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Political corruption, public procurement, and budget composition: Theory and evidence from OECD countries

Hessami, Zohal - In: European Journal of Political Economy 34 (2014) C, pp. 372-389

This paper examines the relation between political corruption and the composition of public spending. A rent …-seeking model is used to describe political rent creation through the composition of public spending. Political corruption is … categories characterized by high-technology goods supplied by non-competitive industries varies positively with the Corruption …

Persistent link: https://www.econbiz.de/10010931422

Competitive careers as a way to mediocracy

Kräkel, Matthias - In: European Journal of Political Economy 28 (2012) 1, pp. 76-87

I show that in competitive careers based on individual performance the least productive individuals may have the highest probabilities to be promoted to top positions. These individuals have the lowest fall-back positions and, hence, the highest incentives to succeed in career contests. This...

Persistent link: https://www.econbiz.de/10011056294

Do politicians shirk when reelection is certain? Evidence from the German parliament

Bernecker, Andreas - In: European Journal of Political Economy 36 (2014) C, pp. 55-70

Does stiffer electoral competition reduce political shirking? For a micro-analysis of this question, I construct a new data set spanning the years 2005 to 2012 covering biographical and political information about German Members of Parliament (MPs), including their attendance rates in voting...

Persistent link: https://www.econbiz.de/10010939863

Divisive politics and accountability

Kiss, Áron - In: European Journal of Political Economy 28 (2012) 2, pp. 208-214

The paper analyzes a political accountability game with an electorate of ‘partisan’ and ‘independent’ voters. It is shown that politicians have a strategic incentive to engage in ‘divisive politics’, that is, to force some independent voters to take sides, even if the direct...

Persistent link: https://www.econbiz.de/10011056245

Outside earnings, absence, and activity: Evidence from German parliamentarians

Arnold, Felix; Kauder, Björn; Potrafke, Niklas - In: European Journal of Political Economy 36 (2014) C, pp. 147-157

We examine moonlighting by politicians in Germany. In July 2007, the German Supreme Court adjudicated that members of parliament (MPs) have to publish details of their outside earnings. Using panel data models, we investigate how outside earnings are correlated with absence and parliamentary...

Persistent link: https://www.econbiz.de/10011056296

The economic determinants of U.S. presidential approval: A survey

Berlemann, Michael; Enkelmann, Sören - In: European Journal of Political Economy 36 (2014) C, pp. 41-54

Even after four decades of research it remains unclear, whether presidential popularity depends on the state of the economy. While about half of all studies for the United States find a significant effect of unemployment and inflation on presidential popularity, the others do not. Additional...

Persistent link: https://www.econbiz.de/10011056301

Does fiscal decentralization mitigate the adverse effects of corruption on public deficits?

Oto-Peralías, Daniel; Romero-Ávila, Diego; Usabiaga, … - In: European Journal of Political Economy 32 (2013) C, pp. 205-231

Corruption is harmful for public finances and appears closely related to fiscal deficits. We open a new avenue in … addressing the effects of corruption on public deficits through fiscal decentralization. For a sample of 31 OECD countries over … the period 1986–2010, we find that fiscal decentralization contributes to mitigating the adverse effects of corruption on …

Persistent link: https://www.econbiz.de/10011056289

Corruption and the effects of economic freedom

Pieroni, L.; d'Agostino, G. - In: European Journal of Political Economy 29 (2013) C, pp. 54-72

The prediction that economic freedom is beneficial in reducing corruption has not been found to be universally robust …-country variations of the microfounded economic freedom–corruption relationship using multilevel models. Additionally, we analyse this … relationship by disentangling the determinants for several components of economic freedom because not all areas affect corruption …

Persistent link: https://www.econbiz.de/10010617211

Corruption and economic activity: Micro level evidence from rural Liberia

Beekman, Gonne; Bulte, Erwin H.; Nillesen, Eleonora E.M. - In: European Journal of Political Economy 30 (2013) C, pp. 70-79

We study how corruption affects economic activities of households in rural Liberia. A proxy of corruption of community … indicative of diversion by the chief (or corruption). We use this ‘gap’ proxy to explain variation in economic behaviour across … important: corruption leads to a 50% reduction in rice planted and to nearly equally large reductions in trade activity. …

Persistent link: https://www.econbiz.de/10010664752

Announced vs. surprise inspections with tipping-off

Dechenaux, Emmanuel; Samuel, Andrew - In: European Journal of Political Economy 34 (2014) C, pp. 167-183

This paper analyzes a model in which a firm's compliance with regulation is monitored by a supervisor. The supervisor exerts costly, unobservable effort to raise his inspection intensity, which leads to moral hazard. A non-compliant firm may exert effort in avoidance to reduce the probability of...

Persistent link: https://www.econbiz.de/10010931439

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