Skip to main content Skip to secondary navigation

Addressing Corruption in an Informal Industry

Main content start
Brick Kiln Worker in action

Addressing Corruption in an Informal Industry: Evidence from Brick Kiln Industries in Bangladesh

 

Objectives

1.  Determine method of targeting corruption in developing countries.

2.  Understand signaling mechanism by which to reduce corruption.

3.  Understand correlation between profitability, corruption, and environmental impact.

 

Rationale

Local public officials/bureaucrats can influence whether or not a firm is allowed to operate.  Informal industries are believed to often make unofficial payments to government authorities to permit their ongoing operation, but the scale and the specifics of these payments are poorly understood. As government officials are responsible for environmental enforcement, these payments risk undermining environmental policies. We have collected detailed information on payments from brick kiln owners to government officials as part of a randomized controlled trial. We will assess how much kiln owners pay and whether any of the interventions to improve environmental performance affect these payments.

 

Project Dates

2021-2023

 

Stage of Work

Experiment completed. Data collection ongoing from public officials.  Analysis in progress.

 

People

Primary Contact:  Moogdho Mahzab

Stanford University

.   Stephen Luby

.   Nina Brooks

.   Moogdho Mahzab

icddr,b

.   Debashish Biswas

 

Funding (derivative of other projects)

Stanford Impact Labs

Massachusetts Institute of Technology (MIT) Jameel Poverty Action Lab (J-PAL) King Climate Action Initiative (King-CAI)