The European Physical Journal B

, Volume 56, Issue 2, pp 157–166

Quantitative relations between corruption and economic factors

Authors

    • Center for Polymer Studies and Department of PhysicsBoston University
  • Plamen Ch. Ivanov
    • Center for Polymer Studies and Department of PhysicsBoston University
    • Institute of Solid State Physics, Bulgarian Academy of Sciences
  • Boris Podobnik
    • Center for Polymer Studies and Department of PhysicsBoston University
    • Zagreb School of Economics and Management
    • Faculty of Civil Engineering, University of Rijeka
  • H. Eugene Stanley
    • Center for Polymer Studies and Department of PhysicsBoston University
Interdisciplinary Physics

DOI: 10.1140/epjb/e2007-00098-2

Cite this article as:
Shao, J., Ivanov, P., Podobnik, B. et al. Eur. Phys. J. B (2007) 56: 157. doi:10.1140/epjb/e2007-00098-2

Abstract.

We report quantitative relations between corruption level and economic factors, such as country wealth and foreign investment per capita, which are characterized by a power law spanning multiple scales of wealth and investment per capita. These relations hold for diverse countries, and also remain stable over different time periods. We also observe a negative correlation between level of corruption and long-term economic growth. We find similar results for two independent indices of corruption, suggesting that the relation between corruption and wealth does not depend on the specific measure of corruption. The functional relations we report have implications when assessing the relative level of corruption for two countries with comparable wealth, and for quantifying the impact of corruption on economic growth and foreign investment.

PACS.

89.90.+n Other topics in areas of applied and interdisciplinary physics05.45.Tp Time series analysis05.40.Fb Random walks and Levy flights
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Copyright information

© EDP Sciences/Società Italiana di Fisica/Springer-Verlag 2007