Corruption Perceptions Versus Corruption Incidence: Competition for Rents Across Russian Regions

Posted: 29 Mar 2016 Last revised: 19 Apr 2016

See all articles by Veronika Belousova

Veronika Belousova

National Research University Higher School of Economics

Rajeev K. Goel

Illinois State University - Department of Economics

Iikka Korhonen

Bank of Finland - Institute for Economies in Transition (BOFIT)

Date Written: 2016

Abstract

This paper examines the effects of different competitions for favors on the prevalence and perceptions of corruption across Russian regions. Results show that while greater general competition (measured by regional population size), increases both perceived and actual corruption, competition among enterprises only increases corruption perceptions, while competition among government employees increases actual, but not perceived, corruption. Privatization activity and unemployment fail to affect either measure of corruption. Finally, the effects of urbanization differ on perceived and actual corruption. Besides Russia, these findings are somewhat unique to the broader literature.

Suggested Citation

Belousova, Veronika and Goel, Rajeev K. and Korhonen, Iikka, Corruption Perceptions Versus Corruption Incidence: Competition for Rents Across Russian Regions (2016). Journal of Economics and Finance, Vol. 40, No. 1, pp. 172-187, 2016. Available at SSRN: https://ssrn.com/abstract=2755702

Veronika Belousova

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 119017
Russia

Rajeev K. Goel (Contact Author)

Illinois State University - Department of Economics ( email )

Normal, IL 61790-4200
United States

Iikka Korhonen

Bank of Finland - Institute for Economies in Transition (BOFIT) ( email )

P.O.Box 160
Helsinki 00101
Finland

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