IDEAS home Printed from https://ideas.repec.org/a/igg/jsesd0/v13y2022i1p1-16.html
   My bibliography  Save this article

Long-Run Associations and Short-Run Dynamics Between Corruption and Inflation: Examining Social Unsustainability for the Panel of Countries

Author

Listed:
  • Ramesh Chandra Das

    (Vidyasagar University, India)

  • Jagabandhu Mandal

    (Vidyasagar University, India)

Abstract

Interrelationships between corruption and economic growth and corruption and inflation have been one of the important areas of studies in recent political economics. Money received through corruption influence aggregate demand, which pushes up the inflation level and thereby increases income inequality across groups making an unsustainable social system. The existing literature shows two types of interrelationships among the variables, positive and/or negative, across countries or groups. The present study reinvestigates whether corruption and inflation maintain long-run relations and short-run dynamics in a panel of 30 countries from different strata in corruption perception index for the period 1996-2017. Using panel cointegration, VECM, and causality test, the study arrives at the conclusion that control of corruption and inflation rate have long-run equilibrium relations for the panel, and there is long-run as well as short-run causality observed from corruption to inflation. Hence, the study prescribes for implementation of stricter norms for controlling corruption to reduce social unsustainability.

Suggested Citation

  • Ramesh Chandra Das & Jagabandhu Mandal, 2022. "Long-Run Associations and Short-Run Dynamics Between Corruption and Inflation: Examining Social Unsustainability for the Panel of Countries," International Journal of Social Ecology and Sustainable Development (IJSESD), IGI Global, vol. 13(1), pages 1-16, January.
    • Handle: RePEc:igg:jsesd0:v:13:y:2022:i:1:p:1-16
    as

    Download full text from publisher

    File URL: http://services.igi-global.com/resolvedoi/resolve.aspx?doi=10.4018/IJSESD.315303
    Download Restriction: no
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:igg:jsesd0:v:13:y:2022:i:1:p:1-16. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Journal Editor (email available below). General contact details of provider: https://www.igi-global.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.