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Economic Growth and Institutional Quality: Global and Income-Level Analyses

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  • Gema Fabro
  • José Aixalá

Abstract

The aim of this paper is to quantify the importance of institutions in economic growth and to identify the factors that determine institutional quality. For this purpose, we estimate a system of simultaneous equations with an income equation and another one of institutional quality and use a broad sample of countries with very different levels of development. The analysis is also carried out for three sub-samples of different income levels. In addition, a test of the robustness of the results to econometric techniques is performed.

Suggested Citation

  • Gema Fabro & José Aixalá, 2009. "Economic Growth and Institutional Quality: Global and Income-Level Analyses," Journal of Economic Issues, Taylor & Francis Journals, vol. 43(4), pages 997-1023.
    • Handle: RePEc:mes:jeciss:v:43:y:2009:i:4:p:997-1023
    DOI: 10.2753/JEI0021-3624430409
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    Cited by:

    1. Chang, Chong-Chuo, 2023. "The impact of quality of institutions on firm performance: A global analysis," International Review of Economics & Finance, Elsevier, vol. 83(C), pages 694-716.
    2. Asli Ozpolat & Gulsum Gunbala Guven & Ferda Nakipoglu Ozsoy & Ayse Bahar, 2016. "Does Rule of Law Affect Economic Growth Positively?," Research in World Economy, Research in World Economy, Sciedu Press, vol. 7(1), pages 107-117, June.
    3. Redmond, Trumel & Nasir, Muhammad Ali, 2020. "Role of natural resource abundance, international trade and financial development in the economic development of selected countries," Resources Policy, Elsevier, vol. 66(C).
    4. Biliang Hu & Xing Tang & Lin Yin & Qian Liu, 2021. "Emerging Markets Redefined: Comprehensive Measurement and Future Prospects," Global Journal of Emerging Market Economies, Emerging Markets Forum, vol. 13(2), pages 165-191, May.
    5. Kossi Ayenagbo, 2023. "Analyse de l'effet empirique de l'intégration économique sur la croissance sectorielle en Afrique Subsaharienne: quelle implication de la gouvernance?," African Development Review, African Development Bank, vol. 35(1), pages 52-64, March.

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