Using a sample of 73 sanctioned and 60 non-sanctioned countries, as well as corruption data spanning the years 1995 to 2012, we attempt to find a relationship between economic sanctions and corruption in target countries1. Our findings suggest that countries that have undergone economic sanctions appear to be more corrupt than non-sanctioned countries. We also find that comprehensive economic sanctions tend to generate more corruption than partial sanctions. In this study, we run a regression to determine a linear relationship between corruption as the dependent variable and a number of independent variables, to include economic sanctions, the origin of legal system, the percentage of Protestant population, democracy, and economic development.
1 In this paper, we follow other researchers in using the term “target country,” which denotes a country under economic sanctions, and “sender country,” which is the country that applies economic sanctions.
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