The Journal of Economic Studies and Policies

The Journal of Economic Studies and Policies

Analysis the nonlinear relationship between economic corruption and economic security in Iran

Document Type : Original Article

Authors
behrouz sadeghi amroabadi 1
najafali shahbazi 2
1 Assistant Professor, Faculty of Economics and Social Sciences, Shahid Chamran University of Ahvaz, Ahvaz, Iran.
2 Assistant Professor, Faculty of Economics, Imam Hossein University, Tehran, Iran.
10.22096/esp.2022.137608.1421
Abstract
Corruption and economic security are among the most important issues in Iran's economy today. In the economic literature, economic corruption can also facilitate bureaucracy and business. It acts as an oil between the hard gears of an economical machine that can also reduce performance and economic security by increasing transaction costs and risk. Therefore, in this study, the analysis of the nonlinear relationship between economic corruption and economic security in Iran, during the period of 1357 - 1397, thresholds are performed using the regression method. This research is applied in terms of purpose and descriptive correlation in terms of type and method of research. The results of estimating the research model show that the threshold for corruption is 0.45. Hansen's linear test results with the Bootstrap method also confirm the threshold significance. The implication of this threshold is that in a government with less than 0.45 corruption, increasing the size of corruption has a significant and negative effect on economic security. But in a regime with greater corruption, corruption has a positive effect on economic security. In other words, the non-linear relationship between economic corruption and economic security in the country is confirmed and indicates a long-term relationship between corruption control and economic security in Iran.
Keywords
Nonlinear relationship
Economic Corruption
Economic Security
Iran
threshold model

Subjects

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The Journal of Economic Studies and Policies
Volume 8, Issue 2 - Serial Number 16
Fall 2021 - Winter 2022
January 2022
Pages 198-225