Beyond Corruption: How State Capture Subverts Modern Democracies

Beyond Corruption: How State Capture Subverts Modern Democracies

• Daniel Kaufmann | Global economy & governance expert | Former director at the World Bank

Three decades ago, when studying the transition of large post-Soviet economies, Daniel Kaufmann and Joel Hellman advanced the notion of State Capture, as quite distinct, and more damaging than traditional corruption, paying attention then to the undue influence by oligarchs. Over time the approach evolved, to cover other regions and countries, and to include other 'non-state captors', as well as the collusion with state actors, including political leaders. In addition to such evolution, and the distinct features and consequences of state capture, this Integrity Talk will focus on today’s stark global reality, including implications for development, democracy, climate action, competitiveness, and the law. Backstopping these issues with evidence, this Integrity Talk will suggest insights from analysis of the first global measure of State Capture, developed recently by Prof. Kaufmann. An interactive discussion on ways to address this major challenge will be encouraged.

Daniel Kaufmann is a leader in the fields of governance, anti-corruption, natural resources and development economics. A Sr. Fellow at R4D and at the Brookings Institution, a visiting professor at the University of Sussex, and of the Philippines (Economics). Formerly a director at the World Bank, where he was its first head in Ukraine and subsequently, with colleagues, pioneered work on governance, anti-corruption, state capture, and their measurement. After the World Bank he co-founded and led the Natural Resource Governance Institute (NRGI), an international public policy organization. He was also a visiting scholar at Harvard University and a member of the faculty of the World Economic Forum (Davos). He has served in multiple international governing and advisory boards and in high-level councils.

He has published in leading academic and policy journals and in the international media. He co-created global indicators, such as the Worldwide Governance Indicators, the Resource Governance Index, and recently the first global index to measure State Capture. Has advised leaders of nations and organizations. A Chilean national, holds a Ph.D. in economics from Harvard. Has given occasional lectures on opera.