FREE ELECTRONIC LIBRARY - Books, dissertations, abstract

Pages:     | 1 | 2 ||

«Key Words: corruption, corruptibility, experiments, experimental methodology This article draws heavily on Dusek, Ortmann & Lizal (2005) which it ...»

-- [ Page 3 ] --

As regards representative samples, most experimental economists work with a convenience sample of subjects – traditional college students. This is true for all corruption studies reviewed above. In fact, as regards the articles and papers reviewed in Dusek et al. (2005) only Barr et al. (2003) employ non-traditional subjects (Ethiopean nursing students). A simple way to address this issue is to run control treatments with other, less convenient, but arguably more representative samples. Babicky & Ortmann (2005), for example, recently conducted a battery of simple bargaining experiments (dictator, ultimatum, and Lizal & Ortmann (2003) argue that a similar leniency mechanism is also a key provision of recent Czech anti-bribery legislation.

See Lizal & Ortmann (2003) and Ortmann & Richmanova (in prep).

trust games) with employees of Prague City Hall (which has a reputation of being among the most corrupt institutions in the Czech Republic.10) As regards representative stimuli, most studies follow the convention among experimental economists of using


laboratory environments. The bribery game in AIR (2002), for example, is not framed in terms of bribe-giving or bribetaking (but see Abbink & Hennig-Schmidt 2002), nor is the rotation experiment in Abbink (2004) framed as such, nor is the Falk & Fischbacher (2000) experiment framed as a stealing experiment. In fact, only the experiments by Barr et al.

(2003) and Frank & Schulze (2000, 2003) feature aspects of real life in their setups.11 Babicky, Ortmann & Semerak (in prep) have attempted to address some of the methodological issues (e.g., the issue of “asset legitimacy”, see Cherry, Frykblom & Shogren 2002) but there should be no question that the issue of representative stimuli remains a severely understudied area.

Probably the toughest challenge to the external validity of experiments on corruption, corruptibility, and anti-corruption measures is the issue of calibration (i.e., to what extent the models underlying experimental tests are small-scale replicas of the real world, or the “field”). The results of Barr et al. (2003) exemplify the problem: Can the numbers – a 200 percent in wage increases affecting only 30% reduction in corruption – guide policy considerations in field contexts? Or, how do the clever but ultimately simplistic experiments of Frank & Schulze (2000) and Schulze & Frank (2003) translate into policy guidance, if at all?


Even though the set of experiments on corruption and corruptibility is currently rather small, and even though there are tough methodological questions associated with these kinds of experiments, some reliable patterns have emerged from the experiments already conducted: For example, it seems clear that the welfare-reducing effects on third parties do not affect corrupt behavior (e.g., AIR 2002; Abbink 2002). This suggests that clean-hands campaigns or attempts to change the public sense of propriety through advertising in metro and trams are not likely to be successful in curbing corruption. Deterrence, it also Controlling for basic socio-demographic characteristics such as age and sex, and a measure of computer literacy/cognitive ability, our preliminary data analysis suggest that it is not the people per se that work in City Hall that are the problem but the institutional arrangements; a view supported by the results of the V4 City Corruption Propensity Index of Transparency International CR (www.transparency.cz; Ortmann 2004.) That said, the absence of a loyalty effect of higher wages and the intrinsic motivation effect of the risk of punishment may have only limited external validity. In real-life situations, it is the principal himself who may induce loyalty or intrinsic motivations by offering higher wages or promising not to audit the agents. In the experiment, higher wage and risk of punishment were controlled by the experimenters, who were not connected with the principal (the film club) in a way that would meaningfully induce some loyalty.

seems clear, does work. Increasing the probability of detecting bribe-giving and bribe-taking and the size of the punishment does by and large restrain corrupt behavior (e.g., AIR 2002; Frank & Schulze 2000; Schulze & Frank 2003; see also ADS 2004). Higher wages of officials -- through the threat of losing a well-paying job if detected -- reduce corruption, but only when officials face the risk of detection and punishment (e.g., Frank & Schulze 2000, Schulze & Frank 2003;

Azfar & Nelson 2003; Barr et al. 2003; but see Abbink 2002). The results of Barr et al. (2003) suggest, though, that any increase in wages has to be considerable to effect significant reductions in corruption. The results of Falk & Fischbacher (2002) and Babicky, Ortmann & Semerak (2006) strongly suggest that the extent of corruption in a society is a major determinant of corruptibility. And there can be little doubt that skillful design and implementation of laws and regulations can overcome the distant past of a country (e.g., Spagnolo 2004; ADS 2004;

Buccirossi & Spagnolo 2006; Ortmann & Richmanova 2006).

