Corruption Dynamics: The Golden Goose Effect
Theoretical work on disciplining corrupt agents has emphasized the role of expected future rents?for example, efficiency wages. Yet taken seriously this approach implies that illicit future rents should also deter corruption. We study this "golden goose" effect in the context of a statutory wage increase in India's employment guarantee scheme, comparing official microrecords to original household survey data to measure corruption. We estimate large golden goose effects that reduced the total impact of the wage increase on theft by roughly 64 percent. In short, rent expectations matter
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Volume (Year): 5 (2013)
Issue (Month): 4 (November)
Pages: 230-69
| Handle: | RePEc:aea:aejpol:v:5:y:2013:i:4:p:230-69 |
| Note: | DOI: 10.1257/pol.5.4.230 |
| Contact details of provider: | Web page: https://www.aeaweb.org/aej-policy Email: More information through EDIRC
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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Filipe R. Campante & Davin Chor & Quoc-Anh Do, 2009.
"Instability And The Incentives For Corruption,"
Economics and Politics,
Wiley Blackwell, vol. 21(1), pages 42-92, 03.
- Filipe R. Campante & Davin Chor & Quoc-Anh Do, 2009. "Instability and the Incentives for Corruption," Sciences Po publications info:hdl:2441/o45fqtltm96, Sciences Po.
- Campante, Filipe Robin & Chor, Davin & Do, Quoc-Anh, 2009. "Instability and the Incentives for Corruption," Scholarly Articles 4778510, Harvard Kennedy School of Government.
- Filipe Campante & Davin Chor & Quoc-Anh Do, . "Instability and the Incentives for Corruption," Working Paper 248201, Harvard University OpenScholar.
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