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social capital; then, social capital determines the level of corruption; finally, corruption affects economic performance. We … test this hypothesis on a dataset of Italian provinces, and address the possible endogeneity of corruption by applying an … IV model. We use three sets of historical instruments for corruption: 1) foreign dominations in 16th-17th century, 2 …
Persistent link: https://www.econbiz.de/10010641421
a resource boom reinforces rent grabbing and civil conflict especially if institutions are bad, induces corruption … and bad growth prospects, and that these adverse effects are more severe in volatile countries with bad institutions and … lack of rule of law, corruption, presidential democracies, and underdeveloped financial systems. Another hypothesis is that …
Persistent link: https://www.econbiz.de/10008534046
positions. In a probabilistic voting model, we show that a lack of financial institutions can lead to more corruption as more …In transition and developing countries, we observe rather high levels of corruption even if they have democratic … high corruption levels. Our model is based on the fact that corrupt offcials have to pay an entry fee to get lucrative …
Persistent link: https://www.econbiz.de/10005181428
countries, communities on both sides of the long-gone Habsburg border have been sharing common formal institutions for a century … Habsburg affiliation increases current trust and reduces corruption in courts and police. Falsification tests of spuriously …
Persistent link: https://www.econbiz.de/10008872213
The relationship between inequality and redistribution is usually studied under the assumption that the government … expenditure). We show that inequality may have no discernible effect on the size of redistributive programs. …
Persistent link: https://www.econbiz.de/10005766155
fractionalization and group antagonism reduce the support for redistribution. Whereas within group inequality increases support for … redistribution, inequality between groups have the opposite effect. All these results hold even if a poor group is in majority. Using … increases and between group inequality decreases redistribution. …
Persistent link: https://www.econbiz.de/10005196186
In many OECD countries income inequality has risen, but surprisingly redistribution as well. The theory attributes this … partly to the redistributive effect of education spending. In the model income inequality and growth depend in an inverted U … requires more resources, which lowers pre-tax and post-tax income inequality as well as growth. Using consistently defined …
Persistent link: https://www.econbiz.de/10005405824
appears to have caused a high degree of economic inequality, and democratization in the form of franchise expansion has … typically led to an expansion in redistribution, at least in the small sample of episodes studied. Similarly, and more … between other measures of democracy, based on civil liberties and political rights, and inequality. The transition experience …
Persistent link: https://www.econbiz.de/10005405913
The relationship between inequality and redistribution is usually studied under the assumption that the government … expenditure). We study the effects of inequality on the size (and structure) of redistributive programs in both perfectly … case and that in the latter case an increase in inequality can be associated with a fall in the tax rate. We find also that …
Persistent link: https://www.econbiz.de/10005406280
In this paper, we revisit the association between happiness and inequality. We argue that the interaction between the … of utility, and lower preferred levels of income redistribution. In societies with a low level of actual social mobility …, income inequality is perceived more negatively with increased perceived fairness, due to the need for unexpected policy …
Persistent link: https://www.econbiz.de/10008671705