Zero dollar bill

Michael Allen at Democracy Digest picks up on a emerging wave of grass-roots protest against corruption: the zero currency note. The idea behind it is when officials ask for bribes, people should offer zero-currency notes. In particular, it’s having a lot of success in India. Why does it work?

…a number of factors contribute to the success of the zero rupee notes in fighting corruption in India. First, bribery is a crime in India punishable with jail time. Corrupt officials seldom encounter resistance by ordinary people that they become scared when people have the courage to show their zero rupee notes, effectively making a strong statement condemning bribery. In addition, officials want to keep their jobs and are fearful about setting off disciplinary proceedings, not to mention risking going to jail. More importantly…the success of the notes lies in the willingness of the people to use them. People are willing to stand up against the practice that has become so commonplace because they are no longer afraid: first, they have nothing to lose, and secondly, they know that this initiative is being backed up by an organization—that is, they are not alone in this fight.

This last point—people knowing that they are not alone in the fight—seems to be the biggest hurdle when it comes to transforming norms vis-à-vis corruption. For people to speak up against corruption that has become institutionalized within society, they must know that there are others who are just as fed up and frustrated with the system. Once they realize that they are not alone, they also realize that this battle is not unbeatable. Then, a path opens up—a path that can pave the way for relatively simple ideas like the zero rupee notes to turn into a powerful social statement against petty corruption.

This is a great way to solve the collective action problem in fighting corruption. Since it’s typically easier and cheaper for a person to pay a bribe then spending the time and money to fight the practice, self-interest deters people from fighting corruption even though most people hate it. Zero currency has notes for every country in the world.