How Bribery Distorts Firm Growth
Differences by Firm Attributes
Bibliographic Data
| ID | 19942686 |
|---|---|
| Authors | Murat Şeker (0000-0002-8998-9542), Judy S Yang, Judy Yang |
| Year | 2012 |
| Publication date | 2012-04-01 |
| Open Access | No |
| Type | BOOK |
| Publisher | World Bank, Washington, DC (PUBLISHER) |
| DOI | 10.1596/1813-9450-6046 |
| OpenAlex | W1820613313 |
| Language | EN |
| Citations received | 1 |
| References cited | 18 |
How corruption affects economic \n performance has been studied for over a decade. Yet the lack \n of detailed firm-level data has limited research regarding \n who is carrying the real burden of corruption. This study \n shows that for firms in the Latin America and Caribbean \n region, bribery significantly distorts firm growth. Firms \n that pay bribes when conducting business transactions -- \n such as applying for permits, electricity, or water \n connections -- have 24 percent lower annual sales growth \n than firms that do not face such solicitations. Moreover, \n these distortions are more severe for low-revenue-generating \n and young firms. Using the instrumental variables method, \n the authors show that these results are robust to different \n specifications and the use of different sub-samples
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| Citations per year | 0.13 |
|---|---|
| Citation span | 2018 - 2018 (1) |
| Highly cited | No |