Should one hire a corrupt CEO in a corrupt country?

• 成果类型: Article
• 署名作者: Mironov, Maxim
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2014.03.002
• 发表日期: 2015
• 页码: 29-42
• 关键词: corruption; Tax evasion; ceo; firm performance

摘要

This paper examines the interaction between the propensity to corrupt (PTC) and firm performance. Using a unique data set of Moscow traffic violations, I construct the PTC of every Muscovite with a driver's license. Next, I determine the PTC for the top management of 58,157 privately held firms. I find that a 1 standard deviation increase in management PTC corresponds to a 3.6% increase in income diversion and that firms with corrupt management significantly outperform their counterparts. This study contributes to the literature that characterizes corruption using objective (instead of perception-based) measures and provides evidence regarding the positive aspects of corruption at the firm level. (C) 2014 Elsevier B.V. All rights reserved.