The impact of economic and political freedom on corruption: Evidence from MENAT countries

This study investigates the impact of political and economic freedom on corruption levels in MENAT countries (Middle East, North Africa, and Turkey). The primary objective is to advance the understanding of institutional quality and governance by analyzing how these two dimensions of freedom are associated with corruption. Utilizing a two-way fixed-effects panel model with White cross-section robust standard errors, the research accounts for unobserved country-specific and time-specific heterogeneity. The analysis is based on an annual balanced panel dataset of ۱۳ MENAT countries from ۲۰۰۳ to ۲۰۲۳, totaling ۲۷۳ observations. The findings reveal that both political and economic freedom are significantly associated with lower levels of perceived corruption. Specifically, increased political freedom, reflected in stronger accountability and public oversight, is associated with lower perceived corruption. Similarly, improvements in economic freedom, through stronger property rights, reduced state intervention, and more predictable regulatory conditions, are associated with lower perceived corruption. The findings highlight the importance of considering both political and economic freedom when examining institutional determinants of corruption in the MENAT region. Ultimately, the study suggests that strengthening these institutional dimensions can contribute to greater transparency, accountability, and improved governance within the region.

کلیدواژه ها:

Economic Freedom ، political freedom ، Corruption ، MENAT countries