Corruption and Growth Under Weak Identification

@article{Shaw2011CorruptionAG,
  title={Corruption and Growth Under Weak Identification},
  author={P. Shaw and Marina-Selini Katsaiti and Marius Jurgilas},
  journal={Economic Growth eJournal},
  year={2011}
}
The goal of this paper is to revisit the influential work of Mauro [1995] focusing on the strength of his results under weak identification. He finds a negative impact of corruption on investment and economic growth that appears to be robust to endogeneity when using two-stage least squares (2SLS). Since the inception of Mauro [1995], much literature has focused on 2SLS methods revealing the dangers of estimation and thus "traditional" types of inference under weak identification. We reproduce… Expand
Control of corruption, international investment, and economic growth – Evidence from panel data
In this paper we study the effects of corruption using an open economy version of the endogenous growth model with international capital mobility. In particular, the model predicts that corruptionExpand
ON THE DETERMINANTS OF EDUCATIONAL CORRUPTION: THE CASE OF UKRAINE
type="main" xml:id="coep12097-abs-0001"> This article utilizes a unique data set to examine the relationship between a group of potential explanatory variables and educational corruption in Ukraine.Expand
Corruption and Total Factor Productivity in the Long-Run: Evidence from Post-WW2 Turkey
Total Factor Productivity (TFP) not only plays a crucial role on economic development but also on its sustainability. Sustainability is frequently measured by Inclusive Wealth (IW) which is definedExpand
Does the Evidence on Corruption Depend on How it is Measured? Results from a Cross Country Study on Micro Data Sets
This study compares the evidence on corruption between alternative data sets. These include the Corruption Perceptions Indices (CPI) that are conventionally used and the micro data sets from theExpand
Explaining social capital effects on growth and property rights via trust-alternative variables
In our previous paper “Can Trust Explain Social Capital Effect on Property Rights and Growth?” (Hall & Ahmad, 2013) we show that generalized trust data by the World Value Survey (WVS) are unable toExpand
An empirical study on the nature of corruption amongst Nigerian firms: causes, channels and detection
This dissertation discusses the economic issues surrounding corruption at the firm-level in Nigeria with a specific focus on bribery. This involves an analysis of the paying and reporting of bribesExpand
Whither Corruption? A Quantitative Survey of the Literature on Corruption and Growth
Does corruption grease or sand the wheels of economic growth? This paper uses meta-analysis techniques to systematically evaluate the evidence addressing this question. It uses a data set comprisingExpand
Does the evidence on corruption depend on how it is measured? Results from a cross-country study on microdata sets
While much of the existing literature on corruption looks at the effect of corruption on macro variables such as growth rates and income distribution, this study provides a departure by focussing onExpand
Does corruption foster growth in Bangladesh
Purpose - The purpose of the paper is to unveil the relationship between corruption and economic growth in Bangladesh. Design/methodology/approach - The paper is designed to combine both theory andExpand
The Role of Monitoring of Corruption in a Simple Endogenous Growth Model
This article analyzes the relationship between economic growth and the monitoring of corruption. In our theoretical model, we derive a nonlinear relationship between the level of monitoring andExpand
...
1
2
3
...

References

SHOWING 1-10 OF 45 REFERENCES
Performance of Conditional Wald Tests in IV Regression with Weak Instruments
Abstract We compare the powers of five tests of the coefficient on a single endogenous regressor in instrumental variables regression. Following Moreira [2003, A conditional likelihood ratio test forExpand
On the Validity of Econometric Techniques with Weak Instruments
TLDR
Although the estimates are less accurate than previously thought, most specifications by Angrist and Krueger (1991) are informative for returns-to-schooling and concern about the reliability of the model with 178 instruments is unfounded despite the low first-stage F-statistic. Expand
Identification, Weak Instruments, and Statistical Inference in Econometrics
TLDR
It is pointed out that many hypotheses, for which test procedures are commonly proposed, are not testable at all, while some frequently used econometric methods are fundamentally inappropriate for the models considered. Expand
Corruption and Openness
We report an intriguing empirical observation. The relationship between corruption and output depends on the economy's degree of openness: in open economies, corruption and GNP per capita areExpand
Problems with Instrumental Variables Estimation when the Correlation between the Instruments and the Endogenous Explanatory Variable is Weak
Abstract We draw attention to two problems associated with the use of instrumental variables (IV), the importance of which for empirical work has not been fully appreciated. First, the use ofExpand
A Sensitivity Analysis of Cross-Country Growth Regressions
A vast amount of literature uses cross-country regressions to find empirical links between policy indicators and long-run average growth rates. The authors study whether the conclusions from existingExpand
Corruption's Effect on Growth and its Transmission Channels
A common finding of recent theoretical and empirical literature is that corruption has a negative effect on economic growth. In the paper, through growth regression analysis, we estimate the directExpand
Instrumental Variables Regression with Weak Instruments
This paper develops asymptotic distribution theory for instrumental variable regression when the partial correlation between the instruments and a single included endogenous variable is weak, hereExpand
Some Impossibility Theorems in Econometrics with Applications to Structural and Dynamic Models
General characterizations of valid confidence sets and tests in problems involving (locally almost) unidentified (LAU) parameters are presented. In particular, any valid confidence set for anExpand
A Survey of Weak Instruments and Weak Identification in Generalized Method of Moments
Weak instruments arise when the instruments in linear instrumental variables (IV) regression are weakly correlated with the included endogenous variables. In generalized method of moments (GMM), moreExpand
...
1
2
3
4
5
...