Munich Personal RePEc Archive

On the effect of foreign aid on corruption

Simplice A, Asongu (2012): On the effect of foreign aid on corruption.

[img]
Preview
PDF
MPRA_paper_36545.pdf

Download (115Kb) | Preview

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.

UB_LMU-Logo
MPRA is a RePEc service hosted by
the Munich University Library in Germany.