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Review of anti-corruption strategies Rob McCusker - Australian ...

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overloads on existing ones or the import <strong>of</strong> frameworks that do not necessarily ‘fit’ local conditions – <strong>of</strong><br />

particular relevance to current proposals for a new Commonwealth <strong>anti</strong>-<strong>corruption</strong> agency.<br />

Cameron L et al. 2005. Do attitudes towards <strong>corruption</strong> differ across cultures? Experimental evidence<br />

from Australia, India, Indonesia and Singapore. Department <strong>of</strong> Economics working papers series no. 943.<br />

http://www.economics.unimelb.edu.au/research/workingpapers/wp05/943.pdf<br />

This paper examines cultural differences in attitudes towards <strong>corruption</strong> by analysing individual decision<br />

making in a corrupt experimental environment. The paper uses experiments which differentiate between the<br />

incentives to engage in corrupt behaviour and the incentives to punish corrupt behaviour and allow further<br />

exploration as to whether, in environments characterised by lower levels <strong>of</strong> <strong>corruption</strong>, there is both a lower<br />

propensity to engage in corrupt behaviour and a higher propensity to punish corrupt behaviour. Based<br />

on experiments run in Australia (Melbourne), India (Delhi), Indonesia (Jakarta) and Singapore, the paper<br />

finds that there is more variation in the propensities to punish corrupt behaviour than in the propensities to<br />

engage in corrupt behaviour across cultures. The results reveal that the subjects in India exhibit a higher<br />

tolerance towards <strong>corruption</strong> than the subjects in Australia while the subjects in Indonesia behave similarly<br />

to those in Australia. The subjects in Singapore have a higher propensity to engage in <strong>corruption</strong> than<br />

the subjects in Australia. The paper also varied its experimental design to examine the impact <strong>of</strong> a more<br />

effective punishment system and the effect <strong>of</strong> the perceived cost <strong>of</strong> bribery.<br />

Case W 2005. Political mistrust in Southeast Asia. Comparative sociology 4(1–2); 81–100<br />

This paper focuses on a number <strong>of</strong> contemporary leaderships in Southeast Asia that have produced<br />

variable amounts <strong>of</strong> mass-level mistrust, including those <strong>of</strong> Indonesia, the Philippines, Malaysia, Thailand,<br />

and Singapore.<br />

Choon-Yin S 2005. Singapore’s experience in curbing <strong>corruption</strong> and the growth <strong>of</strong> the underground<br />

economy. Sojourn 20(1): 39–66<br />

This paper suggests, firstly, that an extensive underground economy (UGE) is undesirable because it<br />

brings forth more harm than benefit to the economies and, secondly, that curbing <strong>corruption</strong> is a useful<br />

measure to contain the growth <strong>of</strong> the UGE. The key to curbing <strong>corruption</strong> is the enactment <strong>of</strong> appropriate<br />

rules as well as having in place good men – men who are incorruptible – to enact and enforce the rules.<br />

The article uses Singapore as a case study.<br />

Dreher A, Kotsogiannis C & McCorriston S 2005. How do institutions affect <strong>corruption</strong> and the shadow<br />

economy. Econpapers http://129.3.20.41/eps/pe/papers/0502/0502012.pdf<br />

This paper analyses a simple model that captures the relationship between institutional quality, the<br />

shadow economy and <strong>corruption</strong>. It shows that an improvement in institutional quality reduces the<br />

shadow economy and affects the <strong>corruption</strong> market. The exact relationship between <strong>corruption</strong> and<br />

institutional quality is, however, ambiguous and depends on the relative effectiveness <strong>of</strong> the institutional<br />

quality in the shadow and <strong>corruption</strong> markets. The predictions <strong>of</strong> the model are empirically tested – by<br />

means <strong>of</strong> Structural Equation Modelling that treats the shadow economy and the <strong>corruption</strong> market as<br />

latent variables – using data from OECD countries. The results show that an improvement in institutional<br />

quality reduces the shadow economy directly and <strong>corruption</strong> both directly and indirectly (through its effect<br />

on the shadow market).<br />

Dusek L, Ortmann A & Lizal L 2005.Understanding <strong>corruption</strong> and corruptibility through experiments.<br />

Prague economic papers 14(2); 147–62<br />

This paper reviews a particular mode <strong>of</strong> investigation <strong>of</strong> <strong>corruption</strong> and corruptibility: experiments. The<br />

paper assesses their strengths and weaknesses, and identifies areas where they could be particularly<br />

useful in guiding policy choices – namely in designing incentive-compatible and effective <strong>anti</strong>-<strong>corruption</strong><br />

measures in public procurement.

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