CORRUPTION ACCELERATE INCOME INEQUALITY IN PAKISTAN: USE WORLD VALUE SURVEY DATA

Abstract

This study investigates the perceptions of income inequality and corruption in Pakistan, a country facing these challenges much like other nations worldwide. The economic underperformance in Pakistan is influenced by various factors, with increasing corruption emerging as a significant determinant impacting economic growth. The data is taken from World Value Survey Wave 7 (WVS Wave 7) and dates from 2017 to 2021. The findings of this study show that perceptions of corruption have a negative association with income inequality. Moreover, gender differences in corruption significantly influence perceptions of income inequality, with women being less corrupt than men. However, the involvement of specific groups, such as state authorities, business executives, and local authorities in corruption, commonly does not have a statistically significant impact on the perception of income inequality. The study suggests, based on the results, that the state government should prioritize anti-corruption, enhance transparency and accountability, conduct public awareness campaigns, promote gender equality, and implement proper economic reforms.