On the effect of foreign aid on corruption

Simplice Asongu

MPRA Paper from University Library of Munich, Germany

Abstract: The Okada & Samreth(2012, EL) finding that aid deters corruption could have an important influence on policy and academic debates. This paper partially negates their criticism of the mainstream approach to the aid-development nexus. Using updated data(1996-2010) from 52 African countries we provide robust evidence of a positive aid-corruption nexus. Development assistance fuels(mitigates) corruption(the control of corruption) in the African continent. As a policy implication, the Okada & Samreth(2012, EL) finding for developing countries may not be relevant for Africa.

Keywords: Foreign Aid; Political Economy; Development; Africa (search for similar items in EconPapers)
JEL-codes: B20 F35 F50 O10 O55 (search for similar items in EconPapers)
Date: 2012-02-09
New Economics Papers: this item is included in nep-afr
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (162)

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Related works:
Journal Article: On the effect of foreign aid on corruption (2012)
Working Paper: On the effect of foreign aid on corruption (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:36545

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