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Does Economic Growth Reduce Corruption? Theory and Evidence from Vietnam

Jie Bai and Seema Jayachandran

Working Papers from eSocialSciences

Abstract: Government corruption is more prevalent in poor countries than in rich countries. This paper uses cross-industry heterogeneity in growth rates within Vietnam to test empirically whether growth leads to lower corruption. The analysis uses survey data collected from over 13,000 Vietnamese firms between 2006 and 2010 and an instrumental variables strategy based on industry growth in other provinces. [BREAD Working paper no. 399].

Keywords: corruption; bribery; economic growth; bureaucratic competition; government; vietnam; bribe extraction (search for similar items in EconPapers)
Date: 2013-10
Note: Institutional Papers
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (33)

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Working Paper: Does Economic Growth Reduce Corruption? Theory and Evidence from Vietnam (2013) Downloads
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