Anjar Priandoyo

Catatan Setiap Hari

Theory of Corruption in Indonesia

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Corruption in developing country is prevalent. There are several perspective on the root cause of corruption in Indonesia. Corruption can be caused by cultural aspect where the subordinate staff will agree with every instruction from the supervisor. The cultural aspect is align with Principle Agent Problem theory, where the staff that doing corruption will not feeling guilty even feels protected by the roles of “bapak” paternal leader in organization.

Coruption also can be explained by using conflict of interest theory, where a lot of bureucratic position is also a political position. Important position such as state own company commissioner or department ministry has a strong tie with political party. Therefore any government agenda will have a direct conflicting interest with businessperson that supporting political party.

Corruption also because of the morality of people where it can be explain using rent-seeking theory where a government agent is looking for money from the rent activity such as oil gas exploration contract or and government procurement.

(So out of several perspective on corruption which perspective is the most effective? well, from science point of view, scientist must say that they bet on one theory, for example conflicting theory or politial settlement, which translated in to ACA/KPK. However scientist can conclude that ACA is not effective by using quantitative approach, but scientist can argue that eventhough is not effective is important factors (see how strange is social science))

A.Cultural Aspect of Corruption (aka Principle Agent Theory)
Indonesia is known has an eastern culture or reactive multiactive culture (Lewis Culture model). This is where father has a greater role in family. It can be explained due to the agriculture system where it need a bigger population with rigid structure (e.g caste system) in order to survive. This culture plays important role in the growth of corruption which most of corruption is taken in the form of family group (dynasty).

B.Where and How (aka Motive)
More evidence on political party corruption indicating that political party play bigger roles. In term of political settlement theory. This trend is increasingly bigger and reflecting the economic size of coruption.

With so many corruption case in Indonesia, combating corruption is serious subject. Government put priority, but study says that there is no significant decline in corruption eradication. However, it should be noted that (this statement depend on which preference that I choose) it should be priority given to rent-seeking theory, which the economic aspect should be put as priority.

This MSc thesis compare three corruption theory: Principle Agent, Collective Action, Political Settlement

This PHd thesis explore deeper on corruption theory.

nice quote here “research of an exploratory nature cannot, in a sense, reach any conclusion”


Written by Anjar Priandoyo

Mei 3, 2017 pada 12:20 pm

Ditulis dalam Science

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