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Corruption, Income and Piracy. An empirical analysis

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  • Bekir Insaf

    (Department of Economy, University of Sousse, Sousse, Tunisia)

Abstract

This paper subjects the piracy-corruption relationship to a detailed empirical examination. A distinction is drawn between the direct impact of corruption on piracy and the indirect impact which operates through corruption’s impact on per capita income and the resultant impact of income on piracy. Using data for 100 countries covering the period 1996–2010, both direct and indirect impacts of corruption on software piracy are estimated. Corruption is estimated to have a positive direct effect on the piracy rate. The indirect effect is found to be negative and smaller in absolute value than the direct effect for the majority of the sample income range. As a result, the total effect of corruption on software piracy is positive except for the lower income countries in the sample.

Suggested Citation

  • Bekir Insaf, 2017. "Corruption, Income and Piracy. An empirical analysis," Review of Law & Economics, De Gruyter, vol. 13(2), pages 1-25, July.
    • Handle: RePEc:bpj:rlecon:v:13:y:2017:i:2:p:25:n:1
    DOI: 10.1515/rle-2013-0005
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    More about this item

    Keywords

    income; panel data analysis; piracy; corruption;
    All these keywords.

    JEL classification:

    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling

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