IDEAS home Printed from https://ideas.repec.org/a/cbu/jrnlec/y2023v5p99-104.html
   My bibliography  Save this article

The Global Crisis And Corruption: Retailers, Government Contracts And Licensing

Author

Listed:
  • HALIL D. KAYA

    (COLLEGE OF BUSINESS AND TECHNOLOGY, NORTHEASTERN STATE UNIVERSITY, BROKEN ARROW, OK 74014)

Abstract

In this paper, we focus on retailers in Eastern Europe and Central Asia and examine the possible change in the level of corruption after the 2008-2009 Global Crisis. We focus on three events: securing government contracts, applications for an operating license, and applications for an importing license by retailers in the region. We find that fewer retailers secured or attempted to secure a government contract after the crisis ended. This may be due to overall economic activities going down during this period. We also find bribes got smaller after the crisis ended, which was a positive change. Our results show that there was no significant change in the percentage of retailers applying for an import license or the percentage that paid bribes after the crisis ended. The number of days needed to get this license went down, which was a positive change. Our results show that applications by retailers to get an operating license went down, which might also be due to overall activities going down. The percentage that paid bribes to get an operating license got smaller, which was a positive change. On the other hand, the number of days needed to get an operating license went up, which was a negative change. Overall, we can conclude that there were some positive changes in terms of corruption facing retailers in the region.

Suggested Citation

  • Halil D. Kaya, 2023. "The Global Crisis And Corruption: Retailers, Government Contracts And Licensing," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 5, pages 99-104, October.
  • Handle: RePEc:cbu:jrnlec:y:2023:v:5:p:99-104
    as

