Corruption Perception Index Research Articles

Political corruption and earthquakes: Governance in Turkey under Erdogan's rule

AbstractIn 2023, a major earthquake struck Turkey, leaving thousands dead and exposing the country's corruption problems. The current Turkish president Erdoğan was sworn into power in 2003. Erdoğan's government has completely transformed the country with construction projects that have provided a huge economic boost. However, successive amnesties and non‐compliance with building regulations have uncovered cases of corruption. This paper analyses the evolution of corruption in Turkey during Erdoğan's rule. Several indicators are considered, such as the Corruption Perception Index, the Index on Impartial Administration or the V‐Dem Indicator on Political Corruption. The results indicate that two distinct stages can be distinguished during Erdoğan's term in office. The first stage was marked by a reduction in the perception of corruption, and the second stage was marked by an increase in the number of tenders for public works and corruption. Finally, several policy recommendations are proposed to reduce corruption in Turkey.

Investigating the Relationship between Public Governance and the Corruption Perception Index

Investigating the Relationship between Public Governance and the Corruption Perception Index

The Role of Information Policy in Shaping Public Opinion on Corruption in the Visegrad Group Countries

The state’s information policy that limits press freedom and conceals incidents of corruption is a significant threat to democracy. The work aimed to identify the relationship between corruption and information policy in the Visegrad Group countries. The research employed statistical analysis, correlation analysis, multiple regression, and thematic analysis. The research established worsening trends in Poland and Hungary regarding the corruption rate. At the same time, there is an improvement in the positions of the Czech Republic and Slovakia, which may indicate an effective anti-corruption policy. Press freedom indicators show similar trends, decreasing for Poland and Hungary and increasing for the Czech Republic and Slovakia. The correlation analysis revealed a close relationship between corruption indicators and press freedom in Poland and Hungary. The multiple regression analysis revealed the influence of the Press Freedom Index on the corruption rate. These results indicate the dependence of the corruption rate in Poland and Hungary on the information policy of the countries regarding the restriction of media freedom. The obtained conclusions can be useful for civil servants in the course of developing an information policy that takes into account anti-corruption trends.

The Role of the State Apparatus in Following Up on Indications of Corruption to Reduce Corruption Rates Case Study of Ogan Ilir Palembang

Corruption is a severe threat to the development of a country. The crucial role of the state apparatus in following up on indications of corruption to reduce corruption rates is the main focus of this paper, using a case study in Ogan Ilir, Palembang. This study investigates strategies and concrete steps the state apparatus takes in tackling the region's corruption. An in-depth analysis of the local situation reveals the importance of oversight and transparency in government institutions, ensuring accountability and preventing corrupt practices. Furthermore, efforts to strengthen the legal system and fair law enforcement play a crucial role in reducing corruption. This case study also highlights the active participation of the community in supporting efforts to eradicate corruption and raising awareness of the dangers of corruption for sustainable development. This analysis confirms the importance of integrity and ethics in the bureaucracy, which is the foundation for building a clean and corruption-free system. By strengthening the role of the state apparatus and supporting community participation, Ogan Ilir, Palembang, and other regions can step towards better change, reduce corruption, and create a more just and prosperous country for all its citizens.

ФІСКАЛЬНО-ПСИХОЛОГІЧНІ ЧИННИКИ УХИЛЯННЯ ВІД ОПОДАТКУВАННЯ

The article is devoted to the study of behavioural factors that influence the decision-making of business entities and the population regarding tax evasion. The problem of tax evasion from the point of view of the influence of psychological characteristics of the individual and external economic factors on the deviant behaviour of taxpayers is considered. The influence of these factors on the volume of the shadow economy in the country is proven.The research allowed us to outline the main models that explain the reasons and motivations of taxpayers when they decide to violate tax legislation. It is emphasized that tax offences as a component of the shadow economy are present in many countries of the world. It is noted that the volume of violations increases with the onset of destructive events in the economy, such as economic and social crises and war. It is stressed that a significant role in the presence of deviant behaviour of taxpayers is played by their financial and legislative ignorance. The main elements of taxes that pose the greatest risks of tax evasion are identified.It has been found that the level of corruption in the country and the insufficient severity of possible punishment for tax crimes play a significant role in the decision of economic entities to evade taxation. An analysis of the corruption perception index in some countries has been made. It is proved that in less corrupt countries, tax collection is higher than in countries with high levels of corruption. It is emphasized that the lack of proper control by tax authorities leads to a larger scale of tax evasion, so it is necessary to conduct all legally established types of tax audits, despite the martial law in the country.

