Corruption’s Effect on Business Venturing within the U.S. States
American Journal of Economics and Sociology, Vol. 68, No. 5, p. 1136, November 2009
18 Pages Posted: 13 Nov 2010
Date Written: May 10, 2009
Abstract
ABSTRACT. In developing countries with high levels of corruption, people are often forced into small-business venturing or survivalist entrepreneurship because larger, more efficient firms do not exist. In developed countries, however, low corruption means that people choose entrepreneurship as a better means of innovating. In this article we use federal convictions of state and local officials and the Small Business Administration’s firm formation data to test whether corruption within the United States forces some people into business venturing. We find that business venturing within the United States is caused in part by corruption.
Keywords: Corruption, Entrepreneurship, Business Venturing
Suggested Citation: Suggested Citation
Do you have a job opening that you would like to promote on SSRN?
Recommended Papers
-
Monitoring Corruption: Evidence from a Field Experiment in Indonesia
-
Who Must Pay Bribes and How Much? Evidence from a Cross-Section of Firms
-
Who Must Pay Bribes and How Much? Evidence from a Cross-Section of Firms
-
Tax Rates and Tax Evasion: Evidence from "Missing Imports" in China
By Raymond J. Fisman and Shang-jin Wei
-
Tax Rates and Tax Evasion: Evidence from 'Missing Imports' in China
By Raymond J. Fisman and Shang-jin Wei
-
The Role of Wages and Auditing During a Crackdown on Corruption in the City of Buenos Aires
-
By Edward L. Glaeser and Raven E. Saks
-
By Edward L. Glaeser and Raven E. Saks
-
By Anand Swamy, Young Lee, ...
-
What Determines Corruption? International Evidence from Micro Data