Exploiting a unique empirical setting, 1,000 vendors in 90 traditional food markets in Lima, we document that historic social ties among market founders are associated, decades later, with stricter formal (third party) enforcement of market rules, more collective action, and the greater...

This paper proposes and empirically tests a new demand-side explanation for distortions in public spending composition. Voters prefer spending with certain and immediate benefits when they have low trust in electoral promises and high discount rates. The paper incorporates these characteristics...

Do targeted transparency interventions reduce corrupt behavior when corrupt actors are few and politically influential; their behavior imposes small costs on numerous individuals; and corrupt behavior is difficult to observe? Results from a study of informal audits and text messages to parents,...

Do targeted transparency interventions reduce corrupt behavior when corrupt actors are few and politically influential; their behavior imposes small costs on numerous individuals; and corrupt behavior is difficult to observe? Results from a study of informal audits and text messages to parents,...

Do targeted transparency interventions reduce corrupt behavior when corrupt actors are few and politically influential; their behavior imposes small costs on numerous individuals; and corrupt behavior is difficult to observe? Results from a study of informal audits and text messages to parents,...

This paper examines new data on public sector employees from 18 Latin American countries to shed light on the role of trust in the performance of government agencies. We developed an original survey taken during the first COVID-19 wave that includes randomized experiments with pandemic-related...

This paper compares more direct measures of the institutional environment with both the instability proxies used by Barro (1991) and the Gastil indices, by comparing their effects both on growth and private investment. The results provide substantial support for the position that the...

The impact of property rights on economic growth is examined using indicators provided by country risk evaluators to potential foreign investors. Indicators include evaluations of contract enforceability and risk of expropriation. Using these variables, property rights are found to have a...

The inability of political actors to make credible promises to broad segments of society--a previously unexplored determinant of civil war--causes both elected and unelected governments to pursue public policies that leave citizens worse off and more prone to revolt. Noncredible political actors...