This was an honors presentation I gave to the public during the my senior year at Hood College.

1. The Effect of Income on Corruption Brittni Smith Department of Economics and Management Hood College April 16, 2010

4. Countries in Corruption Index New Zealand 0.6 Somalia 8.9 Least Corrupt Most Corrupt Spain 2.5 USA China Mexico Russia Haiti Afghanistan 7.8 6.7 6.4 8.2 8.7 S. Korea 4.5 4

6. Previous Studies on the Effect of Income on Corruption Frechette (2006) Braun-Di Tella (2004) Treisman (2000) Brown (2005), Kunicova-R. Ackerman (2005), Lederman (2005), Chang-Golden (2004), Damania (2004), Dreher (2004), Alt-Lassen (2003), Brunett-Weder (2003), Graeff-Mehlkop (2003), Herzfeld-Weiss (2003), Knack-Azfar (2003) Person (2003), Tavares (2003), Fisman-Gatti (2002), Paldam (2001), Bonanglia(2001), Swamy (2001), Abed-Davoodi (2000), Rauch-Evan (2000), Wei (2000), Goldsmith (1999), Ades-Di Tella (1997) Income Positive-Significant Negative-Significant Variable

13. Non-Linear Relationship Between Corruption and Income Bangladesh Luxembourg

15. Sub-Sample Income Levels

16. Various Income Levels ***, **, * indicate statistical significance at the 1%, 5%, and 10% level respectively Standard errors in parenthesis