Ethnic Diversity, Democracy, and Corruption

I study the link between ethnic diversity, democracy, and corruption. In a static model, I. show.that contrary to conventional wisdom, corruption might emerge as a negative externality of democracy. This occurs through ethnicity, which appears as a rent-extracting technology in a democratic society....

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Main Author: Yehoue, Etienne B.
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 2007, 2007
Series:IMF Working Papers; Working Paper
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
Summary:I study the link between ethnic diversity, democracy, and corruption. In a static model, I. show.that contrary to conventional wisdom, corruption might emerge as a negative externality of democracy. This occurs through ethnicity, which appears as a rent-extracting technology in a democratic society. Extending the model into a dynamic framework, I. find.that this technology of extraction operates only at the early stage of democracy. Its impact tends to phase out as democracy matures. In other words, the model predicts that democracy exhibits a threshold effect on corruption
Physical Description:22 p.
ISBN:9781451867824
1451867824