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Leadership selection, internal promotion, and bureaucratic corruption in less developed polities

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  • James E. Rauch

Abstract

The establishment of a professional government bureaucracy in place of political appointees is an important component of an enabling environment for private enterprise. I show that internal promotion can help to bring to power individuals who highly value (relative to income) imposition of their preferences over collective goods on the public. Such individuals restrain the corruption of their subordinates as a byproduct of their efforts to implement their preferences using tax revenue. As a result, large-scale and petty corruption tend to move together and both tend to be lower the longer the practice of internal promotion has been in place.

Suggested Citation

  • James E. Rauch, 2001. "Leadership selection, internal promotion, and bureaucratic corruption in less developed polities," Canadian Journal of Economics, Canadian Economics Association, vol. 34(1), pages 240-258, February.
    • Handle: RePEc:cje:issued:v:34:y:2001:i:1:p:240-258
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    Cited by:

    1. Jiahua Che & Kim‐Sau Chung & Xue Qiao, 2021. "Career Concerns, Beijing Style," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 62(4), pages 1513-1535, November.
    2. Che, Jiahua & Chung, Kim-Sau & Qiao, Xue, 2019. "The king can do no wrong: On the criminal immunity of leaders," Journal of Public Economics, Elsevier, vol. 170(C), pages 15-26.
    3. Audrey Hu & Liang Zhou, 2007. "Selecting less Corruptible Bureaucrats," Tinbergen Institute Discussion Papers 07-096/1, Tinbergen Institute.
    4. Sameen A. Mohsin Ali, 2022. "Networks of Effectiveness? The Impact of Politicization on Bureaucratic Performance in Pakistan," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(2), pages 733-753, April.
    5. Tran, My Thi Ha, 2021. "Public Sector Management And Corruption In Asean Plus Six," OSF Preprints stxw4, Center for Open Science.
    6. Timothy Besley & Masayuki Kudamatsu, 2007. "Making Autocracy Work," STICERD - Development Economics Papers - From 2008 this series has been superseded by Economic Organisation and Public Policy Discussion Papers 48, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
    7. Che, Jiahua & Chung, Kim-Sau & Qiao, Xue, 2013. "The good, the bad, and the civil society," Journal of Public Economics, Elsevier, vol. 106(C), pages 68-76.
    8. Gervan Fearon, 2009. "Economics of public good provision: auditing, outsourcing, and bribery," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 42(3), pages 997-1022, August.

    More about this item

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption

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