the dynamics are discussed.

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• Language: Englisch

References and Relationships

• Bibliographic citation: Series: AGDI Working Paper ; No. WP/15/015

Classification and Topics

• Classification: Wirtschaft ; History of Economic Thought since 1925: General ; Foreign Aid ; International Relations, National Security, and International Political Economy: General ; Economic Development: General ; Economywide Country Studies: Africa
• Subject: Foreign Aid ; Political Economy ; Development ; Africa

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Asongu, Simplice A.
• Event: Veröffentlichung
• (who): African Governance and Development Institute (AGDI)
• (where): Yaoundé
• (when): 2015

Further information

• Handle: http://hdl.handle.net/10419/123666