ABSTRACT
Corruption has become a major phenomenon in the People's Republic of China. In this chapter, the authors survey trends, causes, and consequences of corruption over the generation since market-oriented reforms were launched in 1978. They argue that in both economic and—perhaps more surprising—political terms, corruption confronts China with both serious challenges and unexpected opportunities. The authors discuss five mutually reinforcing causes behind the surge of corruption: systemic and structural problems; increased opportunities and incentives for corruption brought forth by market-oriented reforms; a crisis of values; deficient legal and supervisory mechanisms; and cultural factors. They also discuss three kinds of corruption: abusing power purely for personal benefits; deviating from "normal" duties for the benefit of one's institution or work unit; and abuse of power for both reasons. The authors consider what they might tell us about the implications of the problem for China's future.
