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Economic growth and crime against business in developing economies

By Nguyen Quoc Khanh (VNP 23)

Supervisor: Dr. Pham Thi Bich Ngoc

Abstract

This study examines the correlation between economic growth and crime against business in 106 developing economies between 2006 and 2017. The finding of this study is economic growth has negative relationship with crime against business on all firm sizes. Crime against business on larger firms is more sensitive to economic growth than on smaller firms. Income has negative correlation with crime against business on medium firms. In addition, unemployment positively relates to crime against business on all firm sizes. Besides, control of corruption has negative association with corruption and other related crimes thus increasing control of corruption leads to decreasing crime against business but this effect is not available in medium firms. Finally, only firm level factor employees training programs can help small firms to lower crimes inside themselves. These findings imply that almost crimes against businesses come from outside of firms instead of inside and crimes against larger firms are affected by external factors stronger than smaller firms.

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