Amir, Rabah; Burr, Chrystie - In: Journal of Public Economics 123 (2015) C, pp. 30-41
The paper investigates the effects of corruption in the entry-certifying process on market structure and social welfare for a Cournot industry with linear demand and costs. To gain entry, a firm must pay a bribe-maximizing official a fixed percentage of anticipated profit, in addition to the...