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Political Corruption (Avis et al.)

Do government audits reduce corruption? Estimating the impacts of exposing corrupt politicians by Eric Avis, Claudio Ferraz and Frederico Finan, published by Journal of Political Economy (4/2017). “…We interpret these reduced-form findings though a political agency model, which we structurally estimate. Based on our estimated model, the reduction in corruption comes mostly from the audits increasing the perceived threat of the non-electoral costs of engaging in corruption.”

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