    Download full text from publisher

    File URL: https://www.utgjiu.ro/revista/ec/pdf/2023-05/12_kaya.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Jakob Svensson, 2003. "Who Must Pay Bribes and How Much? Evidence from a Cross Section of Firms," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 118(1), pages 207-230.
    2. Axel Dreher & Martin Gassebner, 2013. "Greasing the wheels? The impact of regulations and corruption on firm entry," Public Choice, Springer, vol. 155(3), pages 413-432, June.
    3. Vartuhí Tonoyan & Robert Strohmeyer & Mohsin Habib & Manfred Perlitz, 2010. "Corruption and Entrepreneurship: How Formal and Informal Institutions Shape Small Firm Behavior in Transition and Mature Market Economies," Entrepreneurship Theory and Practice, , vol. 34(5), pages 803-832, September.
    4. John Mukum Mbaku, 1996. "Bureaucratic Corruption in Africa: The Futility of Cleanups," Cato Journal, Cato Journal, Cato Institute, vol. 16(1), pages 99-118, Spring/Su.
    5. Jakob Svensson, 2005. "Eight Questions about Corruption," Journal of Economic Perspectives, American Economic Association, vol. 19(3), pages 19-42, Summer.
    6. Lorenzo Pellegrini, 2011. "Corruption, Development and the Environment," Springer Books, Springer, number 978-94-007-0599-9, September.
    7. Morten Bennedsen & Sven E. Feldmann & David Dreyer Lassen, 2009. "Strong Firms Lobby, Weak Firms Bribe: A survey-based analysis of the demand for influence and corruption," EPRU Working Paper Series 2009-08, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marcus Box & Karl Gratzer & Xiang Lin, 2023. "Self-employment, corruption, and property rights: a comparative analysis of European and CEE economies," SN Business & Economics, Springer, vol. 3(1), pages 1-29, January.
    2. Michael Breen & Robert Gillanders & Gemma Mcnulty & Akisato Suzuki, 2017. "Gender and Corruption in Business," Journal of Development Studies, Taylor & Francis Journals, vol. 53(9), pages 1486-1501, September.
    3. Bassetti, Thomas & Dal Maso, Lorenzo & Lattanzi, Nicola, 2015. "Family businesses in Eastern European countries: How informal payments affect exports," Journal of Family Business Strategy, Elsevier, vol. 6(4), pages 219-233.
    4. Mohammad Amin & Yew Chong Soh, 2022. "Financial constraints and the impact of corruption on employment growth," Journal of International Development, John Wiley & Sons, Ltd., vol. 34(3), pages 612-635, April.
    5. Choudhury, Sanchari, 2019. "WTO membership and corruption," European Journal of Political Economy, Elsevier, vol. 60(C).
    6. Nam Pham Xuan & Thanh Ha Le, 2023. "Bribery and firm survival in Vietnam: Moderating effects of market competition, credit, and institutional constraints," Review of Development Economics, Wiley Blackwell, vol. 27(2), pages 1242-1269, May.
    7. Thuy Dieu Nguyen, 2020. "Does firm growth increase corruption? Evidence from an instrumental variable approach," Small Business Economics, Springer, vol. 55(1), pages 237-256, June.
    8. Marwa Sallemi & Salah Ben Hamad & Nejla Ould Daoud Ellili, 2023. "Executive compensation and bank’s stability: which role of the corruption control? An empirical evidence from OECD banks," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 27(2), pages 457-477, June.
    9. Pieroni, Luca & d'Agostino, Giorgio & Bartolucci, Francesco, 2013. "Identifying corruption through latent class models: evidence from transition economies," MPRA Paper 43981, University Library of Munich, Germany.
    10. Amin,Mohammad & Soh,Yew Chong, 2020. "Does Corruption Hurt Employment Growth of Financially Constrained Firms More ?," Policy Research Working Paper Series 9286, The World Bank.
    11. Diaby, Aboubacar & Sylwester, Kevin, 2014. "Bureaucratic competition and public corruption: Evidence from transition countries," European Journal of Political Economy, Elsevier, vol. 35(C), pages 75-87.
    12. Halil D. Kaya & Engku Ngah S. Engkuchik, 2021. "The Impact Of The 2008-2009 Global Crisis On Corruption: Evidence From Manufacturers In Central Asia And Eastern Europe," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 3, pages 4-14, June.
    13. Dean A. Shepherd & Vinit Parida & Joakim Wincent, 2021. "Bribery from a micro, demand-side perspective," Small Business Economics, Springer, vol. 57(4), pages 1661-1680, December.
    14. repec:ekd:006356:6689 is not listed on IDEAS
    15. Nur-tegin, Kanybek & Jakee, Keith, 2020. "Does corruption grease or sand the wheels of development? New results based on disaggregated data," The Quarterly Review of Economics and Finance, Elsevier, vol. 75(C), pages 19-30.
    16. Tian, Ni & Zhang, Zongyi, 2018. "How do anticorruption measures affect executive incentive?," Finance Research Letters, Elsevier, vol. 24(C), pages 179-185.
    17. Aristidis Bitzenis & Vasileios Vlachos & Friedrich Schneider, 2016. "An Exploration of the Greek Shadow Economy: Can Its Transfer into the Official Economy Provide Economic Relief Amid the Crisis?," Journal of Economic Issues, Taylor & Francis Journals, vol. 50(1), pages 165-196, January.
    18. Lurdes Martins & Jorge Cerdeira & Aurora A.C. Teixeira, 2020. "Does corruption boost or harm firms’ performance in developing and emerging economies? A firm‐level study," The World Economy, Wiley Blackwell, vol. 43(8), pages 2119-2152, August.
    19. Colin C. Williams & Brunilda Kosta, 2019. "Evaluating Institutional Theories Of Informal Sector Entrepreneurship: Some Lessons From Albania," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 24(02), pages 1-17, June.
    20. Diana Escandon-Barbosa & David Urbano-Pulido & Andrea Hurtado-Ayala, 2019. "Exploring the Relationship between Formal and Informal Institutions, Social Capital, and Entrepreneurial Activity in Developing and Developed Countries," Sustainability, MDPI, vol. 11(2), pages 1-20, January.
    21. Auer Daniel & Tjaden Jasper & Römer Friederike, 2020. "Corruption and the Desire to Leave Quasi-Experimental Evidence on Corruption as a Driver of Emigration Intentions," IZA Journal of Development and Migration, Sciendo & Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 11(1), pages 1-31, January.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cbu:jrnlec:y:2023:v:5:p:99-104. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ecobici Nicolae (email available below). General contact details of provider: https://edirc.repec.org/data/fetgjro.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.