Abstract

Despite recent progress, corruption is frequently cited as an obstacle inhibiting business in the Europe and Central Asia (ECA) region, and there are considerable differences in corruption across the ECA countries. Regression analyses show that both the level and quality of openness significantly affected corruption in the ECA countries between 1996 and 2009. These findings are robust; they do not depend on the addition of a number of other relevant variables or the choice of estimator – OLS, robust or random-effects generalized least squares.

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