TAILIEUCHUNG - Are Corruption and Taxation Really Harmful to Growth?

Exploiting a unique data set containing information about the estimated bribe payments of Ugandan firms, the authors study the relationship between bribe payments, taxes, and firm growth in Uganda for the period 1995-97. Using industry-location averages to circumvent the potential problem of endogeneity, and to deal with issues of measurement error, they find that both the rate of taxation, and the rate of bribery are negatively correlated with firm growth. | Are Corruption and Taxation Really Harmful to Growth Firm Level Evidence April 2002 Raymond Fisman and Jakob Svensson Abstract Exploiting a unique data set containing information on the estimated bribe payments of Ugandan firms we study the relationship between bribery payments taxes and firm growth over the period 1995-97. Using industry-location averages to circumvent the potential problem of endogeneity and to deal with issues of measurement error we find that both the rate of taxation and bribery are negatively correlated with firm growth. For the full data set a one-percentage point increase in the bribery rate is associated with a reduction in firm growth of three percentage points an effect that is about three times greater than that of taxation. Moreover after outliers are excluded we find a much greater negative impact of bribery on growth while the effect of taxation is considerably reduced. This provides some validation for firm-level theories of corruption which posit that corruption retards the development process to an even greater extent than taxation. Columbia Business School. 614 Uris Hall Columbia University New York NY 10027. Email rf250@. Telephone 212 854-9157. Fax 212 316-9355 Institute for International Economic Studies Stockholm University 106 91 Stockholm Sweden. Email . Telephone 46 8 163060. Fax 46 8 161443. We are grateful for comments by Aart Kraay Torsten Persson Ritva Reinikka and David Stromberg. I. Introduction The debate on the effect of corruption on economic growth has been a hotly contested issue for several decades. Often the effect of corruption is thought of as being something like a tax differing primarily in that the payment does not end up as public To the extent that this deprives the government of revenue required to provide productive public goods corruption may be more detrimental to growth than taxation. More recently Sheifer and Vishny 1993 have argued that corruption .

• Kinh tế học
• Corruption
• Taxation
• bribery payments
• economic growth
• public revenues
• foreign direct investment
• Overview of anti corruption theories and approaches
• Anti corruption theories and approaches
• Country specicic context
• Approaches mainly focus
• The environment nourishing corruption
• The world’s influential anti corruption theories
• Anti corruption policy
• Online press
• Press freedom
• Corruption perception index
• Fight against corruption in Vietnam
• Corruption and Transparency
• Money Laundering
• Straf – Corruption
• Financial Scandals
• Asset Bubbles
• Social sciences
• The great ming code
• Study on anti corruption
• Articles researched anti corruption policy
• Level of penalty
• Ming dynasty respectively
• Corruption in Nigeria
• Control of corruption
• Bound test
• Rearlier one reported in ARDL framework
• Dynamic OLS estimation
• Corruption and remittances
• Evidence from around the world
• Around the world
• The sources of corruption using panel data
• The relationship between remittances
• Bank credit
• Collusive corruption
• Principal agent
• Supervision of bank credit
• Induces serious internal collusive corruption
• Youth perceptions toward corruption and integrity
• Humanitydit destroys
• In depth interviews
• People against corruption
• Anti corruption policies
• Foreign capital flows
• Enormous external capital flows
• Endemic corruption
• Emerging Impact
• Gastroenterology
• Intestinal Microbial
• Flora – Effect
• Probiotics in Newborns
• Benefits and Challenges
• star
• initiative
• fight
• illicit
• enrichment
• criminalizing
• Entrepreneurship
• thesis
• internship reports
• project course
• graduate thesis
• The cycle of transparency
• accountability corruption
• Administrative performance
• Evidence from Vietnam
• The correlation amongst transparency
• The effect of taxation
• Corruption on firm growth
• An empirical investigation
• Investigation for Vietnam
• The impact of taxation
• National security
• Challenge to national security
• Development in NigeriaNational
• Corruption as a challenge to national security
• Fight against corruption
• Ph D thesis summary
• Thesis summary PhD in Economics
• Stock market development
• The role of trade openness
• Corruption control
• Random effects
• Bureaucratic efficiency
• Summary of Jurist Doctoral thesis
• Summary of Doctoral thesis Law
• Criminology and crime prevention
• Prevention of property corruption
• Prevent property embezzlement in Vietnam
• Oil prices
• Economic growth nexus
• Governance is found in the long run
• Institutional change corruption
• E government transformation in the Philippines
• Institutional change
• Benigno simeon aquino III
• Social sciences and humanities
• Self reported experiences
• Corruption on twitter
• Unsupervised machine learning
• Natural language processing
• trung học
• học sinh
• optimal
• growth
• Democracy
• education
• training
• university