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Corruption and Government Size: A Disaggregated Analysis

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Author Info
 Goel, Rajeev K
Nelson, Michael A

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Abstract

Using annual state-level data over 1983-87, this paper examines the effect of government size on corruption by public officials by including both demand and supply side incentives for engaging in corrupt practices. The authors' objectives are twofold. First, they assess the relationship between the incidence of corruption and overall measures of the size of the federal government and the state-local sector in each state. Second, the authors explore what kinds of government activities are more likely to be successful in deterring abuse of public office. Their results are generally supportive of Becker's 'crime and punishment' model. Regarding the primary focus of the paper, the authors' results show that government size, in particular spending by state governments, does indeed have a strong positive influence on corruption. Copyright 1998 by Kluwer Academic Publishers

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Publisher Info
Article provided by Springer in its journal Public Choice.

Volume (Year): 97 (1998)
Issue (Month): 1-2 (October)
Pages: 107-20
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Handle: RePEc:kap:pubcho:v:97:y:1998:i:1-2:p:107-20

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  1. Björn Frank, 2004. "Zehn Jahre empirische Korruptionsforschung," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 73(2), pages 184-199.
  2. Gurgur, Tugrul & Shah, Anwar, 2005. "Localization and corruption : panacea or pandora's box?," Policy Research Working Paper Series 3486, The World Bank. [Downloadable!]
  3. Mikael Priks, 2007. "Judiciaries in Corrupt Societies," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
  4. Goel, Rajeev K. & Nelson, Michael A., 2008. "Causes of Corruption:History, Geography, and Government," BOFIT Discussion Papers 6/2008, Bank of Finland, Institute for Economies in Transition. [Downloadable!]
  5. Konstantinos Angelopoulos & Apostolis Philippopoulos, 2005. "The Role of Government in Anti-Social Redistributive Activities," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
  6. Konstantinos Angelopoulos & George Economides, . "Fiscal Policy, Rent Seeking and Growth under Electoral Uncertainty Theory and Evidence from the OECD," Working Papers 2007_28, Department of Economics, University of Glasgow, revised Apr 2008. [Downloadable!]
    Other versions:
  7. Edward L. Glaeser & Raven Saks, 2004. "Corruption in America," NBER Working Papers 10821, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  8. Rocío Albert & Francisco Cabrillo, 2006. "Gresham's law in politics: Why are politicians not the most remarkable men for probity and punctuality?," European Journal of Law and Economics, Springer, vol. 21(2), pages 99-112, April. [Downloadable!] (restricted)
  9. Huther, Jeff & Shah, Anwar, 2000. "Anti-corruption policies and programs : a framework for evaluation," Policy Research Working Paper Series 2501, The World Bank. [Downloadable!]
  10. James E. Alt & David Dreyer Lassen, 2008. "Inequality and Corruption: Evidence from US States," EPRU Working Paper Series 08-02, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics. [Downloadable!]
  11. Teuea Toatu, 2002. "Unravelling the Pacific Paradox," International and Development Economics Working Papers idec02-2, International and Development Economics. [Downloadable!]
  12. Fosu, Augustin Kwasi, 2007. "The External Debt-Servicing Constraint and Public Expenditure Composition: Evidence from African Economies," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
  13. Craig Depken & Courtney Lafountain, 2006. "Fiscal consequences of public corruption: Empirical evidence from state bond ratings," Public Choice, Springer, vol. 126(1), pages 75-85, January. [Downloadable!] (restricted)
  14. Teuea Toatu, 2002. "Unravelling the Pacific paradox," Development Economics Working Papers 603, East Asian Bureau of Economic Research. [Downloadable!]
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