Experiments are not the panacea that everyone doing research on the determinants of corruption and corruptibility is desperately looking for but they do allow us to address many questions in systematic and relatively low-cost ways. If for example, someone objects to the efficiency gains (or losses) used in a particular experiment, it is easy to test the robustness of the experimental results with another parameterization. If someone objects to the stakes being too small to be telling us something, the experimenter can always scale them up. (Even then experiments may be a low-cost means of exploring the effects of detection probabilities, penalty sizes, and their interactions, and the importance of people’s perceptions of the pervasiveness of corruption in society.) All things considered, laboratory experiments seem a promising strategy to designing and implementing incentive-compatible and effective anti-corruption measures.


Abbink, K. (2002), Fair Salaries and the Moral Costs of Corruption. CeDEx Working Paper 2002-5, University of Nottingham.

Abbink, K. (2004), Staff rotation as an anti-corruption policy: an experimental study. European Journal of Political Economy, forthcoming.

Abbink, K. & Hennig-Schmidt, H. (2002), Neutral versus Loaded Instructions in a Bribery Experiment. Manuscript.

Abbink, K., Irlenbusch, B., & Renner, E. (2000), The Moonlighting Game. Journal of Economic Behavior and Organization 22, 265 – 277.

Abbink, K., Irlenbusch, B., & Renner, E. (2002), An Experimental Bribery Game.

Journal of Law Economics & Organization 18, 428 – 454.

Andreoni, J. & Croson, R. (2004), Partners vs. Strangers; Random rematching in public goods experiments. In: C.R. Plott & V.L. Smith (Eds.), Handbook of Experimental Results. North-Holland, Amsterdam.

Apesteguia, J., Dufwenberg, M. & Selten, R. (2003), Blowing the Whistle, Working Paper 2003-5, Economics, University of Stockholm.

Azfar, O. & Nelson, W.R.J. (2003), Transparency, wages, and the separation of power. An experimental analysis of the causes of corruption. Working Paper, U of New York (Buffalo), featured in Transparency International 2004 yearbook.

Babicky, V. & Ortmann, A. (2005), Fairness in Risky Environments: Theory and Evidence, Mimeo.

Babicky, V., A. Ortmann & Semerak, V. (2006), Willingness to Contribute When Incomes Are Earned: The Relative Importance of Reciprocity and Inequality Aversion. Mimeo.

Barr, A., Lindelow, M., & Serneels, P. (2003), To Serve the Community or Oneself: The Public Servant’s Dilemma, CSAE WPS 2003-11.

Berentsen, A., Bruegger, E., & Loertscher, S. (2003), On Cheating and Whisteblowing. Working Paper, Econonomics Department, University of Basel.

Berg, J.E., Dickhaut, J.W., & McCabe, K.A. (1995), Trust, Reciprocity, and Social History. Games and Economic Behavior 10, 122-142.

Bolton, G. & Ockenfels, A. (2000), ERC: A Theory of Equity, Reciprocity and Competition, American Economic Review 90, 166-193.

Buccirossi, P. & Spagnolo, G. (2006), Leniency Policies and Illegal Transactions.

Journal of Public Economics (forthcoming) Charness, G. & Rabin, M. (2003), Understanding Social Preferences with Simple Tests. Quarterly Journal of Economics 117, 817-869.

Cherry, T.L., Frykblom, P., & Shogren, J.F. (2002). Hardnose the Dictator.

American Economic Review 92, 1218-1221.

Cox, J.C. (2004), How to Identify Trust and Reciprocity, Games and Economic Behavior 46, 260-281.

Dittrich, D.A.V. & Ziegelmayer, A. (2005), Laboratory Bilateral Gift Exchange:

The Impact of Loss Aversion. Mimeo.

Dusek, L., Ortmann, A. & L. Lizal (2005), Understanding Corruption and Corruptibility Through Experiments. Prague Economic Papers 14, 147–162.

Engelmann, D. & Strobel, M. (2004), Inequality Aversion, Efficiency, and Maximin Preferences in Simple Distribution Experiments. American Economic Review 94, 857-869.

Falk, A. & Fischbacher, U. (2000), “Crime” in the lab – detecting social interaction. European Economic Review 46, 859-869.

Fehr, E. & Schmidt, K. (1999), A theory of Fairness, Competition and Cooperation, Quarterly Journal of Economics 114, 817-868.

Fehr, E., Kirchsteiger, G., & Riedl, A. (1993), Does Fairness Prevent Market Clearing? An Experimental Investigation, Quarterly Journal of Economics 108, 437-459.

Fehr, E., Gaechter, S., & Kirchsteiger, G. (1997), Reciprocity as a Contract Enforcement Device, Econometrica 65, 833-860.

Frank, B. & Schulze, G.G. (2000), Does economics make citizens corrupt?

Journal of Economic Behavior and Organization 43, 101–103.

Gneezy, U. & Rustichini, A. (2000), Pay Enough or Don’t Pay at All. Quarterly Journal of Economics 115, 791-810.

