Government policies and graft in an economy with endogenous labor supply

• 成果类型: Article
• 署名作者: Mukherji, N
• 署名单位: Oakland University
• 刊物名称: JOURNAL OF DEVELOPMENT ECONOMICS
• ISSN/ISSBN: 0304-3878
• DOI: 10.1016/j.jdeveco.2002.11.002
• 发表日期: 2004
• 页码: 423-434
• 关键词: graft; Informal sector; labor supply

摘要

This paper is an extension of Marcouiller and Young's [Am. Econ. Rev. 85 (1995) 630] paper which shows that in a two-good economy with constant labor supply, the government can always increase graft by squeezing the formal sector out of existence. In this paper, we find that if individuals choose the amount of labor they supply, the government can increase graft by eliminating formal production in relatively rare cases. (C) 2003 Elsevier B.V. All rights reserved.