Corruption and Bribery in the Nigerian Economy: An Empirical Investigation

Abstract

Nigeria is going through a difficult political and economic transition after decades of independence. Yet, Nigeria remains a society rich in cultural, linguistic, religious, ethnic and political diversity. Today, the average Nigerian struggles hard to make ends meet; sees himself or herself as being poorer than he or she was a decade ago; and finds it hard to be hopeful that things will get better soon. It is against this background that this project sets out to increase the knowledge about state capacity in Nigeria by taking stock of economic and governance issues. Using a simple growth model, we illustrate the interrelationships between natural resources, corruption and economic growth in Nigeria. We propose anti-corruption policies for Nigeria and argued that building global integrity is imperative for a transparent modern economy.

Keywords: Economic growth, neoclassical economic growth, natural resources, corruption, bribery, governance, Nigerian economy

JEL Classification: Q4, Q32, D73, H3, K00, O1