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On the Cultural Transmission of Corruption

Author

Listed:
  • Hauk, Esther

    (Universitat Pompeu Fabra)

  • Sáez-Martí, María

    (The Research Institute of Industrial Economics)

Abstract
We provide a cultural explanation to the phenomenon of corruption in the framework of an overlapping generations model with intergenerational transmission of values. We show that the economy has two steady states with different levels of corruption. The driving force in the equilibrium selection process is the education effort exerted by parents which depends on the distribution of ethics in the population and on expectations about future policies. We propose some policy interventions which via parents' efforts have long-lasting effects on corruption and show the success of intensive education campaigns. Educating the young is a key element in reducing corruption successfully

Suggested Citation

  • Hauk, Esther & Sáez-Martí, María, 2001. "On the Cultural Transmission of Corruption," Working Paper Series 564, Research Institute of Industrial Economics.
    • Handle: RePEc:hhs:iuiwop:0564
    as

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    References listed on IDEAS

    as
    1. Sah, Raaj, 2007. "Corruption across countries and regions: Some consequences of local osmosis," Journal of Economic Dynamics and Control, Elsevier, vol. 31(8), pages 2573-2598, August.
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Corruption; Cultural Transmission; Education; Ethics;
    All these keywords.

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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