Kaufmann, Daniel (2005): Myths and Realities of Governance and Corruption. Published in: Global Competitiveness Report 2005-06 (October 2005): pp. 81-98.
Download (133kB) | Preview
A number of popular notions and outright myths on governance and corruption are addressed in this chapter. We distinguish clearly between governance and anti-corruption, while probing the links between both notions. In so doing we challenge the conventional definition of corruption as being too narrow, legalistic and unduly focused on the public sector, while underplaying the role of the private sector. We then challenge the notion that governance and corruption cannot be measured, showcasing the latest worldwide governance indicators, measuring six dimensions of governance and cover over 200 countries, based on multiple sources, including the EOS. Thanks to these governance indicators and related datasets, it has been possible to study the extent to which governance and anticorruption matters.
Consistent with the adage that 'sunlight is the best disinfectant', the potential gains of embarking on a transparency reform strategy is given particular prominence in this chapter, and a detailed 12-point 'scorecard' for countries to rate themselves in terms of the implementation of concrete transparency measures is presented. The chapter then concludes with a call for a global compact on governance and anti-corruption, where the G-8 and other rich countries, the multinationals, IFIs, civil society and the government leadership in the emerging economies share responsibility in making concerted progress.
|Item Type:||MPRA Paper|
|Original Title:||Myths and Realities of Governance and Corruption|
|Keywords:||corruption; transparency; governance|
|Subjects:||O - Economic Development, Technological Change, and Growth > O1 - Economic Development > O10 - General
H - Public Economics > H0 - General > H00 - General
C - Mathematical and Quantitative Methods > C1 - Econometric and Statistical Methods and Methodology: General
C - Mathematical and Quantitative Methods > C3 - Multiple or Simultaneous Equation Models; Multiple Variables
O - Economic Development, Technological Change, and Growth > O1 - Economic Development > O16 - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
E - Macroeconomics and Monetary Economics > E0 - General > E00 - General
C - Mathematical and Quantitative Methods > C4 - Econometric and Statistical Methods: Special Topics > C42 - Survey Methods
K - Law and Economics > K4 - Legal Procedure, the Legal System, and Illegal Behavior
|Depositing User:||Laisa Daza|
|Date Deposited:||08. Apr 2008 20:48|
|Last Modified:||12. Feb 2013 07:11|
Acemoglu D., S. Johnson, and J. A. Robinson. 2001. “The Colonial Origins of Comparative Development: An Empirical Investigation.” American Economic Review 91(5):1369–1401.
Alcala, F. and A. Ciccone. 2004. “ Trade and Productivity.” Quarterly Journal of Economics 119(2):613–46.
Alonso-Terme, R., H. Davoodi, and S. Gupta. 1998. “Does Corruption Affect Income Inequality and Poverty?” IMF Working Papers 98/76. Washington, DC.
Bellver, A. and D. Kaufmann. 2005. “Transparenting Transparency: Initial Empirics and Policy Applications.” World Bank Policy Research Working Paper. Washington, DC. Forthcoming.
Burnside, C. and D. Dollar. 1999. “Aid, Policies, and Growth.” Policy Research Working Paper Series 1777. Washington, DC: World Bank.
Camdessus M. 1998. “Money Laundering: the Importance of International Countermeasures.” Address by Michel Camdessus at the Plenary Meeting of the Financial Action Task Force on Money Laundering. Paris. 10 February.
Commission for Africa. 2005. Our Common Interest: Report of the Commission for Africa. London.
Center for Global Development. 2004. “On the Brink: Weak States and US National Security.” Commission on Weak States and US National Security. Washington, DC.
Dollar, D. and V. Levin. 2005. “Sowing and Reaping: Institutional Quality and Project Outcomes in Developing Countries.” Policy Research Working Paper Series 3524. Washington, DC: World Bank.
Factiva. Online at: http://www.factiva.com
Freedom House. 2005. “Freedom of the Press Indicators.” Online at: http://www.freedomhouse.org
Friedman E., S. Johnson, and D. Kaufmann. 2000. “Dodging the Grabbing Hand: The Determinants of Unofficial Activity in 69 Countries.” Journal of Public Economics 76(3):459–493.
