Thesis (Selection of subject)Thesis (Selection of subject)(version: 336)
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Determinants of income inequality in post-communist Central and Eastern European countries: Role of corruption
Thesis title in Czech: Determinanty příjmové nerovnosti v post-komunistických zemích střední a východní Evropy:
Úloha korupce
Thesis title in English: Determinants of income inequality in post-communist Central and Eastern European countries:
Role of corruption
English key words: Corruption, income inequality, economic growth, panel data
Academic year of topic announcement: 2014/2015
Type of assignment: diploma thesis
Thesis language: angličtina
Department: Institute of Economic Studies (23-IES)
Supervisor: Mgr. Ing. Eva Hromádková, Ph.D.
Author: hidden - assigned by the advisor
Date of registration: 15.06.2015
Date of assignment: 15.06.2015
Date and time of defence: 23.06.2016 11:00
Venue of defence: IES
Date of electronic submission:12.05.2016
Date of proceeded defence: 23.06.2016
Reviewers: PhDr. Mgr. Goran Serdarevič, M.A.
 
 
 
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References
1. Abrigo R.M. & I. Love (2015): „Estimation of Panel Vector Autoregression in Stata: a Package of Programs.“ Working Papers.
2. Alesina, A. & G-M. Angeletos (2005): „Corruption, inequality, and fairness.“ Journal of Monetary Economics 52(7): pp. 1227-1244.
3. Dincer, O.C. & B. Gunalp (2012): „Corruption and income inequality in the United States“. Contemporary economiv policy 30 (2): pp. 283-292.
4. Dreher, A. & T. Herzfeld (2005): „The Economic Costs of Corruption: A Survey and New Evidence“, University of Heidelberg: pp. 1-33.
5. Gupta, S., H. Davoodi, & R. Alonso-Terme (2002): „Does Corruption Affect Income Inequality and Poverty?“. Economics of Governance, Vol. 3, pp. 23-45.
6. Johansson, Ch. & C-J. Lext (2013): „Corrupt ion and Income Inequality. A study of the impact from different legal systems.” Jonkoping International Business School: pp. 1-28.
7. Li, H., L.C. Xu and H.F. Zou (2000): „Corruption, Income Distribution, and Growth.“ Economics and Politics, Vol. 12: pp. 155-182.
8. Matti, Josh (2015): „Corruption, Income Inequality, and Subsequent Economic Growth.“ Undergraduate Economic Review: Vol. 11: Iss. 1, Article 3.
9. Samadi, A.H. & B. Farahmandpour (2013): „The Effect of Income Inequality on Corruption in Selected Countries (1995-2007)“. Journal of Emerging Issues in Economics, Finance and Banking 1(3): pp. 214-231.
10. You, J. & S. Khagram (2005): “A Comparative Study of Inequality and Corruption.” American Sociological Review, 70 (February): pp. 136-157.
Preliminary scope of work in English
The main purpose of this thesis is to investigate the effect of corruption on income inequality (that could serve as indicator of the welfare of whole society). Since post-communist countries of Central and Eastern Europe had issues with providing effective policies for adapting to the market economy, we want to discover main drivers of this situation. Our analysis was performed on two datasets: 11 post-communist countries CEE and additional 17 European Union countries. Main obstacle of the research is inherent heterogeneity present across countries. We implemented different estimation methods and discovered that panel Vector autoregressive model is the best choice. We found that corruption has positive relationship with income inequality. Furthermore, other important drivers are: social spending, education level and unemployment. As a result, we suggested the ways to decrease corruption on the appropriate example of Georgia.
 
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