While the importance of corruption as a possible impediment to foregin investment in an international context is now well realized, it is not clear to what extent corruption affects, either directly through bribe-taking or indirectly through inadequate quality of public services, the level of economic activity by domestic enterpreneurs. Using a large survey from Uganda, the authors show that domestic and foreigh entrepreneurs, government officials, and households are unanimous in highlighting the persuasiveness and importance of corrupcion. Efforts to establish institutions to deal with corrupt practices have not been matched by public education on the proper procedures. The fact htat such lack of knowledge on procedures to report corruption increases hoseholds’risj of being subject to bribery and significantly reduces the quality of public service delivery leads the authors to conclude that improved accountability will be important to reduce the incidence of corruption and improve delivery of public services.

Does greater accountability improve the quality of delivery of public services? Evidence from Uganda