On Basu's proposal: Fines affect bribes

Research English OPEN
Popov, Sergey V.;
  • Publisher: Cardiff: Cardiff University, Cardiff Business School
  • Subject: H8 | K4 | corruption | bribery | extortion | decentralization | fines
    • ddc: ddc:330

I model the connection between the equilibrium bribe amount and the fines imposed on both bribe-taker and bribe-payer. I show that Basu's (2011) proposal to lower the fines imposed on bribe-payers in order to induce more whistleblowing and increase the probability of pe... View more
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