Fight Against Corruption: A Game Theory Analysis

Nesrin Dağ

Fighting against corruption is always on the agenda of states. In this paper, the state’s decision whether to fight corruption is analyzed within a game theoretical context. A sequential game is established in which the state, the briber and the bribe taker are the players. Once a state makes a decision on its stance on corruption, this decision affects the strategies of the other players in the game. The estimated payoffs of alternative game strategies are calculated for each player. The solution to the game occurs where the state decides to fight against corruption and the briber decides not to give bribes. The analysis suggests that the state’s determination to fight corruption will raise the payoff for the state as well as the community.

Keywords:

Corruption, fighting against corruption, bribe, game theory, game tree.