In this paper the authors examine the relationship between local corruption and multinational investment. They construct a model of regulatory capture that highlights the interaction between a corrupt regulator, a local dominant …rm and a multinational …rm. The model suggests that entry by a multinational could have a variety of e¤ects on corruption, both positive and negative. These include: d...

A well functioning bureaucracy can promote prosperity, as advocated by Max Weber. But when bureaucracy gets jammed, it causes stagnation, as described by Franz Kafka. We propose a dynamic theory of the interaction between the production of laws and the efficiency of bureaucracy. When bureaucracy is inefficient the effects of politicians legislative acts are hard to assess. Therefore, incompeten...

The struggle between bureaucracy and professionalism has been described repeatedly during the last 50 years. Their opposing logics are at the heart of this struggle. Bureaucracy focuses on administrative hierarchies of formal authority, subordination and control, while professionalism focuses on professional autonomy. Since professionals joined organizations, their professional autonomy has dec...

We have a dream that within ten years, patients admitted to teaching hospitals will long to be enrolled in “researcher driven”*randomized clinical trials. Patients will be fully aware of the reduced complication rates and the improved outcomes that occur in patients involved in randomized clinical trials, the so-called “Hawthorne effect”. We have a dream that within ten years scientists will no...

Available online 21 October 2009