News Summary

• Global bribery costs are estimated to be one trillion dollars, or five percent of global GDP annually.
• Corruption affects economic growth and development in both the short and long term.
• The United States currently has regional or free trade agreements with 20 countries worldwide, 11 of which are located in Latin America.
• We examine whether corruption is different between Latin American countries that enter into a trade agreement with the U.S. compared to those that do not.
• The issue with the inclusion of anti-corruption clauses is enforcement.