The field of sports governance is relatively new and underresearched. While research exists on the accountability of international organizations and the control of corruption at national level, there is little on the link between the two specifically in regards to international organizations. This paper addresses this gap by jointly using Grant and Keohane’s ‘Seven Mechanisms of Accountabi- lity in World Politics’ to evaluate FIFA’s accountability and Mungiu-Pippidi’s equilibrium model to evaluate the organization’s control of corruption. The policy recommendations are presented in the form of three scenarios, varying by intensity of intervention, to conclude that changing a large organization practically free from formal accountability mechanisms needs far more radical refor- ms than the ones already undertaken to be significant. For FIFA to fix its corrupt culture, it needs far stronger accountability mechanisms in place to control corruption1.
Publication Theme: Accountability
Electoral accountability of corrupt politicians: Conditioning factors revisited
In the past years, a growing literature has examined the impact of corruption accusations on voting behavior and found that, although incumbents appear to suffer some vote share loss after being associated with corruption scandals, a vast majority of them gets reelected nonetheless. If voters do not exercise electoral accountability against corrupt politicians as effectively as democratic theory would expect, what conditions explain this pattern? Which factors favor or hinder their decision to remove corrupt incumbents from office? The literature suggests a number of contextual factors and voters’ attitudes that may condition corruption voting, but most studies examine them in a fragmented way. This paper seeks to address this gap in the existing scholarship on the topic by building a comprehensive model to test the validity of five central hypotheses discussed in previous works. Original corruption data from randomized audits in 383 Brazilian municipalities are used in the analysis. The results provide partial evidence for only two of the hypothesized mechanisms: (a) electoral accountability of corrupt incumbents is weakened by recent positive assessments of their performance in office, in particular in terms of improvements in economic conditions, and (b) voters appear to punish more strongly politicians facing more corruption accusations, but this is conditional on the timing of the audit.
Opening Public Officials’ Coffers: A Quantitative Analysis of the Impact of Financial Disclosure Regulation on National Corruption Levels
Disclosure of income, assets and conflicts of interest can serve as powerful public accountability tools to draw attention to the abuse of public office, help prosecute corrupt offenders and create a culture of scrutiny in the public sector that deters corruption. Based on data of the World Bank’s Public Accountability Mechanisms initiative, we present the first indicator that captures a country’s financial disclosure in-law effort. By employing different panel data model specifications, we use this indicator to measure how the introduction of comprehensive financial disclosure systems impacted national corruption levels for 91 countries between 1996 and 2012. We present robust results that provide tentative evidence for a positive and significant relationship between a country’s capacity to control for corruption and the expansion of financial disclosure legislation for the years following the enactment.
Public Integrity and Trust in Europe
This report on trust and integrity in Europe was commissioned by the Dutch EU Presidency 2016 to a group of research institutes associated in the EU FP7 ANTICORRP project lead by Professor Alina Mungiu-Pippidi at the Hertie School of Governance in Berlin.
The report argues that economic performance alone does not explain the sometimes dramatic decline in trust in government. Europeans in many member states perceive a serious drop in the quality of governance, and the failure of current policies to redress it. Only in a minority of countries in present-day Europe we encounter a clear majority believing that success in either the public or private sector is due to merit. More than half of Europeans believe that the only way to succeed in business in their country is through political connections. Less than a quarter of Europeans agree that their government’s efforts in tackling corruption are effective. The countries where citizens perceive higher integrity and better governance are those that managed to preserve high levels of trust in government despite the economic crisis.
In pointing at these factors contributing to the growing loss of trust in national and European institutions throughout EU-28 the report takes major steps in helping to understand this crisis. It formulates lessons learned from this review if evidence and hopes to inform the policy debate on how to address the apparent lack of public integrity in Europe. The report introduces a new ranking of public integrity for the 28 EU Member States, representing the first ranking using objective measurements of public integrity in the EU.
News on this report was featured in the Greek News Agenda, the New East Platform and VoxEurop.
