Sunshine or Curse? Foreign Direct Investment, the OECD Anti-Bribery Convention, and Individual Corruption Experiences in Africa.

It remains unclear if foreign direct investment (FDI) benefits local citizens in host countries. Combining geo-referenced FDI data and household level surveys, this paper uses spatial-temporal techniques to assess how FDI impacts individual corruption experiences. We investigate if this relationship...

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Publicado en:International Studies Quarterly Vol. 64; no. 4; pp. 956 - 968
Autores principales: Brazys, Samuel, Kotsadam, Andreas
Formato: Artículo
Publicado: Oxford University Press / USA Dec2020
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        atl: Sunshine or Curse? Foreign Direct Investment, the OECD Anti-Bribery Convention, and Individual Corruption Experiences in Africa.
      aug:
        au:
          Brazys, Samuel
          Kotsadam, Andreas
        affil:
          University College Dublin
          Ragnar Frisch Centre for Economic Research, University of Oslo
      su:
        Organisation for Economic Co-operation & Development
        Households
        Political corruption
        Foreign investments
        International cooperation on bribery
      sug:
        subj:
          Households
          Political corruption
          Organisation for Economic Co-operation & Development
          Private Households
          International Trade Financing
          International Affairs
          International and other extra-territorial public administration
          Foreign investments
          International cooperation on bribery
      ab: It remains unclear if foreign direct investment (FDI) benefits local citizens in host countries. Combining geo-referenced FDI data and household level surveys, this paper uses spatial-temporal techniques to assess how FDI impacts individual corruption experiences. We investigate if this relationship is conditional on the corruption levels, or engagement with the OECD's anti-bribery convention (ABC), of the FDI's source country. We find evidence that FDI flows reduce individual bribery experiences, but only when existing levels of corruption are high. We find it is FDI from comparatively more corrupt, and non-ABC engaging, countries that locates to areas of high corruption. Further, FDI appears to improve both the employment prospects and financial positions of local households. Collectively, we argue that these results suggest that individual empowerment via a wealth effect, rather than spillovers from firm professionalization or regulatory pressure mechanisms, is what stems individual corruption experiences.
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    language: English
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