, civil service wages are an important determinant of corruption. Under shirking models, the level of wages is of secondary …This paper develops and tests two efficiency wage models of corruption in the civil service. Under fair wage models … importance, as potential bribes dwarf wage income. The empirical evidence points to a negative relationship between corruption …

, an increase in government wages or benefits reduces private sector employment, and government employment is not an …

This paper asks whether corruption might be the outcome of a lack of outside options for public officials or civil …-induced private sector expansion leads to a decline in publicly supplied corruption as it provides outside options to public officials … who might otherwise engage in corruption. We provide empirical evidence that strongly shows that technology …

spending is crucial for its macroeconomic implications. Although reductions in public wages and government purchases of goods … wage reductions decrease private wages. Model counterfactuals show that sufficiently rigid nominal private wages can … reverse the response of private wages, as the rigidity dampens the labor reallocation effect from the public to private sector …

We study the determinants of employment and wages in the public sector, using a new set of panel data for 34 LDCs and … countries and private employment for OECD countries). Certain measures of government wages are positively associated with …

structural constraints. Low GDP growth, falling external competitiveness, corruption, lack of access to finance and poor access …