ABSTRACT

This chapter shows the areas of public intervention where occasions of corruption may emerge. It analyzes "commodities" that flow from the public to the private sector and vice versa. The chapter looks at some of the resources that, as "inputs" in a productive process, are required by corrupt agents in order to initiate and successfully suggests hidden exchanges. Corruption may be related to a market for political rent where property rights are exchanged. Corruption is connected with the exchange of property rights to rents created through the political process: "Corruption is actually just a black market for the property rights over which politicians and bureaucrats have allocative power. Once taken by the competent organs, political decisions are binding on the entire community. While the exercise of a given power leaves definite traces, passing restricted information can be easily concealed and is therefore more difficult to demonstrate in a court of law.