Business Regulations and Growth
Over the past decade, there has been increased interest in improving business regulations, in part because of the increased availability of data that can inform and monitor those improvements. This paper analyzes whether these regulatory changes ar...
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| Format: | Working Paper |
| Language: | English en_US |
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World Bank, Washington, DC
2015
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| Online Access: | http://documents.worldbank.org/curated/en/2015/06/24604146/business-regulations-growth http://hdl.handle.net/10986/22172 |
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okr-10986-221722021-04-23T14:04:07Z Business Regulations and Growth Divanbeigi, Raian Ramalho, Rita EXPENDITURE TRANSACTIONS RESOURCES DEREGULATION TRANSACTION AVAILABILITY OF DATA REGULATORY FRAMEWORK CONSUMPTION ACCOUNTING REGISTRIES INTERNATIONAL TRADE BUSINESS INDICATOR ECONOMIC OUTCOMES RESULTS FINANCIAL CRISIS INCOME VALUE BUYER BUSINESS TAXES FOREIGN DIRECT INVESTMENT BUSINESS CREATION CREDIT MACROECONOMICS REAL GDP GDP PER CAPITA LIQUIDITY INFORMATION EXPORTS POLITICAL ECONOMY EXPENDITURES COST DISTRIBUTION BUSINESS INDICATORS VARIABLES PRIVATE SECTOR QUALITY PAYMENTS BANKRUPTCY ECONOMICS OPEN ACCESS RESULT ECONOMIC DEVELOPMENT DEVELOPMENT TRADE LICENSE FEES INSTITUTIONS LINK GDP DATA GOODS THEORY INFLUENCE LICENSES GROWTH RATE BUSINESS REGULATION INVESTMENT BUSINESSES BUSINESS DEVELOPMENT ECONOMICS PERFORMANCE INSPECTIONS BUSINESS ENVIRONMENT COMMERCIAL BUSINESS LICENSE LOGISTICS CUSTOMS BUSINESS SYSTEM PRODUCTIVITY CORPORATE FINANCE CERTIFICATES ECONOMETRIC MODELS PROFIT REGULATORY SYSTEM ACCOUNTS COMMUNICATION DEBT BUSINESS REGULATIONS FINANCIAL RISK WEB LINKS BUSINESS CYCLE PRIVATE SECTOR DEVELOPMENT DATABASE OUTCOMES BUSINESS ENTRY NATURAL RESOURCES BUSINESS REGISTRATION ACCOUNT USES PERFORMANCES ECONOMIC RISK TAXES GOVERNMENT SERVICES DEVELOPMENT POLICY Over the past decade, there has been increased interest in improving business regulations, in part because of the increased availability of data that can inform and monitor those improvements. This paper analyzes whether these regulatory changes are linked to economic outcomes. With panel data for 10 years across more than 180 countries, the paper establishes the link between business regulations, firm creation, and growth. It is found that an improvement of 10 points in the overall measure of business regulations is linked to an increase of around 0.5 new businesses per 1,000 adults. Moreover, the results show that although small changes in the overall level of business regulations may have a negligible link to growth, moving from the lowest quartile of improvement in business regulations to the highest quartile is associated with a significant increase in annual per capita growth of around 0.8 percentage points. In addition, the results highlight the importance of sound entry and exit regulations and sound credit market regulations and court enforcement for growth. 2015-07-16T15:04:21Z 2015-07-16T15:04:21Z 2015-06 Working Paper http://documents.worldbank.org/curated/en/2015/06/24604146/business-regulations-growth http://hdl.handle.net/10986/22172 English en_US Policy Research Working Paper;No. 7299 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper |
| 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 |
