Rent Seeking and Corruption in Financial Markets

Khwaja, Asim; Mian, Atif (2011)


Khwaja, Asim, and Atif Mian. 2011. “Rent Seeking And Corruption In Financial Markets”. Annual Review Of Economics 3 (1): 579-600.
We describe recent advances in the study of rent seeking and corruption in financial markets. We outline three areas of inquiry: (a) conceptualizing rent seeking, (b) identifying rent-provision channels and their general equilibrium impact, and (c) designing feasible remedial mechanisms. We provide suggestions for making further progress in these areas and review a variety of approaches taken in the recent literature.