This paper examines the effectiveness of using asymmetric liability to combat harassment bribes. Asymmetric liability is a mechanism where bribe-takers are culpable but bribe-givers have legal immunity. Results from our experiment indicate that while this policy has the potential to significantly reduce corrupt practices, weak economic incentives for the bribe-giver, or retaliation by bribetakers can mitigate the disciplining effect of such an implementation. Asymmetric liability on its own may hence face challenges in the field.

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Acknowledgements Financial support was provided by the National Science Foundation (grant numbers IIS-0630805 and SES-0849590). Helpful comments and suggestions were provided by an anonymous referee.

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