Conventional wisdom depicts corruption as a tax on incumbent firms. This paper challenges this view in two ways. First …, by arguing that corruption matters not so much because of the value of the bribe (tax), but because of another less … studied feature of corruption, namely bribe unavoidability. Second, we argue that the social costs of corruption arise not …

negative impact on official GDP growth, however, a positive impact of corruption on the size of the shadow economy can be found …, i.e. the bigger the corruption, the larger is the shadow economy. …

This paper analyzes the influence of the shadow economy on corruption and vice versa. We hypothesize that corruption … that the shadow economy reduces corruption in high income countries, but increases corruption in low income countries. We … also find that stricter regulations increase both corruption and the shadow economy. …

The relationship between corruption and the shadow economy is not clear. Theoretically, they either substitute or … two latent variables - extracts information on various dimensions of corruption and the shadow economy to contribute to … corruption. The results show that the shadow economy influences corruption more than corruption influences the shadow economy. …

Previous empirical work on corruption has generally been cross-country in nature and focused on utilizing country …-level corruption ratings. By using micro-level data for over 20 European countries that directly measure individual characteristics …, corruption experiences, gender roles, trust and values to examine the determinants of corruption, this paper goes beyond the …

The present paper argues that the effect of corruption on foreign ownership is not necessarily linear and depends on … the level of host corruption. So long as the expected returns from foreign investments exceed its expected costs, higher … host corruption will be associated with higher foreign ownership. However, costs may exceed or exactly compensate the …

This paper empirically investigates the relationship between corruption and the emigration of those with high, medium … and low levels of educational attainment. The empirical results indicate that as corruption increases the emigration rate … levels of educational attainment, however, increases at initial levels of corruption and then decreases beyond a certain …