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Economic Development, Legality, and the Transplant Effect

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  • Daniel Berkowitz
  • Katharina Pistor
  • Jean-Francois Richard

Abstract

We analyze the determinants of effective legal institutions (legality) using data from 49 countries. We show that the way the law was initially transplanted and received is a more important determinant than the supply of law from a particular legal family. Countries that have developed legal orders internally, adapted the transplanted law, and/or had a population that was already familiar with basic principles of the transplanted law have more effective legality than countries that received foreign law without any similar pre-dispositions. The transplanting process has a strong indirect effect on economic development via its impact on legality.

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File URL: http://www.wdi.umich.edu/files/Publications/WorkingPapers/wp308.pdf
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Bibliographic Info

Paper provided by William Davidson Institute at the University of Michigan in its series William Davidson Institute Working Papers Series with number 308.

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Length: pages
Date of creation: 01 Feb 2000
Date of revision:
Handle: RePEc:wdi:papers:2000-308

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Keywords: transplant versus origin; receptive; unreceptive; direct and indirect transplants; legality;

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