Determinants Of Corruption In The Asean-5 Countries

Lim, Melisa Pui Xing (2018) Determinants Of Corruption In The Asean-5 Countries. Final Year Project (Bachelor), Tunku Abdul Rahman University College.

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Abstract

Using a panel data analysis by adopting a dataset for the ASEAN-5 countries over the period of 2002 ~ 2015. The study aimed to examine the causation between trade openness and corruption, the result of this study would be able to make a clear judgement on whether it is the trade openness that changes the level of corruption vice-versa in ASEAN-5 countries. Although the findings of the study suggested that there is no causal relationship found between control of corruption and trade openness, however, more analysis should be done in the future to identify whether there are any other proxy that might adopted to represent the corruption level in the ASEAN-5 countries which might have causal relationship between trade openness and corruption. Besides, the study also aimed to determine the significant determinants of corruption and the results would be able to provide insight for policy makers to understand more on corruption. Findings suggest that only rule of law and trade openness is having significant impact on corruption level in ASEAN-5 countries. By identifying such determinants, policy makers and respective ASEAN-5 countries’ anti-corruption institutions would be able to formulate effective policies and efforts to hamper corruption.