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A Review of the Recent Literature on the Institutional Economics Analysis of the Long-Run Performance of Nations

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  • Peter Lloyd

    (University of Melbourne)

  • Cassey Lee

    (ISEAS – Yusof Ishak Institute, Singapore)

Abstract

This paper reviews the recent (post-2000) literature which assesses the importance of institutions as a factor determining cross-country differences in growth rates or in the contemporary level of “prosperity”. It first sketches how institutional economics has evolved. It then examines critically the methods of analysis employed in the recent literature. The paper finds that this literature has made a major contribution to the analysis of the causes of economic growth but the relative importance of institutions as a determinant of long-run growth and prosperity is still a wide open question.

Suggested Citation

  • Peter Lloyd & Cassey Lee, 2016. "A Review of the Recent Literature on the Institutional Economics Analysis of the Long-Run Performance of Nations," Department of Economics - Working Papers Series 2019, The University of Melbourne.
    • Handle: RePEc:mlb:wpaper:2019
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    Cited by:

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    2. Jacob A. Jordaan & Bogdan Dima, 2020. "Post Materialism and Comparative Economic Development: Do Institutions Act as Transmission Channel?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 148(2), pages 441-472, April.
    3. Hüsnü BİLİR, 2018. "Commons ve Mitchell’in “İktisat” ve “Birey” Anlayışları," Sosyoekonomi Journal, Sosyoekonomi Society, issue 26(37).
    4. Laura Heras Recuero & Roberto Pascual González, 2019. "Economic growth, institutional quality and financial development in middle-income countries," Working Papers 1937, Banco de España.
    5. Cláudia Braz & Maria Manuel Campos, 2019. "An analytical assessment of the risks to the sustainability of the Portuguese public debt," Economic Bulletin and Financial Stability Report Articles and Banco de Portugal Economic Studies, Banco de Portugal, Economics and Research Department.

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    More about this item

    Keywords

    institutions; policies; long-run performance; instruments;
    All these keywords.

    JEL classification:

    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • B52 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Historical; Institutional; Evolutionary; Modern Monetary Theory;

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