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Freedom, ratings and economic growth: in search of a reliable connection

Author

Listed:
  • Menyashev, Rinat

    (National Research University Higher School of Economics)

  • Yanovskiy, Konstantin

    (Gaidar Institute for Economic Policy)

  • Nathov, Timur

    (National Research University Higher School of Economics)

Abstract

The ratings assess the quality of institutions is widely distributed and used in the scientific literature. Among them there are, the process by which improved for decades. Accumulated tens of estimates for a large and growing group of countries. All these ratings are used peer assessment ranking countries. The authors believe that such estimates fundamentally incompatible and therefore not applicable for benchmarking one time point observations (ie, cross-sectional analysis). Proposed another group of variables, which uses assessment "political" institutions only for the presence or absence of certain phenomena (yes or no). This set of variables is suitable for cross-sectional analysis. Also, the article proposes a rating, based on the combination of the proposed variables already common indexes and indicators. The use of panel regression allows alleviate poor compatibility expert estimates.

Suggested Citation

  • Menyashev, Rinat & Yanovskiy, Konstantin & Nathov, Timur, 2013. "Freedom, ratings and economic growth: in search of a reliable connection," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, pages 167-188, August.
    • Handle: RePEc:rnp:ecopol:ep1345
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    References listed on IDEAS

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