Corruption Perceptions Index

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Overview of the index of perception of corruption, 2013.
     90–100      60–69      30–39      0–9
     80–89      50–59      20–29      No information
     70–79      40–49      10–19

Since the turn of the new millennium, Transparency International (TI) has published the Corruption Perceptions Index (CPI) annually ranking countries "by their perceived levels of corruption, as determined by expert assessments and opinion surveys."[1] The CPI generally defines corruption as "the misuse of public power for private benefit."[2]

The CPI currently ranks 176 countries "on a scale from 100 (very clean) to 0 (highly corrupt)."[3]

Methods[edit]

Transparency International commissioned Johann Graf Lambsdorff of the University of Passau to produce the Corruption Perceptions Index (CPI).[4] The 2012 CPI draws on 13 different surveys and assessments from 12 different institutions.[5] The institutions are the African Development Bank, the Bertelsmann Foundation, the Economist Intelligence Unit, Freedom House, Global Insight, International Institute for Management Development, Political and Economic Risk Consultancy, Political Risk Services, the World Economic Forum, the World Bank and the World Justice Project.[6]

Countries must be assessed by at least three sources to appear in the CPI.[7] The 13 surveys/assessments are either business people opinion surveys or performance assessments from a group of analysts.[2] Early CPIs used public opinion surveys.[7]

The CPI measures perception of corruption due to the difficulty of measuring absolute levels of corruption.[8]

Validity[edit]

A study published in 2002 found a "very strong significant correlation" between the Corruption Perceptions Index and two other proxies for corruption: Black Market activity and overabundance of regulation. All three metrics also had a highly significant correlation with real gross domestic product per capita (RGDP/Cap). The Corruption Perceptions Index correlation with RGDP/Cap was the strongest.[9]

Reports[edit]

2013[edit]

The 20 top countries that were ranked as having the lowest perceived levels of corruption were:

# Country Score # Country Score
1 Denmark 91 11 Luxembourg 80
New Zealand 12 Germany 78
3 Finland 89 Iceland
Sweden 14 United Kingdom 76
5 Norway 86 15 Barbados 75
Singapore Belgium
7 Switzerland 85 Hong Kong
8 Netherlands 83 18 Japan 74
9 Australia 81 19 United States 73
Canada Uruguay
Source:[10]

The 20 bottom countries that were ranked as having the highest perceived levels of corruption were:

# Country Score # Country Score
175 Somalia 8 167 Yemen 18
North Korea 163 Haiti 19
Afghanistan Guinea Bissau
174 Sudan 11 Equatorial Guinea
173 South Sudan 14 Chad
172 Libya 15 160 Venezuela 20
171 Iraq 16 Eritrea
168 Uzbekistan 17 Cambodia
Turkmenistan 158 Zimbabwe 21
Syria Myanmar
Source:[10]

2012[edit]

The 20 top countries that were ranked as having the lowest perceived levels of corruption were:

# Country Score # Country Score
1 Denmark 90 11 Iceland 82
Finland 12 Luxembourg 80
New Zealand 13 Germany 79
4 Sweden 88 14 Hong Kong 77
5 Singapore 87 15 Barbados 76
6 Switzerland 86 16 Belgium 75
7 Australia 85 17 Japan 74
Norway United Kingdom
9 Canada 84 19 United States 73
Netherlands 20 Chile 72
Source:[11]

The 20 bottom countries that were ranked as having the highest perceived levels of corruption were:

# Country Score # Country Score
174 Somalia 8 165 Chad 19
North Korea Burundi
Afghanistan 163 Zimbabwe 20
173 Sudan 11 Equatorial Guinea
172 Myanmar 15 160 Libya 21
170 Uzbekistan 17 Laos
Turkmenistan Democratic Republic of the Congo
169 Iraq 18 157 Tajikstan 22
165 Venezuela 19 Cambodia
Haiti Angola
Source:[11]

2011[edit]

The 20 top countries that were ranked as having the lowest perceived levels of corruption were:

# Country Score # Country Score
1 New Zealand 95 11 Luxembourg 85
2 Denmark 94 12 Hong Kong 84
Finland 13 Iceland 83
4 Sweden 93 14 Germany 80
5 Singapore 92 Japan
6 Norway 90 16 Austria 78
7 Netherlands 89 Barbados
8 Australia 88 United Kingdom
Switzerland 19 Belgium 75
10 Canada 87 Ireland
Source:[12]

The 20 bottom countries that were ranked as having the highest perceived levels of corruption were:

# Country Score # Country Score
182 Somalia 10 172 Equatorial Guinea 19
North Korea Burundi
180 Myanmar 15 168 Libya 20
Afghanistan Democratic Republic of the Congo
177 Uzbekistan 16 Chad
Turkmenistan Angola
Sudan 164 Yemen 21
175 Iraq 18 Kyrgyzstan
Haiti Guinea
172 Venezuela 19 Cambodia
Source:[12]

2010[edit]

The 20 top countries that were ranked as having the lowest perceived levels of corruption were:

# Country Score # Country Score
1 Denmark 93 11 Iceland 85
New Zealand Luxembourg
Singapore 13 Hong Kong 84
4 Finland 92 14 Ireland 80
Sweden 15 Austria 79
6 Canada 89 Germany
7 Netherlands 88 17 Barbados 78
8 Australia 87 Japan
Switzerland 19 Qatar 77
10 Norway 86 20 United Kingdom 76
Source:[13]