Public Spending and Sustainable Human Development in Cameroon: Does corruption matter?

This study analyzes the effect of public spending on Human capital on human development in Cameroon by controlling the impact of corruption. After using quantitative methods, the ARDL model was applied with the bounds testing approach with time series data from 2000 to 2021. The results indicated that public spending on education and health positively impacts the change in the human development index. Similarly, economic growth (GDP) positively affects the variation of the human development index. Meanwhile, corruption and foreign direct investment (FDI) negatively correlate with the human development index. However, these results are only valid in the short term. In the long term, there is no relationship between the variables. The government should increase the expenditure budget and expand the target sector to reach the industry needed for human development. An improvement could follow this implementation in transparency in fiscal policy management, which can help reduce the corruption perception index. One of the limitations of this research is the use of a short observation period due to data availability. Therefore, the relationship between public expenditure, corruption, and human development in the CEMAC zone is another critical issue that could be investigated.

The analysis of modern macroeconomic environment in Kazakhstan: the influence of macroeconomic environment on economic behavior

The macroeconomic policy of the state is the main lever supporting the growth of the country’s economy, creating favorable conditions for introducing various industry enterprises based on economic integration associations and cooperation of the participating countries.The article offers an analysis of the modern macroeconomic environment and its impact on the economic behavior of Kazakhstan’s population, which emphasizes the important guidelines of the economy.The article examines the investment climate, conducts a comprehensive analysis of the macroeconomic environment’s factors that affect the economic consciousness of the population, and examines corruption indices that measure the level of corruption perception in the country’s public sector. Various economic factors and their impact on the economic environment are disclosed and processed for analysis. For analyzing the current macroeconomic situation in Kazakhstan, it is necessary to have a reliable source on the dynamics of macroeconomic indicators of the country’s economic development, as well as to identify current development trends. In the course of the work, a PEST analysis of macroeconomic environment’s factors affecting the Kazakhstani population’s economic consciousness was carried out, which allowed us to draw a positive conclusion that the macroeconomic environment is the state of the country's economy, a complex of internal and external factors, conditions, indicators affecting the economic behavior of subjects. During the PEST analysis of the factors of the macroeconomic environment, political, technological and socio-cultural factors affecting the economic consciousness of the population are shown. Not only the state, enterprises or individuals control the microeconomic environment, there are factors that have an indirect impact on the current state and development of the country or enterprise.

ASSESSING THE IMPACT OF CORRUPTION ON INCOME INEQUALITY

This article is devoted to the study of the impact of corruption on income distribution. The study reveals statistically significant associations between the level of corruption and income inequality in Kazakhstan by applying least squares linear regression models. The paper uses the Corruption Perception Index as a measure of corruption and the Gini Index as a measure of income inequality. The paper also analyzes the impact of corruption on income inequality in other countries. This made it possible to determine the specifics of such an impact in countries with different levels of economic development. The results of the study showed that a decrease in the level of corruption, expressed as an improvement in the Corruption Perception Index, is associated with a decrease in income inequality, expressed as the Gini Index. The study also found that population growth has high statistical significance and is associated with a significant reduction in the level of social inequality in Kazakhstan. This confirms that population growth is predominantly observed among the less well-off strata of society, which leads to an increase in the Gini coefficient.

Evaluating the impact of individual and country-level institutional factors on subjective well-being among entrepreneurs

This study examines entrepreneurs' subjective well-being (SWB) in the form of life satisfaction. It presents a multilevel analysis approach explaining the relationship between individual-level variables (demographics and developed personal characteristics), country-level institutional variables (political stability, corruption perception index, paying tax regulations, and business freedom), and entrepreneurs' SWB. The multilevel mixed-effects logistic regression analysis is used to test the econometric model with data from the Life in Transition Survey III for 34 countries. Findings show that both individual and governing factors play a significant role in shaping entrepreneurs' SWB. The individual-level variables such as job satisfaction, financial situation, generalized trust, optimism, and social standing are the most critical factors driving self-employed life satisfaction. On the institutional level, business freedom and political stability are the most instrumental, followed by the corruption perception index and paying tax regulatory. Overall, this research enhances comprehension regarding SWB within the entrepreneurship domain, yielding significant implications for entrepreneurship theory and practice within the well-being framework, along with providing pertinent recommendations for policymakers.