The Quest for Good Governance: Learning from Virtuous Circles
Once of interest mainly to specialists, the problem of explaining how institutions change is now a primary concern not only of economists, but of the international donor community as well. Many have come to believe that political institutions are decisive in shaping economic institutions and, with them, the course of innovation and investment that leads to a developed society. This is the shift from patrimonialism to ethical universalism, a transformation that most of today’s advanced democracies accomplished through a long historical evolution. But there has been very little research on whether and how this kind of change can be engineered and speeded up by human design. The EU-funded ANTICORRP project that I have been leading aims to help fill this gap. The big challenge is to explain the shift of the governance paradigm from particularism to universalism in the few societies that have managed to accomplish it in the postwar era. Do these success stories offer any lessons about how other societies can make that journey?
The Anticorruption Report. Volume 3: Government Favouritism in Europe
This volume reunites the fieldwork of 2014-2015 in the ANTICORRP project. It is entirely based on objective indicators and offers both quantitative and qualitative assessments of the linkage between political corruption and organised crime using statistics on spending, procurement contract data and judicial data. The methodology used in the analysis of particularism of public resource distribution is applicable to any other country where procurement data can be made available and opens the door to a better understanding and reform of both systemic corruption and political finance. The main conclusion of this report is that public procurement needs far more transparency and monitoring in old Member States, where it is far from perfect, as well as new ones and accession countries, where major problems can be identified, partly due to more transparency and monitoring.This policy report is the third volume of the policy series “The Anticorruption Report” produced in the framework of the EU FP7 ANTICORRP Project. The report was edited by Prof. Alina Mungiu-Pippidi, PhD from the Hertie School of Governance, head of the policy pillar of the project.
Print and e-book versions of all full reports can be purchased here.
Reviews for this publication
“Public infrastructure projects and other types of government procurement almost everywhere in the world suffer from favoritism and corruption, if not outright criminality. The spoils always go to the people with the right connections, wealth, or the willingness to use or threaten violence. This is among the most difficult aspects of governance for scholars to study: those who talk don’t know, and those who know don’t talk. This slim volume summarizes detailed studies of favoritism in Bulgaria, Croatia, Hungary, Italy, Romania, Turkey, and Ukraine. A final chapter shows how criminal organizations in many countries—including Mafia-like groups in Bulgaria and Italy—infiltrate national and EU-level public spending projects. Each chapter is packed with a remarkably rich set of charts, graphs, and statistical analyses that capture how much corruption exists and how it works. These succinct and eye-opening quantitative estimates of what really goes on beneath the surface of government make for indispensable reading and should straighten out anyone who doubts that the powerful always find ways to reinforce their influence and wealth, even on the “cleanest” of continents.”
Andrew Moravcsik, Professor of Politics and International Affairs, Princeton University in Foreign Affairs
Uncovering High-Level Corruption: Cross-National Corruption Proxies Using Government Contracting Data
Measuring high-level corruption and government favouritism has been the object of extensive scholarly and policy interest with relatively little progress in the last decade. In order to address the lack of reliable indicators, this article develops two objective proxy measures of high-level corruption in public procurement: single bidding in competitive markets and a composite score of tendering ‘red flags’. Using publicly available official electronic records of over 2.8 million government contracts in 27 EU member states plus Norway in 2009-2014, it directly operationalizes a common definition of corruption: unjustified restriction of access to public contracts to favour a certain bidder. Corruption indicators are calculated at the level of contracts, but produce aggregate indices consistent with well-established country-level corruption indicators. Due to the common EU regulatory framework, indicators are consistent over time and across countries, while WTO regulations underpin global generalisability. Indicator validity is supported by correlations with well-established perception-based corruption indicators, and novel micro-indicators such as prices and supplier registration in tax havens. The utility of the novel indicators is demonstrated by using them to explain the effect of deregulation on corruption risks at the country level. In order to facilitate wide use of the data and indicators by researchers, journalists, NGOs, and governments, they are made publicly available at digiwhist.eu.
The Quest for Good Governance. How Societies Develop Control of Corruption
Why do some societies manage to control corruption so that it manifests itself only occasionally, while other societies remain systemically corrupt? This book is about how societies reach that point when integrity becomes the norm and corruption the exception in regard to how public affairs are run and public resources are allocated. It primarily asks what lessons we have learned from historical and contemporary experiences in developing corruption control, which can aid policy-makers and civil societies in steering and expediting this process. Few states now remain without either an anticorruption agency or an Ombudsman, yet no statistical evidence can be found that they actually induce progress. Using both historical and contemporary studies and easy to understand statistics, Alina Mungiu-Pippidi looks at how to diagnose, measure and change governance so that those entrusted with power and authority manage to defend public resources. The Quest for Good Governance presents a comprehensive empirical theory of governance unifying important disparate contributions in the areas of corruption, quality of government and rule of law and is the first attempt to directly answer the big question of what explains virtuous circles in good governance. It features research and policy tools to diagnose and build contextualized national strategies. The book was published on 27 August 2015 as a paperpack and hardcover.
