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Corruption, Inequality of Income and economic Growth in Nigeria

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  • Muhammad, Yusuf

Abstract

The paper examines empirically, the effects of corruption on inequality of income and economic growth. Firstly, the long run structural relationship is examined through the technique of Autoregressive distributed lag model (ARDL). Secondly, the causality relationship is measured empirical results suggest a long run relationship between corruption, inequality of income and economic growth in the Nigeria. Emphasizing on the channels of influence of growth, the finding, in the dynamic corruption equation indicates that the coefficient of the economic growth is significantly negative. This implies that despite much rhetoric to the contrary fighting corruption in Nigeria requires resources. More so, the finding suggests inequality of income directly impact on economic growth. This implies that economic growth rises with inequality of income. The policy implication is that Nigeria economic growth problems are structural as such fighting corruption require huge economic resources.

Suggested Citation

  • Muhammad, Yusuf, 2013. "Corruption, Inequality of Income and economic Growth in Nigeria," MPRA Paper 52348, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:52348
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    References listed on IDEAS

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    5. Lambsdorff,Johann Graf, 2007. "The Institutional Economics of Corruption and Reform," Cambridge Books, Cambridge University Press, number 9780521872751.
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    More about this item

    Keywords

    Co-integration; Inequality of income; per -capita income; Poverty;
    All these keywords.

    JEL classification:

    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General

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    This paper has been announced in the following NEP Reports:

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