Showing 1 - 10 of 38
This paper examines causes of the persistence of corruption among elected politicians in democracies. We study a … as potential ways of deterring political corruption. We identify conditions under which (i) imposing tax rate limits, (ii …) increasing compensation of elected politicians, and (iii) raising legal penalties for corruption, will increase corruption and …
Persistent link: https://www.econbiz.de/10005130207
It is a well-established fact that corruption is a widespread phenomenon. An important aspect of corruption is that two … has a significant impact on the persistence of corruption. This paper contributes to the experimental literature on … corruption by analyzing third-party response to corruption. We report results from a laboratory experiment in which subjects …
Persistent link: https://www.econbiz.de/10005702531
We model a hierarchy consisting of possibly corrupted agents who process information, and consider the problem of designing the efficient hierarchy structure and configuring the agents who differ in their honesty. If the only role of agents is to report the information to their direct superior,...
Persistent link: https://www.econbiz.de/10005130245
organized and run by an agent of the owner. This separation generates the possibility of corruption. We analyze the effect of a … particular form of corruption on bidding behavior in a single-object, private-value auction with risk-neutral bidders. Bidders … or less aggressive than she would be without corruption, or her behavior can remain unchanged. We identify sufficient …
Persistent link: https://www.econbiz.de/10005063558
In this paper we investigate whether local governments react on the welfare benefit levels in neighboring jurisdictions when setting their own benefit levels. We solve the simultaneity problem arising from the welfare game by utilizing a policy intervention; more specifically, we use a centrally...
Persistent link: https://www.econbiz.de/10005342208
The tax reform literature, pioneered by Guesnerie [1977], uses static models but views tax reform as a dynamic process, i.e., as a policy-maker implementing incremental reforms over time. This paper studies tax reform in a dynamic version of the Diamond-Mirrlees-Guesnerie model and focuses on a...
Persistent link: https://www.econbiz.de/10005702588
Willig (1976) argues that the change in consumer's surplus is often a good approximation to the willingness to pay for a price change: if the income elasticity of demand is small, or the price change is small, then the percentage error from using consumer's surplus is small. If the price of a...
Persistent link: https://www.econbiz.de/10005702647
The paper studies the equilibrium size of countries. Individuals in small countries have greater influence over the nature of political decision making while individuals in large countries have the advantage of more public goods and lower tax rates. The model implies that (i) there exists...
Persistent link: https://www.econbiz.de/10005063655
The quality of subjective performance evaluation is dependent on the incentive structures faced by evaluators, in particular on how they are monitored and themselves evaluated. Figure skating competitions provide a unique opportunity to study subjective evaluation. This paper develops a simple...
Persistent link: https://www.econbiz.de/10005063724
Researchers and state policymakers have hypothesized that the elderly may move to another state to avoid paying “death” (i.e., inheritance, estate, gift) taxes. This belief may be responsible for the recent revolution in state “death” tax policy whereby 30 states have eliminated their...
Persistent link: https://www.econbiz.de/10005699649