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Cheap Bribes and the Corruption Ban: A Coordination Game among Rational Legislators

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Author Info
 Rasmusen, Eric
Ramseyer, J Mark

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Abstract

Legislators in modern democracies accept bribes that are small compared to the value of the statutes they pass and allow bans against bribery to be enforced. In the authors' model of bribery, rational legislators accept bribes smaller not only than the benefit the briber receives but than the costs the legislators incur in accepting the bribes. Rather than risk this outcome, the legislators may be willing to suppress bribery altogether. The size of legislatures, the quality of voter information, the nature of party organization, and the structure of committees will all influence the frequency and size of bribes. Copyright 1994 by Kluwer Academic Publishers

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Publisher Info
Article provided by Springer in its journal Public Choice.

Volume (Year): 78 (1994)
Issue (Month): 3-4 (March)
Pages: 305-27
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Handle: RePEc:kap:pubcho:v:78:y:1994:i:3-4:p:305-27

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  1. Keefer, Philip, 2001. "When do special interests run rampant ? disentangling the role in banking crises of elections, incomplete information, and checks and balances," Policy Research Working Paper Series 2543, The World Bank. [Downloadable!]
  2. Beck, Thorsten & Clarke, George & Groff, Alberto & Keefer, Philip & Walsh, Patrick, 2000. "New tools and new tests in comparative political economy - the database of political institutions," Policy Research Working Paper Series 2283, The World Bank. [Downloadable!]
  3. Per G. Fredriksson & Muthukumara Mani & Richard Damania, 2003. "The Persistence of Corruption and Regulatory Compliance Failures: Theory and Evidence," IMF Working Papers 03/172, International Monetary Fund. [Downloadable!]
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  4. Ernesto Dal Bó & Pedro Dal Bó & Rafael Di Tella, 2002. "'Plata o Plomo': Bribe and Punishment in a Theory of Political Influence," Working Papers 2002-28, Brown University, Department of Economics. [Downloadable!]
  5. J. Vernon Henderson & Ari Kuncoro, 2006. "Sick of Local Government Corruption? Vote Islamic," NBER Working Papers 12110, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  6. Pranab Bardhan & Tsung-Tao Yang, 2004. "Political Competition in Economic Perspective," Development and Comp Systems 0407009, EconWPA. [Downloadable!]
  7. Ernesto Dal Bó & Pedro Dal Bó & Rafael Di Tella, 2003. "Plata o Plomo?: Bribes and Threats in a Theory of Political Influence," Levine's Bibliography 506439000000000151, UCLA Department of Economics. [Downloadable!]
  8. Munirul Haque Nabin & Gautam Bose, 2008. "Partners in Crime: Collusive Corruption and Search," The B.E. Journal of Economic Analysis & Policy, Berkeley Electronic Press, vol. 8(1). [Downloadable!]
  9. Derek Pyne, 1997. "Microfoundations of Influencing Public Opinion Lobbying and Voting for Trade Policies," Working Papers 1997_03, York University, Department of Economics. [Downloadable!]
  10. Roberto Burguet & Martin K. Perry, 2007. "Bribery and Favoritism by Auctioneers in Sealed-Bid Auctions," The B.E. Journal of Theoretical Economics, Berkeley Electronic Press, vol. 7(1). [Downloadable!]
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  11. Henry Ergas, 2008. "Should Australia Encourage Developing Countries to Adopt Competition Laws?," Macroeconomics Working Papers 2008.9, East Asian Bureau of Economic Research. [Downloadable!]
  12. Robert Cooter & Nuno Garoupa, 2000. "The Virtuous Circle of Distrust: A Mechanism to Deter Bribes and Other Cooperative Crimes," Berkeley Olin Program in Law & Economics, Working Paper Series 1057, Berkeley Olin Program in Law & Economics. [Downloadable!]
  13. Wolfgang Maennig, 2004. "Korruption im internationalen Sport: ökonomische Analyse und Lösungsansätze," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 73(2), pages 263-291.
  14. J. Vernon Henderson & Ari Kuncoro, 2004. "Corruption in Indonesia," NBER Working Papers 10674, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  15. Ernesto Dal Bo, 2000. "Bribing Voters," Economics Series Working Papers 039, University of Oxford, Department of Economics. [Downloadable!]
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