This book considers how emerging economies around the world face the challenge of building good institutions and effective governance, since so much of economic development depends on having these in place. The promotion of shared prosperity and the battle against poverty require interventions to reach out to the poor and the disadvantaged. Yet time and again we have seen such effort foild or diminished by corruption and leakage.
The creation of good governance and institutions and structures to combat corruption require determination and passion but also intricate design rooted in data, analysis, and research. In this book, leading researchers from around the world bring to the table some of the best available ideas to help create better governance structures, design laws for corruption control, and nurture good institutions.
Kaushik Basu is Professor of Economics and holds the C. Marks Chair at Cornell University, New York, USA; and former Chief Economist of the World Bank, 2012-16, and Chief Economic Adviser to the Government of India, 2009-12. Tito Cordella is adviser in the World Bank Development Economics Group, Washington DC, USA.
Introduction Tito Cordella and Kaushik Basu 1. Cohesive Institutions and the Distribution of Political Rents Timothy Besley and Hannes Mueller Comments by Stephen Knack 2. Anti-Corruption Institutions: Some History and Theory Avinash Dixit Comments by Stuti Khemani 3. If Politics Is the Problem, How can External Actors Be Part of the Solution? Shantayanan, Devarajan and Stuti Khemani Comments by Santiago Levy 4. Reflections on Corruption in the Context of Political and Economic Liberalization Pranab Bardhan Comments by Martin Rama 5. Corruption as a political phenomenon Francis Fukuyama Comments by Luis F. Lopez-Calva 6. What Drives Citizen Perceptions of Government Corruption? National Income, Petty Bribe Payments and the Unknown Nancy Birdsall , Anna Diofasi, and Charles Kenny Comments by Francesca Recanatini 7. Why is Italy disproportionally corrupt? A conjecture. Diego Gambetta Comments by Juan Dubra 8. Fighting Political Corruption: Evidence from Brazil. Claudio Ferraz and Frederico Finan Comments by Laura Chioda 9. Doing the Survey Two-Step: The Effects of Reticence on Estimates of Corruption in Two-Stage Survey Questions. Nona Karalashvili, Aart Kraay, and Peter Murrell Comments by Joao Manoel Pinho de Mello 10. Corruption, Organized Crime, and Money Laundering. Susan Rose-Ackerman and Palifka Bonnie Comments by Ernesto Schargrodsky