Verdier, Thierry; Acemoglu, Daron - In: American Economic Review 90 (2000) 1, pp. 194-211
bureaucrats, induce a misallocation of resources, and increase the size of the bureaucracy. Since preventing all corruption is …Because government intervention transfers resources from one party to another, it creates room for corruption. As … corruption often undermines the purpose of the intervention, governments will try to prevent it. They may create rents for …
