Title:
The Impact of Corruption on the Human Development Index in Countries Worldwide and Policy Implications for Vietnam

Authors:
Hai Anh Pham, Viet Nam

Abstract:

The Human Development Index (HDI) is a comprehensive measure of social development. This study examines the impact of corruption on human development in countries worldwide from 2012 to 2022, using Pooled OLS, FEM, REM models, and the instrumental variable method with robust standard errors. While several studies have analyzed the impact of the Corruption Perceptions Index (CPI) on the HDI, most focus on a single country or a short time frame. Additionally, the data, often sourced from articles and reports lacks recent and continuous updates, limiting the ability to analyze, evaluate, and propose effective solutions. This study contributes to the literature on factors influencing human development by incorporating macroeconomic control variables into the estimation model. The empirical analysis shows that CPI has a significant and positive impact on human development in both the short and long term. The study concludes that policymakers in Vietnam can draw lessons from global experiences to implement effective anti-corruption measures. It is crucial to focus on addressing the root causes of corruption, rather than just its effects, to improve the public's perception of corruption.

DOI: https://doi.org/10.51505/IJEBMR.2025.9118