July 13, 2004

Corruption 101

fpi_glasses.jpg Via Dragos at argumente, here's a good introduction to corruption in Romania, by a foreigner for foreigners.

Several good bits. For instance:

Gonteanu shared with me fascinating May 2004 OSI research on the public attitudes that result -- 89% of Romanians surveyed think the state should “provide jobs for everyone who wants to work”; 55% think the government should start new state enterprises to boost employment; 58% think the majority of parliamentarians are corrupt; a shocking 51% think that most judges are corrupt … and 14% have themselves paid bribes in court.

And this:

What’s surprising to an outsider like me is how widely and in how much detail all this corruption (and more) are known. This was certainly somewhat a function of my milieu, which trended seriously toward young urban professionals or cultural figures sympathetic to the Liberal Party. But it’s also a measure of the deep and perhaps decisive urban/rural split in the country, which is more pronounced than any country I’ve witnessed, with the possible exception of Milosevic’s rump Yugoslavia.

In Bucharest and the other large cities, there is no shortage of critical newspapers, muckraking revelations, national and international television news, student populations, and what one diplomat called “the most youth-obsessed culture I’ve ever seen.” Not surprisingly, the opposition alliance (composed of the center-right Liberal Party and the center-left Democrats) won nearly all of the major cities, while losing most of the countryside (where plumbing isn’t widely available, let alone cable television or aggressive newspapering). According to OSI research, something like 70% of the rural population doesn’t even venture into the nearest decent-sized town more than once a month...

This is entirely consistent with what I've seen. Bucharest, Timisoara, and to a lesser extent three or four other cities (Galati, Brasov) are already a completely different world from the rest of the country. Rural Romania -- and keep in mind that roughly half of the country's population is rural -- is much poorer and, well, traumatized. They're very little-c conservative out in the countryside. Understandably so; change, for the last three generations, has meant nothing but trouble. Still, they're not going to be out in front pushing the country forward into the future.

I think the Romania-Yugoslavia comparison is also very apropos. The city of Belgrade never much cared for Milosevic -- it was a relatively cosmopolitan place. But Slobo used to overrun it with rent-a-crowds, poor rural Serbs that he'd bring in from the countryside by the busload to attend his rallies and "spontaneous" demonstrations of public support. And while one meets Serb nationalists everywhere in Serbia, it's out in the countryside that one encounters the really overheated conspiracy theories and true, deep paranoia.

Mind, the article doesn't touch on the fascinating topic of private corruption in Romania... how, for instance, the foreign purchase of a Romanian firm may have to fire half the management in the first few months, because so many of them may have various scams going on. But it's a good introduction to the topic generally.

More on this in a bit.

Posted by douglas at July 13, 2004 02:42 PM
Comments

As a Romanian, I can only agree with what's written here. I have to say that the high level corruption is not the main problem the country faces. The small bribes paid by the ordinary citizen to the nurses, doctors, auto mechanics, the policeman who gives you a speeding ticket etc etc. If this one goes away, the general political and business climate will be much cleaner. Historically speaking, it is hard to remove the roots of it, as it comes from centuries of ottoman dominance. The most common words for petty bribe in Romanian are of Turkish origin and that tells all. And I guess the phenomenon exists in the entire region of the Balkans, not only Romania. My only hope is that in time, more and more people will be exposed to the western way of living (working abroad, legally or not than coming back) and realize there's another way to get thinks done, without the almighty "bacsis"

Posted by: Stefan at July 13, 2004 03:31 PM

Stefan, although there's no denying the Ottomans had a pernicious effect on Balkan development, the same patterns of corruption can be seen in places where the Turk was but a figure of fun in puppet shows.

The main contributing factors that keep on popping up in economic studies about corruption are overall wealth -- and *not* simply paying officials more -- and long-term democracy. There's also an effect favoring corruption if the nation in question is a federal and not a unitary state. (Insert Enron joke here.)

If you feel disheartened, compare current Romania to Italy in the 1970s. Romania looks like Holland in comparison.

C.

Posted by: Carlos at July 13, 2004 06:48 PM

Doug, did you get the mail I sent you?

Posted by: David Weman at July 21, 2004 02:52 PM