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The Influence of Firms on Government

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Author Info

  • Jeffrey T. Macher

    (Georgetown University)

  • John W. Mayo

    (Georgetown University)

  • Mirjam Schiffer

    (Secretariat of the Swiss Competition Commission)

Abstract

While interest group explanations have considerably advanced our understanding of governmental outcomes, much remains to be understood about the specific country-level, industry-level and firm-level characteristics that underlie the influence firms have on the establishment of governmental rules, laws and regulations. In this study, we draw upon a unique database of roughly 6000 international firms to investigate the abilities of firms to affect governmental policies. We find that country-level institutional characteristics, such as the legal origin and political diversity of the firm’s home country, significantly affect the ability to influence government. We also find that industry-level characteristics, such as the number of industry competitors, and firm-level characteristics, such as size and age, are determinants of firm influence on governments.

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Bibliographic Info

Article provided by De Gruyter in its journal The B.E. Journal of Economic Analysis & Policy.

Volume (Year): 11 (2011)
Issue (Month): 1 ()
Pages: 1

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Handle: RePEc:bpj:bejeap:v:11:y:2011:i:1:n:1

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Web page: http://www.degruyter.com

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Web: http://www.degruyter.com/view/j/bejeap

Related research

Keywords: influence; government; interest groups; legal origins;

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Cited by:
  1. Jeffrey Macher & John Mayo, 2012. "The World of Regulatory Influence," Journal of Regulatory Economics, Springer, vol. 41(1), pages 59-79, February.

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