Deciphering the shadows: an empirical exploration of corruption’s impact on SMEs credit costs in OECD countries

Purpose This study aims to investigate the intricate relationship between corruption and the credit costs faced by small and medium-sized enterprises (SMEs) in OECD countries, a critical yet underexplored area in financial crime research. The primary aim is to dissect and understand how corruption impacts SMEs’ access to credit, highlighting a significant yet overlooked aspect of financial crime. This research seeks to fill a gap in the literature by providing empirical insights into the economic consequences of corruption, specifically on SMEs financing. Design/methodology/approach This study used secondary panel data from the World Bank and OECD databases. The data covered the period 2007–2020 for 25 OECD countries. This study used interest rate for SMEs loans as a dependent variable and GDP per capita, inflation and corruption index as independent variables. This study used the panel autoregressive distributed lag (ARDL) model to examine the relationship between variables. Findings The empirical findings derived from Panel ARDL postulate an intriguing dichotomy in the effects of GDP per capita, inflation rate and corruption on interest rates in both the short and long run. It was discerned that an increase in GDP per capita and inflation rate correlates with a decrement in interest rates in the long run, suggesting a potential compromise by central banks between controlling inflation and fostering economic growth. Originality/value This paper makes a novel contribution to the field of financial crime by illuminating the often-overlooked economic dimensions of corruption in the context of SMEs financing. It provides a unique perspective on the ripple effects of corrupt practices in credit markets, enriching the academic discourse and informing practical approaches to combating financial crime.

Anti-corruption Policy Analysis: Indonesian Open Government Study

The central role of the Indonesian government in campaigning for open government is not in line with the findings of corruption cases in Indonesia. This research aims to analyze anti-corruption open government bibliometrics and the content of Indonesia’s open government anti-corruption policies. This research uses a qualitative approach with bibliometric analysis and content analysis methods. This study analyzes 200 papers on the Google Scholar database published in the 2018–2022 period and analyzes Indonesia’s open government anti-corruption policies. This research found 4587 citations, h-index 37, g-index 57, 172 keywords, 22 clusters, 2531 total link strengths, and 784 occurrences in open government anti-corruption papers. Anticorruption, data disclosure, open data, open government, e-government, information disclosure, transparency, open government data, public procurement, and beneficial ownership are the most popular open government anti-corruption trends. In the same time period, the Indonesian government established 10 anti-corruption policies covering public procurement, beneficial ownership, and elections. This research concludes that although the Indonesian government’s corruption index is unsatisfactory, anticorruption policies in Indonesia are in line with global anti-corruption trends, especially in several popular policies such as open data, transparency, information disclosure, public procurement, and beneficial ownership.
 Keywords: anti-corruption, open government Indonesia, bibliometric analysis, content analysis

Sustaining Integrity: The Role of Education and Macroeconomic Variables for Corruption Eradication

This study aims to analyze the effect of education level and several macroeconomic variables on the corruption index in Asia-Pacific Economic Cooperation (APEC) member countries. This study uses the two-stage least square (2SLS) estimation method. This study found that the lifelong learning index, higher education participation, and foreign direct investment have a negative and significant effect on corruption in all APEC member countries and developing country members. Secondary education and government efficiency index have a negative and significant effect on corruption in all countries (all member states, developed and developing countries). GDP per capita and economic openness have a positive and significant effect on corruption levels in APEC member states and developing countries. The fight against corruption must be immediately implemented as a political influence. Delaying this will reduce the effectiveness of future policies. Institutional reforms bring more positive benefits in countries that are really fighting corruption.

