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Are Larger Countries Really More Corrupt?

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Author(s)
Azfar, Omar
Knack, Stephen
Keywords
FISCAL RESOURCES
FOREIGN TRADE
FEDERALISM
NATIONS
GOVERNMENT SPENDING
ANTI-CORRUPTION
STATE SIZE
SAMPLE SIZE
ECONOMIC PERFORMANCE
INCOME
CONSTITUENCIES
LAW ENFORCEMENT
CPI
COMPETITION POLICY
VESTED INTERESTS
MEASUREMENT ERROR
PERCEPTIONS INDEX
POLITICAL RISK
MEDIA
DEMOCRACY
GROWTH RATES
INCOME GROWTH
GOOD GOVERNANCE
COMMUNIST
COLONIES
MONETARY ECONOMICS
INCOME
CORRUPT COUNTRIES
GOVERNANCE DATA
AGGREGATING GOVERNANCE INDICATORS
PUBLIC OFFICIALS
CORRUPTION PERCEPTIONS
CITIZENS
PER CAPITA INCOMES
AVERAGE RATINGS
POLITICAL ECONOMY
CORRUPTION SURVEYS
FEDERAL STATES
CORRUPTION IN GOVERNMENT
TRANSPARENCY
PARLIAMENT
PER CAPITA INCOME
CORRUPTION
CONTROLLING CORRUPTION
ACCOUNTABILITY
DATA AVAILABILITY
DECENTRALIZATION
GOVERNMENT AGENCIES
PUBLIC SECTOR
COUNTRIES MUST
ECONOMIC ACTIVITY
ECONOMIC DEVELOPMENT
INSTITUTIONAL MEASURES
CORRUPTION DATA
HUMAN RIGHTS
GRAFT
CITIZEN
INCOME LEVELS
COUNTRY COVERAGE
INCOME DISTRIBUTION
CORRUPTION PERCEPTIONS INDEX
DESCRIPTIVE STATISTICS
FISCAL
GOVERNMENT OFFICIALS
SELECTION BIAS
GOVERNMENT CORRUPTION
POLITICAL FREEDOMS
LAWS
GOVERNANCE INDICATORS
CORRUPTION INDICATOR
FIGHTING CORRUPTION
BRIBES
CORRUPTION LEVELS
CIVIL SERVANTS
GROWTH
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URI
http://hdl.handle.net/20.500.12424/97785
Online Access
http://hdl.handle.net/10986/19757
Abstract
Several authors claim to provide evidence that government corruption is less severe in small than in large countries. The authors demonstrate that this relationship is an artifact of sample selection. Most corruption indicators provide ratings only for the countries in which multi-national investors have the greatest interest. These tend to include almost all large nations but, among small nations, only those that are well governed. The authors find that the relationship between corruption and country size disappears when one uses either a new corruption indicator with substantially increased country coverage or an alternative corruption indicator that covers all World Bank borrowers without regard to country size. They also show that the relationship between corruption and trade intensity--a variable strongly related to population--disappears when samples less subject to selection bias are used.
Date
2014-08-27
Identifier
oai:openknowledge.worldbank.org:10986/19757
http://hdl.handle.net/10986/19757
Copyright/License
http://creativecommons.org/licenses/by/3.0/igo/
Collections
Corruption and Transparency Collection
Responsible Leadership Collection

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