Current Corruption Indices: Assessing Reliability and Relevance
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Abstract
Corruption manifests in various forms and casts long shadows across nearly all economic sectors. Numerous measures, commonly known as perception indices, effectively assess corruption levels across different countries. However, each corruption index has its limitations because corruption cannot be quantified precisely. A significant drawback of perception indices is that a single corrupt act, when amplified by the media, can disproportionately influence these indices, leading to an overestimation of corruption levels. Conversely, the absence of more granular, experience-based indicators often leads to an underestimation of corruption. Neither perception-based nor experience-based indicators alone can accurately capture the full extent of corruption. While each country faces its unique challenges with corruption, the averaged and standardized techniques previously used in perception indices tend to force corruption measures into a narrow range, which has resulted in minimal changes in the values of these indices over time. In this research paper, the perception indices of corruption are critically evaluated. Since developed and developing countries have distinct social, moral, cultural, and economic foundations, it is inappropriate to compare them using the same corruption barometer. This paper discusses why policymakers cannot solely rely on perception indices.
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