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Quality of institutions and productivity of State-Invested Enterprises: International evidence from major telecom companies

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  • Castelnovo, Paolo
  • Del Bo, Chiara F.
  • Florio, Massimo

Abstract

The quality of institutions is at the core of the differences in the growth of income and productivity of nations. A growing body of evidence shows how this is also true at the firm level. After taking stock of earlier theoretical and empirical literature on the efficiency of state-owned versus private enterprises, while we consider ownership as the core internal governance mechanism of firms, we add quality of government as a determinant of the external institutional environment. To disentangle the effect of internal and external institutions on firms' productivity, we use different sets of ownership and institutional environment indicators.

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  • Castelnovo, Paolo & Del Bo, Chiara F. & Florio, Massimo, 2019. "Quality of institutions and productivity of State-Invested Enterprises: International evidence from major telecom companies," European Journal of Political Economy, Elsevier, vol. 58(C), pages 102-117.
  • Handle: RePEc:eee:poleco:v:58:y:2019:i:c:p:102-117
    DOI: 10.1016/j.ejpoleco.2018.10.005
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