Corruption et sorties illicites de capitaux dans les pays de l’Afrique subsaharienne: La démocratie compte-elle vraiment?

YENLIDE, Tchablemane (2021): Corruption et sorties illicites de capitaux dans les pays de l’Afrique subsaharienne: La démocratie compte-elle vraiment?

Abstract

The objective of this paper is to analyze the effect of corruption on illicit capital outflows in Sub-Saharan African (SSA) countries. More specifically, we measured the direct effect of corruption on illicit capital flows on the one hand and analyzed the effect of democracy on the relationship between corruption and illicit capital flows on the other. The results obtained using the Generalized Method of Moments (GMM) on a panel of 36 sub-Saharan African countries over the period 2005 to 2013, show that corruption significantly increases illicit capital outflows. However, democracy helps mitigate the positive effect of corruption on illicit capital flight. In sum, aggressive anti-corruption policies and the promotion of democracy in SSA are likely to reduce illicit capital outflows.

• Item Type: MPRA Paper
• English Title: Corruption and Illicit Capital Outflows in Sub-Saharan Africa: Does Democracy Really Matter?
• Language: French
• Keywords: Corruption, Democracy, Illicit capital flight, SSA
• Subjects: E - Macroeconomics and Monetary Economics > E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook; G - Financial Economics > G3 - Corporate Finance and Governance > G38 - Government Policy and Regulation; H - Public Economics > H6 - National Budget, Deficit, and Debt > H63 - Debt ; Debt Management ; Sovereign Debt; O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O11 - Macroeconomic Analyses of Economic Development

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