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  • Corruption, income and business development

    June 5, 2017 Editor 0

    Corruption, income and business development
    Monica Violeta Achim
    J. for International Business and Entrepreneurship Development, Vol. 10, No. 1 (2017) pp. 85 – 100
    The main objective of this study was to investigate the influence of the level of corruption on business development. A large cross-countries survey of about 185 countries was used for the period 2012-2015. The empirical findings of this study show that corruption significantly reduced business development, being a major obstacle to economic growth. The influence of corruption on business development is highest when the index of doing business is used. This is significantly higher for developing countries as compared with developed countries. The findings emphasise the fact that corruption is a poverty-driven disease which significantly hinders business development. It was also found that that institutional quality plays a main role in reducing corruption thus enhancing the business development. This study may have significant implications for managers, investors, public bodies or business environment, by providing empirical evidences on the impact of corruption and institutional quality on business development.

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    Categories: Entrepreneurship

    Tags: business development, corruption

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