Corruption Clubs: Empirical Evidence from Kernel Density Estimates

14 Pages Posted: 19 Feb 2008 Last revised: 13 May 2018

See all articles by Thomas Herzfeld

Thomas Herzfeld

IAMO; Martin Luther University of Halle-Wittenberg

Christoph Weiss

Vienna University of Economics and Business - Department of Economics

Abstract

A common finding of many analytical models is the existence of multiple equilibria of corruption. Countries characterized by the same economic, social and cultural background do not necessarily experience the same levels of corruption. In this article, we use Kernel Density Estimation techniques to analyse the cross-country distribution of corruption. Particular emphasis will be given to the question whether the distribution of corruption shows more than one peak. We find that most of the estimated densities exhibit twin peaks. We also provide some evidence on the intra-distribution dynamics and the persistence of corruption. We find the group of countries classified within the two 'clubs' to be very stable. Corruption is a highly persistent phenomenon. Substantial changes in the economic, political and cultural environment of countries within the 'corruption club' are required before a significant decline of orruption is to be expected.

Keywords: Corruption, multimodality, Kernel Density

JEL Classification: C14, H10

Suggested Citation

Herzfeld, Thomas and Weiss, Christoph, Corruption Clubs: Empirical Evidence from Kernel Density Estimates. Applied Economics, Vol. 39, No. 12, 2007, Available at SSRN: https://ssrn.com/abstract=1094658

Thomas Herzfeld (Contact Author)

IAMO ( email )

Theodor-Lieser-Str. 2
Halle/Saale, 06120
Germany

Martin Luther University of Halle-Wittenberg ( email )

Universitätsplatz 10
Halle (Saale), Saxony-Anhalt 06108
Germany

Christoph Weiss

Vienna University of Economics and Business - Department of Economics ( email )

Augasse 2-6
A-1090 Wien
Austria

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
44
Abstract Views
659
PlumX Metrics