close to the paradigm. In equilibrium, countries with low productive capacity and high corruption resulting from weak …

This paper analyzes the influence of the shadow economy on corruption and vice versa. We hypothesize that corruption … that the shadow economy reduces corruption in high income countries, but increases corruption in low income countries. We … also find that stricter regulations increase both corruption and the shadow economy. …

Corporation (MCC) was successful in promoting better control of corruption. We employ a difference … corruption over time. We conclude that - if designed properly - conditionality can work. …

Corporation (MCC) was successful in promoting better control of corruption. We employ a difference … corruption over time. We conclude that - if designed properly - conditionality can work. …

This paper analyzes the influence of the shadow economy on corruption and vice versa. We hypothesize that corruption … that the shadow economy reduces corruption in high income countries, but increases corruption in low income countries. We … also find that stricter regulations increase both corruption and the shadow economy. …

The paper develops a theoretical model showing a mutual relationship between corruption and capital account … restrictions. According to the model, higher corruption induces stricter restrictions and vice versa. We test the model using panel … data for 112 countries over the period 1984?2002 and find that corruption and restrictions are indeed mutually determined …