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The Rationale of Transparent Public Finances — Impacts on Economic Growth

The Rationale of Transparent Public Finances — Impacts on Economic Growth. Yvan Lengwiler University of Basel Transparency Days 2007 Belgrade. empirical correlations. smaller per capita income. corruption. % of population who reports having paid bribes in the last year.

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The Rationale of Transparent Public Finances — Impacts on Economic Growth

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  1. The Rationale of Transparent Public Finances — Impacts on Economic Growth Yvan Lengwiler University of Basel Transparency Days 2007 Belgrade

  2. empirical correlations • smaller per capita income corruption

  3. % of population who reports having paid bribes in the last year corruption and wealth

  4. Corruption Perception Index Source: Transparency International [http://ww1.transparency.org/cpi/2005/cpi2005_infocus.html]

  5. the poor have bureaucrats" (W. Easterly) "The rich have markets,

  6. empirical correlations • less equal distribution of income • weaker public finances • higher debt • lower per capita tax revenues • weaker investments • less formation of human capital (education and health care) • lower trend growth rate • smaller per capita income corruption

  7. The East Asian Paradox Source: Rock and Bonnet (2004).

  8. which way does the causation go? low income low growth weak investments little human capital etc. corruption

  9. vicious and virtuous circle corruption weak institutions weak growth weak property rights

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