Blackburn, Keith; Forgues-Puccio, Gonzalo F. - In: Journal of International Money and Finance 29 (2010) 7, pp. 1321-1339
We study the effect of international financial integration on economic development when the quality of governance may be compromised by corruption. Our analysis is based on a dynamic general equilibrium model of a small economy in which growth is driven by capital accumulation and public policy...