CORRUPTION, GOVERNMENT’S ECONOM-IC PERFORMANCE AND INSTITUTIONAL TRUST IN THE MENA REGION

Motivation: Countries in the MENA region are perceived as highly corrupt. They are struggling to achieve clear results against corruption. Unfortunately, no country has reached a significant improvement on the Corruption Perceptions Index (CPI) published by Transparency International in 2021. The United Arab Emirates and Qatar are the top performers in the Region. The former was ranked 69 out of 100, the latter 63 out of 100. Libya (17/100), Yemen (16/100), and Syria (13/100) awfully damaged by the war are the worst. The state-of-the-art impacts trust at the national level and the performance of public institutions as well. Aim: This paper aims to study the relationship between corruption and trust, and its impact on public economic performance in the MENA region. It is based on the data provided by Arabbarometer, 2018-2019. Our sample includes 8215 individuals located in 12 countries in that region. To test all our hypotheses simultaneously, we have used the structural equation modeling method with SmartPLS software. The latent variable of the research model – corruption, fighting corruption, and economic performance of the government- all of them are used as a reflective measurement. However, trust is included in the model as a formative measurement. Results: The findings show that trust in public institutions, measured by a formative scale, is negatively impacted by the level of corruption (-0,36). It also depends on the efforts made by the state to fight corruption in public agencies and institutions (0,37). Trust is one of the most important components of social capital. The performance of public policies is highly correlated to the level of trust between public administration and individuals. The government’s economic performance depends on the level of that trust (0,341), the efforts made to fight corruption (0,173), and public corruption (-230). All hypotheses are significant at 1%.

Meta Analysis Study: Theory of Planned Behavior in Whistleblowing Intention

Indonesia's Corruption Perception Index in 2022 had decreased significantly with a final score of 34 points and ranked Indonesia 110 out of 180 countries. It shows that corruption practices in Indonesia are high and the strategy for combating fraud is not effective. In practice, the fraud management strategies focus on improving internal control systems than preventive strategies such as whistleblowing system. This is due to the low intention of individuals to disclose fraud. Whistleblowers will encounter risks in organization, such as different prespective and norms in organization and the confidentiality and safety risk. Therefore, individuals need to carefully consider before deciding to become whistleblowers This study is aimed to examine individual factors that influence whistleblowing intention by the theory of planned behavior using meta-analysis technique, a quantitative method to measure the strength of the relationship of variables from previous research. Fourteen of the 53 selected studies were analyzed according to the eligibility criteria, the results is the highest correlation is the attitude toward behavior, then the subjective norm , and the lowest is the perceived behavioral control. It indicates that organization needs to stimulate an increase individual’s intention to disclose fraud by whistleblowing system as prevention strategy to combat fraud.

Does gender matter in ethical leadership perceptions? Cross-national evidence

Last decade’s ethical leadership failures in business across the globe had severe ramifications, including bankruptcy for corporations that had previously been viewed as exemplary. Hence, ethical leadership has gained increased attention from both practitioners and researchers. In particular, the increased focus has been placed on ethical leadership perceptions in management settings. This paper presents empirical findings from a three-country experiment (N = 538) on the perceptions of ethical and unethical leadership, and how they interact with gender. Building on role congruity theory, we posit that female leaders encounter more severe criticism for unethical leadership compared to male leaders, but they also garner greater positive reactions for ethical leadership. We also hypothesize the existence of national differences in ethical leadership perceptions. Our results indicate that the rater’s perceptions are influenced by the gender of the leader they are rating and by ethical leadership. The rater’s gender, however, does not affect the evaluation of male and female leaders in the cultures examined. We have also found national differences among perceptions of ethical leadership, in line with the Corruption Perception Index. We further explore the consequences of these results for theoretical and practical applications in this paper and propose directions for future research.

The Anatomy of Unemployment: Determinants During and After the COVID-19 Crisis

Abstract Unemployment is a factor that heavily influences the output of each economy. It is, therefore, one of the main concerns of any government worldwide. This study identifies key determinants of unemployment. By constructing an econometric model for the registered unemployment rate in Slovakia, the period from 2013 to 2022 was under scrutiny, while the impact of the COVID crisis was considered in the model through a dummy variable. Potential determinants of unemployment were selected based on theoretical knowledge and other scientific works, that is, average interest rates, gross minimum wage, GDP, inflation, exports, imports, government spending, corruption index, COVID-19 crisis, and month of the year. The final relevant factors for unemployment were tested and validated: interest rates, GDP, inflation, government spending, and exports. These study results may be valuable for the government when designing targeted interventions to optimise the unemployment rate in Slovakia or similar economies by influencing other macroeconomic indicators.

