Corruption and firm performance

Corruption is a curse in Pakistan, neither public office nor any structure immune from this phenomenon. Inspired by this, the study commits to examine two significant research issues. First assesses find whether corruption greases wheel or sanding it. Second, determine what causes firms. This based on World Bank's enterprise survey, data of Pakistani tries associate effects firm performance after controlling for specific factors. We check sets variables; first set variables that cover characteristics and other variable intervention with government agencies. The overall conclusion depicts mixed approach effects. Our evidence shows there negative association which supports hypothesis ‘sand wheels’ widely applicable Pakistan. results conclude younger firms, directly exporting large size firms are more likely experience deteriorating effect their performance. interestingly bureaucratic complexities faced increases ‘Grease wheels’. Study finds struggling terms sales growth, growing competition, pay bribes.