Please find more information, as well as order the book on the website of Cambridge University Press.
Reviews for this publication
“This is one of the most important books ever written on the most universal governance challenge of our time – how to control corruption. In this brilliant integration of theory, history, case studies and quantitative evidence, Alina Mungiu-Pippidi shows how countries move from the natural state of corruption, clientelism and particularistic governance to the impersonal norms of fairness, integrity and transparency that make for good governance. This is an indispensable work for any scholar, student or policy-maker who wants to understand how societies mobilize and states reform to control corruption.”
Larry Diamond, Center on Democracy, Development and the Rule of Law, Stanford University, California
“Along with Tilly and Acemoglu and Robinson, Mungiu-Pippidi in this volume smartly re-frames the nature of the modern state.
Elsewhere in her superbly thoughtful and conceptually enriching book, Mungiu-Pippidi focuses on how the Italian city-states in their rise to republicanism largely contained corrupt practices and, by focusing on equality, avoided the kinds of wholesale corruption that is (and has been for years) widespread in the modern Italian state.
Fortunately, Mungiu-Pippidi’s remarkable book provides a welcome trove of possible solutions to the historical problem of corruption”.
Robert Rotberg “Considering Corruption’s Curse: Venality across Time and Space”. Journal of Interdisciplinary History, Summer 2016
“The Quest for Good Governance combines sophisticated conceptual discussion (for example, of the varying definitions of corruption and their consequences) with a historical perspective and a critical statistical analysis of various databases. It is a good example of a multi-method approach to a huge and complex problem… I find this an accomplished and important book, and one which deserves very wide readership”.
Christopher Pollitt in International Review of Administrative Sciences, vol. 82:3, 2016
“Reformers who read this essential book will learn rather than seeking ‘toolkits’ to attack specific corrupt activities, successful societies have made integrity and accountability widely-accepted norms, backed up by the self-interest of a wide range of citizens. Alina Mungiu-Pippidi makes clear that societies which keep corruption under control have succeeded not just a due to their present laws and enforcement, but through a longer-term story of political development, widespread expectations and the building of effective performance of public institutions.”
Michael Johnston, Charles A. Dana Professor of Political Science Emeritus, Colgate University
“Mungiu-Pippidi writes that creating collective action and providing political support is the only proven effective strategy against corruption. Specialists will appreciate the comprehensive summary and review of the literature … Highly recommended.”
E. Hartwig, Choice
“Reading the book was really a roller-coaster… It touches upon all the key issues of corruption: It looks at measurement, theory, at policy; it uses quantitative methods, but also process tracing tools. It’s really a tour de force on various things and, while you might not agree with all of its conclusions, it really is a textbook even though it’s not a textbook on corruption”.
Finn Heinrich, Research Director at Transparency International
“What I was impressed by was the historical depth and the combination of various methods, from court case analysis to survey data and econometrics. You really had the impression to get a comprehensive picture. What I was also impressed by was the refusal to give easy and simple answers. This is not a cookbook; it’s a book to think about very specific cases and come up with very specific solutions.”
Hans-Dieter Klingemann, WZB
“A strong argument for framing the anti-corruption debate in terms of ethical universalism and impartiality with a focus on grassroots citizen involvement. Mungiu-Pippidi realistically acknowledges the difficulty of lasting reform, but at the same time she usefully seeks to move the policy debate beyond platitudes to concrete proposals that can attract domestic support and fit local contexts.”
Susan Rose-Ackerman, Henry R. Luce Professor of Law and Political Science, Yale University
“Mungiu-Pippidi’s work is a significant contribution to our understanding of the subject, and one to which policymakers and international donors should pay attention. Her work systematically explores the failed and successful trajectories of different countries in arriving at norms of universalism in governance. It is an important work in its welcome focus on the importance of societal norms in creating and sustaining various types of political corruption, and in the finding that what matters most is not international efforts, but domestic ones… [ The book] would be a welcome addition to an advanced undergraduate or graduate course on the political economy of corruption, and on the political economy of development. It should also serve as required reading for domestic and international policymakers, donors, and NGO activists concerned about corruption.”
