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Some researchers have argued that under specific circumstances graft and bribes may introduce competition into a comfortably monopolistic market by putting goods and services in the hands of people who value them the most and use them most effectively. But the broad consensus is that although corrupt practices can temporarily clear the market or lower transaction costs in an inefficient political system, they inevitably generate more corruption and inefficiency in the long-run.
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A recent international scandal provides an example of how weapon orders by internationally isolated countries can be exploited. In 1992, a $2.7 billion procurement of six French frigates by Taiwan, a pariah country in the world armament market due to aggressive Chinese diplomatic pressures, was realized only after kickbacks worth more than $760 million were allegedly shared among French, Taiwanese, and Chinese authorities and private brokers.
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For the two dichotomous variables (tradition of political unaccountability and existence of political opposition), countries that were coded 1 were recoded as 50, while countries that were coded 0 retained the 0.
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