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Payments of bribes and the expenses incurred on rent-seeking activities impose a significant financial burden on private firms, which is compounded when they do not have enough funds of their own or find it costly to borrow externally. This paper hypothesizes that financial constraints magnify the harmful effects of corruption. It applies this idea to the impact of corruption on employment growth among private firms. Using firm-level survey data for 109 countries, the analysis finds that corruption has a much larger negative impact on employment growth for firms that are financially constrained compared with firms that are not financially constrained. For the baseline specification, a one standard deviation increase in the bribery rate brings about a decline in the annual growth rate of employment of financially constrained firms that is 2.3 percent greater than that for firms that are not financially constrained. This is a large difference given that the mean employment growth is about 5.1 percent. The results show that corruption "sands the wheel" at high levels of financial constraint and "greases the wheels" of an otherwise slow bureaucracy at low levels of financial constraint.
Access to Finance --- Bribery --- Corporate Governance and Corruption --- Corruption --- Employment --- Finance and Financial Sector Development --- Financial Constraints --- Firm Performance --- Private Sector Development --- Private Sector Economics --- Rent Seeking
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What is the efficiency cost of rent-seeking activities in Argentina? This paper quantitatively shows that rent-seeking activities in the form of bribes have aggregate effects through two channels. First, they generate misallocation of resources across firms because they prevent resources from flowing to the most productive firms, reallocating resources instead to those that succeed at rent-seeking. Second, such activities affect the allocation of resources within firms because rent-seeking drives resources away from innovation. These two channels can help in understanding why Argentina has more misallocation across firms and less investment in research and development, compared with developed economies, explaining a sizable portion of Argentina's low productivity.
Corporate Governance and Corruption --- Enterprise Development and Reform --- Firm Performance --- Innovation --- Misallocation --- Private Sector Development --- Private Sector Economics --- Productivity --- Rent Seeking --- Science and Technology Development
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A radical new approach to economic policy that addresses the symptoms and causes of inequality in Western society todayFueled by populism and the frustrations of the disenfranchised, the past few years have witnessed the widespread rejection of the economic and political order that Western countries built up after 1945. Political debates have turned into violent clashes between those who want to “take their country back” and those viewed as defending an elitist, broken, and unpatriotic social contract. There seems to be an increasing polarization of values. The Economics of Belonging argues that we should step back and take a fresh look at the root causes of our current challenges. In this original, engaging book, Martin Sandbu argues that economics remains at the heart of our widening inequality and it is only by focusing on the right policies that we can address it. He proposes a detailed, radical plan for creating a just economy where everyone can belong.Sandbu demonstrates that the rising numbers of the left behind are not due to globalization gone too far. Rather, technological change and flawed but avoidable domestic policies have eroded the foundations of an economy in which everyone can participate—and would have done so even with a much less globalized economy. Sandbu contends that we have to double down on economic openness while pursuing dramatic reforms involving productivity, regional development, support for small- and medium-sized businesses, and increased worker representation. He discusses how a more active macroeconomic policy, education for all, universal basic income, and better taxation of capital could work together for society’s benefit.Offering real answers, not invective, for facing our most serious political issues, The Economics of Belonging shows how a better economic system can work for all.
