Kaushik Basu named as World Bank chief economist

Annie Lowrey has the scoop.  Excerpt:

A paper he released last year caused a bit of a stir: While advising the Indian government, Mr. Basu argued that countries could reduce the incidence of “harassment bribes” – e.g., “I’ll approve this home renovation project for you for a small fee…” – by making it legal to give a bribe, though not to receive one.

“This will cause a sharp decline in the incidence of bribery,” Mr. Basu said. “After the act of bribery is committed, the interests of the bribe giver and the bribe taker will be at divergence. The bribe giver will be willing to cooperate in getting the bribe taker caught. Knowing that this will happen, the bribe taker will be deterred from taking a bribe.” (Mr. Basu notably argued against giving an amnesty for past incidents of bribery.)

Mr. Basu is to start at the bank Oct. 1. In the meantime, you can follow him on Twitter.

And do not forget:

He is also the creator of the two-player board game Dui-doku.  He is also a Woody Allen fan.