Competition policy, inflation and corruption: evidence from African economies

Abstract

Using regression analysis, the study examines the relationship between competition policy, inflation and corruption within 23 African economies. The inclusion of a group of 20 industrial countries acts as a benchmark enabling the evaluation of the significance of competition policy within countries with good governance records. The results reveal the absence of a statistically significant relationship when the two groups are independently assessed however, when all 43 countries are combined the results prove to be statistically significant. Whilst the results do not provide the unambiguous support of a relationship, this does not negate a role for competition policy.