Corruption, government turnover, and public contracting market structure – Insights using network analysis and objective corruption proxies

Fazekas, M., Skuhrovec, J., Wachs, J. (2017): Corruption, government turnover, and public contracting market structure – Insights using network analysis and objective corruption proxies. GTI-WP/2017:02, Budapest: Government Transparency Institute.

Many policymakers and researchers study and debate how to control and limit corruption. Few have examined the mechanisms by which corruption distorts markets and how they may be influenced to mitigate negative effects. To develop this new perspective, we study how corruption effects the structure of public contracting markets modelled as networks of connected buyers and suppliers. We examine the impact of political power-sharing on these networks via government turnover timing …

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Compliance and strategic contract manipulation around single market regulatory thresholds – the case of Poland

Tóth, B., Fazekas, M. (2017): Compliance and strategic contract manipulation around single market regulatory thresholds – the case of Poland. GTI-WP/2017:01, Budapest: Government Transparency Institute.

The functioning of the EU’s single market in government contracts crucially hinges upon compliance with and adequate use of EU-wide rules. However, evidence from a range of countries suggest that these rules are circumvented and manipulated tenders are used to pursue protectionist or favouritistic agendas. In order to test whether such claims also apply to Polish public procurement we investigate the extent of non-compliance and manipulation around the regulatory thresholds defining whether national or EU-rules …

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Uncovering High-Level Corruption: Cross-National Corruption Proxies Using Government Contracting Data

Fazekas, M and Kocsis, G (2015). Uncovering High-Level Corruption: Cross-National Corruption Proxies Using Government Contracting Data. British Journal of Poltical Science. Published online: 24 August 2017. DOI: https://doi.org/10.1017/S0007123417000461

Measuring high-level corruption and government favouritism has been the object of extensive scholarly and policy interest with relatively little progress in the last decade. In order to address the lack of reliable indicators, this article develops two objective proxy measures of high-level corruption in public procurement: single bidding in competitive markets and a composite score of tendering ‘red flags’. Using publicly available official electronic records of over 2.8 million government contracts in …

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Assessing Tanzania’s National Procurement Data Infrastructure

Czibik Á, Dávid-Barrett E, Fazekas M, Parsons D, Stern D, Stern R and Szendrői B (2017): Tanzania’s Procurement Data Infrastructure: Observations and Recommendations. GTI-R/2017:01, Budapest, Government Transparency Institute, May 2017

The publication of data about government procurement is widely perceived to be beneficial in terms of improving transparency over a significant area of public spending. Transparency in public procurement is associated with greater scrutiny over processes and outcomes, helping to improve accountability in order to achieve enhanced competition, better value for money and reduced corruption. As a member of the Open Government Partnership since 2011, the Tanzanian government has consistently …

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Red tape, bribery and government favouritism: evidence from Europe

Mihály Fazekas: Red tape, bribery and government favouritism: evidence from Europe. Crime, Law and Social Change (2017). URL: https://link.springer.com/article/10.1007/s10611-017-9694-2

Red tape has long been identified as a major cause of corruption, hence deregulation was advocated as an effective anticorruption tool, an advice which many country followed. However, we lack robust systematic evidence on whether deregulation actually lowers corruption. This is partially due to the difficulty of defining what is good regulation, but also to the lack of theoretical clarity about which type of corruption regulations impact on and to the deficient measurement of different types of corruption. In order to …

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