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Corruption Across Countries and Regions: Some Consequences of Local Osmosis

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  • Raaj Sah

Abstract

Large and persistent differences in corruption across comparable countries is a challenging research issue. Even more intriguing are such differences across regions within the same country, because the typically considered socioeconomic and governance characteristics are generally more similar across such regions than across different countries. This paper’s principal theme is that individuals’ perceptions of their environments are influenced by the realities that they have faced in the past; these perceptions affect their current and future actions; which in turn influence the current and future realities. An articulation and analysis of these dynamics yields significant observations concerning individuals’ behavior and societal outcomes.

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Bibliographic Info

Paper provided by Harris School of Public Policy Studies, University of Chicago in its series Working Papers with number 0609.

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Date of creation: Mar 2006
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Handle: RePEc:har:wpaper:0609

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Keywords: corruption;

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  1. Raaj Sah, 2005. "Corruption Across Countries and Regions: Some Consequences of Local Osmosis," Working Papers 10-2005, Singapore Management University, School of Economics.
  2. Edward P. Lazear, 2000. "Economic Imperialism," The Quarterly Journal of Economics, MIT Press, vol. 115(1), pages 99-146, February.
  3. Sah, Raaj, 2000. "Some results for the comparative statics of steady states of higher-order discrete dynamic systems," Journal of Economic Dynamics and Control, Elsevier, vol. 24(10), pages 1481-1489, September.
  4. 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.
  5. Edward L. Glaeser & Jose A. Scheinkman, 2001. "Non-Market Interactions," Harvard Institute of Economic Research Working Papers 1914, Harvard - Institute of Economic Research.
  6. Edward L. Glaeser & Claudia Goldin, 2004. "Corruption and Reform: An Introduction," NBER Working Papers 10775, National Bureau of Economic Research, Inc.
  7. Pranab Bardhan, 1997. "Corruption and Development: A Review of Issues," Journal of Economic Literature, American Economic Association, vol. 35(3), pages 1320-1346, September.
  8. Isaac Ehrlich & Francis T. Lui, 1999. "Bureaucratic Corruption and Endogenous Economic Growth," Journal of Political Economy, University of Chicago Press, vol. 107(S6), pages S270-S293, December.
  9. Avery, Christopher & Zemsky, Peter, 1998. "Multidimensional Uncertainty and Herd Behavior in Financial Markets," American Economic Review, American Economic Association, vol. 88(4), pages 724-48, September.
  10. Mookherjee, Dilip & Png, I P L, 1995. "Corruptible Law Enforcers: How Should They Be Compensated?," Economic Journal, Royal Economic Society, vol. 105(428), pages 145-59, January.
  11. Cadot, Olivier, 1987. "Corruption as a gamble," Journal of Public Economics, Elsevier, vol. 33(2), pages 223-244, July.
  12. Sah, Raaj K, 1991. "Social Osmosis and Patterns of Crime," Journal of Political Economy, University of Chicago Press, vol. 99(6), pages 1272-95, December.
  13. Toke S. Aidt, 2003. "Economic analysis of corruption: a survey," Economic Journal, Royal Economic Society, vol. 113(491), pages F632-F652, November.
  14. Jain, Arvind K, 2001. " Corruption: A Review," Journal of Economic Surveys, Wiley Blackwell, vol. 15(1), pages 71-121, February.
  15. Andvig, J.C. & Ove Moene, K., 1988. "How Corruption May Corrupt," Memorandum 20/1988, Oslo University, Department of Economics.
  16. Prendergast, Canice, 2000. "Investigating corruption," Policy Research Working Paper Series 2500, The World Bank.
  17. Gary S. Becker, 1968. "Crime and Punishment: An Economic Approach," Journal of Political Economy, University of Chicago Press, vol. 76, pages 169.
  18. Brian A. Jacob & Steven D. Levitt, 2003. "Catching Cheating Teachers: The Results of an Unusual Experiment in Implementing Theory," NBER Working Papers 9414, National Bureau of Economic Research, Inc.
  19. Sushil Bikhchandani & David Hirshleifer & Ivo Welch, 1998. "Learning from the Behavior of Others: Conformity, Fads, and Informational Cascades," Journal of Economic Perspectives, American Economic Association, vol. 12(3), pages 151-170, Summer.
  20. Besley, Timothy & McLaren, John, 1993. "Taxes and Bribery: The Role of Wage Incentives," Economic Journal, Royal Economic Society, vol. 103(416), pages 119-41, January.
  21. Mauro, Paolo, 1995. "Corruption and Growth," The Quarterly Journal of Economics, MIT Press, vol. 110(3), pages 681-712, August.
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