EXPENDITURE TRANSACTIONS RESOURCES DEREGULATION TRANSACTION AVAILABILITY OF DATA REGULATORY FRAMEWORK CONSUMPTION ACCOUNTING REGISTRIES INTERNATIONAL TRADE BUSINESS INDICATOR ECONOMIC OUTCOMES RESULTS FINANCIAL CRISIS INCOME VALUE BUYER BUSINESS TAXES FOREIGN DIRECT INVESTMENT BUSINESS CREATION CREDIT MACROECONOMICS REAL GDP GDP PER CAPITA LIQUIDITY INFORMATION EXPORTS POLITICAL ECONOMY EXPENDITURES COST DISTRIBUTION BUSINESS INDICATORS VARIABLES PRIVATE SECTOR QUALITY PAYMENTS BANKRUPTCY ECONOMICS OPEN ACCESS RESULT ECONOMIC DEVELOPMENT DEVELOPMENT TRADE LICENSE FEES INSTITUTIONS LINK GDP DATA GOODS THEORY INFLUENCE LICENSES GROWTH RATE BUSINESS REGULATION INVESTMENT BUSINESSES BUSINESS DEVELOPMENT ECONOMICS PERFORMANCE INSPECTIONS BUSINESS ENVIRONMENT COMMERCIAL BUSINESS LICENSE LOGISTICS CUSTOMS BUSINESS SYSTEM PRODUCTIVITY CORPORATE FINANCE CERTIFICATES ECONOMETRIC MODELS PROFIT REGULATORY SYSTEM ACCOUNTS COMMUNICATION DEBT BUSINESS REGULATIONS FINANCIAL RISK WEB LINKS BUSINESS CYCLE PRIVATE SECTOR DEVELOPMENT DATABASE OUTCOMES BUSINESS ENTRY NATURAL RESOURCES BUSINESS REGISTRATION ACCOUNT USES PERFORMANCES ECONOMIC RISK TAXES GOVERNMENT SERVICES DEVELOPMENT POLICY |
| spellingShingle |
EXPENDITURE TRANSACTIONS RESOURCES DEREGULATION TRANSACTION AVAILABILITY OF DATA REGULATORY FRAMEWORK CONSUMPTION ACCOUNTING REGISTRIES INTERNATIONAL TRADE BUSINESS INDICATOR ECONOMIC OUTCOMES RESULTS FINANCIAL CRISIS INCOME VALUE BUYER BUSINESS TAXES FOREIGN DIRECT INVESTMENT BUSINESS CREATION CREDIT MACROECONOMICS REAL GDP GDP PER CAPITA LIQUIDITY INFORMATION EXPORTS POLITICAL ECONOMY EXPENDITURES COST DISTRIBUTION BUSINESS INDICATORS VARIABLES PRIVATE SECTOR QUALITY PAYMENTS BANKRUPTCY ECONOMICS OPEN ACCESS RESULT ECONOMIC DEVELOPMENT DEVELOPMENT TRADE LICENSE FEES INSTITUTIONS LINK GDP DATA GOODS THEORY INFLUENCE LICENSES GROWTH RATE BUSINESS REGULATION INVESTMENT BUSINESSES BUSINESS DEVELOPMENT ECONOMICS PERFORMANCE INSPECTIONS BUSINESS ENVIRONMENT COMMERCIAL BUSINESS LICENSE LOGISTICS CUSTOMS BUSINESS SYSTEM PRODUCTIVITY CORPORATE FINANCE CERTIFICATES ECONOMETRIC MODELS PROFIT REGULATORY SYSTEM ACCOUNTS COMMUNICATION DEBT BUSINESS REGULATIONS FINANCIAL RISK WEB LINKS BUSINESS CYCLE PRIVATE SECTOR DEVELOPMENT DATABASE OUTCOMES BUSINESS ENTRY NATURAL RESOURCES BUSINESS REGISTRATION ACCOUNT USES PERFORMANCES ECONOMIC RISK TAXES GOVERNMENT SERVICES DEVELOPMENT POLICY Divanbeigi, Raian Ramalho, Rita Business Regulations and Growth |
| relation |
Policy Research Working Paper;No. 7299 |
| description |
Over the past decade, there has been
increased interest in improving business regulations, in
part because of the increased availability of data that can
inform and monitor those improvements. This paper analyzes
whether these regulatory changes are linked to economic
outcomes. With panel data for 10 years across more than 180
countries, the paper establishes the link between business
regulations, firm creation, and growth. It is found that an
improvement of 10 points in the overall measure of business
regulations is linked to an increase of around 0.5 new
businesses per 1,000 adults. Moreover, the results show that
although small changes in the overall level of business
regulations may have a negligible link to growth, moving
from the lowest quartile of improvement in business
regulations to the highest quartile is associated with a
significant increase in annual per capita growth of around
0.8 percentage points. In addition, the results highlight
the importance of sound entry and exit regulations and sound
credit market regulations and court enforcement for growth. |
| format |
Working Paper |
| author |
Divanbeigi, Raian Ramalho, Rita |
| author_facet |
Divanbeigi, Raian Ramalho, Rita |
| author_sort |
Divanbeigi, Raian |
| title |
Business Regulations and Growth |
| title_short |
Business Regulations and Growth |
| title_full |
Business Regulations and Growth |
| title_fullStr |
Business Regulations and Growth |
| title_full_unstemmed |
Business Regulations and Growth |
| title_sort |
business regulations and growth |
| publisher |
World Bank, Washington, DC |
| publishDate |
2015 |
| url |
http://documents.worldbank.org/curated/en/2015/06/24604146/business-regulations-growth http://hdl.handle.net/10986/22172 |
| _version_ |
1764450345257271296 |