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Good Governance and Doing Business: Evidence from a Cross-Country Survey

Transylvanian Review of Administrative Sciences

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Title Good Governance and Doing Business: Evidence from a Cross-Country Survey
 
Creator BOŢA-AVRAM, Cristina; Lecturer, Department of Accounting and Audit,
Faculty of Economics and Business Administration,
Babeş-Bolyai University, Cluj-Napoca, Romania
 
Subject governance; ease of doing business; government effectiveness; regulatory quality; rule of law; control of corruption.
 
Description The aim of this cross-country empirical analysis is to investigate the relationship between good governance, measured through six clusters of governance developed by the World Bank, and the quality of business environment, captured through the ranking on the ease of doing business, also assessed by the World Bank. This paper analyzes the influence of governance indicators on the ease of doing business using a classification of economies of all countries with population of more than 30,000 citizens, divided on income groups such as low income, lower middle income, upper middle income, high income non-OECD and high income OECD. The findings show the significant influence of some governance indicators such as ‘government effectiveness’ or ‘regulatory quality’ on the ease of doing business, for all countries, while ‘the rule of law’ and ‘control of corruption’ are very determining factors for the business environment especially for countries classified in high income categories. Moreover, this paper could represent an argument for the relevance of governance quality for the ease of doing business, highlighting the necessity to pay enough attention to ensuring good governance in order to provide effective development outcomes.
 
Publisher Babes Bolyai University
 
Contributor This paper was supported by the European Social Fund through the Sectorial Operational Programme Human Resources Development 2007-2013, research project POSDRU/89/1.5/S/59184 ‘Performance and excellence in postdoctoral research within the fi eld of econom
 
Date 2014-02-01
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://rtsa.ro/tras/index.php/tras/article/view/153
 
Source Transylvanian Review of Administrative Sciences; 2014: Issue No. 41 E/February; 27-45
18422845
 
Language eng
 
Relation http://rtsa.ro/tras/index.php/tras/article/view/153/149
 
Rights Copyright (c) 2014 Transylvanian Review of Administrative Sciences