Carolyn M. Warner, Arizona State University, in Governance, June 2016
“A brief review can scarcely do justice to Mungiu-Pippidi’s complex and subtle achievement. Her book is a powerful synthesis of theory, empirical analysis, and policy prescription. She is not just a scholar but also a leading anticorruption campaigner in her home country of Romania. She has known both the sweet savor of success in promoting an anticorruption agenda, and the bitter aftertaste that comes when it falters and particularism returns. This experience underpins her analysis, and the resulting combination of hard-edged realism and scholarly care gives her writing considerable power. Readers who are familiar with a country where corruption is part of the fabric of social and political affairs—my own speciality is Indonesia—will discover many moments of recognition in these pages, as well as a framework to aid understanding and useful lessons about how to move forward. The Quest for Good Governance deserves to have a major impact on how scholars and practitioners understand corruption, and on their efforts to help societies overcome it.”
Edward Aspinall, Professor in the Department of Political and Social Change in the Coral Bell School of Asia Pacific Affairs at the Australian National University, in the Journal of Democracy.
Report on Turkey on institutions in public procurement for the infrastructure sector
The report employs national data to analyse recent developments in the construction sector. However, the contract-level procurement data have not been compiled as requests for the data were unanswered by the Turkish Public Procurement Agency. Therefore, aggregate data on public procurement have been used to trace developments in law and implementation. The post-2002 incumbent AKP government has to a large extent considered construction investments as an engine of economic growth which resulted in a substantial expansion of this sector. The Turkish Public Procurement Law (PPL) came into force in 2003 to bring Turkey into compliance with EU procurement standards. Although certain improvements have been achieved, frequently introduced exemptions distorted the rules and procedures for transparency, competition and non-discrimination. A considerable number of amendments have aimed at removing major public contracts from the scope of PPL. Recently, Public-Private Partnerships (PPPs) have been used principally to build up large-scale infrastructure projects. Due to the large capital requirements and the fact that the legal structure of PPPs is largely incompatible with the PPL and the EU regulations, only a smaller group of companies which have allegedly close connections with top level politicians win PPP projects worth billions of Euros. Thus, under the current framework, PPPs in the Turkish construction sector are significantly prone to corruption risks.
Report on Romania on institutions in public procurement for the infrastructure sector
Improving infrastructure in Romania has been a significant project in the past 25 years. Unfortunately, although large amounts of public funds were spent in the construction sector from 2007 to 2013 (an average of 6.6% of GDP), the physical results in terms of project quality and completion do not match this investment. One of the explanations for this is that public contracts were awarded to companies based on corrupted practices or political connections, the focus being on redistributing public money and not achieving high quality construction works.The present research points to the fact that statistical data analysis can be used in detecting corruption. The practice of single bidding and the tendency to establish political connections exist in the entire public procurement market. Nonetheless, non-EU funded contracts present a higher corruption risk. Only 1 out of 7 contracts receiving European funding were awarded to a single bidder, as opposed to 1 out of 4 contracts financed by the state budget. Still, 1 out of every 3 contracts won by a politically connected firm involved European funding. Data analysis also concluded that the number of contracts awarded per company can be explained by single bidding and the existence of a political connection in 44% of the cases. The agency-capture analysis revealed that favouritism in public procurement occurs especially at the local level and in state-owned companies. Most of the companies that “captured” contracting authorities are politically connected firms.At the same time, the case studies give an account of how firms’ owners go to great lengths to consolidate a network of relationships with high ranking officials so as to keep their doors open and contact political elites, but also various state institutions whose activity can favour or disrupt their companies’ economic well-being.
