Trust and Bribery: The Role of the Quid Pro Quo and the Link with Crime
44 Pages Posted: 7 Jul 2004
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Trust and Bribery: The Role of the Quid Pro Quo and the Link with Crime
Trust and Bribery: The Role of the Quid Pro Quo and the Link with Crime
Trust and Bribery: The Role of the Quid Pro Quo and the Link with Crime
Date Written: June 2004
Abstract
I study data on bribes actually paid by individuals to public officials, viewing the results through a theoretical lens that considers the implications of trust networks. A bond of trust may permit an implicit quid pro quo to substitute for a bribe, which reduces corruption. Appropriate networks are more easily established in small towns, by long-term residents of areas with many other long-term residents, and by individuals in regions with many residents their own age. I confirm that the prevalence of bribery is lower under these circumstances, using the International Crime Victim Surveys. I also find that older people, who have had time to develop a network, bribe less. These results highlight the uphill nature of the battle against corruption faced by policy-makers in rapidly urbanizing countries with high fertility. I show that victims of (other) crimes bribe all types of public officials more than non- victims, and argue that both their victimization and bribery stem from a distrustful environment.
Keywords: networks, crime, corruption
JEL Classification: K4, O1, D6
Suggested Citation: Suggested Citation
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