Determinants that influence the rate of corruption

Abstract

Corruption is a phenomenon that we encounter daily, and its negative influences on the economy and beyond (politics, judiciary, health care etc.) are well known and the subject of several studies. In this paper, we focus on the determinants that influence the generation of corruption or act as inhibitors. Analysis of the world countries, taking into account their ranking on the Corruption Perception Index, published every year by Transparency International, revealed the main determinants that influence the level of corruption in each group of countries. Moreover, similarities and differences between individual groups of countries were examined, with the intention to identify the determinants that influence the levels of corruption. The basic model of three determinants (risk, benefit, and perception), is based on merging several well-known and scientifically validated determinants that generate or reduce corruption or influence its rate in individual countries. Based on the corruption rate, five classes were identified, in which countries were classified and analyzed in order to identify common characteristics. In the discussion, the results of the study were compared with results of previous research, to determine the differences and discrepancies.