Badinger, Harald, Nindl, Elisabeth. 2014. Globalization and Corruption, revisited. The World Economy 37 (10): 1424-1440.


BibTeX

@ARTICLE{Badinger2014,
title = {Globalization and Corruption, revisited},
author = {Harald Badinger and Elisabeth Nindl},
year = {2014},
volume = {37},
number = {10},
language = {EN},
pages = {1424-1440},
journal = {World Economy},
abstract = {This paper presents new empirical evidence on the determinants of corruption, focussing on the role of globalisation and inequality. The estimates for a panel of 102 countries over the period 1995-2005 point to three main results: (i) Detection technologies, reflected in a high level of development, human capital and political rights reduce corruption, whereas natural resource rents increase corruption; (ii) Globalisation (in terms of both trade and financial openness) has a negative effect on corruption, which is more pronounced in developing countries; (iii) Inequality increases corruption, and once the role of inequality is accounted for, the impact of globalisation on corruption is halved. In line with recent theory, this suggests that globalisation - besides reducing corruption through enhanced competition - affects corruption also by reducing inequality.},
}

Abstract

This paper presents new empirical evidence on the determinants of corruption, focussing on the role of globalisation and inequality. The estimates for a panel of 102 countries over the period 1995-2005 point to three main results: (i) Detection technologies, reflected in a high level of development, human capital and political rights reduce corruption, whereas natural resource rents increase corruption; (ii) Globalisation (in terms of both trade and financial openness) has a negative effect on corruption, which is more pronounced in developing countries; (iii) Inequality increases corruption, and once the role of inequality is accounted for, the impact of globalisation on corruption is halved. In line with recent theory, this suggests that globalisation - besides reducing corruption through enhanced competition - affects corruption also by reducing inequality.

Publication's profile

Status of publication Published
Affiliation WU
Type of publication Journal article
Journal World Economy
Citation Index SSCI
WU-Journal-Rating new FIN-A, VW-C
Language English
Title Globalization and Corruption, revisited
Volume 37
Number 10
Year 2014
Page from 1424
Page to 1440
Reviewed? Y

Associations

People
Badinger, Harald (Details)
Nindl, Elisabeth (Former researcher)
Organization
International Economics IN (Details)
European Affairs FI (Details)
Google Scholar: Search