Business Environment and the Incorporation Decision
Using firm-level data from 52 countries, the authors investigate how a country's institutions and business environment affect firms' organizational choices and the effects of organizational form on access to finance and growth. They find...
| Main Authors: | , , |
|---|---|
| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, D.C.
2013
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2004/05/4973387/business-environment-incorporation-decision http://hdl.handle.net/10986/14021 |
| id |
okr-10986-14021 |
|---|---|
| recordtype |
oai_dc |
| spelling |
okr-10986-140212021-04-23T14:03:21Z Business Environment and the Incorporation Decision Demirguc-Kunt, Asli Love, Inessa Maksimovic, Vojislav ACTIONS ADVERSE SELECTION AGRICULTURE BANKRUPTCY BUSINESS ENVIRONMENT CHARTER CIVIL LAW COMMON LAW COMPARATIVE ADVANTAGE COMPETITORS CORPORATE OWNERSHIP CORPORATION CORPORATIONS CORRUPTION DAMAGES DEBT DIVIDENDS ECONOMIC DEVELOPMENT ENTREPRENEURS EQUALITY FINANCIAL INSTITUTIONS FIRM SIZE FIRMS FOREIGN PARTNERS GDP GDP PER CAPITA GOVERNMENT REGULATIONS GROWTH RATE INCOME INCOME TAXES INEFFICIENCY JOINT STOCK COMPANIES LAWS LAWYERS LEGAL DEVELOPMENT LEGAL FORMS LEGAL FRAMEWORK LEGAL STATUS LEGAL SYSTEMS MEDIUM ENTERPRISES ORGANIZATIONAL FORM ORGANIZATIONAL STRUCTURE PER CAPITA INCOME PROPERTY RIGHTS PROPRIETORSHIP REGULATORY BURDENS SHAREHOLDERS SMALL BUSINESSES SMALL FIRMS SOLE PROPRIETORSHIPS TAXATION TRANSACTIONS COSTS TRUSTS WEALTH BANKING REGULATIONS BANKRUPTCY PROCEDURES BUSINESS ENVIRONMENT CORPORATE FINANCE CORPORATE GOVERNANCE CORPORATE OWNERSHIP CORPORATE TAX RATE CORPORATIONS EXTERNAL FINANCING FINANCE RESEARCH FINANCIAL DEVELOPMENT FINANCIAL MARKETS FINANCIAL SECTOR FINANCIAL SYSTEM FIRM SIZE FIRMS FOREIGN OWNERSHIP INDUSTRIAL ECONOMICS INFLATION INVESTMENT FUNDS INVESTOR PROTECTION JOINT STOCK COMPANIES LEGAL SYSTEMS LIMITATION OF LIABILITY ORGANIZATIONAL STRUCTURE POLITICAL ECONOMY PROPERTY RIGHTS PROPRIETORSHIP REGULATORY BURDENS SECURITIES SHAREHOLDERS SMALL FIRMS SOLE PROPRIETORSHIPS STOCK COMPANIES TAX SYSTEM Using firm-level data from 52 countries, the authors investigate how a country's institutions and business environment affect firms' organizational choices and the effects of organizational form on access to finance and growth. They find that businesses are more likely to choose the corporate form in countries with developed financial sectors and efficient legal systems, strong shareholder and creditor rights, low regulatory burdens and corporate taxes, and efficient bankruptcy processes. Corporations report fewer financing, legal, and regulatory obstacles than unincorporated firms, and this advantage is greater in countries with more developed institutions and favorable business environments. The authors find some evidence of higher growth of incorporated businesses in countries with good financial and legal institutions. 2013-06-19T18:38:43Z 2013-06-19T18:38:43Z 2004-05 http://documents.worldbank.org/curated/en/2004/05/4973387/business-environment-incorporation-decision http://hdl.handle.net/10986/14021 English en_US Policy Research Working Paper;No.3317 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, D.C. Publications & Research :: Policy Research Working Paper Publications & Research |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACTIONS ADVERSE SELECTION AGRICULTURE BANKRUPTCY BUSINESS ENVIRONMENT CHARTER CIVIL LAW COMMON LAW COMPARATIVE ADVANTAGE COMPETITORS CORPORATE OWNERSHIP CORPORATION CORPORATIONS CORRUPTION DAMAGES DEBT DIVIDENDS ECONOMIC DEVELOPMENT ENTREPRENEURS EQUALITY FINANCIAL INSTITUTIONS FIRM SIZE FIRMS FOREIGN PARTNERS GDP GDP PER CAPITA GOVERNMENT REGULATIONS GROWTH RATE INCOME INCOME TAXES INEFFICIENCY JOINT STOCK COMPANIES LAWS LAWYERS LEGAL DEVELOPMENT LEGAL FORMS LEGAL FRAMEWORK LEGAL STATUS LEGAL SYSTEMS MEDIUM ENTERPRISES ORGANIZATIONAL FORM ORGANIZATIONAL STRUCTURE PER CAPITA INCOME PROPERTY RIGHTS PROPRIETORSHIP