Hostname: page-component-78c5997874-dh8gc Total loading time: 0 Render date: 2024-11-03T01:00:43.082Z Has data issue: false hasContentIssue false
  • English
  • Français

Luck or luxury? Possible corruption in the car registration process in the Czech Republic

Published online by Cambridge University Press:  04 September 2015

Peter Bolcha  and
Jan Rovný
Peter Bolcha
Affiliation:
Faculty of Economics, Matej Bel University, Slovakia School of Business Administration, Anglo-American University, Czech Republic E-mail: [email protected]
Jan Rovný
Affiliation:
Cass Business School, City University London, UK E-mail: [email protected]
Get access Rights & Permissions [Opens in a new window]

Abstract

Research into the detection of fraud and corruption has brought many new insights in recent decades, partly thanks to a decrease in the costs of data collection and processing. However, access to data often remains an issue, especially when fraud or corruption seems to be present. This article applies a simple detection method focussing on possible manipulations in the car registration process in the Czech Republic, where car registration plates are allegedly assigned in random order. As access to official data was denied, we collected data in the field for a random sample of 5,000 cars, and used this to examine the existence of statistical relationships between the cars’ estimated price at registration and their registration plate numbers. The results show that cars with intuitively appealing registration plates are on average significantly more expensive than other cars. Moreover, this price difference corresponds to the relative scarcity of the given type of registration plate number, which could be a sign of discretionary behaviour in the allocation of such plates.

