This paper addresses the issue of impacts
of corruption on stock market volatility. By applying panel data analysis on a
set of 16 countries from 2010 to 2016, sufficient evidence for a negative
relationship between corruption and stock market volatility is provided, while
controlling for several macroeconomic and financial variables.
JEL classification numbers: D73, E44, G1.
Keywords: Corruption, stock market volatility, panel data.