Causes of Corruption in Russia: A Disaggregated Analysis

Abstract

This paper examines determinants of corruption across Russian regions. Key contributions include: (i) a formal study of economic corruption determinants across Russian regions; (ii) comparisons of determinants of perceived corruption versus those of actual corruption; and (iii) studying the influence of market competition and other factors on corruption. The results show that economic prosperity, population, market competition and urbanization are significant determinants of Russian corruption. The use of alternative corruption measures reveals that economic prosperity and population have a largely similar impact on corruption perceptions and corruption incidence. However, there are significant differences in the effects of competition and urbanization.

Perceptions of Corruption: An Empirical Study Controlling for Survey Bias

“…These findings are, therefore, relevant to international institutions and policymakers that seek to adequately measure the intensity of corruption. Corruption indices typically rely on perception data which, if used without bias control, may give misleading results (Belousova, Goel, & Korhonen, 2014; Galtung et al, 2013; Olken, 2009). For instance, the Transparency International Corruption Index (Lambsdorff, 2005) or the World Bank Governance Indicators (Kaufmann, Kraay, & Mastruzzi, 2011) heavily draw on perception data (Olken, 2009).…”

Understanding the survival of post-Communist corruption in contemporary Russia: the influence of historical legacies

“…In their insightful study, Dininio and Orttung (2005) demonstrated the diverse levels of regional corruption and tested the bestknown theories of corruption using a data-set measuring corruption in 40 Russian regions in 2003. Belousova, Goel, and Korhonen (2011) examined the role of economic factors as determinants of corruption, using the same data-set; Sharafutdinova (2010) applied these data to study the differences in experienced and perceived corruption; and Kolomak (2007) linked the spread of corruption to the administrative practices and bureaucratic procedures in Russian regions. Our study builds on this research using several new data-sets to analyze corruption in more than 60 regions of Russia in 2010.…”