An Econometric, Analysis of the Impact of Corruption on Nigeria Economy
Abstract on An Econometric, Analysis of the Impact of Corruption on Nigeria Economy
This research examines the impact of corruption on Nigerian Economy. It portrays a cursory investigation on the observed effects of corruption on different sectors – Public, Private and Foreign Sectors of the Nigerian Economy.
In order to achieve a well detailed result, an econometric analysis was employed to test the relationship between the dependent variable and independent variables. Tests like the ordinary least square regression was carried out to evaluate the long run impact of corruption on some selected sectors of the economy between 1979 and 2009. The findings of the study made it clear that corruption have both negative and positive impact on the growth of the economy. However, the negative impact of corruption, on the various sectors outweighs the positive, which is in line with previous empirical studies/findings.
Finally, the study reveals that corruption is a serious impediment against the proper functioning of the Nigerian economy and suggests that to have a healthy economy, the following should be put in place: restructured legal system, periodic private and public audit, re-orientation programmes, better remuneration of workers as well as involvement of religious and non-governmental organizations in the process.