’s capabilities in addressing institutional failures become particularly evident. High levels of corruption, political instability …

The paper investigates how efficiency of business environment and corruption (informal payments and state capture … corruption activities at the firm-level and firm ownership. We find somehow surprising results that private firms (domestic and … foreign owned firms that are involved in informal payments are likely to benefit from these corruption practices. On the other …

investments. Furthermore, far too little attention has so far been paid to how corruption relates to the performance of foreign … should fight against informal payments in bureaucracy to create corruption free environments, so that multinationals are …

country-level corruption on those two relationships. Results show that government-owned firms face fewer financial constraints … pronounced for firms operating in countries with a lower level of corruption …