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Persistent corruption and parliamentary private-sector work experience

Author

Listed:
  • Boris Podobnik

    (Zagreb School of Economics and Management
    Faculty of Information Studies
    University of Rijeka)

  • Klaus F. Zimmermann

    (The Netherlands and Maastricht University, UNU–MERIT
    Center for Economic Policy Research
    Global Labor Organization)

  • Luka Medvidović

    (Zagreb School of Economics and Management
    Faculty of Information Studies)

Abstract

The reasons behind the slow pace of corruption suppression within democratic systems are not well understood. We suggest that it relates to a societal inequity, precisely an insufficient parliamentary representation of the interests of private-sector workers. Our analysis of data from European Economic Area countries reveals a positive correlation between the proportion of Members of Parliament who have exclusively worked in the public sector and the level of corruption in their respective countries. Further, we find a negative correlation between a country’s level of corruption representing a form of in-group cooperation and the percentage of its population in cooperatives, which serves as an indicator of universal cooperation. Finally, the emergence of breakpoints in the analysis of corruption data motivates us to propose a network model where the economy is an evolving complex system characterized by a tipping point. We argue that, particularly in more corrupt European countries, private-sector workers should be better represented by parliamentarians with private-sector work experience to successfully combat corruption and thus promote equity and good governance.

Suggested Citation

  • Boris Podobnik & Klaus F. Zimmermann & Luka Medvidović, 2025. "Persistent corruption and parliamentary private-sector work experience," Journal of Evolutionary Economics, Springer, vol. 35(2), pages 207-245, April.
  • Handle: RePEc:spr:joevec:v:35:y:2025:i:2:d:10.1007_s00191-024-00884-4
    DOI: 10.1007/s00191-024-00884-4
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    More about this item

    Keywords

    Evolutionary economics; Parochialism; Network theory; Corruption; Good governance; Public and private sectors; Modeling complex dynamic economic systems;
    All these keywords.

    JEL classification:

    • A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines
    • A14 - General Economics and Teaching - - General Economics - - - Sociology of Economics
    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation

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