The 20 bottom countries that were ranked as having the highest perceived levels of corruption were:

# Country Score # Country Score
178 Somalia 11 168 Angola 19
176 Myanmar 14 164 Venezuela 20
Afghanistan Kyrgyzstan
175 Iraq 15 Guinea
172 Uzbekistan 16 Democratic Republic of the Congo
Turkmenistan 159 Tajikstan 21
Sudan Russia
171 Chad 17 Papua New Guinea
170 Burundi 18 Laos
168 Equatorial Guinea 19 Kenya
Source:[13]

Economic implications[edit]

Research papers published in 2007 and 2008 examined the economic consequences of corruption perception, as defined by the CPI. The researchers found a correlation between a higher CPI and higher long-term economic growth,[14] as well as an increase in GDP growth of 1.7% for every unit increase in a country's CPI score.[15] Also shown was a power-law dependence linking higher CPI score to higher rates of foreign investment in a country.

Criticism[edit]

Because corruption is willfully hidden, it is impossible to measure directly; instead, proxies for corruption are used.[citation needed]

Media outlets frequently use the raw numbers as a yardstick for government performance, without clarifying what the numbers mean. The local Transparency International chapter in Bangladesh disowned the index results after a change in methodology caused the country's scores to increase; media reported it as an "improvement".[16]

In a 2013 article in Foreign Policy, Alex Cobham suggested that CPI should be dropped for the good of Transparency International. It argues that the CPI embeds a powerful and misleading elite bias in popular perceptions of corruption, potentially contributing to a vicious cycle and at the same time incentivizing inappropriate policy responses. Cobham resumes: "the index corrupts perceptions to the extent that it's hard to see a justification for its continuing publication."[17]

In the United States, many lawyers advise international businesses to consult the CPI when attempting to measure the risk of Foreign Corrupt Practices Act violations in different nations. This practice has been criticized by the Minnesota Journal of International Law, which wrote that since the CPI may be subject to perceptual biases it therefore should not be considered by lawyers to be a measure of actual national corruption risk.[18]

References[edit]

  1. ^ Transparency International (2011). "Corruption Perceptions Index". Transparency International. Transparency International. Retrieved 1 December 2011. 
  2. ^ a b CPI 2010: Long methodological brief, p. 2
  3. ^ Transparency International (2012). "Corruption Perceptions Index 2012: In detail". Transparency International. Transparency International. Retrieved 24 August 2011. 
  4. ^ "Frequently Asked Questions: TI Corruption Perceptions Index (CPI 2005)". Retrieved 22 November 2005. 
  5. ^ CPI 2010: Long methodological brief, p. 1
  6. ^ Transparency International (2010). Corruption Perceptions Index 2010: Sources of information (Report). Transparency International. http://www.transparency.org/content/download/55815/891318/CPI2010_sources_EN.pdf. Retrieved 24 August 2011.
  7. ^ a b CPI 2010: Long methodological brief, p. 7
  8. ^ Transparency International (2010). "Frequently asked questions (FAQs)". Corruption Perceptions Index 2010. Transparency International. Retrieved 24 August 2011. 
  9. ^ Wilhelm, Paul G. (2002). "International Validation of the Corruption Perceptions Index: Implications for Business Ethics and Entrepreneurship Education". Journal of Business Ethics (Springer Netherlands) 35 (3): 177–189. doi:10.1023/A:1013882225402. 
  10. ^ a b Corruption Perceptions Index 2013. Full table and rankings. Transparency International. Retrieved: 4 December 2013.
  11. ^ a b Corruption Perceptions Index 2012. Full table and rankings. Transparency International. Retrieved: 4 December 2013.
  12. ^ a b Corruption Perceptions Index 2011. Full table and rankings. Transparency International. Retrieved: 4 December 2013.
  13. ^ a b Corruption Perceptions Index 2010. Full table and rankings. Transparency International. Retrieved: 4 December 2013.
  14. ^ Shao, J.; Ivanov, P. C.; Podobnik, B.; Stanley, H. E. (2007). "Quantitative relations between corruption and economic factors". The European Physical Journal B 56 (2): 157. arXiv:0705.0161. Bibcode:2007EPJB...56..157S. doi:10.1140/epjb/e2007-00098-2. 
  15. ^ Podobnik, B.; Shao, J.; Njavro, D.; Ivanov, P. C.; Stanley, H. E. (2008). "Influence of corruption on economic growth rate and foreign investment". The European Physical Journal B 63 (4): 547. arXiv:0710.1995. Bibcode:2008EPJB...63..547P. doi:10.1140/epjb/e2008-00210-2. 
  16. ^ Werve, Jonathan (2008-09-23). "TI's Index: Local Chapter Not Having It". Global Integrity. 
  17. ^ Cobham, Alex. "Corrupting Perceptions". Foreign Policy. 
  18. ^ Campbell, Stuart Vincent. "Perception is Not Reality: The FCPA, Brazil, and the Mismeasurement of Corruption" 22 Minnesota Journal of International Law 1, p. 247 (2013).


External links[edit]