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Education and Corruption: a Stochastic Frontier Analysis: Evidence from Developed and Developing Countries

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  • Marwa Sahnoun

    (University of Sfax)

  • Chokri Abdennadher

    (University of Sfax)

Abstract

The objective of this paper is to explain how a political institution (corruption) affects the efficiency of educational expenditure as an essential component of the knowledge economy. We applied a stochastic frontier analysis method to our sample of 35 developed and 40 developing countries over 16 years from 2000 to 2015. Using two proxies of corruption based on Transparency International and Worldwide Governance Indicators databases, we empirically demonstrated that corruption can mainly affect the expenditure distortion on education. We found strong evidence of the negative impact of corruption bias on the education technical efficiency expenditure, especially for the developing countries. One of the main goals of the developed and developing countries’ governments is the reduction of corruption to ensure better education and knowledge economy, educate the population, and train specialists which are needed to stimulate economic growth by optimizing the resources of government.

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  • Marwa Sahnoun & Chokri Abdennadher, 2020. "Education and Corruption: a Stochastic Frontier Analysis: Evidence from Developed and Developing Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 11(3), pages 968-981, September.
  • Handle: RePEc:spr:jknowl:v:11:y:2020:i:3:d:10.1007_s13132-019-00589-1
    DOI: 10.1007/s13132-019-00589-1
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    Cited by:

    1. Marwa Sahnoun & Chokri Abdennadher, 2022. "Returns to Investment in Education in the OECD Countries: Does Governance Quality Matter?," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(3), pages 1819-1842, September.
    2. Zhao Li & Yujing Chu, 2023. "Is Hierarchical Education Investment Synergistic? Evidence from China’s Investment in General and Advanced Education," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 14(2), pages 1522-1537, June.

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    More about this item

    Keywords

    Corruption; The efficiency of educational expenditure; Stochastic frontier analysis;
    All these keywords.

    JEL classification:

    • I2 - Health, Education, and Welfare - - Education
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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