Corruption and its Influence on Economy with Focus on Inflow of Foreign Direct Investment
Authors: Prochazka Petr , Maitah Mansoor , Pachmann Ales 
Published: November 2015

<p class="zhengwen"><span class="hps"><span lang="EN-US">This paper evaluates the</span></span><span class="hps"><span lang="EN-US">impact</span></span><span class="hps"><span lang="EN-US">of corruption on</span></span><span class="hps"><span lang="EN-US">economic sphere</span></span><span lang="EN-GB">, with special </span><span class="hps"><span lang="EN-US">emphasis on</span></span><span class="hps"><span lang="EN-US">inward foreign direct investment</span></span><span class="hps"><span lang="EN-US">(FDI</span></span><span lang="EN-GB">), as </span><span class="hps"><span lang="EN-US">investment is one</span></span><span class="hps"><span lang="EN-US">of the main factors</span></span><span class="hps"><span lang="EN-US">of economic performance</span></span><span lang="EN-GB">. </span><span class="hps"><span lang="EN-US">The impact of</span></span><span class="hps"><span lang="EN-US">corruption</span></span><span class="hps"><span lang="EN-US">on</span></span><span class="hps"><span lang="EN-US">FDI inflows</span></span><span class="hps"><span lang="EN-US">is</span></span><span class="hps"><span lang="EN-US">studied</span></span><span class="hps"><span lang="EN-US">globally</span></span><span lang="EN-GB">.</span><span class="hps"><span lang="EN-US">Based on the research</span></span><span class="hps"><span lang="EN-US">of contemporary literature</span></span><span lang="EN-GB">, it was found </span><span class="hps"><span lang="EN-US">that the</span></span><span class="hps"><span lang="EN-US">level of corruption</span></span><span class="hps"><span lang="EN-US">has</span></span><span class="hps"><span lang="EN-US">not clear negative</span></span><span class="hps"><span lang="EN-US">impact on</span></span><span class="hps"><span lang="EN-US">FDI</span></span><span lang="EN-GB">, </span><span class="hps"><span lang="EN-US">what is leading</span></span><span class="hps"><span lang="EN-US">to the formulation</span></span><span class="hps"><span lang="EN-US">of the research</span></span><span class="hps"><span lang="EN-US">objectives of this work</span></span><span lang="EN-GB">.</span><span class="hps"><span lang="EN-US">The results confirm</span></span><span class="hps"><span lang="EN-US">the</span></span><span class="hps"><span lang="EN-US">88 countries</span></span><span class="hps"><span lang="EN-US">for the years</span></span><span class="hps"><span lang="EN-US">2000, 2005</span></span><span class="hps"><span lang="EN-US">and 2011</span></span><span lang="EN-GB">, </span><span class="hps"><span lang="EN-US">the existence of a</span></span><span class="hps"><span lang="EN-US">negative relationship between</span></span><span class="hps"><span lang="EN-US">the level of corruption</span></span><span class="hps"><span lang="EN-US">and</span></span><span class="hps"><span lang="EN-US">FDI inflows</span></span><span lang="EN-GB">, this is a </span><span class="hps"><span lang="EN-US">statistically</span></span><span class="hps"><span lang="EN-US">significant relationship</span></span><span class="hps"><span lang="EN-US">and it is</span></span><span class="hps"><span lang="EN-US">this relationship further</span></span><span class="hps"><span lang="EN-US">quantified</span></span><span class="hps"><span lang="EN-US">within the</span></span><span class="hps"><span lang="EN-US">regression model.</span></span><span class="hps"><span lang="EN-US">In conclusion</span></span><span lang="EN-GB">, it is proposed </span><span class="hps"><span lang="EN-US">to include additional</span></span><span class="hps"><span lang="EN-US">explanatory</span></span><span class="hps"><span lang="EN-US">variables</span></span><span class="hps"><span lang="EN-US">in addition to</span></span><span class="hps"><span lang="EN-US">the degree of corruption</span></span><span class="hps"><span lang="EN-US">to understanding the causes</span></span><span class="hps"><span lang="EN-US">FDI inflows.</span></span></p>