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Governments manipulate official Statistics: Institutions matter

Andre Briviba, Bruno Frey, Louis Moser and Sandro Bieri

European Journal of Political Economy, 2024, vol. 82, issue C

Abstract: Many governments have been reported to systematically manipulate official statistics. However, scholarly research has not extensively dealt with the determinants of data manipulation, beyond the effect of autocracy. We extend the literature by including institutional factors hypothetically affecting data manipulation. Regressing the gap between GDP – predicted by night-time lighting data – and „official“ GDP on these institutional factors suggests that economic openness and democracy decrease manipulation, while decentralization increases manipulation. Political openness decreases manipulation for countries under-reporting GDP and increases manipulation for countries over-reporting GDP. Surprisingly, no effects are found for press freedom and the independence of the statistical office.

Keywords: Data manipulation; Official statistics; Political economy; Government; Institutions (search for similar items in EconPapers)
JEL-codes: E01 E02 H11 P44 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:poleco:v:82:y:2024:i:c:s0176268024000259

DOI: 10.1016/j.ejpoleco.2024.102523

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European Journal of Political Economy is currently edited by J. De Haan, A. L. Hillman and H. W. Ursprung

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