Macher presents "Formal Versus Informal Channels: How Firm Size Affects Corporate Political Activities"
Jeff Macher presented a working paper entitled, "Formal Versus Informal Channels: How Firm Size Affects Corporate Political Activities" in the strategy departmental seminar at George Washington University School of Business. This paper undertakes a systematic analysis of the approaches and determinants of firms’ corporate political activities. The empirical results suggest that large firms are more likely to utilize lobbying, whereas small firms are more likely to utilize bribes for seeking policymaking influence. These nonmarket approaches are conditioned, however, by the extent of competition in the market environment and the consistency and predictability of procedures in the regulatory environment in which firms operate in. This paper is co-authored with John Mayo and Stephen Weymouth.