You piqued my curiosity with your comment, I'm trying to find what research is out there. I've found some articles behind paywalls (I may dig further later to find non-paywalled versions, I'm not dropping $44 for a paper, especially one on the periphery of my interests) in public policy research about these issues, which makes sense.

Not research, but where it was driven home for me was Venezuela and their oil and energy sector. A major economic concern (before the drop in oil prices) was the drop in oil production rates, which was due, largely, to a reduction in proper maintenance after Chavez (still alive at the time I was reading about this particular issue) had nationalized companies and appointed non-experts into leadership positions.

But it's not just them, that was just a particularly well publicized case. While many people probably believe (rightly) that the US federal government is corrupted and incompetent, a lot more corruption (and incompetence) lies at the local and state levels. Probably due to the reduced scrutiny they suffer.