Chapters, articles

Grand corruption and government change: an analysis of partisan favoritism in public procurement

Dávid-Barrett, E. & Fazekas, M. (2019). Grand corruption and government change: an analysis of partisan favoritism in public procurement. European Journal on Criminal Policy and Research. https://doi.org/10.1007/s10610-019-09416-4

Incoming governments sometimes abuse their power to manipulate the allocation of government contracts so as to buy loyalty from cronies. While scandals suggest such practices are relatively widespread, the extent of such partisan favoritism is difficult to measure and the conditions under which it flourishes under-theorized. Drawing on theory regarding the role
…

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Big data analytics as a tool for auditors to identify and prevent fraud and corruption in public procurement

Adam, I. & Fazekas, M. (2019). Big data analytics as a tool for auditors to identify and prevent fraud and corruption in public procurement. European Court of Auditors Journal 2/2019: pp. 172-179.

ECA Journal Short Read:

Government contracts and big data analytics – big data in public procurement can help auditors on two levels: (1) it can facilitate decisions about monitoring, audit and investigations; (2) it can inform country or sector-wide policy decisions on resource allocation and regulations.

Measuring corruption …

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Social capital predicts corruption risk in towns

Wachs, J., Yasseri, T., Lengyel, B., Kertész, J. (2019). Social capital predicts corruption risk in towns. Royal Society Open Science 6: 182103. http://dx.doi.org/10.1098/rsos.182103

Corruption is a social plague: gains accrue to small groups, while its costs are borne by everyone. Significant variation in its level between and within countries suggests a relationship between social structure and the prevalence of corruption, yet, large-scale empirical studies thereof have been missing due to lack of data. In this paper, we relate the structural …

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Political Competition and Public Procurement Outcomes

Broms, R., Dahlström, C., & Fazekas, M. (2019). Political Competition and Public Procurement Outcomes. Comparative Political Studies. https://doi.org/10.1177/0010414019830723

This article asks if low political competition is associated with more restricted public procurement processes. Using unique Swedish municipal data from 2009 to 2015, it demonstrates that when one party dominates local politics, noncompetitive outcomes from public procurement processes are more common. What is most striking is that the risk of receiving only one bid, on what is intended to be an …

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Big data in public procurement – Colloquium

Mihaly Fazekas & Stéphane Saussier: Chapter 3. Big data in public procurement. Colloquium. In: Law and Economics of Public Procurement Reforms (ed: Gustavo Piga and Tunde Tatrai), Ruthledge. 2018. https://www.routledge.com/Law-and-Economics-of-Public-Procurement-Reforms/Piga-Tatrai/p/book/9781138296480

Summary of the article

This chapter exposes the enormous opportunities presented by the emergence of Big Data in public procurement and the lack of investment and effort for exploiting these opportunities. Big Data in public procurement holds the promise of fundamentally transforming how procurement performance is understood and it can …

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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 …

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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 …

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Infrastructure for Whom? Corruption Risks in Infrastructure Provision Across Europe

Mihály Fazekas, Bence Tóth: Infrastructure for Whom? Corruption Risks in Infrastructure Provision Across Europe. In: The Governance of Infrastructure. Ed.: Wegrich K, Kostka G, Hammerschmid G. Hertie School of Governance, 9 March 2017. URL: https://global.oup.com/academic/product/the-governance-of-infrastructure-9780198787310?cc=gb&lang=en&#

Infrastructure provision from roads to sanitation involves large amounts of public funds in highly complex projects comprehensible only to a few. Hence, it is hardly a surprise that all across Europe, but especially in high corruption risk countries, it is a primary target of corrupt …

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Careers, Connections, and Corruption Risks: Investigating the Impact of Bureaucratic Meritocracy on Public Procurement Processes

Nicholas Charron, Carl Dahlström, Viktor Lapuente, Mihály Fazekas (2017). Careers, Connections, and Corruption Risks: Investigating the Impact of Bureaucratic Meritocracy on Public Procurement Processes. The Journal of Politics, Vol. 79, No. 1, January 2017. URL: http://www.jstor.org/stable/10.5699/slaveasteurorev2.95.issue-1

This article emphasizes the important interplay between politics and bureaucracy. It suggests that corruption risks are lower when bureaucrats’ careers do not depend on political connections but on their peers. We test this hypothesis with a novel measure of career incentives in the public …

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Breaking the cycle? How (not) to use political finance regulations to counter public procurement corruption

Fazekas, M and Cingolani, L (2017). Breaking the cycle? How (not) to use political finance regulations to counter public procurement corruption. In: The Slavonic and East European Review, Vol. 95, No. 1, January 2017. URL: http://www.jstor.org/stable/10.5699/slaveasteurorev2.95.issue-1

There are widespread perceptions and countless documented cases of tight-knit networks of politicians and businessmen colluding for allocating public procurement contracts in return for political party donations. In the absence of systematic evidence, neither the magnitude of the problem nor the effectiveness of policies …

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