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Using the Law to Change the Custom
Aldashev, Gani; Chaara, Imane; Platteau, Jean-Philippe; … - Fondazione ENI Enrico Mattei (FEEM) - 2010
We build a simple model of legal dualism in which a pro-poor legal reform, under certain conditions, causes the conflicting custom to go some way toward producing the change intended by the legislator. It then acts as an "outside anchor" that exerts a "magnet effect" on the custom. We illustrate...
Persistent link: https://www.econbiz.de/10008642161
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Sharing R&D Investments in Cleaner Technologies to Mitigate Climate Change
El-Sayed, Abeer; Rubio, Santiago J. - Fondazione ENI Enrico Mattei (FEEM) - 2014
This paper examines international cooperation on technological development as an alternative to international cooperation on GHG emission reductions. It is assumed that when countries cooperate they coordinate their investments so as to minimize the agreement costs of controlling emissions and...
Persistent link: https://www.econbiz.de/10010833931
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Institutional Explanations of Economic Development: the Role of Precious Metals
Papyrakis, Elissaios; Gerlagh, Reyer - Fondazione ENI Enrico Mattei (FEEM) - 2005
in former European colonies. Where European colonizers settled, they replicated the investment-conducive institutions … the formation of institutions. We find the presence of precious metals, gold and silver, to imply an increase in …
Persistent link: https://www.econbiz.de/10005385335
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Informal Finance: A Theory of Moneylenders
Madestam, Andreas - Fondazione ENI Enrico Mattei (FEEM) - 2009
I study the coexistence of formal and informal finance in underdeveloped credit markets. While weak institutions …
Persistent link: https://www.econbiz.de/10004987238
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Trust and Fiscal Performance: A Panel Analysis with Swiss Data
Torgler, Benno; Schaltegger, Christoph A. - Fondazione ENI Enrico Mattei (FEEM) - 2005
to contribute also an adequate share to the community. In such a situation trustworthiness of a government and trust in a … government is high. This paper provides empirical evidence that trust is crucial for fiscal performance using data for the full … sample of Swiss cantons over the 1981-2001 period. In cantons with high levels of trust, the level of indebtedness is …
Persistent link: https://www.econbiz.de/10005423218
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The Grand Experiment of Communism: Discovering the Trade-off between Equality and Efficiency
Farvaque, Etienne; Mihailov, Alexander; Naghavi, Alireza - Fondazione ENI Enrico Mattei (FEEM) - 2011
This paper aims to explain the rise and fall of communism by exploring the interplay between economic incentives and social preferences in different economic systems. We introduce inequality-averse and inefficiency-averse agents responding to economic incentives and transmitting their ideology...
Persistent link: https://www.econbiz.de/10009320986
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Building Up Social Capital in a Changing World: A Network Approach
Vega-Redondo, Fernando - Fondazione ENI Enrico Mattei (FEEM) - 2003
This paper models the dynamic process through which a large society may succeed in building up its “social capital” by establishing a stable and dense pattern of interaction among its members. In the model, agents interact according to a collection of infinitely repeated Prisoner’s...
Persistent link: https://www.econbiz.de/10005423105
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Trust and Manipulation in Social Networks
Förster, Manuel; Mauleon, Ana; Vannetelbosch, Vincent J. - Fondazione ENI Enrico Mattei (FEEM) - 2014
neighbors in the social network, can exert effort to manipulate the trust of others, and update their opinions about some common …. We show that manipulation can modify the trust structure and lead to a connected society. Manipulation fosters opinion …
Persistent link: https://www.econbiz.de/10010781888
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Corruption and Social Interaction: Evidence from China
Dong, Bin; Torgler, Benno - Fondazione ENI Enrico Mattei (FEEM) - 2011
We explore theoretically and empirically whether social interaction, including local and global interaction, influences the incidence of corruption. We first present an interaction-based model on corruption that predicts that the level of corruption is positively associated with social...
Persistent link: https://www.econbiz.de/10008828390
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Corruption and Political Interest: Empirical Evidence at the Micro Level
Torgler, Benno; Dong, Bin - Fondazione ENI Enrico Mattei (FEEM) - 2008
The topic of corruption has recently attracted a great deal of attention, yet there is still a lack of micro level empirical evidence regarding the determinants of corruption. Furthermore, the present literature has not investigated the effects of political interest on corruption despite the...
Persistent link: https://www.econbiz.de/10004965199