Gueth, W. & Ortmann, A. (2006), A Behavioral Approach to Distribution and Bargaining. In M. Altman (ed.), Foundations and extensions of behavioral economics: A handbook. Armonk, NY: M.E. Sharpe Publishers, forthcoming.

Guererk, Oe., Irlenbusch, B. & Rockenbach, B. (2006), The Competitive Advantage of Sanctioning Institutions. Science 312, 108-111.

Harrison, G.W. & List, J. (2004), Field experiments. Journal of Economic Perspectives 42, 1009-1055.

Hertwig, R. & Ortmann, A. (2001), Experimental practices in economics: A methodological challenge for psychologists? Behavioral and Brain Sciences 24, 383–403.

Klemperer, P. (2004), Auctions: Theory and Practice. Princeton: Princeton University Press.

Kreps, D.M. (1990), Game Theory and Economic Modelling. Oxford: Oxford University Press.

List, J. (2006), The Behavioralist Meets the Market: Measuring Social Preferences and Reputation Effects in Actual Transactions. Journal of Political Economy (forthcoming).

Lizal, L. & Ortmann, A. (2003), Designing and Testing Incentive-Compatible and Effictive Anticorruption Measures. Grant proposal to GA CR. See home.cergeei.cz/Ortmann/PAPERS/CERGEEIGrantAgCRApplicMarch2003.PDF Mas-Colell, A., Whinston, M.D., & Green, J.R. (1995), Microeconomic Theory.

Oxford: Oxford University Press.

Milgrom, P. (2004), Putting Auction Theory to Work. Cambridge: University of Cambridge Press.

Ortmann, A. (2003), Bertrand Price Undercutting: A Brief Classroom Demonstration. Journal of Economic Education 34, 21-26.

Ortmann, A. (2004), Corruption Prague. The Prague Post, August 5, A5.

Ortmann, A., Fitzgerald, J., & Boeing, C. (2000), Trust, Reciprocity, and Social History: A Reexamination. Experimental Economics 3, 81-100.

Ortmann, A. & Richmanova, J. (2006), How Effective Are Czech Leniency Provisions? An Experimental Investigation. [in prep] Plott, C. (1997), Laboratory Experimental Testbeds: Application to the PCS Auction. Journal of Economics & Management Strategy 6, 605-638.

Plott, C. & Salmon, T.C. (2004), The Simultaneous, Ascending Auction:

Dynamics of Price Adjustment in Experiments and in the U.K. 3G Spectrum Auction. Journal of Economic Behavior and Organization 53, 353-383.

Rigdon, M. (2002), Efficiency Wage in an Experimental Labor Market.

Proceedings of the National Academy of Sciences of the United States of America 99, 13348-13351.

Roth, A. E. (2002), The Economist as an Engineer: Game theory, Experimentation, and Computation as tools for Design Economics. Econometrica 70, 1341-1378.

Rydval, O. & Ortmann, A. (2004), How Financial Incentives and Cognitive Abilities Affect Task Performance in Laboratory Settings: An Illustration.

Economics Letters 83, 315-320.

Schulze, G.G. & Frank, B. (2003), Deterrence vs Intrinsic Motivation:

Experimental evidence on the determinants of corruptibility. Economics of Governance 4, 143-160.

Spagnolo, G. (2004), Divide Et Impera: Optimal Leniency Policies for Cartel Deterrence. Mimeo.

Treisman, D. (2000), The Causes of Corruption: A Cross-national Study.

Journal of Public Economics 76, 399–457.

Pages:     | 1 | 2 ||

Similar works:

«Die Schadigung Des Gesellschafter Geschaftsfuhrers Und Seiner Kapitalgesellschaft Durch Auss On the blog work need his salad shares for the Ibidapo most key how you returned. Into documentation allows in, another type is used to the step on a front or to all business in 330' market. I are accessible, end new and full are the free people put bring of their edges. A decision consultation credit that can ask without the business affected internet future value is 1.8 that is conventional Glabal...»

«Whitepaper Data Governance Roadmap for IT Executives Valeh Nazemoff Acolyst, Delivering Information Management Solutions The Challenge IT Executives are challenged with issues around data, compliancy, regulation and making confident decisions on their business performance based on the information they receive. Data is the key asset of an organization and the lifeblood. How does an executive guarantee that the data they need will be reliable, accessible, accurate, complete, and secure?...»

«This PDF is a selection from an out-of-print volume from the National Bureau of Economic Research Volume Title: Issues in US-EC Trade Relations Volume Author/Editor: Robert E. Baldwin, Carl B. Hamilton and Andre Sapir, editors Volume Publisher: University of Chicago Press Volume ISBN: 0-226-03608-1 Volume URL: http://www.nber.org/books/bald88-1 Publication Date: 1988 Chapter Title: Strategic Trade, Embargoes, and Imperfect Competition Chapter Author: Henryk Kierzkowski Chapter URL:...»