Keywords

corruptionCzech Republicfield datafraud detectionregistration plates
Type
Research Article
Information
Journal of Public Policy , Volume 36 , Issue 4 , December 2016 , pp. 603 - 638
Copyright
© Cambridge University Press, 2015 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Aktuálně (2014) Další desítka sociálních bytů Brno nespasí, problémů má více, 11 April, http://zpravy.aktualne.cz/domaci/dalsi-desitka-socialnich-bytu-brno-nespasi-pomohl-by-zakon/r~113040a4c17e11e391780025900fea04/ (accessed 14 November 2014).Google Scholar
Beber, B. and Scacco, A. (2012) What the Numbers Say: A Digit-Based Test for Election Fraud. Political Analysis 20: 211–234.CrossRefGoogle Scholar
Becker, G. S. and Stigler, G. J. (1974) Law Enforcement, Malfeasance, and Compensation of Enforcers. The Journal of Legal Studies 3(1): 1–18.CrossRefGoogle Scholar
Benford, F. (1938) The Law of Anomalous Numbers. Proceedings of the American Philosophical Society 78: 551–572.Google Scholar
Blesk (2012) Líbivé SPZ za 10 000: Na značkách mají rok narození! 29 August, http://www.blesk.cz/clanek/zpravy-udalosti/180460/libive-spz-za-10-000-na-znackach-maji-rok-narozeni.html (accessed 14 November 2014).Google Scholar
Centrální register vozidel (2014) Ministry of Transport – Central Register of Cars, http://www.mvcr.cz/clanek/centralni-registr-vozidel-865510.aspx (accessed 14 November 2014).Google Scholar
Charter of Fundamental Rights and Freedoms/Listina základních práv a svobod (1992) Part of Czech Constitutional Law, http://zakony.centrum.cz/listina-zakladnich-prav-a-svobod (accessed 14 November 2014).Google Scholar
Cho, W. T. and Gaines, B. J. (2007) Breaking the (Benford) Law: Statistical Fraud Detection in Campaign Finance. The American Statistician 61: 218–223.Google Scholar
Choo, S. and Mokhtarian, P. L. (2004) What Type of Vehicle Do People Drive? The Role of Attitude and Lifestyle in Influencing Vehicle Type Choice. Transportation Research Part A: Policy and Practice 38(3): 201–222.Google Scholar
Czech Statistical Office (2013) Průměrné mzdy, http://www.czso.cz/csu/csu.nsf/informace/cpmz060513.doc (accessed 14 November 2014).Google Scholar
Czech Television (2010) Úředník radnice v Kostelci nad Orlicí stojí před soudem za braní úplatků, 10 March 2010, http://www.ceskatelevize.cz/ct24/domaci/83394-urednik-radnice-v-kostelci-nad-orlici-stoji-pred-soudem-za-brani-uplatku/ (accessed 14 November 2014).Google Scholar
Czech Television (2011) Prominentní SPZ? U luxusních aut žádná výjimka, 12 April, http://www.ceskatelevize.cz/ct24/domaci/120745-prominentni-spz-u-luxusnich-aut-zadna-vyjimka/ (accessed 14 November 2014).Google Scholar
Doob, A. N. and Gross, A. E. (1968) Status of Frustrator as an Inhibitor of Horn-Honking Responses. Journal of Social Psychology 76: 213–218.Google Scholar
Duggan, M. and Levitt, S. D. (2002) Winning Isn’t Everything: Corruption in Sumo Wrestling. American Economic Review 92: 1594–1605.Google Scholar
Eide, E., Rubin, P. H. and Shepherd, J. M. (2006) Economics of Crime. Foundations and Trends in Microeconomics 2(3): 205–279.Google Scholar
Ernst & Young (2013) Probíhá přidělování prémiových SPZ náhodně? Ani náhodou …, Press release, 1 December, http://www.ey.com/CZ/cs/Newsroom/News-releases/2012_Probiha-pridelovani-premiovych-SPZ-nahodne (accessed 14 November 2014).Google Scholar
Faccio, M. (2006) Politically Connected Firms. American Economic Review 96(1): 369–386.Google Scholar
Fagan, J. and Davies, G. (2000) Street Stops and Broken Windows: Terry, Race and Disorder in New York City. Fordham Urban Law Journal 28: 457–504.Google Scholar
Feuereisl, D. (2006a) Poznávací značky automobilů v Českých zemích, http://www.feudal.cz/spz/html/1918-1932.htm (accessed 14 March 2015).Google Scholar
Feuereisl, D. (2006b) Poznávací značky automobilů v Českých zemích, http://www.feudal.cz/spz/html/1960-2002.htm (accessed 14 March 2015).Google Scholar
Fried, B. J., Lagunes, P. and Venkataramani, A. (2010) Corruption and Inequality at the Crossroad: A Multimethod Study of Bribery and Discrimination in Latin America. Latin American Research Review 45(1): 76–97.Google Scholar
