The effect of economic activities combination on corruption A Case Study of Iran and OPEC countries

Corruption is defined as abuse of power by governmental and private officials for personal goals. Corruption is affecting by many variables, such as political, economic, cultural, geographical factor and will be influenced on many variables. The main goal of this article, is analyzing of effect of economic activity combination on corruption. In this article, 6 variables corruption, GDP per capita, oil rent, share of industrial value added in GDP and share of services value added in GDP are used. In this article, two models are estimated. First model is Bayesian model that is used for Iran. Second model is panel data model that is used for OPEC countries over the years 1995 to 2010. The conclusion have been obtained shows that oil rent and share of services value added in GDP variables have an positive effect on corruption and as they increase, corruption have been increased. The share of industrial value added in GDP and GDP per capita variables have an adverse effect on corruption and as they increase, corruption have been decreased. Also democracy has no significant effect on corruption.