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Corruption, imported innovation, and growth: Evidence using the panel smooth transition regression approach for developing countries

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  • Helmi Hamdi
  • Abdelaziz Hakimi

Abstract

This article investigates the nonlinear relationship between corruption, imported innovation (imports of high technology), and economic growth in developing countries from 2009 to 2018. We used a sample of 38 countries divided into two subsamples. The first covers 21 African countries, and the second covers 17 non‐African countries. The empirical results from the panel smooth transition regression model indicate that there is a threshold effect in the two relationships: corruption–imported innovation and corruption–growth. Specifically, we found that corruption exerts a significant effect only for non‐African countries. However, no significant effect was found for the whole sample and African countries. Furthermore, we found that below certain thresholds, corruption significantly decreases the level of growth for both the whole sample and the two subsamples. Above these thresholds, the effect of corruption becomes positive and significant. Este artículo investiga la relación no lineal entre la corrupción, la innovación importada (importaciones de alta tecnología) y el crecimiento económico en los países en desarrollo entre 2009 y 2018. Se utilizó una muestra de 38 países dividida en dos submuestras. La primera comprende 21 países africanos y la segunda 17 países no africanos. Los resultados empíricos del modelo de regresión de transición suave para datos de panel indican que existe un efecto umbral en las dos relaciones: corrupción–innovación importada y corrupción–crecimiento. En concreto, se encontró que la corrupción sólo ejerce un efecto significativo para los países no africanos. Sin embargo, no se encontró ningún efecto significativo para el conjunto de la muestra ni para los países africanos. Además, se encontró que, por debajo de ciertos umbrales, la corrupción disminuye significativamente el nivel de crecimiento tanto para el conjunto de la muestra como para las dos submuestras. Por encima de estos umbrales, el efecto de la corrupción se vuelve positivo y significativo. 本稿では、2009~2018年までの開発途上国における、汚職、輸入したイノベーション(ハイテクの輸入)、経済成長、以上における非線形関係を検討する。38カ国のサンプルを2つのサブサンプルに分けて使用した。はじめはアフリカの21カ国、次にアフリカ以外の17カ国を対象とした。パネル平滑推移回帰モデルによる実証的分析の結果から、汚職‐輸入したイノベーション及び汚職‐成長、以上の2つの関係それぞれに閾値効果があることが示される。特に、汚職はアフリカ以外の国にのみ大きな影響を及ぼすことがわかった。しかし、サンプル全体およびアフリカ諸国では有意な影響は認められなかった。さらに、一定の閾値を下回ると、サンプル全体と2つのサブサンプルの両方の成長レベルは汚職によって有意に低下することがわかった。これらの閾値を超えると、汚職の影響はプラスかつ有意になる。

Suggested Citation

  • Helmi Hamdi & Abdelaziz Hakimi, 2023. "Corruption, imported innovation, and growth: Evidence using the panel smooth transition regression approach for developing countries," Regional Science Policy & Practice, Wiley Blackwell, vol. 15(5), pages 956-972, June.
  • Handle: RePEc:bla:rgscpp:v:15:y:2023:i:5:p:956-972
    DOI: 10.1111/rsp3.12611
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    References listed on IDEAS

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