Host Country’s Governance and the Size of Foreign Investors
This paper tests whether smaller foreign investors are more sensitive to the quality of host country’s governance than larger investors. This may be the case as smaller foreign firms have less bargaining power, undertake more innovative activities and/or are more sensitive to uncertainty and risk. The results lend support to the hypothesis.
|Date of creation:||May 2007|
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- Shang-Jin Wei, 1997.
"How Taxing is Corruption on International Investors?,"
NBER Working Papers
6030, National Bureau of Economic Research, Inc.
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- Jakob Svensson, 2003.
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The Quarterly Journal of Economics,
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- Svensson, Jakob, 2002. "Who Must Pay Bribes and How Much? Evidence from a cross-section of firms," Seminar Papers 713, Stockholm University, Institute for International Economic Studies.
- Shang-Jin Wei, 2000. "Local Corruption and Global Capital Flows," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 31(2), pages 303-354.
- Thorsten Beck & Asli Demirgüç-Kunt, 2004.
"SMEs, Growth, and Poverty,"
World Bank Other Operational Studies
11278, The World Bank.
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