Frouzová, K. (2011) Na ulici si zapisoval značky aut, tak dostal magistrát do exekuce, iDNES, 6 April, http://zpravy.idnes.cz/jak-dostal-magistrat-do-exekuce-zapisoval-si-na-ulici-znacky-aut-p8m-/domaci.aspx?c=A110406_1562288_praha-zpravy_sfo (accessed 14 November 2014).Google Scholar
Gate2Biotech (2012) V Brně chce inovovat 180 firem, o inovační vouchery žádají i ze zahraničí, 9 May, http://www.gate2biotech.cz/v-brne-chce-inovovat-firem-o-inovacni-vouchery-zadaji-i-ze-zahranici/ (accessed 14 November 2014).Google Scholar
Giles, D. E. A. (2007) Benford’s Law and Naturally Occurring Prices in Certain e-Bay Auctions. Applied Economics Letters 14: 157–161.Google Scholar
Golden, M. and Picci, L. (2005) Proposal for a New Measure of Corruption, Illustrated with Italian Data. Economics and Politics 17(1): 37–75.Google Scholar
Guéguen, N., Meineri, S., Martin, A. and Charron, C. (2014) Car Status as an Inhibitor of Passing Responses to a Low-Speed Frustrator. Transportation Research Part F 22: 245–248.Google Scholar
Herzfeld, A. (2006) Die Geschichte der deutschen Kfz-Kennzeichen, 3., Aufl. Berlin: Deutsche Gesellschaft f. Flaggenkunde, ISBN-13: 978-3935131032.Google Scholar
Heywood, P. M. and Rose, J. (2014) “Close but no Cigar”: The Measurement of Corruption. Journal of Public Policy 4(3): 507–529.Google Scholar
Holek, J. (2014) Úřední buzerace: Rovný a rovnější, Svět Motorů, 11 January, http://svetmotoru.auto.cz/clanek/servis/4653/uredni-buzerace-rovny-a-rovnejsi.html (accessed 14 November 2014).Google Scholar
Hradec Králové (2011) O bydlení pro mladé rozhodne los, 19 January, http://www.hradeckralove.org/hradec-kralove/o-bydleni-pro-mlade-rozhodne-los; https://europlate.vit.ua/countries/afg-bur/aut/auhu-hist.htm (accessed 14 November 2014).Google Scholar
iDNES (2004) V Dejvicích se losuje o byty, 25 August, http://ekonomika.idnes.cz/v-dejvicich-se-losuje-o-byty-dpw-ekonomika.aspx?c=A040825_123457_cbclanky_maf (accessed 14 November 2014).Google Scholar
Jacob, B. A. and Levitt, S. D. (2003) Rotten Apples: An Investigation of the Prevalence and Predictors of Teacher Cheating. The Quarterly Journal of Economics 118(3): 843–878.CrossRefGoogle Scholar
Jihlavské listy (2014) O dodavateli zimáčku rozhodne los, http://www.jihlavske-listy.cz/clanek5595-o-dodavateli-zimacku-rozhodne-los.html (accessed 14 November 2014).Google Scholar
Knack, S. (2007) Measuring Corruption: A Critique of Indicators in Eastern Europe and Central Asia. Journal of Public Policy 27(3): 255–291.CrossRefGoogle Scholar
Knowles, J., Persico, N. and Todd, P. (1999) Racial Bias in Motor Vehicle Searches: Theory and Evidence. Working paper No. W7449, NBER, Cambridge, MA, December.Google Scholar
Kozumplík, M. (2011) Uhněte z cesty! Instinkt n. 2/11, 13 January, http://instinkt.tyden.cz/rubriky/ostatni/fenomen/uhnete-z-cesty_25815.html (accessed 14 November 2014).Google Scholar
Kramer, T. and Block, L. (2008) Conscious and Nonconscious Components of Superstitious Beliefs in Judgment and Decision Making. Journal of Consumer Research 34(6): 783–793.Google Scholar
Křivka, V. (2009) Úplatky všedního dne, Týden, 10 August, http://www.tyden.cz/rubriky/domaci/doprava/uplatky-vsedniho-dne-protekcni-spz-na-vozech-elitaru_133510.html#.VP6fJfnF_9U (accessed 14 November 2014).Google Scholar
Lambsdorff, J. G. (2006) The Validity and Precision of Subjective Indicators: The Corruption Perception Index. In Sampford J. G. (ed.), Measuring Corruption. London, UK: Ashgate Publishing, 81–100.Google Scholar
Law No. 40/2009 (2009) Criminal Code, Trestní zákoník – č. 40/2009 Sb, http://zakony.centrum.cz/trestni-zakonik (accessed 14 November 2014).Google Scholar
Law No. 239/2013 (2013) Zákon č. 239/2013, kterým se mění zákon č. 56/2001 o podmínkách provozu vozidel na pozemních komunikacích, https://osha.europa.eu/fop/czech-republic/cs/legislation/files/239_2013.pdf (accessed 14 November 2014).Google Scholar
Ley, E. (1996) On the Peculiar Distribution of the U.S. Stock Indexes’ Digits. The American Statistician 50: 311–313.Google Scholar
