The Power of Example: Corruption Spurs Corruption

  title={The Power of Example: Corruption Spurs Corruption},
  author={Nicol{\'a}s Ajzenman},
  journal={American Economic Journal: Applied Economics},
  • Nicolás Ajzenman
  • Published 1 April 2021
  • Economics
  • American Economic Journal: Applied Economics
Does political corruption erode civic values and foster dishonest behaviour? I test this hypothesis in the context of Mexico, by combining data on local government corruption and cheating in school tests. I find that, following revelations of corruption by local officials, cheating in cognitive tests by secondary school students increases significantly. The effect is large and robust, it persists for over one year after malfeasance is revealed, and is more pronounced for older students… 
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