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Firms' Behaviour in Rough Environments

Project description

The effects of organised crime and inefficient public procurement

Organised crime and inefficient public procurement affect a firm’s behaviour causing economic and welfare losses. While the effects of these distortions on production are explored, there is still limited research examining the specific sources of market distortions. The EU-funded FIBRE project will examine organised crime and inefficient public procurement to firms as possible sources of market distortions. The project will answer two questions: How does the infiltration of organised crime affect firms’ behaviour and form aggregate outcomes? Is the efficiency of a public resource a factor that can impact firms’ behaviour and, consequently, imply aggregate costs?

Objective

FIBRE Project (FIrms Behaviour in Rough Environments) aims to analyse how firms optimal behaviour changes in contexts affected by distortions related to the presence of organised crime or inefficient public procurement, and to measure the resulting welfare losses. How firm activity matters for long-rung growth and prosperity and the importance of the allocation of productive resources across firms as crucial determinant of aggregate output and productivity are topics that have been widely explored in the economic literature. Yet, there is still limited research examining the specific sources of market distortions. FIBRE aims to fill this gap examining two possible sources of market distortions: organised crime and inefficient public procurement to firms. FIBRE answers two crucial questions: (i) how the infiltration of organised crime impact firms behaviour and, in turn, shape aggregate outcomes; (ii) whether the efficiency through which a public resource is provided impacts firms behaviour and, consequently, implies aggregate costs. Answering these questions is of key importance for national and transnational policy makers in their efforts to guarantee a stable economic growth.
FIBRE is grounded on my competence in analysing theoretically and empirically firms behaviour in hostile environments, combining reduced-form analysis and structural econometrics tools, and the expertise of my host supervisor at the Bocconis research unit CLEAN on the economic effects of organised crime. This Fellowship will strengthen my research skills, reinforcing my professional maturity as senior assistant professor and external consultant. FIBRE will create high-quality new knowledge on the economic consequences of organised crime and inefficient public procurement systems, in line with the most recent EU initiatives.

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Topic(s)

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Funding Scheme

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HORIZON-TMA-MSCA-PF-EF - HORIZON TMA MSCA Postdoctoral Fellowships - European Fellowships

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Call for proposal

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(opens in new window) HORIZON-MSCA-2021-PF-01

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Coordinator

UNIVERSITA COMMERCIALE LUIGI BOCCONI
Net EU contribution

Net EU financial contribution. The sum of money that the participant receives, deducted by the EU contribution to its linked third party. It considers the distribution of the EU financial contribution between direct beneficiaries of the project and other types of participants, like third-party participants.

€ 188 590,08
Address
VIA SARFATTI 25
20136 Milano
Italy

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Region
Nord-Ovest Lombardia Milano
Activity type
Higher or Secondary Education Establishments
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Total cost

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