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Corruption in Asia: Pervasiveness and arbitrariness

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Author Info
Seung-Hyun Lee ()
Kyeungrae Oh ()
Abstract

How does one understand the differences and similarities of corruption among various Asian countries? We use a recent framework developed by Rodriguez, Uhlenbruck, and Eden (2005) to suggest that corruption has to be examined from two different dimensions: pervasiveness and arbitrariness. Using this framework, we ask why some Asian countries are able to achieve high levels of economic growth in the midst of high level corruption while other countries suffer from economic stagnation. We specifically suggest that more firms would bribe when pervasiveness is high, while fewer firms would bribe when arbitrariness is high. We also look into the implications on foreign direct investment. Copyright Springer Science+Business Media, LLC 2007

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File URL: http://hdl.handle.net/10.1007/s10490-006-9027-y
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Publisher Info
Article provided by Springer in its journal Asia Pacific Journal of Management.

Volume (Year): 24 (2007)
Issue (Month): 1 (March)
Pages: 97-114
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Handle: RePEc:kap:asiapa:v:24:y:2007:i:1:p:97-114

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Related research
Keywords: Corruption; Pervasiveness; Arbitrariness;

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Edgardo Campos, J. & Lien, Donald & Pradhan, Sanjay, 1999. "The Impact of Corruption on Investment: Predictability Matters," World Development, Elsevier, vol. 27(6), pages 1059-1067, June. [Downloadable!] (restricted)
  2. Mark Duggan & Steven D. Levitt, 2002. "Winning Isn't Everything: Corruption in Sumo Wrestling," American Economic Review, American Economic Association, vol. 92(5), pages 1594-1605, December. [Downloadable!]
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  3. Mauro, Paolo, 1995. "Corruption and Growth," The Quarterly Journal of Economics, MIT Press, vol. 110(3), pages 681-712, August. [Downloadable!] (restricted)
  4. Benjamin A. Olken, 2005. "Monitoring Corruption: Evidence from a Field Experiment in Indonesia," NBER Working Papers 11753, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  5. Brunetti, Aymo & Kisunko, Gregory & Weder, Beatrice, 1998. "Credibility of Rules and Economic Growth: Evidence from a Worldwide Survey of the Private Sector," World Bank Economic Review, Oxford University Press, vol. 12(3), pages 353-84, September.
    Other versions:
  6. Simeon Djankov & Rafael La Porta & Florencio Lopez-De-Silanes & Andrei Shleifer, 2002. "The Regulation Of Entry," The Quarterly Journal of Economics, MIT Press, vol. 117(1), pages 1-37, February. [Downloadable!] (restricted)
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  7. Raymond Fisman, 2001. "Estimating the Value of Political Connections," American Economic Review, American Economic Association, vol. 91(4), pages 1095-1102, September. [Downloadable!] (restricted)
  8. Shang-Jin Wei, 2000. "How Taxing is Corruption on International Investors?," The Review of Economics and Statistics, MIT Press, vol. 82(1), pages 1-11, February. [Downloadable!] (restricted)
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  9. Barreto, Raul A., 2000. "Endogenous corruption in a neoclassical growth model," European Economic Review, Elsevier, vol. 44(1), pages 35-60, January. [Downloadable!] (restricted)
  10. Naved Ahmad & Oscar Brookins, 2004. "On Corruption and Countervailing Actions in Three South Asian Nations," Journal of Policy Reform, Taylor and Francis Journals, vol. 7(1), pages 21-30, March. [Downloadable!] (restricted)
  11. Michael Carney, 2004. "The Institutions of Industrial Restructuring in Southeast Asia," Asia Pacific Journal of Management, Springer, vol. 21(1_2), pages 171-188, 03. [Downloadable!]
  12. Lenway, Stefanie & Morck, Randall & Yeung, Bernard, 1996. "Rent Seeking, Protectionism and Innovation in the American Steel Industry," Economic Journal, Royal Economic Society, vol. 106(435), pages 410-21, March. [Downloadable!] (restricted)
  13. Reinikka, Ritva & Svensson, Jakob, 2006. "Using Micro-Surveys to Measure and Explain Corruption," World Development, Elsevier, vol. 34(2), pages 359-370, February. [Downloadable!] (restricted)
  14. Kee-Hong Bae & Jun-Koo Kang & Jin-Mo Kim, 2002. "Tunneling or Value Added? Evidence from Mergers by Korean Business Groups," Journal of Finance, American Finance Association, vol. 57(6), pages 2695-2740, December. [Downloadable!] (restricted)
  15. Mike Peng & Jessie Zhou, 2005. "How Network Strategies and Institutional Transitions Evolve in Asia," Asia Pacific Journal of Management, Springer, vol. 22(4), pages 321-336, December. [Downloadable!] (restricted)
  16. Johnson, Simon & Mitton, Todd, 2003. "Cronyism and capital controls: evidence from Malaysia," Journal of Financial Economics, Elsevier, vol. 67(2), pages 351-382, February. [Downloadable!] (restricted)
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  17. Marianne Bertrand & Simeon Djankov & Rema Hanna & Sendhil Mullainathan, 2006. "Does Corruption Produce Unsafe Drivers?," Natural Field Experiments 0022, The Field Experiments Website.
    Other versions:
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Xun Wu, 2009. "Determinants of Bribery in Asian Firms: Evidence from the World Business Environment Survey," Journal of Business Ethics, Springer, vol. 87(1), pages 75-88, June. [Downloadable!] (restricted)
  2. Frank Tipton, 2009. "Southeast Asian capitalism: History, institutions, states, and firms," Asia Pacific Journal of Management, Springer, vol. 26(3), pages 401-434, September. [Downloadable!] (restricted)
  3. Geert Hofstede, 2007. "Asian management in the 21st century," Asia Pacific Journal of Management, Springer, vol. 24(4), pages 411-420, December. [Downloadable!] (restricted)
  4. Pierre-Xavier Meschi, 2009. "Government corruption and foreign stakes in international joint ventures in emerging economies," Asia Pacific Journal of Management, Springer, vol. 26(2), pages 241-261, June. [Downloadable!] (restricted)
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