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Mixing Family Business with Politics in Thailand

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Author Info
Masami Imai () (Economics and East Asian Studies, Wesleyan University)
Abstract

This paper uses newly compiled data on Thai family businesses and their direct participation in politics to examine whether the political participation of family business yields private economic payoff. The paper finds that the political participation of family members is positively associated with the profitability of family businesses. Furthermore, this “political benefit” is found to be particularly large when firms are connected to the cabinet members. These results support the crony capitalism view that powerful business groups in Thailand have an incentive to directly hold influential public offices in order to influence the economic policy in their favor.

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File URL: http://www.blackwell-synergy.com/doi/pdf/10.1111/j.1467-8381.2006.00234.x
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Publisher Info
Paper provided by Wesleyan University, Department of Economics in its series Wesleyan Economics Working Papers with number 2006-017.

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Length: 28 pages
Date of creation: May 2006
Date of revision:
Publication status: Published in Asian Economic Journa (Vol. 20 No 3, 241-256) on-line at http://www.blackwell-synergy.com/toc/asej/20/3 .
Handle: RePEc:wes:weswpa:2006-017

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Related research
Keywords: Cronyism; Political Connection; Family Business; Thailand;

Find related papers by JEL classification:
G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation
O53 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
P16 - Economic Systems - - Capitalist Systems - - - Political Economy of Capitalism

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This page was last updated on 2009-11-13.


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