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“Heard Melodies Are Sweet, but Those Unheard Are Sweeter” : Understanding Corruption Using Cross-National Firm-Level Surveys

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dc.contributor.authorJensen, Nathan M.
dc.contributor.authorLi, Quan
dc.contributor.authorRahman, Aminur
dc.date.accessioned2012-06-11T15:33:47Z
dc.date.available2012-06-11T15:33:47Z
dc.date.issued2007-11
dc.description.abstractSince the early 1990s, a large number of studies have been undertaken to understand the causes and consequences of corruption. Many of these studies have employed firm-level survey data from various countries. While insightful, these analyses based on firm-level surveys have largely ignored two important potential problems: nonresponse and false response by the firms. Treating firms' responses on a sensitive issue like corruption at their face value could produce incorrect inferences and erroneous policy recommendations. We argue that the data generation of nonresponse and false response is a function of the political environment in which the firms operate. In a politically repressive environment, firms use nonresponse and false response as self-protection mechanisms. Corruption is understated as a result. We test our arguments using the World Bank enterprise survey data of more than 44,000 firms in 72 countries for the period 2000-2005 and find that firms in countries with less press freedom are more likely to provide nonresponse or false response on the issue of corruption. Therefore, ignoring this systematic bias in firms' responses could result in underestimation of the severity of corruption in politically repressive countries. More important, this bias is a rich and underutilized source of information on the political constraints faced by the firms. Nonresponse and false response, like unheard melodies, could be more informative than the heard melodies in the available truthful responses in firm surveys.en
dc.identifierhttp://documents.worldbank.org/curated/en/2007/11/8788860/heard-melodies-sweet-unheard-sweeter-understanding-corruption-using-cross-national-firm-level-surveys
dc.identifier.doi10.1596/1813-9450-4413
dc.identifier.urihttps://hdl.handle.net/10986/7653
dc.languageEnglish
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper; No. 4413
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectADVISORY SERVICES
dc.subjectANTICORRUPTION
dc.subjectBIASES
dc.subjectBRIBE
dc.subjectBRIBERY
dc.subjectBRIBES
dc.subjectBUSINESS ENVIRONMENT
dc.subjectCENSORSHIP
dc.subjectCHARACTERISTICS OF BUSINESS OWNERS
dc.subjectCIVIL LIBERTIES
dc.subjectCOLLABORATION
dc.subjectCOMPETITORS
dc.subjectCONFIDENCE
dc.subjectCORRUPT
dc.subjectCORRUPTION
dc.subjectDATA COLLECTION
dc.subjectDEMOCRATIC COUNTRIES
dc.subjectDEMOCRATIC GOVERNMENTS
dc.subjectDESCRIPTIVE STATISTICS
dc.subjectECONOMIC DEVELOPMENT
dc.subjectECONOMIC GROWTH
dc.subjectECONOMIC POLICY
dc.subjectECONOMIC REFORM
dc.subjectEMBEZZLEMENT
dc.subjectEXCLUSION
dc.subjectEXPENDITURE
dc.subjectFEAR OF REPRISALS
dc.subjectFIRMS
dc.subjectFOREIGN FIRMS
dc.subjectFOREIGN INVESTMENT
dc.subjectFREE PRESS
dc.subjectGOVERNMENT OFFICIALS
dc.subjectGRAFT
dc.subjectGRAND CORRUPTION
dc.subjectINCOME
dc.subjectINEQUALITY
dc.subjectINTERNATIONAL BANK
dc.subjectINTERVIEWS
dc.subjectINVESTMENT DECISIONS
dc.subjectKICKBACKS
dc.subjectLEARNING
dc.subjectNEPOTISM
dc.subjectPRIVATE ENTERPRISE
dc.subjectPRIVATE GAIN
dc.subjectPRIVATE GAINS
dc.subjectPROCUREMENT
dc.subjectPUBLIC OFFICIAL
dc.subjectPUBLIC OFFICIALS
dc.subjectPUBLIC POLICY
dc.subjectRECONSTRUCTION
dc.subjectREPRESSION
dc.subjectSMALL FIRM
dc.subjectSMALL FIRMS
dc.subjectSOURCE OF INFORMATION
dc.subjectTAXATION
dc.subjectTRANSPARENCY
dc.title“Heard Melodies Are Sweet, but Those Unheard Are Sweeter” : Understanding Corruption Using Cross-National Firm-Level Surveysen
dspace.entity.typePublication
okr.crossref.titleHeard Melodies Are Sweet, But Those Unheard Are Sweeter : Understanding Corruption Using Cross-National Firm-Level Surveys
okr.date.doiregistration2025-04-10T09:15:07.471628Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2007/11/8788860/heard-melodies-sweet-unheard-sweeter-understanding-corruption-using-cross-national-firm-level-surveys
okr.globalpracticeSocial, Urban, Rural and Resilience
okr.globalpracticeGovernance
okr.globalpracticePoverty
okr.globalpracticeFinance and Markets
okr.globalpracticeGovernance
okr.guid514291468328550814
okr.identifier.doi10.1596/1813-9450-4413
okr.identifier.externaldocumentum000158349_20071128092030
okr.identifier.internaldocumentum8788860
okr.identifier.reportWPS4413
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2007/11/28/000158349_20071128092030/Rendered/PDF/wps4413.pdfen
okr.topicFinance and Financial Sector Development::Microfinance
okr.topicFinance and Financial Sector Development::Access to Finance
okr.topicPublic Sector Corruption and Anticorruption Measures
okr.topicSocial Development::Social Accountability
okr.topicPoverty Monitoring and Analysis
okr.topicPoverty Reduction
okr.topicPublic Sector Development
okr.unitDevelopment Research Group (DECRG)
okr.volume1 of 1
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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