Rational Choice and Behavioural Economics

This chapter will examine and assess to what extent corruption is a rational choice based on a cost–benefit calculation and/or a more subtle process where incentives, automatic thoughts and social preferences  impact on how we act in specific circumstances. I start by highlighting the conventional economic approach to corruption and how this view of human behaviour resonates within and across the broad church of criminology in explaining crime and corruption.  I then assess the application and usefulness of behavioural economics and incentives, automatic thoughts and social preferences, customs, conventions and emotions on how we behave. Then, I explain why it is rational for individuals in corrupt institutions to remain silent and highlight the importance of structure, context and notions of professional and personal legitimacy to explain how and why silence occurs and manifests into a ‘wall of Silence’ in institutions and allows corruption to continue, often unabated.