Tag Archives: McCloskey

State of Thieves

By Deirdre N.  McCloskey
University of Illinois at Chicago

Nearly as published, Wall Street Journal, Saturday, Feb 28, 2015

The theme of Sarah Chayes’s “Thieves of State” is that corruption can’t be ignored as a source of international instability.  The injustice of it enrages people.  Corruption thus becomes “an important driver of conflict worldwide,” as Ms. Chayes puts it.  “Abusive government corruption prompts extreme responses and thus represents a mortal threat to security.”  Ms. Chayes, who in her seven years in Afghanistan worked as a reporter for National Public Radio, as an NGO administrator and as an advisor to Gen.  Stanley McChrystal, witnessed programs against corruption initiated by the NGOs, NATO, and the U.S.  Army fail and fail again, co-opted by the Karzai brothers and worse.  She tells the story of what happened in Afghanistan brilliantly, and compares her experience there with the current corruption in Egypt, Russia and the dismal rest.  In all of these places, the officials extract money from the system, the citizens cheat the system, and the business interests co-opt the system.  It’s an old story, from the corrupt judges the prophet Amos blasted to the love-besotted governor in squeaky-clean Oregon.

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McCloskey Wants the U.S. to Repeal the Foreign Corrupt Practices Act

By William K. Black
Quito: March 8, 2015

This is the fourth column in my series of articles critiquing Deirdre McCloskey’s book review in the Wall Street Journal entitled “Two Cheers for Corruption.”  McCloskey has subsequently written to New Economic Perspectives – but apparently not the WSJ – to complain that the title was authored by the WSJ and is contrary to her views.  As I mentioned, in my third column, the title is also innumerate in that McCloskey’s book review actually endorsed three types of corruption – and corruption is inherently a composite of bribery, extortion, and fraud.  She claimed that these three types of corruption exemplified why corruption can be desirable because it makes society more “efficient and just.”  I addressed in my second column in this series the first form of corruption that she endorsed – secret bribery, fraud, and corruption by firms in order to violate building safety codes with impunity.

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McCloskey Wants to Change the Title and the Substance of Her Article on Corruption

By William K. Black
Quito: March 8, 2015

Deirdre McCloskey has responded with two comments (to date) to my series of articles critiquing her book review in the Wall Street Journal of two new books about corruption. We welcome her to the pages of New Economic Perspectives and invite her to provide an article or series of articles presenting her views on elite white-collar crimes such as fraud and corruption of whatever length she thinks best. The harm done by these crimes is so severe that these topics well warrant extended discussion and debate. NEP is one of the rare economic blogs that devotes considerable space to these topics.

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