Property Rights, Corruption and the Allocation of Talent: A General Equilibrium Approach
Daron Acemoglu and
Thierry Verdier
Economic Journal, 1998, vol. 108, issue 450, 1381-1403
Abstract:
The authors consider an economy where contracts are necessary to encourage investments. Contract enforcement requires that a fraction of the agents work in the public sector and do not accept bribes. The authors find that (1) it may be optimal to allow some corruption and not enforce property rights fully; (2) less developed economies may choose lower levels of property right enforcement and more corruption; and (3) there may exist a 'free-lunch' such that over a certain range it is possible simultaneously to reduce corruption, increase investment, and achieve a better allocation of talent.
Date: 1998
References: Add references at CitEc
Citations: View citations in EconPapers (326)
There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.
Related works:
Working Paper: Property Rights, Corruption and the Allocation of Talent: A General Equilibrium Approach (1996) 
Working Paper: Property Rights, Corruption and the Allocation of Talent: A General Equilibrium Approach (1996)
Working Paper: Property Rights, Corruption and the Allocation of Talent: A General Equilibrium Approach (1996)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:ecj:econjl:v:108:y:1998:i:450:p:1381-1403
Ordering information: This journal article can be ordered from
http://www.blackwell ... al.asp?ref=0013-0133
Access Statistics for this article
Economic Journal is currently edited by Martin Cripps, Steve Machin, Woulter den Haan, Andrea Galeotti, Rachel Griffith and Frederic Vermeulen
More articles in Economic Journal from Royal Economic Society Contact information at EDIRC.
Bibliographic data for series maintained by Wiley-Blackwell Digital Licensing () and Christopher F. Baum ().