TY - UNPB

T1 - Corruption and mental health

T2 - Evidence from Vietnam

AU - Sharma, Smriti

AU - Singhal, Saurabh

AU - Tarp, Finn

PY - 2020/5/1

Y1 - 2020/5/1

N2 - While there is substantial corruption in developing countries, the costs imposed by corruption on individuals and households are little understood. This study examines the relationship between exposure to local corruption and mental health, as measured by depressive symptoms. We use two large data sets - one cross-sectional and one panel - collected across rural Vietnam. After controlling for individual and regional characteristics, we find strong and consistent evidence that day-to-day petty corruption is positively associated with psychological distress. Our results are robust to a variety of specification checks. Further, we find that the relationship between corruption and mental health is stronger for women, and that there are no heterogeneous effects by poverty status. Finally, using a difference-in-difference estimation strategy, we providesuggestive evidence that a recent highly proled anti-corruption campaign had significant positive effects on mental health. Overall, our findings suggest that there may be substantial psychosocial and mental health benefits from efforts to reduce corruption and improve rural governance structures.

AB - While there is substantial corruption in developing countries, the costs imposed by corruption on individuals and households are little understood. This study examines the relationship between exposure to local corruption and mental health, as measured by depressive symptoms. We use two large data sets - one cross-sectional and one panel - collected across rural Vietnam. After controlling for individual and regional characteristics, we find strong and consistent evidence that day-to-day petty corruption is positively associated with psychological distress. Our results are robust to a variety of specification checks. Further, we find that the relationship between corruption and mental health is stronger for women, and that there are no heterogeneous effects by poverty status. Finally, using a difference-in-difference estimation strategy, we providesuggestive evidence that a recent highly proled anti-corruption campaign had significant positive effects on mental health. Overall, our findings suggest that there may be substantial psychosocial and mental health benefits from efforts to reduce corruption and improve rural governance structures.

KW - Corruption

KW - mental health

KW - depression

KW - Vietnam

M3 - Working paper

T3 - Economics Working Papers Series

BT - Corruption and mental health

PB - Lancaster University, Department of Economics

CY - Lancaster

ER -