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ABSTRACT. This paper discusses the major trends in scholarship about the link between corruption and growth, the multifaceted character of corruption, and the potential for corruption to offset advances towards more significant trade openness. The mainstay of the paper is formed by an analysis of the relevance and extent of the impact of corruption on growth, the influence of corruption on economic performance, and the nexus between governance quality and corruption. My paper contributes to the literature by providing evidence on the causal mechanisms and transmission channels in the corruption-growth connection, the function that corruption has with regard to economic growth, and the interaction between corruption and democracy. pp. 125–130
JEL codes: D73; O47

Keywords: corruption; economic growth; governance quality; democracy

How to cite: Ionescu, Luminita (2014), “The Adverse Effects of Corruption on Growth and Development,” Economics, Management, and Financial Markets 9(4): 125–130.

LUMINITA IONESCU
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Spiru Haret University

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