A Rigorous Economic Analysis of Corruption in the Landscape of Pakistan
Keywords:
Corruption, Economic Growth, Pakistan’s Economy, Economic AnalysisAbstract
Background: Corruption can be defined as the misuse of public assets, which is a global issue because it can affect the overall economic condition of the country. Since 1947, Pakistan has faced a lot of corruption, which affects various factors of the country including political growth as well as economic growth.
Research Aim: This paper has studied the relationship between economic growth and corruption and what are the factors of corruption in Pakistan.
Methodology: This study is an empirical study based on using the data from 1998-2022. The following analysis which includes the Augmented Dickey-Fuller test and Tobit Model of Censored Regression has been used for analyzing the determinants of corruption in Pakistan.
Results: The results found that there is a negative influence of GDP growth and the literacy rate of Pakistan on corruption while most prominently inflation has been found to be a positive influence on corruption.
Conclusion: To conclude GDP, Literacy rate and Economic integration have a positive influence on corruption in Pakistan while Literacy Rate and Inflation are significant economic determinants of corruption.
