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Perception vs. experience: Explaining differences in corruption measures using microdata

Author

Listed:
  • Jerg Gutmann

    (UHH - Universität Hamburg)

  • Fabio Padovano

    (CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR - Université de Rennes - CNRS - Centre National de la Recherche Scientifique)

  • Stefan Voigt

    (UHH - Universität Hamburg)

Abstract

Most corruption research suffers from one common problem: There is no objective measure of public-sector corruption for a cross-section of countries. Studies on the determinants or the effects of corruption typically rely on indicators of corruption perception. In recent years, a second type of indicator reflecting experience with bribery has become available. If corruption perception is primarily informed by experience with corruption, these two types of indicators should be very highly correlated, which they are not. This study examines the variation in individual corruption perception that cannot be explained by individual corruption experience alone. We find that both respondent characteristics and country characteristics affect corruption perception beyond what can be explained by individuals' first-hand experience of corruption. Some of these biases may force us to reevaluate results of corruption research that is based on perception data, as well as the anti-corruption policies designed in response to these results.

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  • Jerg Gutmann & Fabio Padovano & Stefan Voigt, 2020. "Perception vs. experience: Explaining differences in corruption measures using microdata," Post-Print hal-02960969, HAL.
    • Handle: RePEc:hal:journl:hal-02960969
    DOI: 10.1016/j.ejpoleco.2020.101925
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    Cited by:

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    2. Potrafke, Niklas, 2019. "Electoral cycles in perceived corruption: International empirical evidence," Journal of Comparative Economics, Elsevier, vol. 47(1), pages 215-224.
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    6. Samuel Brazys & Johan A. Elkink & Gina Kelly, 2017. "Bad neighbors? How co-located Chinese and World Bank development projects impact local corruption in Tanzania," The Review of International Organizations, Springer, vol. 12(2), pages 227-253, June.
    7. Jerg Gutmann & Katarzyna Metelska-Szaniawska & Stefan Voigt, 2024. "The comparative constitutional compliance database," The Review of International Organizations, Springer, vol. 19(1), pages 95-115, January.
    8. Gründler, Klaus & Potrafke, Niklas, 2019. "Corruption and economic growth: New empirical evidence," European Journal of Political Economy, Elsevier, vol. 60(C).
    9. Jerg Gutmann & Viola Lucas, 2018. "Private-Sector Corruption: Measurement and Cultural Origins," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 138(2), pages 747-770, July.
    10. Allen, Franklin & Qian, Jun & Shen, Lin, 2018. "Corruption and Competition," CEPR Discussion Papers 13218, C.E.P.R. Discussion Papers.
    11. Rajeev K. Goel & Ummad Mazhar & Rati Ram, 2022. "Dimensions of size and corruption perceptions versus corruption experiences by firms in emerging economies," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 46(2), pages 374-396, April.
    12. Rajeev K. Goel & Michael A. Nelson, 2021. "Corrupt encounters of the fairer sex: female entrepreneurs and their corruption perceptions/experience," The Journal of Technology Transfer, Springer, vol. 46(6), pages 1973-1994, December.
    13. Paldam, Martin, 2021. "The transition of corruption institutions and dynamics," European Journal of Political Economy, Elsevier, vol. 67(C).
    14. Guoyao Yan & Yu Hao & Yunxia Guo & Haitao Wu, 2022. "Are environmental problems a barometer of corruption in the eyes of residents? Evidence from China," Kyklos, Wiley Blackwell, vol. 75(2), pages 337-361, May.
    15. Andres Jauregui & Kirk C. Heriot & David T. Mitchell, 2021. "Corruption and formal-sector entrepreneurship in a middle-income country: spatial analysis of firm births in the Mexican states," Small Business Economics, Springer, vol. 57(4), pages 1957-1972, December.
    16. Konda, Bruhan & González‐Sauri, Mario & Cowan, Robin & Yashodha, Yashodha & Chellattan Veettil, Prakashan, 2021. "Social networks and agricultural performance: A multiplex analysis of interactions among Indian rice farmers," MERIT Working Papers 2021-030, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    17. Berggren, Niclas & Bjørnskov, Christian, 2020. "Corruption, judicial accountability and inequality: Unfair procedures may benefit the worst-off," Journal of Economic Behavior & Organization, Elsevier, vol. 170(C), pages 341-354.
    18. Germana Corrado & Luisa Corrado & Giuseppe De Michele & Francesco Salustri, 2017. "Are Perceptions of Corruption Matching Reality? Theory and Evidence from Microdata," CEIS Research Paper 420, Tor Vergata University, CEIS, revised 14 Dec 2017.
    19. Sujin Cha, 2024. "Chinese aid and corruption in African local governments," Journal of International Development, John Wiley & Sons, Ltd., vol. 36(1), pages 587-605, January.
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    More about this item

    Keywords

    Corruption experience; Corruption measurement; Corruption perception; Governance indicators; Institutional quality; Subjective indicators;
    All these keywords.

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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