Report on Hungary on institutions in public procurement for the infrastructure sector
This report aims to document and to investigate the extent and the determinants of government favouritism in EU funded infrastructure development. It uses a variety of qualitative and quantitative research methods. While predominantly relying on the analysis of contract-level quantitative data on Hungarian public procurement, it also provides a discussion of the institutional framework and particular cases based on document analysis and interviews.It finds that public procurement of infrastructure from national or EU Funds is a hotspot for corruption in Hungary just like in the other countries investigated by ANTICORRP Work Package 8. However, corruption is not pervasive everywhere and even high-level political influence has it limits. While the economic environment has varied greatly, public procurement spending on infrastructure followed a political logic with elections, EU funding cycles, and political power games playing a crucial role. It has proven to be one key public resource up for grabs for corrupt elites. Controls of corruption in public procurement in general are weak: not only is effective transparency very limited and declining rapidly since 2010, but also institutional remedies are likely to be controlled by the current governing party.As a result of extensive public resources available, weak controls, and a complex regulatory environment facilitating close cooperation between bidders and public bodies, corruption is widespread in infrastructure provision. Political connections, far from having a uniform impact, are effective in facilitating rent extraction only when organisational integrity is weak and both the bidders and contracting entities are politically controlled. In micro-cosmoses of high integrity, political connections are ineffective at best, but may even handicap companies.
Report on Germany on institutions in public procurement for the infrastructure sector
Germany has the highest public procurement expenditure in the EU, with an average of 370 billion euros a year between 2009 and 2013. The main objective of this report is to shed some light on the inner workings of the German public procurement system by providing a general overview of its historical development, the current trends in procurement spending and assessing potential risks for corruption. Given that Germany has two parallel procurement systems active at the time, one for contracts above the EU thresholds and one for the contracts underneath these limits, each one of them is evaluated separately. The lack of high quality tender-level data for the case of Germany made it impossible to base the risk assessment on objective indicators. Therefore, this report relies on different sources of data to determine the size of the procurement spending in the country, the manner in which it is allocated and the potential risks of corruption. The study concludes that the public procurement system in Germany – especially the one in place for contracts underneath EU thresholds – is vulnerable to corruption given its complex legislation that damages nation-wide competition, the lack of transparency in the awarding process, a clear or unified national legislation and the low utilization of e-procurement platforms.
Report on Croatia on institutions in public procurement for the infrastructure sector
This report seeks to assess the extent of favouritism – i.e., preferential treatment for some bidders over others – in the allocation of public procurement contracts in the construction sector in Croatia. The methodology is based on identifying opportunities for favouritism and evaluating the effectiveness of constraints. The research finds that Croatia’s public procurement law sets a high standard and there are numerous transparency and control mechanisms in place. Nevertheless, the integrity of procurement is undermined because a large share of it is contracted by entities which are owned by government units and thus subject to political influence and constrained by a much weaker control framework. Data on the procurement of high-value construction works is analysed for indicators of favouritism in the process or outcomes. Whilst there is only limited use of restrictive procedures, competition for public contracts is surprisingly weak in a sector under considerable economic pressure. Moreover, around one-half of the total contract value is won by tenderers which are not private companies but rather entities that are partially or fully owned by the state. This raises further questions about the potential for political leaders to influence the process in order to achieve favouritism in the allocation of public contracts, to benefit themselves or third parties. Evidence from the verdict of a trial involving high-ranking politicians suggests further that such favouritism may be widespread.
Report on Bulgaria on institutions in public procurement for the infrastructure sector
The Bulgarian public procurement market constituted 9% of national GDP on average from 2009 – 2013, which is lower than the EU average. Public procurement has been particularly important for the construction sector in the country, with approximately a third of total sector turnover deriving from public procurement in 2013. Since the onset of the economic crisis in 2008 the survival of the construction sector in Bulgaria has essentially hinged on public procurement, coming mostly from EU funds. This concentration of market power in the hands of the public administration, coupled with a history of lack of effectiveness, integrity and control, and persistent structural governance deficiencies imply significant corruption risks. Although the legal framework has continuously improved, it is subject to too frequent changes to ensure proper implementation.The firm-level analysis of the public procurement contracts awarded to the top 40 construction companies included in the paper, confirms the trend of concentration of the construction sector. The data does not confidently detect a specific type of favouritism but corruption risks are detected in specific cases, especially involving large-scale construction projects in the infrastructure and energy sectors. Anecdotal evidence abounds that powerful private operators exert pressure on the public administration to channel public procurement to major companies, linked either legally and/or through circles of influence to them.
Academic Dishonesty or Corrupt Values: the Case of Russia
Academic corruption in Russia is extensively spread; it is not an isolated phenomenon. Rather, academic corruption is tightly embedded into the general corruption in society: in politics, business, and in everyday life. This paper illustrates some common types of cheating and corruption as well as the motives of the involved actors for applying, accepting, ignoring and/or pretending to ignore these activities.