«Montag, 22. Juni 2009 Offizielle Eröffnung der 8. Internationalen IHK-Begegnungswoche 2009 11:00 Uhr Begrüßung Ortwin Goldbeck, Präsident der IHK Ostwestfalen zu Bielefeld 11:15 Uhr Die Vereinigten Arabischen Emirate und die Bundesrepublik Deutschland: Eine strategische Partnerschaft bilaterale Betrachtungen – S.E. Mohammed Ahmed Al-Mahmood, Botschafter der Vereinigten Arabischen Emirate, Berlin -in englischer SpracheS.E. Klaus-Peter Brandes, Deutscher Botschafter in den Vereinigten...»

«The Economic Ascent of the Middle East’s Religious Minorities: The Role of Islamic Legal Pluralism Timur Kuran ABSTRACT In the nineteenth century, the Middle East’s Christian and Jewish minorities registered conspicuous economic advances relative to the Muslim majority. These advances were made possible by the choice of law available to non-Muslim subjects. Until the late eighteenth century, on matters critical to financial and commercial success, non-Muslims tended to exercise this...»

«MER WINDPARKEN GEMINI BIJLAGEN MINISTERIE VAN ECONOMISCHE ZAKEN, LANDBO MISCHE LANDBOUW EN INNOVATIE TYPHOON OFFSHORE 19 oktober 2012 076707886:A Definitief B02024.000089.0100 MER Windparken Gemini Bijlagen Inhoud Bijlage 1 Referentielijst Bijlage 1.1 Deel B Bijlage 1.2 Deel C Bijlage 2 Begrippenlijst Bijlage 3 Afkortingenlijst Bijlage 4 Toelichting op rijkscoördinatieregeling Bijlage 5 Algemene beschrijving aanleg van export kabels op zee Bijlage 6 Verontreinigingen in de Waddenzee Bijlage 7...»

«Für Interessierte werden auf www.exist.de die Texte der beiden Richtlinien für den Wettbewerb EXISTDie Gründerhochschule bereitgestellt. Rechtlich verbindlich sind die beiden jeweils im Bundesanzeiger veröffentlichten Fassungen. Bekanntmachung Änderung der Richtlinie zur Förderung einer Kultur der unternehmerischen Selbständigkeit an Hochschulen EXIST-Gründungskultur – Die Gründerhochschule Vom 23. Oktober 2014 Die Richtlinie zur Förderung einer Kultur der unternehmerischen...»

«Anleitung zur Anwendung im Online-Portal ELAN-K2 Version 5, 14.06.2012 Impressum Herausgeber Bundesamt für Wirtschaft und Ausfuhrkontrolle (BAFA) Frankfurter Straße 29 65760 Eschborn Ansprechpartner Telefon: +49 6196 908-613 Telefax: +49 6196 908-800 E-Mail: portal.elank2@bafa.bund.de Bildnachweis Hafen Hamburg Marketing e. V., Seite 1 1. Anmeldung im Online-Portal der Ausfuhr 2. Startseite 2.1 Abschnitt Mandanten und Benutzer 2.1.1 Grundsätzliches 2.1.2 Rollen 2.1.3 Menüpunkte 2.2...»

«BTI 2016 | Congo, DR Country Report Status Index 1-10 # 117 of 129 3.09 Political Transformation 1-10 3.40 # 109 of 129  Economic Transformation 1-10 2.79 # 121 of 129  Management Index 1-10 # 118 of 129 2.76 scale score rank trend This report is part of the Bertelsmann Stiftung’s Transformation Index (BTI) 2016. It covers the period from 1 February 2013 to 31 January 2015. The BTI assesses the transformation toward democracy and a market economy as well as the quality of political...»

«ANGEWANDTE ELEKTRONIK BIPOLARTRANSISTOREN SEITE 1 2. Bipolartransistoren 2.1 Aufbau und Wirkungsweise Bipolare Transistoren beruhen auf zwei PN-Übergängen zwischen drei Halbleiter-Elektroden (Emitter, Basis, Kollektor). Es gibt zwei Möglichkeiten, die PN-Übergänge anzuordnen. Demgemäß unterscheidet man die Transistoren nach dem Leitfähigkeitstyp und spricht von PNPund von NPN-Transistoren. Abb. 2.1 PNPund NPN-Transistoren. Moderne Transistoren sind praktisch ausnahmslos...»

<<  HOME   |    CONTACTS
2016 www.book.dislib.info - Free e-library - Books, dissertations, abstract

Materials of this site are available for review, all rights belong to their respective owners.
If you do not agree with the fact that your material is placed on this site, please, email us, we will within 1-2 business days delete him.