Analysis of the Dynamic Impact of Institutional Quality Index of Corruption on Life Expectancy an Indicator of Health in the Selected Asian Developing Countries (PMG Model Approach)

Health as a special commodity and a fundamental right of all people has always been considered by policymakers. Corruption as one of the indicators of institutional quality can lead the resources of society to specific groups and cause a lack of resources in areas such as health. Therefore, the phenomenon of corruption can be one of the obstacles to achieving the health goals in any society. The purpose of this article is to examine the impact of two different indicators of corruption on life expectancy in 10 selected Asian developing countries for the period 1996 to 2015. For this purpose, Pooled Mean Group Econometric (PMG) method was used. The results showed that in both models, reducing corruption had a positive and significant effect on life expectancy in the long run. However, in the short term, only the control of corruption index introduced by the World Bank had a significant and negative effect on life expectancy. In other words, in the short term, corruption has been able to positively affect health by bypassing the legal barriers in the health sector. In the long run, on the contrary, the negative effects of corruption are greater and therefore corruption has a negative impact on health in the long run.