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Politicians doing business: Evidence from Mozambique

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  • Sam Jones
  • Felix Schilling
  • Finn Tarp

Abstract

We link a new database of politically exposed persons with the complete register of firms established in Mozambique since Independence. Focusing on the network of connections between firm owners, we use a generalized event study analysis to show that holders of political office achieve significant gains in the number of companies owned and their structural power (centrality) within the business-owner network. These gains are concentrated in joint-stock firms active in provision of business services, and our results persist when we aggregate the data to the family-level.

Suggested Citation

  • Sam Jones & Felix Schilling & Finn Tarp, 2025. "Politicians doing business: Evidence from Mozambique," WIDER Working Paper Series wp-2025-47, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2025-47
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    Keywords

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    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • G30 - Financial Economics - - Corporate Finance and Governance - - - General
    • G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation

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