{"title":"Corruption and Innovation in Manufacturing Firms: A Cross-country Analysis","authors":"Trung Nguyen","doi":"10.2139/ssrn.3851478","DOIUrl":null,"url":null,"abstract":"In this paper, I study how two types of corruption – public procurement or grand corruption and petty corruption – affect the new product innovation in manufacturing firms. Using the firm level data from the Enterprise Survey implemented by the World Bank and partners in 2019, the study implemented a two-stage instrumental approach for both types of corruption. The results confirm the complex effects of corruption on innovation: while grand corruption tends to harm innovation, petty corruption is found to have positive effects. From the limitations of this study, I also propose some directions for further research to understand the transnational feature of corruption.","PeriodicalId":159491,"journal":{"name":"ERN: Empirical Studies of Firms & Industries in Transitional Economies (Topic)","volume":"2 1","pages":"0"},"PeriodicalIF":0.0000,"publicationDate":"2021-01-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"1","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"ERN: Empirical Studies of Firms & Industries in Transitional Economies (Topic)","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.2139/ssrn.3851478","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
引用次数: 1
Abstract
In this paper, I study how two types of corruption – public procurement or grand corruption and petty corruption – affect the new product innovation in manufacturing firms. Using the firm level data from the Enterprise Survey implemented by the World Bank and partners in 2019, the study implemented a two-stage instrumental approach for both types of corruption. The results confirm the complex effects of corruption on innovation: while grand corruption tends to harm innovation, petty corruption is found to have positive effects. From the limitations of this study, I also propose some directions for further research to understand the transnational feature of corruption.
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