Effect of Corruption in ASEAN (Case Study 4 ASEAN Countries)

Abstract

Corruption is a global problem that is always a debate in all countries. Corruption has existed for a long time and it is a problem that exists in developing and developed countries. Many sectors are harmed by the attitude and behavior of corruption, and this greatly affects the economic growth of a country and can reduce the economic growth of a country. The purpose of this study is to see and analyze the impact of corruption in ASEAN countries in 2016-2021 by using panel data to conduct the FEM test. The objects of research are Thailand, Indonesia, Cambodia and the Philippines. This study shows that economic growth in several ASEAN countries is influenced by the corruption perception index and has a positive effect on economic growth. In addition, government spending and consumption have a positive effect on economic growth, while free trade has a negative effect on economic growth.