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The objectives of government are pivotal to understanding the diverse negative effects of corruption on public welfare …. Corruption renders governments unable or unwilling to maximize welfare. In the first case, it distorts agents' decisions and …
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The objectives of government are pivotal to understanding the diverse negative effects of corruption on public welfare …. Corruption renders governments unable or unwilling to maximize welfare. In the first case, it distorts agents decisions and …
Persistent link: https://www.econbiz.de/10010980793
Corrupt arrangements are characterized by a high risk of opportunism: double-dealing, whistle-blowing and extortion are significant uncertainties for participants in corrupt transactions. This paper demonstrates how legislators may use an asymmetric design of (criminal) sanctions and leniency...
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