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Enterprise creation & anti-commons in developing economies: evidence from World Bank doing business data

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  • Driouchi, Ahmed
  • Malki, Karim

Abstract

This paper looks at the tragedy of anti-commons and its implications on enterprise creation in developing economies. The most important features of the anti-commons are captured under a simplified theoretical economic model. The empirical part uses the data from “Doing Business” of the World Bank, to test for the high costs implied by scattered and fragmented decisions related to enterprise creation in developing economies. The attained results show the prevalence of anti-commons in relation to the development of new enterprises in developing economies relative to more developed countries. This points out how anti-commons can limit development and market economies through reducing business and enterprise creation and expansion. Awareness and development of appropriate remedies to anti-commons are among the means to ensure higher economic and social achievements.

Suggested Citation

  • Driouchi, Ahmed & Malki, Karim, 2011. "Enterprise creation & anti-commons in developing economies: evidence from World Bank doing business data," MPRA Paper 32373, University Library of Munich, Germany, revised 22 Jul 2011.
    • Handle: RePEc:pra:mprapa:32373
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    References listed on IDEAS

    as
    1. Manuel Coelho & José Filipe & Manuel Ferreira, 2009. "Tragedies on Natural Resources a Commons and Anticommons Approach," Working Papers Department of Economics 2009/21, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    2. Simeon Djankov & Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer, 2002. "The Regulation of Entry," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 117(1), pages 1-37.
    3. Francesco Parisi & Norbert Schulz & Ben Depoorter, 2004. "Simultaneous and Sequential Anticommons," European Journal of Law and Economics, Springer, vol. 17(2), pages 175-190, March.
    4. Jean-Jacques Dethier & Maximilian Hirn & Stéphane Straub, 2011. "Explaining Enterprise Performance in Developing Countries with Business Climate Survey Data," The World Bank Research Observer, World Bank, vol. 26(2), pages 258-309, August.
    5. Buchanan, James M & Yoon, Yong J, 2000. "Symmetric Tragedies: Commons and Anticommons," Journal of Law and Economics, University of Chicago Press, vol. 43(1), pages 1-13, April.
    6. Edella Schlager & Elinor Ostrom, 1992. "Property-Rights Regimes and Natural Resources: A Conceptual Analysis," Land Economics, University of Wisconsin Press, vol. 68(3), pages 249-262.
    7. Theodore C. Bergstrom, 2010. "The Uncommon Insight of Elinor Ostrom," Scandinavian Journal of Economics, Wiley Blackwell, vol. 112(2), pages 245-261, June.
    8. Robert O’brien, 2007. "A Caution Regarding Rules of Thumb for Variance Inflation Factors," Quality & Quantity: International Journal of Methodology, Springer, vol. 41(5), pages 673-690, October.
    9. Alfredo Canavese, 2004. "Commons, anti-commons, corruption and 'maffia' behavior," Law and Economics 0411002, University Library of Munich, Germany.
    10. Djankov, Simeon, 2008. "The Regulation of Entry: A Survey," CEPR Discussion Papers 7080, C.E.P.R. Discussion Papers.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Driouchi, Ahmed & Gamar, Alae, 2014. "Hofstede’s Cultural Indicators, Knowledge Economy and Entrepreneurship in Arab Countries," MPRA Paper 58731, University Library of Munich, Germany.
    2. Driouchi, Ahmed & Harkat, Tahar, 2017. "An Empirical Descriptive Analysis of the Factors underlying the Role of Younger Generations in Economic, Social & Political Changes in Arab Countries," MPRA Paper 77216, University Library of Munich, Germany.
    3. Azaguagh, Ismail & Driouchi, Ahmed, 2018. "Understanding Commons and Anticommons in different economic contexts," MPRA Paper 116621, University Library of Munich, Germany.

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    More about this item

    Keywords

    Anti-commons; Enterprise Creation; Licensing and Costs;
    All these keywords.

    JEL classification:

    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection

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