Heston, A., R. Summers, and B. Aten. 2002. Penn World Table Version 6.1. Philadelphia: Center for International Comparisons at the University of Pennsylvania (CICUP).
Isham, J., D. Kaufmann, and L. Pritchett. 1997. “Civil Liberties, Democracy, and the Performance of Government Projects.” World Bank Economic Review 11(2):219–2.
Kaufmann, D. 2002. “Governance Crossroads.” The Global Competitiveness Report 2002–2003. World Economic Forum. New York: Oxford University Press
———. 2003. “Governance Redux: The Empirical Challenge.” The Global Competitiveness Report 2003–2004. New York: Oxford University Press.
———. 2004. “Corruption, Governance and Security: Challenges for the Rich Countries and the World.” The Global Competitiveness Report 2004–2005. World Economic Forum. New York: Oxford University Press.
Kaufmann, D., and A. Kraay. 2002. “Growth Without Governance.” Economia 3(1):169–215.
Kaufmann, D. and M. Mastruzzi. 2005. “Corruption: A Trillion Dollar ‘Industry’?” World Bank. Washington, DC. Forthcoming.
Kaufmann, D, A. Kraay and M. Mastruzzi. 2005. “Governance Matters IV: Governance Indicators for 1996–2004.” World Bank Policy Research Working Paper 3630. Washington, DC.
Levin, M. and G. Satarov. 2000. “Corruption and Institutions in Russia.” European Journal of Political Economy 16:113–32.
Organisation for Economic Co-operation and Development. 1998. “The Size of Government Procurement Markets.” OECD Journal on Budgeting 1(4).
Rodrik, D., A. Subramanian, and F. Trebbi. 2004. “Institutions Rule: The Primacy of Institutions over Geography and Integration in Economic Development.” Journal of Economic Growth 9(2):131–165.
Satarov G. and M. Levin. 2005. “Corruption in Russia: Dynamics and Perspectives.” Moscow: INDEM.
Schneider, F. and D. Enste. 2002. “Shadow Economies Around the World: Size, Causes and Consequences.” IMF WP/00/26.
Sen, A. 1981. Poverty and Famines: An Essay on Entitlement and Deprivation. Oxford: Oxford University Press.
Stiglitz, J. E. 1999. “On Liberty, the Right to Know, and Public Disclosure: The Role of Transparency in Public Life.” Oxford Amnesty Lecture.
United States Central Agency. 2001. The World Factbook. Online at: http://www.cia.gov/cia/publications/factbook
United States Census Bureau. 2002. Economic Census, Table 1. Advance Summary Statistics for the United States. Washington, DC. Online at: http://www.census.gov/econ/census02/advance/TABLE1.HTM
Walker, J. 1999. “Measuring the Extent of International Crime and Money Laundering.” Paper prepared for KriminalExpo Conference. Budapest. June.
World Bank. 1997. Governance Databank. Online at: http://www.worldbank.org/wbi/governance/govdata/unofficial_data.xls
———. 2004. Country Policy and Institutional Assessments. Washington, DC.
———. 2000. World Business Environment Survey. Washington, DC. Online at: http://www.worldbank.org/privatesector/ic/ic_ica_resources.htm
———. 2000–2003. Various diagnostics surveys for various countries. Online at: http://www.worldbank.org/wbi/governance/capacitybuild
World Bank Institute. 2002. “The Right to Tell: The Role of Mass Media in Economic Development.” World Bank. Washington, DC.
———. Various years. Governance Databank. Online at: http://www.worldbank.org/wbi/governance/data.html
———. 2003. Governance Survey. Online at: http://www.wbigf.org/hague/hague_survey.php3
World Economic Forum. 2003. The Global Competitiveness Report 2003–2004. New York: Oxford University Press.
———. 2004. The Global Competitiveness Report 2004–2005. Hampshire: Palgrave Macmillan.