Corruption is an important topic for governments and economics. A widely held belief is that exposure to international trade helps reducing corruption. In this article we show through theory and evidence that the relationship between trade and corruption is more nuanced. We show that firm level...

We investigate observed rent dissipation-the ratio of the total costs of rent seeking to the monetary value of the rent-in winner-take-all and share contests, where preferences are more general than usually assumed in the literature. With concave valuation of the rent, we find that contests can...