Analysis of Machine Learning in Classifying Bank Profitability with Corruption Factor

Corruption, which is generally defined as the abuse of authority for personal benefit, is not a recent phenomenon and has become a major issue in almost all countries throughout the world. Indeed, a high level of corruption increases bank non-performing loans which in turn reduces profitability and intensifies the fragility of the banking industry. Given the adverse impacts, corruption has been used as one of the factors in bank performance evaluation. As research on corruption-bank performance with machine learning techniques is rarely reported in the literature, this paper presents the empirical comparison of different machine learning algorithms for classifying bank profitability. Besides machine learning performance comparisons, this paper presents the analysis of machine learning features importance to justify the effect of corruption factor in the different machine learning algorithms for classifying bank profitability. The results indicated that all the tested machine learning algorithms present a good ability of classifying bank profitability at accuracy percentages above 70% but corruption index has contributed very minimal effect to the machine learning performances. The framework of this research is highly reproducible to be extended with a more in-depth analysis, particularly on the bank profitability factors as well as on the machine learning algorithms.

Examining the global influence of e-governance on corruption: a panel data analysis

This study analyzes the impact of e-governance on corruption using a panel dataset comprising 110 countries over the period from 2003 to 2021. The specific focus of the research is on the relationship between the E-government Development Index (EGDI) and its four components, namely the Online Service Index (OSI), Human Capital Index (HCI), Telecommunication Infrastructure Index (TII), and E-Participation Index (EPI), and their effects on the Corruption Perceptions Index (CPI). To examine these relationships, the empirical analysis employs a fixed effect model, which is a suitable statistical approach for panel data analysis. The findings of the study reveal significant negative associations between the EGDI, OSI, HCI, and TII with corruption levels across countries worldwide. This implies that higher levels of e-government development, online service provision, human capital, and telecommunication infrastructure are associated with lower corruption perceptions. However, the EPI does not demonstrate a statistically significant relationship with the CPI. Based on these results, the paper provides recommendations for governments to prioritize two key areas. Firstly, governments should invest in the development of e-government infrastructure to enhance transparency, accountability, and efficiency in public administration, thereby reducing corruption. Secondly, initiatives aimed at enhancing public awareness and understanding of e-governance should be prioritized, as they contribute to increased citizen engagement and participation, which can ultimately lead to improved governance practices and reduced corruption levels.

KETERKAITAN ANTARA FOREIGN DIRECT INVESTMENT, PERDAGANGAN INTERNATIONAL, INDEKS PERSEPSI KORUPSI, NILAI TUKAR DAN PERTUMBUHAN EKONOMI DI INDONESIA

The growth of Indonesia's GDP per Capita can be said to be quite stable and domestic consumption is still the largest contributor to the Indonesian economy, while Indonesia. Trade openness has the potential to increase economic growth by increasing efficient resource allocation and increasing factor productivity through technology adoption and knowledge transfer. Apart from that, FDI is also one of the keys to increasing efficient resource allocation and increasing factor productivity through technology adoption and knowledge transfer. Currently the value of international trade and FDI is still smaller than the domestic consumption sector. Furthermore, Indonesia's corruption perception index can also be said to be quite high, this could be an indicator of the perception or distrust of the public and investors towards the Indonesian government. An immediate increase in corruption will reduce economic investment, creating a general distortion. Based on the description above, it can be seen that Indonesia has not yet maximized these three factors (capital, human resources, technology) which can be obtained from international trade and FDI and also that Indonesia's corruption index level is still high. The method used is the Vector Error Correction Model. The research results show that the export variable has the highest influence on Indonesia's economic growth.

Is Corruption Perception Index Biased? An Ethnicity Based Analysis

Corruption is a widespread problem that affects many countries across the world. The broad definition of it is the misuse of public authority for personal benefit, which results in an allocation of resources that is less efficient than would occur in a corruptionfree environment. Corruption has a negative impact on economic growth, investment, and social development in several ways. First, corruption reduces the efficiency of public institutions and distorts resource allocation. Second, it discourages foreign investment and can lead to capital flight. Third, corruption undermines the rule of law, which is essential for economic growth. Ethnicity and economic growth are two important factors influencing corruption levels in a country. Therefore, understanding the factors contributing to corruption is essential for policymakers to develop effective measures to combat it. This research report investigates the relationship between economic growth, ethnicity, and panel-country corruption levels. Specifically, it seeks to answer the question: do economic growth and ethnicity explain the differences in panel-country corruption levels?