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Competition in Bureaucracy and Corruption.

Abstract:

This paper studies the consequences of introducing competition between bureaucrats. Bureaucrats are supposed to grant licences to firms that satisfy certain requirements. Firms have to invest into satisfying these requirements. Some bureaucrats are corrupt, that is, they give the licence to any firm in exchange for a bribe. Some firms prefer to buy the licence rather than to invest and satisfy the requirements imposing negative externalities on the society. The competition regime is found to ...

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Publisher:
Department of Economics (University of Oxford)
Series:
Discussion paper series
Publication date:
2007-11-01
Language:
English
UUID:
uuid:61a66b30-fc86-421b-bdf4-317c15dcff45
Local pid:
oai:economics.ouls.ox.ac.uk:12929
Deposit date:
2011-08-16

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