In recent years, comparative economics experienced a revival, with a new focus on comparing capitalist economies. The theme of the new research is that institutions exert a profound influence on economic development. We argue that, to understand capitalist institutions, one needs to understand the basic trade-off between the costs of disorder and those of dictatorship. We then apply this logic to study the structure of efficient institutions, the consequences of colonial transplantation, and the politics of institutional choice.
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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number
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Simeon Djankov & Edward L. Glaeser & Rafael La Porta & Florencio Lopez-de-Silane & Andrei Shleifer, 2003.
"The New Comparative Economics,"
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Find related papers by JEL classification: P00 - Economic Systems - - General - - - General P10 - Economic Systems - - Capitalist Systems - - - General P20 - Economic Systems - - Socialist Systems and Transition Economies - - - General P50 - Economic Systems - - Comparative Economic Systems - - - General
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