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Title:The transition of corruption: From poverty to honesty PDF Logo
Authors:Gundlach, Erich
Paldam, Martin
Issue Date:2008
Series/Report no.:Kieler Arbeitspapiere 1411
Abstract:Measures of corruption and income are highly correlated across countries. We use prehistoric measures of biogeography as instruments for modern income levels. We find that our instrumented incomes explain the cross-country pattern of corruption just as well as do actual incomes. This result demonstrates that the long-run causality is entirely from income to corruption. Hence, there is a Corruption Transition: As countries get rich, corruption vanishes.
Subjects:Long-run development
Corruption
Biogeography
JEL:B25
O1
Document Type:Working Paper
Appears in Collections:Publikationen von Forscherinnen und Forschern des IfW
Kieler Arbeitspapiere, IfW

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