Institutional quality and the shadow economy in Africa: Effect and transmission channels

IF 1.6 Q3 BUSINESS
Tii Tasheh Fonsoh , Aloysius M. Njong , Tii N. Nchofoung
{"title":"Institutional quality and the shadow economy in Africa: Effect and transmission channels","authors":"Tii Tasheh Fonsoh ,&nbsp;Aloysius M. Njong ,&nbsp;Tii N. Nchofoung","doi":"10.1016/j.tncr.2025.200113","DOIUrl":null,"url":null,"abstract":"<div><div>The present work investigates the effect of institutional quality on Africa's underground economy, as well as the mechanisms that modulate this effect. Considering cross-sectional dependency between panels, this study considers data of 41 African countries from the period 1996 to 2017 and the system generalized method of moment is used. The results of this investigation propose that institutional quality has a considerable detrimental impact on Africa's underground economy. The interactive effect findings reveal that modulating institutional quality through natural resource rents and trade has an adverse net effect on the size of Africa's shadow economy up to the threshold values of 37.14843 for natural resource rents (% GDP) and 40.55319 for trade (% GDP), after which the negative effect is nullified. Policy implications are discussed.</div></div>","PeriodicalId":45011,"journal":{"name":"Transnational Corporations Review","volume":"17 1","pages":"Article 200113"},"PeriodicalIF":1.6000,"publicationDate":"2025-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Transnational Corporations Review","FirstCategoryId":"1085","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S1925209925000063","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q3","JCRName":"BUSINESS","Score":null,"Total":0}
引用次数: 0

Abstract

The present work investigates the effect of institutional quality on Africa's underground economy, as well as the mechanisms that modulate this effect. Considering cross-sectional dependency between panels, this study considers data of 41 African countries from the period 1996 to 2017 and the system generalized method of moment is used. The results of this investigation propose that institutional quality has a considerable detrimental impact on Africa's underground economy. The interactive effect findings reveal that modulating institutional quality through natural resource rents and trade has an adverse net effect on the size of Africa's shadow economy up to the threshold values of 37.14843 for natural resource rents (% GDP) and 40.55319 for trade (% GDP), after which the negative effect is nullified. Policy implications are discussed.
求助全文
约1分钟内获得全文 求助全文
来源期刊
CiteScore
5.20
自引率
5.70%
发文量
37
×
引用
GB/T 7714-2015
复制
MLA
复制
APA
复制
导出至
BibTeX EndNote RefMan NoteFirst NoteExpress
×
提示
您的信息不完整,为了账户安全,请先补充。
现在去补充
×
提示
您因"违规操作"
具体请查看互助需知
我知道了
×
提示
确定
请完成安全验证×
copy
已复制链接
快去分享给好友吧!
我知道了
右上角分享
点击右上角分享
0
联系我们:info@booksci.cn Book学术提供免费学术资源搜索服务,方便国内外学者检索中英文文献。致力于提供最便捷和优质的服务体验。 Copyright © 2023 布克学术 All rights reserved.
京ICP备2023020795号-1
ghs 京公网安备 11010802042870号
Book学术文献互助
Book学术文献互助群
群 号:481959085
Book学术官方微信