are derived by combining figures from different estimation methods. We describe and discuss the strengths and weaknesses … of the different estimation methods. We find that the growth of the shadow economy—which is now remarkably large in the … extent of state regulatory activities. Rising corruption also has a clearly positive impact on the growth of the shadow …

Anecdotal evidence relates corruption with high levels of military spending. This paper tests empirically whether such … the period 1985–98. The association between military spending and corruption is ascertained by using panel regression … techniques. The results suggest that corruption is indeed associated with higher military spending as a share of both GDP and …

. Conditions under which lower-tier corruption arises as an equilibrium characterization of the game are identified. If … bureaucratic corruption sufficiently reduces the tax base, policies that deter corruption may be optimal. When monitoring is … expensive or ineffective, lower-level corruption arises as equilibrium. Tax farming and the sale of offices can occur in these …

discretion and hence the space for policy errors; (2) human resource policies, capacity building, effective anti-corruption …

Corruption, particularly political or “grand” corruption, distorts the entire decision-making process connected with … shows that higher corruption is associated with (i) higher public investment; (ii) lower government revenues; (iii) lower … corruption increases public investment while reducing its productivity. These are five channels through which corruption lowers …

This paper demonstrates that high and rising corruption increases income inequality and poverty by reducing economic … corruption. An important implication of these results is that policies that reduce corruption will also lower income inequality …

empirical evidence about actual country practices. This paper presents data on fiscal decentralization for about 80 countries … for transition economies, the levels of decentralization are relatively stable over the time period. The findings are … factors identified in the literature as determining the extent of fiscal decentralization …