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Lobbying and Bribery

Author

Listed:
  • Amrita Kamalini Bhattacharyya
  • Vivekananda Mukherjee

Abstract

This paper explores the relation between lobbying and bribery by constructing a theoretical model. It asks whether ease of lobbying reduces bribery. The answer as it appears is ambiguous. It derives the condition for which lobbying and bribery are substitutes and complements of each other. It also shows that under certain conditions, ease of lobbying may reduce social welfare. JEL Classification: D72, D73, H23, I31, P18

Suggested Citation

  • Amrita Kamalini Bhattacharyya & Vivekananda Mukherjee, 2019. "Lobbying and Bribery," Studies in Microeconomics, , vol. 7(2), pages 238-251, December.
    • Handle: RePEc:sae:miceco:v:7:y:2019:i:2:p:238-251
    DOI: 10.1177/2321022219827397
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    References listed on IDEAS

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    1. Nauro Campos & Francesco Giovannoni, 2007. "Lobbying, corruption and political influence," Public Choice, Springer, vol. 131(1), pages 1-21, April.
    2. Christopher S. Cotton & Arnaud Déllis, 2016. "Informational Lobbying and Agenda Distortion," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 32(4), pages 762-793.
    3. Grossman, Gene M & Helpman, Elhanan, 1994. "Protection for Sale," American Economic Review, American Economic Association, vol. 84(4), pages 833-850, September.
    4. Gary S. Becker, 1983. "A Theory of Competition Among Pressure Groups for Political Influence," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 98(3), pages 371-400.
    5. Mookherjee, Dilip & Png, I P L, 1995. "Corruptible Law Enforcers: How Should They Be Compensated?," Economic Journal, Royal Economic Society, vol. 105(428), pages 145-159, January.
    6. Harstad, Bård & Svensson, Jakob, 2011. "Bribes, Lobbying, and Development," American Political Science Review, Cambridge University Press, vol. 105(1), pages 46-63, February.
    7. Richard Damania & Per Fredriksson & Muthukumara Mani, 2004. "The Persistence of Corruption and Regulatory Compliance Failures: Theory and Evidence," Public Choice, Springer, vol. 121(3), pages 363-390, February.
    8. Pranab Bardhan, 1997. "Corruption and Development: A Review of Issues," Journal of Economic Literature, American Economic Association, vol. 35(3), pages 1320-1346, September.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Lobbying; bribery; corruption; environmental pollution; social welfare;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • P18 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Energy; Environment

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