International Business and Social Norms: Experimental Evidence on Corruption

• In Event: Experimental Methods in Public Policy

Abstract

Our study gathers insights into how local social norms, beliefs and expectations about others’ behavioural integrity are affected by and interact with the international legal architecture aimed at combatting corruption and bribery. Using methods derived from experimental economics, we investigate trans-national differences in willingness to (a) engage in corrupt-like acts; and (b) initiate processes leading to the punishment
of others who engage in such acts. We investigated the extent to which these differences can be explained by variations in beliefs about others’ behavioural propensities and the social appropriateness of the behaviours. Further, we tested how
behaviours and beliefs are affected when we vary (c) the country of origin of the potential bribe-payer (an investor) and (d) the country of origin of the enforcement officer. Our results provide useful insights to international policy making and local enforcement initiatives.

Author

• Elizabeth David-Barrett, University of Sussex