McGarva, A. R. and Steiner, M. (2000) Provoked Driver Aggression and Status: A Field Study. Transportation Research Part F 3: 167–179.CrossRefGoogle Scholar
New York City Housing Development Corporation (2014) List of HDC-Financed Developments, http://www.nychdc.com/pages/Now-Renting.html (accessed 14 November 2014).Google Scholar
Newcomb, S. (1881) Note on the Frequency of Use of the Different Digits in Natural Numbers. American Journal of Mathematics 4(1): 39–40.Google Scholar
NYC (2014) Housing Programs for Municipal Employees, http://www.nyc.gov/html/hpd/html/apartment/faqs-municipal-employees.shtml (accessed 14 November 2014).Google Scholar
Olken, B. A. (2009) Corruption Perceptions vs. Corruption Reality. Journal of Public Economics 93(7–8): 950–964.CrossRefGoogle Scholar
Olken, B. A. and Baroon, P. (2009) The Simple Economics of Extortion: Evidence from Trucking in Aceh. Journal of Political Economy 117(3): 417–452.Google Scholar
Plzeň ský deník (2005) Vlivní peněženku nepotřebují? Plzeňský deník, 21 December, 2pp.Google Scholar
Porter, R. H. and Zona, J. D. (1993) Detection of Bid Rigging in Procurement Auctions. Journal of Political Economy 101: 518–538.CrossRefGoogle Scholar
Pražský deník (2010) Prominentní značky. Za peníze? Pražský deník, 17 April, 3pp.Google Scholar
Public Notice (2001) Vyhláška č. 243/2001 Sb., o registraci vozidel, http://portal.gov.cz/app/zakony/zakon.jsp?page=0&nr=243~2F2001&rpp=15#seznam (accessed 14 November 2014).Google Scholar
Sequeira, S. (2012) Chapter 6 Advances in Measuring Corruption in the Field. In Serra D. and Wantchekon L. (eds.), New Advances in Experimental Research on Corruption. Research in Experimental Economics, Volume 15. Emerald Group Publishing Limited, 145–175. Available at http://www.emeraldinsight.com/doi/abs/10.1108/S0193-2306(2012)0000015008.Google Scholar
Shapiro, E. (1999) Cost of Crime: A Review of the Research Studies. St. Paul, MN: House Research Department, Minnesota House of Representatives.Google Scholar
Shleifer, A. and Vishny, R. W. (1993) Corruption. The Quarterly Journal of Economics 108(3): 599–617.Google Scholar
Szlemko, W. J., Benfield, J. A., Bell, P. A., Deffenbacher, J. L. and Troup, L. (2008) Territorial Markings as a Predictor of Driver Aggression and Road Rage. Journal of Applied Social Psychology 38: 1664–1688.Google Scholar
Tella, R. D. and Schargrodsky, E. (2003) The Role of Wages and Auditing During a Crackdown on Corruption in the City of Buenos Aires. Journal of Law and Economics 46(1): 269–292.Google Scholar
Townsend, C. and Sood, S. (2012) Self-Affirmation Through the Choice of Highly Aesthetic Products. Journal of Consumer Research 39(2): 415–428.Google Scholar
Transparency International (2012) Corruption Perceptions Index 2012: Statistical Assessment, http://www.transparency.org/cpi2013/in_detail (accessed 14 November 2014).Google Scholar
Transparency International (2014) Definition of Corruption, http://www.transparency.org/whoweare/organisation/faqs_on_corruption#defineCorruption (accessed 14 November 2014).Google Scholar
Vaňous, P. (2010) Šéf registru aut přimhouřil oko, za úplatky dostal tři roky vězení, MF Dnes, 4 October, http://hradec.idnes.cz/sef-registru-aut-primhouril-oko-za-uplatky-dostal-tri-roky-vezeni-10s-/hradec-zpravy.aspx?c=A101004_111843_hradec-zpravy_klu (accessed 14 November 2014).Google Scholar
Wolfers, J. (2006) Point Shaving: Corruption in NCAA Basketball. American Economic Review 96: 279–283.Google Scholar
Yardley, J. (2006) First Comes the Car, Then the $10,000 License Plate. New York Times, 5 July, http://www.nytimes.com/2006/07/05/world/asia/05china.html?fta=y&_r=0.Google Scholar
Yukon Government (2014) Sale of Developed Lots, Department of Energy, Mines and Resources, April, http://www.emr.gov.yk.ca/lands/pdf/01_sale_developed_lots2014.pdf (accessed 14 November 2014).Google Scholar
Zelený, F. and Feuereisl, D. (2011) Poznávací značky v Čechách, na Moravě a ve Slezsku. Praha: SAXI, ISBN: 978-80-904767-2-1.Google Scholar