In a 2011 paper, Kaushik Basu argued that “harassment bribes”—bribes that people give to officials in order to get what they are legally entitled to—should be treated as legal. The reasoning is as follows: Under the current law [treated as illegal], … once a bribe is given, the bribe giver and the bribe taker become partners in crime. … Under the new law [treated as illegal], when a person gives a bribe, she will try to keep evidence of the act of bribery so that immediately after the bribery she can turn informer and get the bribe taker caught. The upshot of this is not that the bribe taker will get caught but he will not take the bribe in the first place. Thanks to JP Koning.
Topics:
Dirk Niepelt considers the following as important: Bribe, Harassment, India, Informer, Notes
This could be interesting, too:
Dirk Niepelt writes “Report by the Parliamentary Investigation Committee on the Conduct of the Authorities in the Context of the Emergency Takeover of Credit Suisse”
Marc Chandler writes Continued Backing Up of US Rates Extend the Greenback’s Gains
Dirk Niepelt writes “Governments are bigger than ever. They are also more useless”
Dirk Niepelt writes The New Keynesian Model and Reality
In a 2011 paper, Kaushik Basu argued that “harassment bribes”—bribes that people give to officials in order to get what they are legally entitled to—should be treated as legal. The reasoning is as follows:
Under the current law [treated as illegal], … once a bribe is given, the bribe giver and the bribe taker become partners in crime. …
Under the new law [treated as illegal], when a person gives a bribe, she will try to keep evidence of the act of bribery so that immediately after the bribery she can turn informer and get the bribe taker caught. The upshot of this is not that the bribe taker will get caught but he will not take the bribe in the first place.
Thanks to JP Koning.