Mises Wire

Do As I Say And Not As I Do

Do As I Say And Not As I Do

A paper by Ray Fisman and Edward Miguel for the National Bureau for Economic Research postulates that the number of parking tickets that legally-immune foreign diplomats acummulate in NYC and refuse to pay is a great measure of how corrupt their home countries are.

The list of violations per diplomat was led by Kuwait, Egypt, Chad, Sudan, and Bulgaria.

However, one must recall this story from the BBC on how the U.S. diplomatic staff in London have run up unpaid congestion charge fees of£271,000 in the past six months, and that the U.S. embassy has said it does not intend to pay the fees, instead they claim diplomatic privilege.

In fact, the U.S. tops the list followed by Nigeria, Angola, Sudan, then Switzerland.

A spokesman for Transport for London stated: “Last month the United Arab Emirates embassy accepted the principle and have joined the many other embassies who have agreed this is a legitimate charge.

As for countries displaying obedient behavior in NYC, Canada, Sweden, and Norway didn’t have any unpaid tickets while Colombian and Ugandan diplomats paid up almost all their tickets.

Is a paper forthcoming from the NBER on the correlation between unpaid congestion fees and corruption?

All Rights Reserved ©
What is the Mises Institute?

The Mises Institute is a non-profit organization that exists to promote teaching and research in the Austrian School of economics, individual freedom, honest history, and international peace, in the tradition of Ludwig von Mises and Murray N. Rothbard. 

Non-political, non-partisan, and non-PC, we advocate a radical shift in the intellectual climate, away from statism and toward a private property order. We believe that our foundational ideas are of permanent value, and oppose all efforts at compromise, sellout, and amalgamation of these ideas with fashionable political, cultural, and social doctrines inimical to their spirit.

Become a Member
Mises Institute