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The effects of corruption and the fraction of private ownership on the productivity of telecommunication companies

Barbara Brzić, Marina Dabic (), Frane Kukura and Boris Podobnik

Technology in Society, 2021, vol. 65, issue C

Abstract: The ways in which privatization improves labour and productivity across different sectors of the economy are well known. However, how the country's corruption effects productivity - where corruption is not just an indicator of the misuse of public office, but also a measure of poor governance - remains unclear. To examine this issue, panel data analysis was applied to a set of 62 European telecommunication companies between 2012 and 2019 in order to examine the relationship of corruption and the fraction of private ownership on their productivity … This research hypothesized that higher levels of perceived corruption would present a negative relationship with company's productivity and that a higher percentage of private ownership would have a positive relationship with company's productivity. The results confirmed that the association between corruption and telecommunication companies was negative, while the fraction of private ownership had positive association with productivity.

Keywords: Public sector; Corruption; Privatization; Productivity (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1016/j.techsoc.2021.101532

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