Editing Red tape (section)

===Red tape and corruption===
The existence of regulations and authorizations provides a kind of monopoly power to the officials who must approve or inspect regulated activities.<ref name=Tanzi>{{cite report | url= https://www.imf.org/en/Publications/WP/Issues/2016/12/30/Corruption-Around-the-World-Causes-Consequences-Scope-and-Cures-2583 | first=Vito | last=Tanzi | title=Corruption Around the World: Causes, Consequences, Scope and Cures | date=1 May 1998 | publisher=International Monetary Fund | isbn= 9781451848397 }}</ref>
When regulations are not transparent, or an authorization can be obtained only from a specific office or individual (that is, there is no competition in the granting of these authorizations), bureaucrats have a great deal of power which may lead to corruption.<ref name=Tanzi/>{{rp|10-11}}<ref name=Duvanova/>{{rp|298-299}}<ref name=Mauro/>{{rp|685}}<ref>{{cite journal | title=Eight Questions about Corruption | first=Jakob | last=Svensson | journal=Journal of Economic Perspectives | date=Summer 2005 | volume=19 | issue=3 | pages=19–42 | doi=10.1257/089533005774357860 }}</ref>{{rp|32}}
Officials may even intentionally introduce new regulations and red tape in order to be able to extract more bribes by threatening to deny permits.<ref name=Mauro/>{{rp|685}}<ref name=Duvanova/>  Particularly in [[Developing country|developing]] and [[Transition economy|transition]] economies, surveys indicate that a large proportion of an enterprise manager's time (especially for small enterprises) requires dealing with bureaucracies, and this time can be reduced through the payment of bribes.<ref name=Tanzi/>{{rp|10-11}}