Do Infrastructure Reforms Reduce the Effect of Corruption? Theory and Evidence from Latin America and the Caribbean

Liam Wren-Lewis

Working Papers ECARES from ULB -- Universite Libre de Bruxelles

Abstract: This paper investigates the interaction between corruption and infrastructure policy reforms. I construct a simple model to illustrate how both an increase in regulatory autonomy and privatisation may in uence the effect of corruption. This interaction is then analysed empirically using a panel of 153 electricity distribution firms across 18 countries in Latin America and the Caribbean between 1995 and 2007. I find evidence that greater corruption is associated with lower firrm efficiency, but that this association is reduced when an independent regulatory agency is present. These results survive a range of robustness checks including instrumenting for regulatory governance and corruption. I also find slightly less robust evidence that private ownership further mitigates the association between corruption and efficiency.

Pages: 22 p.
Date: 2011-09
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Published by:

Downloads: (external link)
https://dipot.ulb.ac.be/dspace/bitstream/2013/9691 ... doinfrastructure.pdf 2011-026-WRENLEWIS-doinfrastructure (application/pdf)

Related works:
Journal Article: Do Infrastructure Reforms Reduce the Effect of Corruption? Theory and Evidence from Latin America and the Caribbean (2015)
Working Paper: Do Infrastructure Reforms Reduce the Effect of Corruption? Theory and Evidence from Latin America and the Caribbean (2015)
Working Paper: Do Infrastructure Reforms Reduce the Effect of Corruption? Theory and Evidence from Latin America and the Caribbean (2015)
Working Paper: Do infrastructure reforms reduce the effect of corruption ? theory and evidence from Latin America and the Caribbean (2013)
Working Paper: Do infrastructure reforms reduce the effect of corruption? Theory and evidence from Latin America and the Caribbean (2011)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eca:wpaper:2013/96919

Ordering information: This working paper can be ordered from
http://hdl.handle.ne ... ulb.ac.be:2013/96919

Access Statistics for this paper

More papers in Working Papers ECARES from ULB -- Universite Libre de Bruxelles Contact information at EDIRC.
Bibliographic data for series maintained by Benoit Pauwels ().