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The aim of this study is to highlight the characteristics of corruption and non-academic behaviour in higher education. Using data series recorded at a representative student sample we emphasise causal relationships between certain components of corruption and aspects of academic behaviour in universities, and the usefulness and quality of university education. The novelty of this study is the usage of a simultaneous equation model in analysing the causal relationship between corruption, academic behaviour, the quality of education and the utility of studies. By applying the simultaneous equation model we outline a number of factors that can directly contribute to the reduction of corruption. These factors include the stimulation of the academic behaviour of students and teachers, the improvement of the quality of education, and the increase of the usefulness of studies in personality development.

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pushes the productive sector. Chaves and Moro ( 2007 ) investigated the pattern of S&T interplay for both the national system of innovation (NSI) and the health innovation system. The panel data and simultaneous equations models analyze the interaction

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Simultaneous Equation Models using Integration by Monte Carlo . Lecture Notes in Economics and Mathematical Systems , Springer Verlag , Berlin ( 1984 ). 9 B auwens , L. and D

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2012 ) and the Currency Demand Approach ( Ariyo – Bekoe 2011; Faal 2003 ). The study uses shadow economy, hidden economy and informal economy interchangeably. As a variant of Simultaneous Equation Models, the MIMIC model has two parts: the structural

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