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We explore the relationship between government size and economic growth in an endogenous growth model with human capital and an unproductive capital which facilitates rent-seeking. With exogenous as well as endogenous time discounting, we find a non-monotonic relationship between the size of...
Persistent link: https://www.econbiz.de/10012120573
, the theory's main insight being that the central government's electoral strength should, all else being equal, decrease … decentralization ; fiscal federalism ; vertical interactions ; partial decentralization ; elections …
Persistent link: https://www.econbiz.de/10009301206
The monopoly position of the public bureaucracy in providing public services allows government employees to acquire rents. Those rents can involve higher wages, monetary and non-monetary fringe benefits (e.g. pensions and staffing), and/or bribes. We propose a direct measure to capture the total...
Persistent link: https://www.econbiz.de/10003278945
The monopoly position of the public bureaucracy in providing public services allows government employees to acquire rents. Those rents can involve higher wages, monetary and non-monetary fringe benefits (e.g., pensions and staffing), and/or bribes. We propose a direct measure to capture the...
Persistent link: https://www.econbiz.de/10013317746
High debt autonomy and low tax autonomy often characterize evolving federations, making the bailout hypothesis very attractive in resolving subcentral government deficits. However, meeting both conditions is not enough to conclude that bailout expectations are the main reason for a potential...
Persistent link: https://www.econbiz.de/10012765550
We study the effect of divisions within the elite on the probability of internal conflict in the Papal States between … the time of the election. We exploit this variation to analyze the causal effect of a divided conclave on conflict. We … find that an increase of one standard deviation in our measure of polarization raised the likelihood of internal conflict …
Persistent link: https://www.econbiz.de/10012161076
We develop an economic geography model in which mobile skilled workers choose between working in the production sector or becoming part of an unproductive political elite. The elite sets tax rates on skilled and unskilled workers to maximize its own welfare by extracting rents, thereby...
Persistent link: https://www.econbiz.de/10012709485
The study investigates how judicial review of policy and judicial independence affect the relative size of government. Judicial oversight of policy is the authority of courts to check the legality of policy measures and annul measures which are incompatible with the constitution or are enacted...
Persistent link: https://www.econbiz.de/10014067112
Persistent link: https://www.econbiz.de/10014441026
Persistent link: https://www.econbiz.de/10014284251