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Does corruption discourage international trade?

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Author Info

  • de Jong, Eelke
  • Bogmans, Christian

Abstract

We use measures of trade-related corruption to investigate the effects of corruption on international trade and compare the results with those of corruption in general. We distinguish corruption in an exporting economy from that in an importing economy. Both distinctions appear to be important. Corruption in general hampers international trade, whereas bribe paying to customs enhances imports. This effect is most robust in importing countries with inefficient customs. High waiting times at the border significantly reduce international trade. The effects of unpredictability of corruption and policies are inconclusive.

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Bibliographic Info

Article provided by Elsevier in its journal European Journal of Political Economy.

Volume (Year): 27 (2011)
Issue (Month): 2 (June)
Pages: 385-398

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Handle: RePEc:eee:poleco:v:27:y:2011:i:2:p:385-398

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Web page: http://www.elsevier.com/locate/inca/505544

Related research

Keywords: Corruption International trade Quality of customs Gravity equation;

References

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Citations

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Cited by:
  1. Yamamura, Eiji, 2011. "Public sector corruption and the probability of technological disasters," MPRA Paper 34833, University Library of Munich, Germany.
  2. Costas-Pérez, Elena & Solé-Ollé, Albert & Sorribas-Navarro, Pilar, 2012. "Corruption scandals, voter information, and accountability," European Journal of Political Economy, Elsevier, vol. 28(4), pages 469-484.
  3. Timothy Hinks & Artjoms Ivlevs, 2012. "Bribing Behaviour and Sample Selection: Evidence from Post-Socialist countries and Western Europe," Working Papers 20121208, Department of Accounting, Economics and Finance, Bristol Business School, University of the West of England, Bristol.
  4. FE, Doukouré Charles, 2011. "Qualité des Institutions et Commerce International: Évidence à Partir des Exportations de l'UEMOA
    [Institutions Quality and International Trade: Evidence from WAEMU Exports]
    ," MPRA Paper 33333, University Library of Munich, Germany.
  5. Campos, Nauro F. & Horváth, Roman, 2012. "Reform redux: Measurement, determinants and growth implications," European Journal of Political Economy, Elsevier, vol. 28(2), pages 227-237.
  6. Pieroni, Luca & d'Agostino, Giorgio, 2009. "Corruption and the Effects of Economic Freedom," MPRA Paper 18731, University Library of Munich, Germany.
  7. Beekman, Gonne & Bulte, Erwin H. & Nillesen, Eleonora E.M., 2013. "Corruption and economic activity: Micro level evidence from rural Liberia," European Journal of Political Economy, Elsevier, vol. 30(C), pages 70-79.
  8. Christian Bjørnskov, 2012. "Can bribes buy protection against international competition?," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 148(4), pages 751-775, December.

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