We address the impact of corruption in a developing economy in the context of an empirically relevant hold-up problem …'s bureaucracy, which can be centralized or decentralized, and characterize the 'corruptibility' of bureaucrats in each case. Results …

implications of the theory and identify the causal effect of larger federal transfers on political corruption and the observed …The paper studies the effect of additional government revenues on political corruption and on the quality of … politicians, both with theory and data. The theory is based on a version of the career concerns model of political agency with …

relationship according to which democracy is a determinant of economic development? Or is it, conversely, economic development that …

aftermath of major wars. Motivated by this fact, we offer a theory of political transitions which focuses on the impact of … through the extension of franchise. This is because democracy always implements a highly redistributive fiscal policy, which … makes fighting hard incentive-compatible for the citizens-soldiers. We show that a transition to democracy is more likely to …

effects, we examine the relationship between state bureaucracy and the impact of privatization on firm productivity. We find … is driven by the impact of bureaucracy on the post-privatization business environment, with better institutional support … and less corruption when bureaucracies are large. …

market economy and democracy. Our results show that the five best ranked countries are all western democracies. Our global … effective democracy, and there are very large regional differences, confirming the dictum by Huntington (1996) about Turkey as a … advised to continue to support civil society and secular democracy in Turkey. …