PDF, GB, 139 p., 796 Ko - Femise
PDF, GB, 139 p., 796 Ko - Femise PDF, GB, 139 p., 796 Ko - Femise
fall in corruption. This fall is quite large, especially for Syria and Algeria. The improvement would move these countries almost to the level of corruption observed currently in Turkey and the improvement in corruption level in Turkey would move it to the level of corruption observed in the Czech Republic. Figure 3 shows the levels of corruption before and after proposed deregulation to the level of 8 NMS mean plus the current mean of corruption in the two regions. Figure 3 Current versus predicted level of corruption 0.80 0.30 -0.20 -0.70 -1.20 ALGERIA EGYPT ISRAEL JORDAN LEBANON MOROCCO SYRIA TUNISIA TURKEY WEST BANK 121 CZECH REPUBLIC ESTONIA HUNGARY Current level of corruption Predicted level after deregulation NMS Mean MENA Mean Source: Own calculation based on Control of Corruption Index by Kaufmann, Kraay and Mastruzzi (2006). "Governance Matters V: Governance Indicators for 1996-2005". World Bank Policy Research September 2006 However, Israel and Tunisia have a lower level of regulation than the 8 New Member States' average (shown in outlines in figure 3). As a result, a change in the level of regulation to the NMS8 level would mean an effective increase in regulation. Therefore, this would increase corruption instead of decreasing it. This result seems plausible too, though it is very important to remember, that post-communist countries suffer from legacies of the now obsolete system of central planning. By definition, central planning involved vast and substantial direct governmental intervention in economic decision-making. Therefore, these countries have a very high level of regulation even though liberalization is still undergoing. This is not in any way connected to the bureaucratic rigidities often ridiculed by opponents of the European LATVIA LITHUANIA POLAND SLOVAK REPUBLIC SLOVENIA
Union. In fact, the level of regulation and the time spent dealing with the bureaucracy is much lower in the EU-15 countries than in the 8 NMS by almost an order of significance. 59 Furthermore, as discussed above, the European Commission was a major force behind deregulation in many areas of economic activity in the NMS. 59 Especially given the fact that Italy, Spain, and Portugal tend to seriously lag behind the other old members in terms of bureaucratic hold-ups. 122
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- Page 79 and 80: have important impact on political
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- Page 85 and 86: Appendix Table 2 Estimation results
- Page 87 and 88: Table 4 Estimation results using mo
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- Page 91 and 92: practice most importers do not pay
- Page 93 and 94: countries were traditionally subjec
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- Page 97 and 98: and between 157% and 247% in 2004.
- Page 99 and 100: policy reforms. On the other hand i
- Page 101 and 102: Table 1 Estimation results for Isra
- Page 103 and 104: 1995 0.00202 [2.04]** -0.00199 [2.0
- Page 105 and 106: extended to disaggregation of burea
- Page 107 and 108: The Importance of Corruption A subs
- Page 109 and 110: transition countries. Sekkat and Ve
- Page 111 and 112: society. In addition, they show tha
- Page 113 and 114: Johnson, Kaufmann, McMillan, and Wo
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- Page 117 and 118: and criminal prosecution. On the ot
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Union. In fact, the level of regulation and the time spent dealing with the bureaucracy is much<br />
lower in the EU-15 countries than in the 8 NMS by almost an order of significance. 59<br />
Furthermore, as discussed above, the European Commission was a major force behind<br />
deregulation in many areas of economic activity in the NMS.<br />
59 Especially given the fact that Italy, Spain, and Portugal tend to seriously lag behind the other old members in<br />
terms of bureaucratic hold-ups.<br />
122