The authors hypothesize that the effectiveness of external threats in raising workers' effort is mediated by, among other labor market conditions, the presence or absence of a powerful union. In particular, they argue that because powerful unions reduce the potency of the external threat of job...

"Using cross-country and Peruvian data, I show that victims of misfortune, particularly crime victims, are much more likely than non-victims to bribe public officials. Misfortune increases victims' demand for public services, raising bribery indirectly, and also increases victims' propensity to...