CEU Electronic Theses and Dissertations, 2023
| Author | Mamun, Tasnim Murad |
|---|---|
| Title | Political Corruption and Public Expenditure Composition in Developing Countries: Causal Effect on Asylum Applications in OECD Countries |
| Summary | Abstract Generally, OECD countries follow the common responsibility of welcoming any asylum seekers who have already entered into the destination country's border and examining their case fairly on the ground of human rights issues i.e., political, religious, ethnic, racial discrimination or limiting freedom of expression. Due to insecure livelihoods, a large number of unskilled labors from the countries those didn’t face any major civil war or external evasion in the last two decades, are fleeing to developed countries by using illegal routes. The purpose of the study is to explore whether political corruption causes to happen distortions of public spending in developing countries and consequently stimulates asylum seeking trend in OECD countries. The study mainly executes 2SLS regression analysis by using panel data from 79 developing countries during the period of 2000 to 2019. It explores the effect of corruption on different public spending in developing countries and then how the number of asylum application in OECD countries is impacted by distorted public spending and prevailing corruption which is instrumented by financial irregularities against fair election. The study finds that public budget allocation for health and education expenditure is likely to be increased but allocation for defense expenditure is possibly to be decreased significantly with declining score of corruption. Also, asylum application from developing countries to OECD countries is likely to be negatively impacted by lower level of corruption, higher public spending devoted to health expenditure and freedom of expression. However, the interaction term of corruption and freedom of expression, is responsible for increasing asylum application by on average 0.36 percentage point. This study suggests the policy makers and practitioners in formulating public policy to restrict future unexpected asylum-seeking trend through reduction of political corruption in the countries of origin based on the marginal analysis of the associated factors. Key Words: Corruption, Public expenditures, Asylum application, Developing world |
| Supervisor | Prof. Lychagin, Sergey |
| Department | Economics MA |
| Full text | https://www.etd.ceu.edu/2023/mamun_tasnim-murad.pdf |
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