Social Status and Corruption
21 Pages Posted: 3 Sep 2007 Last revised: 13 Feb 2012
Date Written: August 21, 2007
Abstract
We study the interaction between social and economic incentives in determining the level of corruption. Using social rewards as incentives for civil servants may help to reduce corruption. A decrease in corruption produces an externality that makes wage schemes which avert corruption (efficiency wages) cheaper. We show that the existence of this externality reduces the "optimal" level of corruption in a society, the greater the power of social status, the lower the level of corruption
Keywords: Social Status, Corruption and Wage Incentives
Suggested Citation: Suggested Citation
Do you have negative results from your research you’d like to share?
Recommended Papers
-
Economic Analysis of Welfare Economics, Morality and the Law
-
Any Non-Welfarist Method of Policy Assessment Violates the Pareto Principle: Reply
By Louis Kaplow and Steven Shavell
-
Moral Rules and the Moral Sentiments: Toward a Theory of an Optimal Moral System
By Louis Kaplow and Steven Shavell
-
Moral Rules and the Moral Sentiments: Toward a Theory of an Optimal Moral System
By Louis Kaplow and Steven Shavell
-
Fairness Versus Welfare: Notes on the Pareto Principle, Preferences, and Distributive Justice
By Louis Kaplow and Steven Shavell
-
Fairness Versus Welfare: Notes on the Pareto Principle, Preferences, and Distributive Justice
By Louis Kaplow and Steven Shavell
-
Principles of Fairness Versus Human Welfare: On the Evaluation of Legal Policy
By Louis Kaplow and Steven Shavell
-
The Conflict between Notions of Fairness and the Pareto Principle
By Louis Kaplow and Steven Shavell
-
The Conflict between Notions of Fairness and the Pareto Principle
By Louis Kaplow and Steven Shavell