E-books --- Political philosophy. Social philosophy --- Economic order --- 331.31 --- 339.21 --- Economisch beleid --- Ongelijkheid en herverdeling van vermogens en inkomens. Inkomensbeleid --- Economic policy --- Western countries --- Economic conditions --- A Republic of Equals. --- Andrew Yang. --- Angus Deaton. --- Anne Case. --- Barry Eichengreen. --- Boris Johnson. --- Brexit. --- China Shock. --- Concrete Economics. --- Cultural Backlash. --- Dani Rodrik. --- David Blanchflower. --- Deaths of Despair. --- Donald Trump. --- Eric Kaufmann. --- J. Bradford Delong. --- Jon Haidt. --- Jonathan Rothwell. --- Make America Think Harder. --- Michael Gove. --- NAFTA. --- Nigel Farage. --- Not Working. --- Pippa Norris. --- Robert Wuthnow. --- Ronald Inglehart. --- Stephen Cohen. --- The Left Behind. --- The Populist Temptation. --- Whiteshift. --- antiglobalization. --- debt restructuring. --- debt traps. --- industrialization. --- intellectual property. --- labor markets. --- labor productivity. --- minimum wage. --- not left or right. --- populists. --- protectionism. --- rent-seeking. --- tariffs. --- taxing wealth. --- welfare society. --- Economic nationalism --- Economic planning --- National planning --- State planning --- Economics --- Planning --- National security --- Social policy --- Occident --- West (Western countries) --- Western nations --- Western world --- Developed countries
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The definitive reference on the most current economics of development and institutions The essential role that institutions play in understanding economic development has long been recognized across the social sciences, including in economics. Academic and policy interest in this subject has never been higher. The Handbook of Economic Development and Institutions is the first to bring together in one single volume the most cutting-edge work in this area by the best-known international economists. The volume's editors, themselves leading scholars in the discipline, provide a comprehensive introduction, and the stellar contributors offer up-to-date analysis into institutional change and its interactions with the dynamics of economic development. This book focuses on three critical issues: the definitions of institutions in order to argue for a causal link to development, the complex interplay between formal and informal institutions, and the evolution and coevolution of institutions and their interactions with the political economy of development. Topics examined include the relationship between institutions and growth, educational systems, the role of the media, and the intersection between traditional systems of patronage and political institutions. Each chapter-covering the frontier research in its area and pointing to new areas of research-is the product of extensive workshopping on the part of the contributors. The definitive reference work on this topic, The Handbook of Economic Development and Institutions will be essential for academics, researchers, and professionals working in the field.
E-books --- 330.48 --- Neo-klassiekers en andere post-keynesiaanse theorieën. Public choice. Institutionalisten. Home economics. Analyseschool van de transactiekosten --- International economic relations --- Economic development --- Economics --- Economic policy. --- Economic nationalism --- Economic planning --- National planning --- State planning --- Planning --- National security --- Social policy --- Economic sociology --- Socio-economics --- Socioeconomics --- Sociology of economics --- Sociology --- Political aspects. --- Sociological aspects. --- Social aspects --- Accountability. --- Aid. --- Anecdotal evidence. --- Bribery. --- Capital accumulation. --- Case study. --- Civil society. --- Clientelism. --- Collective action. --- Comparative advantage. --- Competition. --- Consumer. --- Corruption. --- Decentralization. --- Decision-making. --- Department for International Development. --- Determinant. --- Developed country. --- Developing country. --- Development economics. --- Economic development. --- Economic growth. --- Economic inequality. --- Economics. --- Economist. --- Economy. --- Employment. --- Endogeneity (econometrics). --- Endogeneity. --- Entrepreneurship. --- Ethnic group. --- Export. --- Expropriation. --- Externality. --- Finance. --- Funding. --- General equilibrium theory. --- Governance. --- Household. --- Human capital. --- Implementation. --- Incentive. --- Income. --- Individualism. --- Inefficiency. --- Information asymmetry. --- Infrastructure. --- Institution. --- Instrumental variable. --- Insurance. --- Investment. --- Investor. --- Latin America. --- Market (economics). --- Market economy. --- Market failure. --- Measurement. --- Meta-analysis. --- Natural resource. --- Norm (social). --- Ownership. --- Payment. --- Percentage point. --- Policy. --- Political economy. --- Political science. --- Politician. --- Politics. --- Poverty. --- Prediction. --- Principal–agent problem. --- Private sector. --- Privatization. --- Probability. --- Productivity. --- Profit (economics). --- Provision (accounting). --- Provision (contracting). --- Public sector. --- Regime. --- Regulation. --- Rent-seeking. --- Reputation. --- Requirement. --- Result. --- Right to property. --- Risk aversion. --- Saving. --- Subsidy. --- Supply (economics). --- Tariff. --- Tax. --- Technology. --- Trade-off. --- Transaction cost. --- Unemployment. --- Voting. --- Wealth. --- Welfare. --- World Bank.
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