Levchenko, Andrei A. (contributor) - 2008
.1 Institutions in Autarky
Suppose there is one policymaker and one interest group representing H { the factor that
earns rents when … interest group, and sets institutional quality to maximize its
political objective function G( ; ). We adopt the standard …
shows the extent to which the policymaker is captive to the interest group. At one extreme,
when = 1, the policymaker is …