Does Smaller Government Mean Less Corruption?

Government intervention, whether in the role of a regulator or a market participant, presents opportunities for corruption. A burdensome regulatory environment creates more opportunities and incentives for individuals and firms to circumvent these regulations by resorting to different forms of bribery. Glaeser and Saks find that benefits of circumventing the regulations increase as the size of the government increases. The studies collected in this special issue investigate the relationship between various forms of government interventions on corruption.