Technological innovation, prosperity and corruption outlook in Africa: a mediation analysis

Eunice O. Akhigbe, Ebenezer I. Bowale, Ese Urhie and Ogechi Amonu

Journal of Money Laundering Control, 2023, vol. 27, issue 4, 658-673

Abstract: Purpose - Ranking as the lowest-scoring region for many years on the corruption perceptions index (CPI) with an average score of 32 (2019–2021), Sub-Saharan Africa’s performance gives a bleak impression of inaction against corruption. The objective of this study aims to examine the effect of technological innovation in curbing corruption in Africa through prosperity. Design/methodology/approach - CPI, prosperity index and individuals’ access to internet in the presence of some covariates were employed using the Andrew Hayes’ mediation analysis and cross sectional data in estimating the relationship among the variables as it affects all 54 African countries in the years 2012, 2015 and 2018. Findings - The coefficients of the direct, indirect and total effects showed that internet access is only significant in reducing corruption if it is engaged in activities that create national prosperity (jobs, profits, infrastructural development and good governance). Originality/value - The uniqueness of this study is predicated on the fact that a realistic analysis of the effect of technological innovation on corruption should include the channels it goes through. Thus, this study evaluates the direct, indirect and total effects of innovation on corruption through prosperity enhancement. Another unique aspect of this study is the use of market-creating innovation.

Keywords: Corruption; Prosperity; Innovation; Internet access; Mediation analysis (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:eme:jmlcpp:jmlc-08-2023-0133

DOI: 10.1108/JMLC-08-2023-0133

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