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Does Innovation Foster or Mitigate the Corruption Obstacle? Firm-Level Evidence from Tunisia

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  • Hanen Sdiri

    (SEPAL-ISG Tunis)

  • Mohamed Ayadi

    (SEPAL-ISG Tunis)

Abstract

In this paper, we analyze the extent to which process or product innovation accentuates or mitigates the corruption obstacle for Tunisian firms. 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.

Suggested Citation

  • Hanen Sdiri & Mohamed Ayadi, 2022. "Does Innovation Foster or Mitigate the Corruption Obstacle? Firm-Level Evidence from Tunisia," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(1), pages 367-386, March.
    • Handle: RePEc:spr:jknowl:v:13:y:2022:i:1:d:10.1007_s13132-020-00707-4
    DOI: 10.1007/s13132-020-00707-4
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    Cited by:

    1. SDIRI, Hanen, 2022. "The Influence of Environmental Commitment and Innovation on Export Intensity: Firm-Level Evidence from Tunisia," MPRA Paper 113793, University Library of Munich, Germany.
    2. Sdiri, Hanen, 2022. "Impact of formal and informal institutional constraints on innovation: firm-level evidence from Tunisia," MPRA Paper 113792, University Library of Munich, Germany, revised 2022.
    3. Lan, Yueqin & Krishnan, Deepika & Zheng, Jiyuan, 2023. "Impact of international trade on crude oil in political unstable economies: Evidence from quantile regression," Resources Policy, Elsevier, vol. 83(C).

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    More about this item

    Keywords

    Corruption; Innovation; Tunisian firms; Ordered logit;
    All these keywords.

    JEL classification:

    • L80 - Industrial Organization - - Industry Studies: Services - - - General
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption

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