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E-Government, Internet Adoption, and Corruption: An Empirical Investigation

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  • Elbahnasawy, Nasr G.

Abstract

This study empirically investigates the impact of e-government and internet adoption on curbing corruption, by utilizing a large panel dataset. The results reveal that e-government is a powerful tool in reducing corruption—via telecommunication infrastructure and the scope and quality of online services—which is strengthened by greater internet adoption. The interaction effects between e-government and internet adoption suggest both as complements in anti-corruption programs. A dynamic panel data model that addresses the endogeneity problem and considers corruption persistency is employed. Results of panel Granger causality tests indicate a unidirectional causality from e-government to corruption, while a bilateral causality between internet adoption and corruption.

Suggested Citation

  • Elbahnasawy, Nasr G., 2014. "E-Government, Internet Adoption, and Corruption: An Empirical Investigation," World Development, Elsevier, vol. 57(C), pages 114-126.
    • Handle: RePEc:eee:wdevel:v:57:y:2014:i:c:p:114-126
    DOI: 10.1016/j.worlddev.2013.12.005
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