Does innovation foster or mitigate the corruption obstacle? Firm-level evidence from Tunisia

Hanen Sdiri () and Mohamed Ayadi ()

MPRA Paper from University Library of Munich, Germany

Abstract: The aim of this paper is to analyze the extent to which Tunisian firms regard corruption as a major obstacle to their product and process innovation. Using firm-level data from the World Bank Enterprise Survey conducted in 2013, we empirically test how innovation accentuates or mitigates the corruption obstacle. We show that innovation has a negative and statistically significant effect on the corruption obstacle. Besides, we prove that competition and the obstacle to corruption are negatively related. This result teaches that the Tunisian firms face a rent-shifting corruption.

Keywords: Innovation; Corruption obstacle; Rent-shifting. (search for similar items in EconPapers)
JEL-codes: D73 L80 O31 O32 (search for similar items in EconPapers)
Date: 2016-05-04
New Economics Papers: this item is included in nep-afr, nep-ara, nep-cse, nep-ent, nep-ino, nep-pr~, nep-knm and nep-sbm
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Related works:
Journal Article: Does Innovation Foster or Mitigate the Corruption Obstacle? Firm-Level Evidence from Tunisia (2022)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:71088

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