Anti - Corruption Institutions : Some History and Theory

Corruption is a multi-dimensional problem that has been pervasive through history. Attempts to fight corruption must likewise be multi-directional. The institutions that have been designed in different societies for this purpose include formal laws, special agencies, community organizations, and combinations; their record of success is varied. This paper examines some prominent examples of such effort, with special attention to campaigns like the ones led from the top that transformed Hong Kong and Singapore, and the bottom-up Addiopizzo movement that has for the last decade organized resistance against the Sicilian Mafia’s extortion. The paper suggests some requisites for success of anti-corruption institutions by analogy with the conditions for success of other self-governing institutions that address other issues like contract enforcement, and places these ideas within a general theoretical framework of collective action. ____________________ * This is a revision of a paper delivered at the International Economic Association Roundtable on Institutions, Governance and Corruption, Montevideo, Uruguay, May 26-27, 2016. I thank my discussant Stuti Khemani, other participants in the conference, Karla Hoff, and Chiara Superti for valuable comments and suggestions. The first draft of the paper was written during a very pleasant term as Sanjaya Lall Visiting Senior Research Fellow at Green Templeton College and the Department of Economics, Oxford. I thank the College and department colleagues for their generous hospitality and useful discussions.