Are new states more corrupt? Expert opinions versus firms’ experiences

Tamanna Adhikari, Michael Breen () and Robert Gillanders

Applied Economics Letters, 2019, vol. 26, issue 2, 131-134

Abstract: We find that new states are perceived to be more corrupt even though businesses do not report more bribery in newer states. This is suggestive of an unearned, and likely high, reputational cost to being a new state. These findings hold over a number of specifications that include additional economic, historical and geographic controls.

Date: 2019
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DOI: 10.1080/13504851.2018.1441500

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