Khalil, Fahad; Lawarrée, Jacques; Yun, Sungho - In: RAND Journal of Economics 41 (2010) 1, pp. 179-198
Both bribery and extortion weaken the power of incentives, but there is a trade-off in fighting the two because rewards to prevent supervisors from accepting bribes create incentives for extortion. Which is the worse evil? A fear of inducing extortion may make it optimal to tolerate bribery, but...