Investigating the Relationship between Public Governance and the Corruption Perception Index

Figures & data

Figure 1. Research model.

Table 1. Variable operationalization.

Variable	Function	Variable operationalization	Scale
Corruption Perception Index	Dependent variable	Corruption Index published by Transparency International Organization.	Ratio, 0-100, The higher the index the less corrupt
Voice and accountability	Independent variable	Worldwide governance indicators published by the World Bank	Ratio, 0-100, The higher the index the better the performance of public governance
Political stability	Independent variable
Government effectiveness	Independent variable
Regulatory quality	Independent variable
Rule of Law	Independent variable
Control of corruption	Independent variable
Income per capita	Moderating Variable	Classification of income per capita into low income, lower middle income, upper middle income, and high income following the world Bank Organization	Nominal

Table 2. Corruption Perception Index by Region.

	Corruption Perception Index
Region	America	Asia Pacific	Europe & Central Asia	Middle East & North Africa	Sub Saharan Africa	Western Europe
Valid Data	311	294	190	180	483	310
Mean	43.70	43.90	34.16	38.89	32.33	66.06
Std. Deviation	17.07	20.94	8.96	16.36	12.28	14.88
Minimum	14.00	8.00	17.00	13.00	8.00	36.00
Maximum	84.00	91.00	58.00	71.00	70.00	92.00

Figure 2. Average Corruption Perception Index by Region.

Table 3. Corruption Perception Index by Income Category.

	Corruption Perception Index
Country Income Category	High Income Country	Low Income Country	Lower Middle Income Country	Upper Middle Income Country
Valid data	385	356	489	538
Mean	69.18	25.43	34.31	43.90
Std. Deviation	14.00	9.43	9.53	13.56
Minimum	36.00	8.00	15.00	14.00
Maximum	92.00	56.00	68.00	76.00

Figure 3. Average Corruption Perception Index by Income per Capita.

Figure 4. Average Public Governance Score by Region.

Figure 5. Average Public Governance Score Based on Income per Capita.

Table 4. Correlations Output.

	Variable	1	2	3	4	5	6	7
1	Corruption Perception Index	1
2	Voice and Accountability	0.804	1
3	Political Stability	0.809	0.723	1
4	Government Effectiveness	0.902	0.752	0.75	1
5	Regulatory Quality	0.874	0.796	0.719	0.927	1
6	Rule of Law	0.939	0.812	0.799	0.938	0.928	1
7	Control of Corruption	0.971	0.792	0.807	0.908	0.868	0.946	1

Table 5. Regression analysis output - direct effect.

	Generalized Estimating Equations (GEE)
Model Analysis	Corruption Perception Index
	Coefficient	Std. Error	z	P-value	95% conf. Interval
Voice and Accountability	0.1041680	0.0131346	7.93	0.0000	0.0784246	0.1299113
Political Stability	0.0201221	0.0088921	2.26	0.0240	0.0026938	0.0375503
Government Effectiveness	0.0341588	0.0127168	2.69	0.0070	0.0092343	0.0590834
Regulatory Quality	0.0512218	0.0138563	3.70	0.0000	0.0240639	0.0783797
Rule of Law	0.0935040	0.0164056	5.70	0.0000	0.0613495	0.1256584
Control of Corruption	0.3235285	0.0126631	25.55	0.0000	0.2987092	0.3483478
Constant	13.7631200	0.6071176	22.67	0.0000	12.57319	14.95304
Number of Observation	1768
Number of Group	180
Wald Chi-Squared	3950.48
Probability	0.0000

Table 6. Hypothesis conclusion – direct effect.

Hypothesis Statement	Expected Sign Coef	Result Sign Coef	P-Value	Conclusion on Hypothesis
Voice and Accountability has a positive influence on the corruption perception index (H1)	+	+	0.0000	Supported
Political stability has a positive influence on the corruption perception index (H2)	+	+	0.0240	Supported
Government effectiveness has a positive influence on the corruption perception index (H3)	+	+	0.0070	Supported
Regulatory quality has a positive influence on the corruption perception index (H4)	+	+	0.0000	Supported
The rule of law has a positive influence on the corruption perception index (H5)	+	+	0.0000	Supported
Control of corruption has a positive influence on the corruption perception index (H6)	+	+	0.0000	Supported

Table 7. Moderated regression analysis output - moderating effect.

	Generalized Estimating Equations (GEE)
Model Analysis	Corruption Perception Index
Dependent Variable (DV)	Coefficient	Std. Error	z	P-value	95% conf. Interval
Voice and Accountability	0.0201186	0.0278689	0.72	0.470	−0.0345033	0.0747405
Political Stability	0.0826074	0.0209973	3.93	0.000	0.0414534	0.1237613
Government Effectiveness	0.1035976	0.0399298	2.59	0.009	0.0253367	0.1818586
Regulatory Quality	0.0982027	0.0349931	2.81	0.005	0.0296175	0.166788
Rule of Law	0.0423132	0.0446337	0.95	0.343	−0.0451672	0.1297935
Control Corruption	0.1883936	0.0311030	6.06	0.000	0.1274329	0.2493543
Moderating Variable (MV)
Income Per Capita (IPC)	0.5758050	0.389813	1.48	0.140	−0.1882144	1.339824
Interaction DV and MV
Voice and Accountability*IPC	0.0246268	0.0117578	2.09	0.036	0.001582	0.0476715
Political Stability*IPC	−0.0268088	0.0094034	−2.85	0.004	−0.0452391	−0.0083785
Government Effectiveness*IPC	−0.0405926	0.0166972	−2.43	0.015	−0.0733186	−0.0078667
Regulatory Quality*IPC	−0.0196482	0.0157926	−1.24	0.213	−0.0506011	0.0113046
Rule of Law*IPC	0.0218215	0.019397	1.12	0.261	−0.016196	0.059839
Control Corruption*IPC	0.0600382	0.014459	4.15	0.000	0.0316991	0.0883774
Constant	13.68853	0.7064652	19.38	0.000	12.30388	15.07317
Number of Observation	1768
Number of Group	180
Wald Chi-Squared	4534.49
Probability	0.0000

Table 8. Hypothesis conclusion – moderating effect.

Hypothesis Statement	Expected Sign Coef	Result Sign Coef	P-Value	Conclusion on Hypothesis
National income per capita positively moderates the relationship between Voice and Accountability and the corruption perception index (H7)	+	+	0.036	Supported
National income per capita positively moderates the relationship between political stability and the corruption perception index (H8)	+	–	0.004	Rejected
National income per capita positively moderates the relationship between government effectiveness and the corruption perception index (H9)	+	–	0.015	Rejected
National income per capita positively moderates the relationship between regulatory quality and the corruption perception index (H10)	+	–	0.213	Rejected
National income per capita positively moderates the relationship between the rule of law and the corruption perception index (H11)	+	+	0.261	Rejected
National income per capita positively moderates the relationship between control of corruption and the corruption perception index (H12)	+	+	0.000	Supported

Data availability statement

Data is available upon request.