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An Experimental Bribery Game

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Author Info
Klaus Abbink
Bernd Irlenbusch
Elke Renner

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Abstract

Essential characteristics of corruption are (1) reciprocity relationships between bribers and public officials, (2) negative welfare effects, and (3) high penalties when discovered. We separate the influences of these factors in an experiment. In a two-player game, reciprocation is economically inefficient through negative externalities. A control treatment without externalities is also conducted. In a third, so-called sudden death treatment, corrupt pairs face a low probability of exclusion from the experiment without payment. The results show that reciprocity can establish bribery relationships, where negative externalities have no apparent effect. The penalty threat significantly reduces corruption, although discovery probabilities are typically underestimated. Copyright 2002, Oxford University Press.

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Publisher Info
Article provided by Oxford University Press in its journal The Journal of Law, Economics, and Organization.

Volume (Year): 18 (2002)
Issue (Month): 2 (October)
Pages: 428-454
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Handle: RePEc:oup:jleorg:v:18:y:2002:i:2:p:428-454

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  1. Omar Azfar & William Nelson, 2007. "Transparency, wages, and the separation of powers: An experimental analysis of corruption," Public Choice, Springer, vol. 130(3), pages 471-493, March. [Downloadable!] (restricted)
  2. Klaus Abbink & Heike Hennig-Schmidt, 2002. "Neutral versus Loaded Instructions in a Bribery Experiment," Bonn Econ Discussion Papers bgse23_2002, University of Bonn, Germany. [Downloadable!]
  3. Urs Fischbacher & Simon Gaechter, 2006. "Heterogeneous social preferences and the dynamics of free riding in public goods," Discussion Papers 2006-01, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham. [Downloadable!]
    Other versions:
  4. Nicolas Jacquemet, 2005. "Corruption as Betrayal : Experimental Evidence on Corruption Under Delegation," Working Papers 0506, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure. [Downloadable!]
    Other versions:
  5. Fernanda Rivas, 2006. "An experiment on corruption and gender," Documentos de Trabajo (working papers) 0806, Department of Economics - dECON. [Downloadable!]
    Other versions:
  6. Klaus Abbink & Heike Hennig-Schmidt, 2006. "Neutral versus loaded instructions in a bribery experiment," Experimental Economics, Springer, vol. 9(2), pages 103-121, June. [Downloadable!] (restricted)
  7. Klaus Abbink & Matthew Ellman, 2004. "The Donor Problem," Economics Working Papers 796, Department of Economics and Business, Universitat Pompeu Fabra, revised Jan 2005. [Downloadable!]
  8. Vivi Alatas & Lisa Cameron & Ananish Chaudhuri & Nisvan Erkal & Lata Gangadharan, 2009. "Subject pool effects in a corruption experiment: A comparison of Indonesian public servants and Indonesian students," Experimental Economics, Springer, vol. 12(1), pages 113-132, March. [Downloadable!] (restricted)
    Other versions:
  9. Andrew Dowell & Michael Wooldridge & Peter McBurney, 2007. "The Computational Difficulty of Bribery in Qualitative Coalitional Games," Working Papers 2007.100, Fondazione Eni Enrico Mattei. [Downloadable!]
  10. L. Cameron & A. Chaudhuri & N. Erkal & L. Gangadharan, 2005. "Do Attitudes Towards Corruption Differ Across Cultures? Experimental Evidence from Australia, India, Indonesia andSingapore," Department of Economics - Working Papers Series 943, The University of Melbourne. [Downloadable!]
  11. Olivier Armantier & Amadou Boly, 2008. "Can Corruption Be Studied in the Lab? Comparing a Field and a Lab Experiment," CIRANO Working Papers 2008s-26, CIRANO. [Downloadable!]
  12. Klaus Abbink, 2000. "Fair Salaries and the Moral Costs of Corruption," Bonn Econ Discussion Papers bgse1_2000, University of Bonn, Germany. [Downloadable!]
  13. Barr, Abigail & Lindelow, Magnus & Serneels, Pieter, 2004. "To serve the community or oneself - the public servant's dilemma," Policy Research Working Paper Series 3187, The World Bank. [Downloadable!]
    Other versions:
  14. Simon Gaechter, 2006. "Conditional cooperation: Behavioral regularities from the lab and the field and their policy implications," Discussion Papers 2006-03, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham. [Downloadable!]
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