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CORRUPTION Syndromes of Corruption

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From analysis to reform 195<br />

corruption scores. That discontinuity makes it difficult to account for<br />

contrasts in our four groups via the cumulative effects <strong>of</strong> more corruption,<br />

to the extent that the latter can even be known. At some point in the<br />

corruption-and-development relationship something changes. That<br />

‘‘something,’’ I suggest, is best understood in terms <strong>of</strong> societies’ differing<br />

kinds <strong>of</strong> corruption and differing abilities to withstand it – issues that<br />

bring us to our discussion <strong>of</strong> reform.<br />

Reform: widening the worldview<br />

Anti-corruption reform has become a staple <strong>of</strong> development policy and a<br />

goal for many businesses too. The old view <strong>of</strong> bribes and extortion as<br />

‘‘grease’’ for bureaucratic gears, or as a tolerable overhead cost <strong>of</strong> doing<br />

business in some parts <strong>of</strong> the world, has given way to a more systemic<br />

understanding <strong>of</strong> corruption as a drag on development, a threat to property<br />

and legitimate gains, and a surreptitious tax upon honest effort, as<br />

noted in chapters 1 and 2.<br />

Solid results, however, have been difficult to show. The problems are<br />

deep-rooted while the current reform movement is recent in origin.<br />

Transparency International is little more than a decade old; frank<br />

discussions <strong>of</strong> corruption were rare at the World Bank until 1995, and<br />

the path-breaking OECD Convention on Combating Bribery – the first<br />

inter-governmental effort to address corruption on a global scale and attack<br />

its origins in wealthy as well as poor countries – did not enter into force<br />

until 1999 (OECD, 2003). The risks <strong>of</strong> reform are significant: corruption<br />

benefits well-connected people who will not surrender their advantages<br />

easily. Reform is <strong>of</strong>ten most urgent where institutions and oppositions are<br />

weakest, and as noted we cannot measure corruption with precision.<br />

Other problems are more fundamental. Some have to do with the<br />

liberalization-driven agenda that has shaped development policy: few<br />

should quarrel with the idea <strong>of</strong> wider political and economic choices, and<br />

some corruption does indeed grow out <strong>of</strong> actual or contrived ‘‘squeeze<br />

points’’ in public processes. But it does not follow that markets – or marketlike<br />

political processes such as elections – by themselves can substitute for<br />

strong state, political, and social institutions. Reducing the state’s role to<br />

‘‘governance’’ – a kind <strong>of</strong> societal referee function – makes it difficult to<br />

mobilize participants in public life and to make reform less risky for<br />

ordinary citizens. Not only has the hoped-for synergy between economic<br />

and political liberalization (Przeworski, 1995) proven difficult to develop;<br />

liberalization in either sphere without strong, accountable institutions<br />

quickly turns into choices for a powerful few, insecurity and deprivation<br />

for the many, and illicit connections between wealth and power.

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