Neeman, Zvika; Paserman, M. Daniele; Simhon, Avi - 2004
We report an intriguing empirical observation. The relationship between corruption and output depends on the economy …'s degree of openness: in open economies, corruption and GNP per capita are strongly negatively correlated, but in closed … to poor countries, and if we allow for the possible endogeneity of both the corruption and openness measures. We find …