What motivates authoritarian regimes to crack down on corruption? We argue that just as partisan competition in democracies tends to politicize corruption, authoritarian leaders may exploit anticorruption campaigns to target rival supporters during internal power struggles for consolidating their power base. We apply this theoretical framework to provincial leadership turnover in China and test it using an anticorruption data set. We find that intraelite power competition, captured by the informal power configuration of government incumbents and their predecessors, can increase investigations of corrupt senior officials by up to 20%. The intensity of anticorruption propaganda exhibits a similar pattern. The findings indicate that informal politics can propel strong anticorruption drives in countries without democratically-accountable institutions, although the drives tend to be selective, arbitrary, and factionally biased.
We study whether corruption hinders businesses by investigating China's private enterprises, which have developed rapidly despite high corruption levels. We argue that a key factor determining the effects of corruption is corruption predictability, which is significantly influenced by government leadership stability. When the same leaders remain in major offices for long tenures, corruption is relatively predictable, reducing hindrance to businesses. When leaders change frequently, entrepreneurs need to constantly cultivate new connections with officials and face more uncertainty; therefore, corruption becomes a major obstacle. We conduct field interviews to explore channels through which leadership stability encourages predictable corruption. We also use the 2012 World Bank Enterprise Survey of Chinese private firms and develop a novel measure of leadership stability of the local Chinese government based on a self‐collected data set of municipal party committees to test our hypotheses. Results of various models are consistent with our hypotheses.
Extant literature on authoritarian legislatures argues that dictators set up quasi-democratic institutions to co-opt opposition and attract investors. We argue that dictators also nurture clientelistic ties with social groups useful to their rule, a previously overlooked function of authoritarian legislatures. Drawing on the case of Chinese local legislatures—namely, the local People's Congress and the local People's Political Consultative Conference—we find that Chinese local governments use these institutions to channel patronage to and gain political support from the private sector. Field interviews and an analysis of a nationwide firm-level survey show that private firms owned by local legislative members, while obtaining more bank loans, provide more support to the local government in various forms than those owned by nonmembers. This finding suggests that authoritarian legislatures, even those with weak policymaking efficacy, can help authoritarian states build stable alliances with social groups, thereby contributing to regime resilience.
This paper examines factors that shape people's perceptions of government corruption in mainland China. We are particularly interested in how people acquire information on local corruption, given the general lack of pertinent first-hand experience. We combine the data from a national survey in mainland China with a compiled dataset on the number of local corruption cases reported in Chinese local newspapers. The results of Probit and Heckman Selection models both show that indirect formal and indirect informal information sources have diverging effects. While coverage of corruption by newspapers controlled by the authoritarian regime reduces people's perceptions of corruption, exposure to grapevine news significantly increases perceived corruption. Moreover, access to government-controlled media can significantly dilute the negative impact of grapevine news on popular perceptions of corruption.
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