This paper combines different strands of the productivity literature to investigate the effect of idiosyncratic (firm …-country differences in key economic outcomes, such as productivity or output per capita, to differences in policies and institutions that … determinants of productivity at the firm-level and the evolution of the distribution of productivity across firms within each …

corruption on productivity. Corruption is defined as a “bribe tax” and is compared to another form of institutional inefficiency … their effects in the full sample, only the bribe tax appears to have a negative effect on firm-level productivity, while the … taxes, implying that bribing does not emerge as a second-best option to achieve higher productivity by helping circumvent …