Why is corruption in higher education so prevalent? The improper dependences of all the involved actors might it possible. Compared to people without a university education, graduates have better chances on the job market. Some university lecturers might expect bribes in order to return the investments they have made into their own studies. Other university lecturers might water down their requirements and try to be more tolerant, especially to students who are looking for a formal certificate rather than for an education, or who might need to have more time for other activities. If university administrators would receive the same budget from the state, the reduction of staff and lecturers would be not necessary.
Why are studies on corruption in education so important? Younger generations are expected to make changes rather than continuing the old systems. During their studies, young people complete their socialization by acquiring, among other things, more techniques of corrupt behavior and a tolerance for corruption. In Russia more than 80% of all young people go on to university and almost all of them finish it. Over the next decades, the spread of corruption in the country might be forecast. This might be very destructive, both on the short-term and the long-term perspectives. The consequences for academia, business and society might be dire.
Corruption at the business-politics intersection in the city of Monza, Italy
In 2012 a new law in the matter of transparency and anti-corruption was approved in Italy. The law has set within new frames the understanding of corruption mechanisms, as well as the definition of core concepts of the anti-corruption discourse, such as ‘prevention’ and ‘transparency’. Moreover it has also re-defined the roles and tasks of actors and employees of the public sector. In December 2013 the city of Monza, Northern Italy, was hit by the biggest corruption scandal of its history. Investigations evidenced the existence of a well run system of corruptive practices between the public sector and the City Council, which were aimed at favouring certain companies for public works and calls for tenders.
The recent events that occurred in Monza acquired even more relevance in light of the principles contained in the new legislation, particularly its stress on anti-corruption discourses (and rhetoric), as well as on the practical and performative role of virtues and ethical values in the public office.
This paper looks at how employees of Monza City Council perceived and (re)signified corruption as a whole consequent to the 2013 scandal and to the introduction of the new law, not only considering their impact at a local level, but also in a wider perspective in relation to corruption perception and practices at a national level.
Anti-Corruption Revolutions: When Civil Society Steps In
This working paper explores the question of whether an empowered civil society with access to public information, can make a difference in the fight against corruption, using India and the recent rise of an anti-corruption party as a case study. Through a mixed methodology that combines quantitative and qualitative research tools, the authors find evidence that the availability of channels for accessing information has a positive effect on control of corruption, provided that civil society is engaged and able to actively participate in matters of public concern. In addition, this paper seeks to understand if and how collective action problems are overcome by civil society and determine whether the so-called anti-corruption revolutions are manifestations of this process.
The quantitative model builds upon previous work that has found separate effects for both factors (access to information and civil society) on control of corruption, and introduces an interaction term between the two of them. Additionally, the quantitative analysis explores the effects of perceived levels of corruption in a given period in subsequently controlling corruption.
The qualitative model, in turn, inquires more deeply into the interaction of these two variables using India as case study. Here, access to information legislation has been in place for almost a decade and civil society has shown itself outstandingly active. This case is particularly interesting given that the mobilization against corruption initiated in 2011 managed to achieve the introduction of a federal law creating an ombudsman. Altogether, this paper aims to shed light on the factors and processes shaping a sustained demand for accountability.
International Anti-corruption Normative Framework: the State of the Art
This paper looks into the main debates in International Relations on norm compliance. It looks at the three causal factors that help us explain the origins of norms in relation to anti-corruption introduced by McCoy and Heckel (2001): (1) post-Cold War era; (2) social process, i.e. interaction among actors and diffusion of information; and (3) internal process where ‘cognitive and motivational processes of individuals’ may contribute to the generation of norms. Using the model developed by Finnemore and Sikkink (1998) on the life cycle of a norm, it shows how international anti-corruption norms took root by tracing the development of various regional and international legal instruments. Finally, the UNCAC is analysed in more detail, as it has been recognised as a reference framework for the fight against corruption, due to which many countries formally adopted ethical universalism as a norm. The paper argues that international actors must put in place such a monitoring mechanism; otherwise implementation of UNCAC could become an end in itself. However, it is not possible to have significant progress without domestic demand for new rules of the game and public participation in a sustainable mechanism which would prevent the eternal reproduction of privilege.
