MARC Record from Library of Congress

LEADER: 02269cam a22002897a 4500
001 2007616320
003 DLC
005 20150207075720.0
007 cr |||||||||||
008 070730s2007 mau sb 000 0 eng
010 $a 2007616320
040 $aDLC$cDLC$dDLC
050 00 $aHB1
100 1 $aDi Tella, Rafael
245 10 $aWhy doesn't capitalism flow to poor countries?$h[electronic resource] /$cRafael Di Tella, Robert MacCulloch.
260 $aCambridge, MA :$bNational Bureau of Economic Research,$cc2007.
490 1 $aNBER working paper series ;$vworking paper 13164
538 $aSystem requirements: Adobe Acrobat Reader.
538 $aMode of access: World Wide Web.
500 $aTitle from PDF file as viewed on 7/30/2007.
530 $aAlso available in print.
504 $aIncludes bibliographical references.
520 3 $a"We find anecdotal evidence suggesting that governments in poor countries have a more left wing rhetoric than those in OECD countries. Thus, it appears that capitalist rhetoric doesn't flow to poor countries. A possible explanation is that corruption, which is more widespread in poor countries, reduces more the electoral appeal of capitalism than that of socialism. The empirical pattern of beliefs within countries is consistent with this explanation: people who perceive corruption to be high in their country are also more likely to lean left ideologically (and to declare support for a more intrusive government in economic matters). Finally, we present a model explaining the corruption-left connection. It exploits the fact that an act of corruption is more revealing about the fairness type of a rich capitalist than of a poor bureaucrat. After observing corruption, voters who care about fairness react by increasing taxes and moving left. There is a negative ideological externality since the existence of corrupt entrepreneurs hurts good entrepreneurs by reducing the electoral appeal of capitalism"--National Bureau of Economic Research web site.
700 1 $aMacCulloch, Robert$q(Robert J.)
710 2 $aNational Bureau of Economic Research.
830 0 $aWorking paper series (National Bureau of Economic Research : Online) ;$vworking paper no. 13164.
856 40 $uhttp://papers.nber.org/papers/w13164