TITLE:
The Implementation Mechanism and Governance Path of Corruption: A Transaction Cost Politics Perspective
AUTHORS:
Xiaofeng Xu, Zhaoyuan Chen
KEYWORDS:
Politics of Transaction Cost, Corrupt Transaction, Implementation Mechanism, Anti-Corruption Path
JOURNAL NAME:
Open Journal of Social Sciences,
Vol.10 No.13,
December
22,
2022
ABSTRACT: Based on the perspective of transaction cost politics, corruption is
essentially a political transaction process,
and the development of complex transaction networks stems to a certain extent
from the protection provided by the informal rules of corrupt transactions.
These corrupt implementation mechanisms include first-party governance based on
normative and trust, mutual implementation based on stable and
constraint relations, independent third-party implementation for agency fees,
and so on. Diversification of implementation mechanisms can meet the needs of
different types of corruption transactions. For example, small and accidental
corruption can be completed by first-party implementation, organized
third-party implementation protects a high-frequency, large system of
corruption. From the transaction cost politics perspective, the anti-corruption
program must be holistic to break the path dependence of corruption, which can
achieve a multi-level fundamental change from crushing the corrupt
implementation mechanism and changing the social expectations to establish the
authority of formal rules.