Corruption in Developing Countries

Benjamin Olken and Rohini Pande

No 17398, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Recent years have seen a remarkable expansion in economists' ability to measure corruption. This, in turn, has led to a new generation of well-identified, microeconomic studies. We review the evidence on corruption in developing countries in light of these recent advances, focusing on three questions: how much corruption is there, what are the efficiency consequences of corruption, and what determines the level of corruption. We find robust evidence that corruption responds to standard economic incentive theory, but also that effects of anti-corruption policies often attenuate as officials find alternate strategies to pursue rents.

JEL-codes: D73 H83 O12 (search for similar items in EconPapers)
Date: 2011-09
New Economics Papers: this item is included in nep-dev
Note: EFG PE POL
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Citations: View citations in EconPapers (39)

Published as Benjamin A. Olken & Rohini Pande, 2012. "Corruption in Developing Countries," Annual Review of Economics, Annual Reviews, vol. 4(1), pages 479-509, 07.

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Journal Article: Corruption in Developing Countries (2012)
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