Abstract - Estimating the Long Run Problem of Corruption in South Africa

Journal of Reviews on Global Economics

Estimating the Long Run Problem of Corruption in South Africa  Pages 1475-1482

Teboho Jeremiah Mosikari and Tselane Confidence Nthebe


DOI: https://doi.org/10.6000/1929-7092.2019.08.130

Published: 31 December 2019


Abstract: Corruption is one of the devastating catastrophe that denies the nation their potential wealth and development. Institutions and economic variables play a critical role in determining the level of corruption for any economy in the world. The tenacity of this paper is to assess the determinants of corruption in South Africa. This paper applied most classical econometric technique of Engle-Granger to estimate the long run relationship between corruption and identified determinants. The study used the annual data covering the period 1984 to 2016. The findings of the study reveals that GDP per capita, expenditure on public order, government stability and democratic independence have significant impact to curb corruption in South Africa. The findings implies that in order to combat corruption South African authorities they have to allocate resources in programs that combat corruption and effect independent commissions to seize the problem further.

Keywords: Corruption, Government expenditure, Corruption Perceptions Index.

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