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Abstract:
This paper analyzes the relationship between the Ease of Doing Business (EDB) and Best Countries Rank (BCR) of 42 countries in Asia and Europe regions. The EDB will realize economic gains, reduce corruption, and encourage SMEs to flourish. The scores of EDB are based on World Bank (2019), while the BCR scores based on usnews.com.
The sample selected base on the purposive sampling method. The highest rank of EDB is Singapore (2 out of 190), and the score is 85 (out of 100). The highest level of BCR is United Kingdom (1 out of 80), and the score is 10 (highest rating). The results of correlation analysis show that the correlation between Rank Number of BCR and EDB is 0.455 significant at ? 1% and the relationship between Overall Score of BCR and the EDB is 0.453 significant at ? 1%. These suggest that the better the rank number of BCR, the higher the score of EDB and means that the easier of doing business.
The result of single regression shows that there is a positive impact of the best countries score to the EDB that is significant at ? 1%. The other single regression is between the region, proxied by a dummy variable (0 for Asia and 1 for Europe). This study indicates that there is a positive impact of dummy variable and EDB. The regression results suggest that the higher the BCR, the higher the EDB and the Europe region have higher EDB score than Asia Region.
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