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Corruption Around The World: Evidence From A Structural Model Author info | Abstract | Publisher info | Download info | Related research | Statistics Axel Dreher (University of Exeter)
Christos Kotsogiannis (University of Exeter)
Steve McCorriston (University of Exeter)
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The causes and consequences of corruption have attracted much attention in recent years by both academics and policy makers. Central in the discussion on the impact of corruption are perception-based indices. While informative, these indices are ordinal in nature and hence provide no indication of how much economic loss is attributed to corruption. Arguably, this shortcoming is rooted in the lack of a structural model. This is the issue addressed in this paper. By treating corruption as a latent variable that is directly related to its underlying causes, a cardinal index of corruption is derived for approximately 100 countries. This allows us to compute a measure of the losses due to corruption as a percentage of GDP per capita.
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Paper provided by EconWPA in its series Public Economics with number
0406004.
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Date of creation: 08 Jun 2004Date of revision:
Handle: RePEc:wpa:wuwppe:0406004Note: Type of Document - pdfContact details of provider: Web page: http://129.3.20.41
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Keywords: Corruption ; Latent Variables ; Economic Development ; Rule of Law ; Other versions of this item:
Find related papers by JEL classification: H10 - Public Economics - - Structure and Scope of Government - - - General O1 - Economic Development, Technological Change, and Growth - - Economic Development K49 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Other C39 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Other
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