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Institutions, Policies and Economic Development

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  • Kolodko, Grzegorz W.
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    Abstract

    Institutions are not only created and built, but also, and especially, need to be learnt. It is a process which takes place in all economies, but acquires a special importance in less advanced countries. Not only theoretical arguments, but also the practical experience over the past 15 years demonstrates that faster economic growth, and hence also more broadly, socioeconomic development, is attained by those countries which take greater care to foster the institutional reinforcement of market economy. However, progress in market-economy institution building is not in itself sufficient to ensure sustained growth. Another indispensable component is an appropriately designed and implemented economic policy which must not confuse the means with the aims.

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    File URL: http://www.wider.unu.edu/stc/repec/pdfs/rp2006/rp2006-21.pdf
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    Bibliographic Info

    Paper provided by World Institute for Development Economic Research (UNU-WIDER) in its series Working Paper Series with number RP2006/21.

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    Length: 28 pages
    Date of creation: 2006
    Date of revision:
    Handle: RePEc:unu:wpaper:rp2006-21

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    Related research

    Keywords: institutions; economic policy; transition; growth; development; globalization;

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    1. Kolodko, Grzegorz W., 2000. "From Shock to Therapy: The Political Economy of Postsocialist Transformation," OUP Catalogue, Oxford University Press, number 9780198297437.
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