The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS Test

Corruption is a serious problem in some ASEAN countries except Singapore and Brunei, judging from their ranking and scores on Transparency International’s Corruption Perceptions Index (CPI). The concept of good governance is much broader than control of corruption. Governance and corruption may be r...

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Main Authors: Pius Lustrilanang,   Suwarno,   Darusalam, Lutfi Trisandi Rizki, Normah Omar, Jamaliah Said
Format: Article
Language:English
Published: Taylor & Francis Group 2023-12-01
Series:Cogent Business & Management
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/23311975.2022.2154060
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author Pius Lustrilanang
  Suwarno
  Darusalam
Lutfi Trisandi Rizki
Normah Omar
Jamaliah Said
author_facet Pius Lustrilanang
  Suwarno
  Darusalam
Lutfi Trisandi Rizki
Normah Omar
Jamaliah Said
author_sort Pius Lustrilanang
collection DOAJ
description Corruption is a serious problem in some ASEAN countries except Singapore and Brunei, judging from their ranking and scores on Transparency International’s Corruption Perceptions Index (CPI). The concept of good governance is much broader than control of corruption. Governance and corruption may be related, but they are distinct nations and should not be regarded as the same. However, this study’s objective is to investigate the nexus between control of corruption and quality of governance from 1984 to 2021 for eight ASEAN countries. Fully Modified Ordinary Least Square (FMOLS) and Dynamic Ordinary Least Square (DOLS) methodologies were used to estimate the long- and short-run relationships. The result reveals a positive and significant relationship between control of corruption and governance quality in ASEAN countries. It means better anti-corruption leads to enhancing the quality of governance in the ASEAN countries. In addition, the relationship between governance quality and control of corruption is also positive and significant. It shows that better governance quality will reduce corruption in the ASEAN region. This study’s practical contribution is strengthening its governance and control of corruption in the ASEAN member country’s leader. This study’s scientific contribution investigated the vice-versa of the relationship between control of corruption and quality of governance, especially in the context of the ASEAN region.
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publishDate 2023-12-01
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spelling doaj-art-958cd842cace4f28adb4f253e8daf17b2025-08-20T03:03:21ZengTaylor & Francis GroupCogent Business & Management2331-19752023-12-0110110.1080/23311975.2022.2154060The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS TestPius Lustrilanang0  Suwarno1  Darusalam2Lutfi Trisandi Rizki3Normah Omar4Jamaliah Said5The Supreme Audit Board of the Republic of Indonesia, Central Jakarta, IndonesiaThe Supreme Audit Board of the Republic of Indonesia, Central Jakarta, IndonesiaAccounting Research Institute, Malaysia, Level 12, Menara Sultan Abdul Aziz Shah, Universiti Teknologi MARA, 40450 Shah Alam, MalaysiaAccounting Research Institute, Malaysia, Level 12, Menara Sultan Abdul Aziz Shah, Universiti Teknologi MARA, 40450 Shah Alam, MalaysiaAccounting Research Institute, Malaysia, Level 12, Menara Sultan Abdul Aziz Shah, Universiti Teknologi MARA, 40450 Shah Alam, MalaysiaAccounting Research Institute, Malaysia, Level 12, Menara Sultan Abdul Aziz Shah, Universiti Teknologi MARA, 40450 Shah Alam, MalaysiaCorruption is a serious problem in some ASEAN countries except Singapore and Brunei, judging from their ranking and scores on Transparency International’s Corruption Perceptions Index (CPI). The concept of good governance is much broader than control of corruption. Governance and corruption may be related, but they are distinct nations and should not be regarded as the same. However, this study’s objective is to investigate the nexus between control of corruption and quality of governance from 1984 to 2021 for eight ASEAN countries. Fully Modified Ordinary Least Square (FMOLS) and Dynamic Ordinary Least Square (DOLS) methodologies were used to estimate the long- and short-run relationships. The result reveals a positive and significant relationship between control of corruption and governance quality in ASEAN countries. It means better anti-corruption leads to enhancing the quality of governance in the ASEAN countries. In addition, the relationship between governance quality and control of corruption is also positive and significant. It shows that better governance quality will reduce corruption in the ASEAN region. This study’s practical contribution is strengthening its governance and control of corruption in the ASEAN member country’s leader. This study’s scientific contribution investigated the vice-versa of the relationship between control of corruption and quality of governance, especially in the context of the ASEAN region.https://www.tandfonline.com/doi/10.1080/23311975.2022.2154060control of corruptionguality of governanceASEAN regionDOLSFMOLS
spellingShingle Pius Lustrilanang
  Suwarno
  Darusalam
Lutfi Trisandi Rizki
Normah Omar
Jamaliah Said
The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS Test
Cogent Business & Management
control of corruption
guality of governance
ASEAN region
DOLS
FMOLS
title The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS Test
title_full The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS Test
title_fullStr The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS Test
title_full_unstemmed The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS Test
title_short The Role of Control of Corruption and Quality of Governance in ASEAN: Evidence from DOLS and FMOLS Test
title_sort role of control of corruption and quality of governance in asean evidence from dols and fmols test
topic control of corruption
guality of governance
ASEAN region
DOLS
FMOLS
url https://www.tandfonline.com/doi/10.1080/23311975.2022.2154060
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