<p>Yes, corruption can be considered transaction cost.</p>
<p>You can read about that in the paper <a href="https://www.cambridge.org/core/journals/business-ethics-quarterly/article/abs/honor-among-thieves-a-transactioncost-interpretation-of-corruption-in-third-world-countries/9CCE993C589C455D84C53FB7A76424A7" rel="nofollow noreferrer"><em>Honor among Thieves: A Transaction-Cost Interpretation of Corruption in Third World Countries</em></a> by Bryan W. Husted (Business Ethics Quarterly, Volume 4, Issue 1, January 1994, pp. 17-27)</p>

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2022-12-11T14:58:18.847Z
2022-12-13T14:18:40.597Z
2022-12-13T14:18:40.597Z
WilliamT
<p>In countries where corruption run deep to the point it is not considered illegal; can such payments be considered as transaction costs?</p>

<transaction-costs>
Does illicit payments qualify as transaction costs?
Omer K Rasheed
# Does illicit payments qualify as transaction costs?

(Asked by: username_0 on 2022-12-11)

In countries where corruption run deep to the point it is not considered illegal; can such payments be considered as transaction costs?

**Tags:** transaction-costs

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## 1 answers

### Answer by username_1 on 2022-12-11. Score: 7

Yes, corruption can be considered transaction cost.

You can read about that in the paper [*Honor among Thieves: A Transaction-Cost Interpretation of Corruption in Third World Countries*](https://www.cambridge.org/core/journals/business-ethics-quarterly/article/abs/honor-among-thieves-a-transactioncost-interpretation-of-corruption-in-third-world-countries/9CCE993C589C455D84C53FB7A76424A7) by Bryan W. Husted (Business Ethics Quarterly, Volume 4, Issue 1, January 1994, pp. 17-27)


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