Democratization and corruption: the state of the art
This paper critically discusses the main contributions of the literature on the relationship between democratization and corruption, focusing on the perspective of how the former is expected to affect the latter and highlighting the different hypotheses and empirical findings presented by the most relevant and recent scholarly work in this line of research. Additionally, the discussion introduced here refers to a number of conceptual issues that remain obscure in the existing literature, with regards to the concept of both corruption and democratization, but at the same time stressing the gaps related to the latter, as to complement other contributions of the report that more thoroughly explore different conceptual approaches to corruption.
Background report on international and European law against corruption
This report sets the background and the methodology design for the WP10 of the ANTICORRP project. WP10 seeks to explore whether and the extent to which, EU states comply with international anti-corruption norms, as well as their domestic implementation and enforcement. It has four main research objectives: a) to measure state compliance and implementation of international anti-corruption norms in Europe; b) to explore whether international law has an independent causal influence over the anti-corruption laws, policies and practices adopted by EU states; c) to identify patterns of variation of state compliance and implementation, whether cross-national, or across sectors and issue areas; and d) to explore the factors that account for significant variation across sectors or states.This report provides the empirical and analytical groundwork for pursuing the above research objectives and for defining the appropriate methodology to do so. It is divided into five main parts. In the first part, the authors briefly present the origins of how the fight against corruption became an issue of interest for the international community and for European and international organisations from the 1970s onwards, but especially since the 1990s. They then define corruption and its various aspects and forms, they discuss the difficulties in arriving at a commonly agreed definition and review some of the criticisms levelled against the legal approach to fighting corruption, as well as in regard to the domestic influence and effectiveness of international and EU law in this area more broadly. In the last part of this background section, the authors give an overview of the state of corruption in the EU28 on the basis of various indices and assessments compiled by international organisations and non-governmental organisations (NGOs).The second part of this report provides an overview of European and international legal norms and instruments against corruption, which are directly relevant for EU member states. The authors review both soft and hard law, describing their origins and how they emerged, the peer-review and monitoring mechanisms that they put in place, and how they work. The third part of the report is conceptual: it defines and analyses the concepts of compliance with, as well as implementation and effectiveness of international law. Most importantly, it conceptualises their relevance and applicability in regard to anti-corruption norms and conventions, and defines a way of measuring state compliance and implementation in this area. The fourth part of this report delineates four sectors or issue areas, which have been targeted by international and European norms against corruption: international economic transactions, conflict of interest, free speech and whistle-blowers’ protection and political party funding. The final part of the report defines the appropriate research methodology of the group of studies to be conducted within WP10, and identifies the sources of primary and secondary information and documentation to draw from in pursuing the aforementioned objectives.
Institutional performance and social values: Mexico case study report
The contribution of The Basel Institute on Governance to ANTICORRP WP4, (the ethnographic study of corruption practices) involves field research in two countries: Mexico and Tanzania. This report describes the activities and findings form the research conducted in Mexico.
The report summarizes the results from the application in the Mexican context of the ethnographic survey on institutional performance and social values that all ANTICORRP partners working in WP4 have agreed upon and will apply in their respective case study countries. Additionally, the information on the survey is supplemented with additional insights that were obtained through semi-structured interviews with key informants as well as focus group discussions.
The field research in Mexico contributes to the ongoing work in WP4 in several ways.
First, by applying the standardized survey on institutional performance and social values to a Latin American context, it enriches the sample covered by the work of WP4. This is specially meaningful given the fact that the approach of this work package is that of ethnography. Therefore, inclusion of the Mexican case adds to the increase the breadth of cultural, demographic and geographical variation that the WP4 work will cover, contributing to the goal of bringing together a comprehensive view of how local contexts shape different understandings and perceptions of corruption.
Second, the field research in Mexico targets low-income, minority groups living in remote rural areas of the country. These groups, because they have been historically disempowered, and because their characteristics (rural, poor ethnic minorities) can make them especially hard to mobilize, are typically amongst the most vulnerable to corrupt practices. Therefore, developing a better understanding of the manner in which groups like these view their relationship with the institutions of the state and understand corruption is a necessary step to develop better approaches that can protect the most vulnerable from abuse of power.
Third, while the research in Mexico includes application of a shared research tool (the survey on institutional performance and social values) it also takes a unique perspective by placing the focus of the analysis on studying participatory initiatives to prevent corruption in the health sector. This angle will contribute to the overall WP4 effort by adding insights form the health sectors to the work in other sectors (e.g. education, business, electoral systems) that partners in WP4 are undertaking.
