This paper examines the relationship between corruption and public debt in 106 countries. Results suggest that … corruption leads to an increase in public debt. We also investigate if the effect of corruption on pblic debt is increased by … government expenditure, the shadow economy and military expenditure. We find that the effect of corruption on public debt is …

corruption. We exploit the extension of one such policy, the Domestic Stability Pact (DSP), to Italian municipalities with less … extension of the DSP led to a substantial decrease in recorded corruption rates. This effect emerges only in areas in which the … naturally prone to corruptive phenomena. We also show that i) the reduction in corruption is linked to accountability incentives …

corruption. We exploit the extension of one such policy, the Domestic Stability Pact (DSP), to Italian municipalities with less … extension of the DSP led to a substantial decrease in recorded corruption rates. This effect emerges only in areas in which the … naturally prone to corruptive phenomena. We also show that i) the reduction in corruption is linked to accountability incentives …

We study how policies limiting the spending capacity of local governments may reduce corruption. We exploit the … both recorded corruption rates and corruption charges per euro spent. This effect emerges only in areas in which the DSP … put a binding cap on municipal capital expenditures. The reduction in corruption is linked to accountability incentives as …