Can bribery buy health? Evidence from post-communist countries
JournalJournal of Comparative Economics
AuthorsAstghik Mavisakalyan, Vladimir Otrachshenko, Olga Popova
PublishedMay 2021
PublisherScience Direct
DOIhttps://doi.org/10.1016/j.jce.2021.04.006
ISSN0147-5967
Research ThemesHealth, Wellbeing and Disadvantage
Corruption is pervasive, but we know little about its effects on individual lives. Using individual-level data from 28 post-communist countries, we demonstrate that bribing for public services worsens self-assessed health. We account for endogeneity of bribery and show that bribing for any type of public service, not just for health services, has an adverse impact. We also find that bribery lowers the quality of services received. Moreover, there are potentially high indirect costs of bribery since, as we show, it comes at the expense of cutting food consumption. These findings suggest that corruption is a potentially important source behind the poor health outcomes in many developing countries.
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The Bankwest Curtin Economics Centre team acknowledges the Wadjuk Nyungar people as the traditional owners of the land on which the Centre is situated.