Institutional performance and social values in Bosnia and Herzegovina
This country report presents result of a survey about performance of local instiutions and social values” carried out in Bosnia and Herzegovina (hereinafter BiH). It is a part of a wider research about corruption practices in this countryes approached with an innovative ethnographic metodology and “bottom-up persepctive”. Results of the survey will be here treated not as mere statistical data but analyzed and commented with data deriving from interviews and participant observation.
The Struggle for Effective Change: An Assessment of the APRM’s Achievements
In July 2002 the New Economic Partnership for Africa’s Development (NEPAD) was established. This collective action taken by African Heads of State and Governments demonstrated the willingness to strengthen governance and achieve sustainable economic and political development. The African Peer Review Mechanism (APRM) was set up to monitor the commitment to the NEPAD and thereby increase responsibility and accountability. It was also designed to enable mutual assistance based on the concept of Peer Review, therefore seen as an effective and self-driven tool for enhancing change and strengthening governance throughout Africa. Over the last decade, 34 countries acceded to the APRM. This number demonstrates the want for self-improvement and transformation but cannot be regarded as a measure of performance for the APRM. Indeed only 17 countries have completed the first cycle of the APRM process. Even though the statistical and qualitative analyses performed in this thesis show marginal improvement in favour of the APRM, they do not show that governance has improved. The negligible progress recorded by the evaluation of governance performance from 2003-2012 as a function of the APRM demonstrate the APRM’s ineffectiveness. The results reveal the issues encountered by the APRM’s member states to profit from the APRM. The structure and process are found to be too complex to be adopted adequately by countries, consequently deferring beneficial outcomes. Member states lack commitment and compliance to the process as they do not encounter immediate benefits. To fully exploit the certainly existing potential of the APRM, the author recommends following actions to be taken. Based on (1) a common understanding of the mechanism and (2) its limitations, the APRM process can be simplified by (3) ensuring an efficient and comprehensible monitoring, and (4) incorporating SMART standards for recommendations. (5) Strengthening the existing capacities of the APR Secretariat, (6) conducting independent evaluations of the APRM and (7) clarifying the role of the African Union (AU) will further improve the capabilities and appeal of the APRM. As an efficient and effective tool the APRM is predestined to become the instrument to facilitate sustainable change in Africa.
Anatomy of grand corruption: A composite corruption risk index based on objective data
Although both the academic and policy communities have attached great importance to measuring corruption, most of the currently available measures are biased and too broad totest theory or guide policy. This article proposes a new composite indicator of grand corruption based on a wide range of elementary indicators. These indicators are derivedfrom a rich qualitative evidence on public procurement corruption and a statistical analysis of a public procurement data in Hungary. The composite indicator is constructed by linkingpublic procurement process ‘red flags’ to restrictions of market access. This method utilizes administrative data that is available in practically every developed country and avoids thepitfalls both of perception based indicators and previous ‘objective’ measures of corruption. It creates an estimation of institutionalised grand corruption that is consistent over time and across countries. The composite indicator is validated using company profitability and political connections data.
Background paper on Uruguay
This report describes and analyzes the transformation of Uruguayan governance institutions with particular regard to corruption and particularism. Uruguay substantively improved its levels of universalism in the last fifteen years. This improvement is due to a prolonged process of transformation in Uruguayan politics from competitive particularism to an open access regime. We claim that the change in the way that parties compete for votes – from clientelistic to programmatic strategy – since 1985 is the cause of this transformation. An economic and fiscal crisis during the sixties weakened the clientelistic strategy of the traditional parties and enabled the entrance of a new party that built their electoral support based on programmatic claims instead of the distribution of clientelism. In that context clientelism became neither fiscally sustainable nor electorally effective. The traditional parties –after an authoritarian period- had to adapt to programmatic competition and leave aside clientelism. Institutional transformations regarding corruption are in this context the effects rather than causes of universalism. Nevertheless, these new institutions are not irrelevant because they are functional to the new political equilibrium and help to maintain it. This document uses data from a variety of sources – ranging from official figures to public opinion and elite surveys or media reports – to provide descriptive evidence of the main features of this governance regime transformation, and proposes an analytic framework to explain it.