REGULATORY BURDENS SHAREHOLDERS SMALL BUSINESSES SMALL FIRMS SOLE PROPRIETORSHIPS TAXATION TRANSACTIONS COSTS TRUSTS WEALTH BANKING REGULATIONS BANKRUPTCY PROCEDURES BUSINESS ENVIRONMENT CORPORATE FINANCE CORPORATE GOVERNANCE CORPORATE OWNERSHIP CORPORATE TAX RATE CORPORATIONS EXTERNAL FINANCING FINANCE RESEARCH FINANCIAL DEVELOPMENT FINANCIAL MARKETS FINANCIAL SECTOR FINANCIAL SYSTEM FIRM SIZE FIRMS FOREIGN OWNERSHIP INDUSTRIAL ECONOMICS INFLATION INVESTMENT FUNDS INVESTOR PROTECTION JOINT STOCK COMPANIES LEGAL SYSTEMS LIMITATION OF LIABILITY ORGANIZATIONAL STRUCTURE POLITICAL ECONOMY PROPERTY RIGHTS PROPRIETORSHIP REGULATORY BURDENS SECURITIES SHAREHOLDERS SMALL FIRMS SOLE PROPRIETORSHIPS STOCK COMPANIES TAX SYSTEM |
| spellingShingle |
ACTIONS ADVERSE SELECTION AGRICULTURE BANKRUPTCY BUSINESS ENVIRONMENT CHARTER CIVIL LAW COMMON LAW COMPARATIVE ADVANTAGE COMPETITORS CORPORATE OWNERSHIP CORPORATION CORPORATIONS CORRUPTION DAMAGES DEBT DIVIDENDS ECONOMIC DEVELOPMENT ENTREPRENEURS EQUALITY FINANCIAL INSTITUTIONS FIRM SIZE FIRMS FOREIGN PARTNERS GDP GDP PER CAPITA GOVERNMENT REGULATIONS GROWTH RATE INCOME INCOME TAXES INEFFICIENCY JOINT STOCK COMPANIES LAWS LAWYERS LEGAL DEVELOPMENT LEGAL FORMS LEGAL FRAMEWORK LEGAL STATUS LEGAL SYSTEMS MEDIUM ENTERPRISES ORGANIZATIONAL FORM ORGANIZATIONAL STRUCTURE PER CAPITA INCOME PROPERTY RIGHTS PROPRIETORSHIP REGULATORY BURDENS SHAREHOLDERS SMALL BUSINESSES SMALL FIRMS SOLE PROPRIETORSHIPS TAXATION TRANSACTIONS COSTS TRUSTS WEALTH BANKING REGULATIONS BANKRUPTCY PROCEDURES BUSINESS ENVIRONMENT CORPORATE FINANCE CORPORATE GOVERNANCE CORPORATE OWNERSHIP CORPORATE TAX RATE CORPORATIONS EXTERNAL FINANCING FINANCE RESEARCH FINANCIAL DEVELOPMENT FINANCIAL MARKETS FINANCIAL SECTOR FINANCIAL SYSTEM FIRM SIZE FIRMS FOREIGN OWNERSHIP INDUSTRIAL ECONOMICS INFLATION INVESTMENT FUNDS INVESTOR PROTECTION JOINT STOCK COMPANIES LEGAL SYSTEMS LIMITATION OF LIABILITY ORGANIZATIONAL STRUCTURE POLITICAL ECONOMY PROPERTY RIGHTS PROPRIETORSHIP REGULATORY BURDENS SECURITIES SHAREHOLDERS SMALL FIRMS SOLE PROPRIETORSHIPS STOCK COMPANIES TAX SYSTEM Demirguc-Kunt, Asli Love, Inessa Maksimovic, Vojislav Business Environment and the Incorporation Decision |
| relation |
Policy Research Working Paper;No.3317 |
| description |
Using firm-level data from 52 countries,
the authors investigate how a country's institutions
and business environment affect firms' organizational
choices and the effects of organizational form on access to
finance and growth. They find that businesses are more
likely to choose the corporate form in countries with
developed financial sectors and efficient legal systems,
strong shareholder and creditor rights, low regulatory
burdens and corporate taxes, and efficient bankruptcy
processes. Corporations report fewer financing, legal, and
regulatory obstacles than unincorporated firms, and this
advantage is greater in countries with more developed
institutions and favorable business environments. The
authors find some evidence of higher growth of incorporated
businesses in countries with good financial and legal institutions. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Demirguc-Kunt, Asli Love, Inessa Maksimovic, Vojislav |
| author_facet |
Demirguc-Kunt, Asli Love, Inessa Maksimovic, Vojislav |
| author_sort |
Demirguc-Kunt, Asli |
| title |
Business Environment and the Incorporation Decision |
| title_short |
Business Environment and the Incorporation Decision |
| title_full |
Business Environment and the Incorporation Decision |
| title_fullStr |
Business Environment and the Incorporation Decision |
| title_full_unstemmed |
Business Environment and the Incorporation Decision |
| title_sort |
business environment and the incorporation decision |
| publisher |
World Bank, Washington, D.C. |
| publishDate |
2013 |
| url |
http://documents.worldbank.org/curated/en/2004/05/4973387/business-environment-incorporation-decision http://hdl.handle.net/10986/14021 |
| _version_ |
1764430371031613440 |