Social Media, Internet and Corruption

Sudipta Sarangi () and Chandan Jha

Departmental Working Papers from Department of Economics, Louisiana State University

Abstract: In this paper we study the relationship between multi-way means of communication and corruption. Unlike traditional platforms like TV or print media, which only provide a one-way channel of communication, the internet and social media platforms provide for two-way flow of information. Using Facebook as a proxy for social media, we show that Facebook penetration and corruption are negatively associated. The same holds for internet penetration. We then exploit variations in cross-country technological adoption in the field of communication in 1500 AD to address endogeneity concerns. We show that internet penetration and Facebook penetration have a causal and negative impact on corruption. Our results also suggest that these effects are sizable making them effective tools against corruption.

Date: 2014-03
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Persistent link: https://EconPapers.repec.org/RePEc:lsu:lsuwpp:2014-03

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