Title: Bribing behaviour by firm attributes: an empirical analysis

Authors: Kanybek Nur-tegin; Tanya Sahin

Addresses: Wilkes Honors College, Florida Atlantic University, 5353 Parkside Drive, Jupiter, FL 33458, USA ' Wilkes Honors College, Florida Atlantic University, 5353 Parkside Drive, Jupiter, FL 33458, USA

Abstract: Corruption is one of the most important determinants of economic efficiency and growth. However, empirical research on the causes of corruption is still very limited. In this paper, we investigate the effect of various firm characteristics on their bribing behaviour. Using extensive data on 25,969 firms from 114 countries, we find that firms bribe less if they are in the textile and garments, food, wholesale and retail industries and have been in business for a longer period of time. Firms that belong to the IT sector, have won government contracts, are subject to a higher bureaucracy burden, more inspections, more informal competition, and higher tax rates tend to bribe more.

Keywords: bribery; corruption; determinants; firms; firm-level; economic efficiency; economic growth; firm characteristics; industry sectors.

DOI: 10.1504/IJPP.2013.055706

International Journal of Public Policy, 2013 Vol.9 No.3, pp.231 - 244

Published online: 31 Jan 2014 *

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