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Prospective NATO or EU membership and institutional change in transition countries

  • Rainer Schweickert
  • Inna Melnykovska
  • Ansgar Belke
  • Ingo Bordon

This paper quantifies the impact of incentives related to potential membership on institutional change as measured by the World Bank Governance Indicators (WBGI). Based on a panel of 25 transition countries for the period from 1996 to 2008 we show that pre-accession incentives provided by EU and NATO clearly matter for institutional development. In addition, path-dependency determined by cultural norms may be overcome by economic liberalization while foreign aid seems to hamper institutional development.

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File URL: http://hdl.handle.net/10.1111/j.1468-0351.2011.00415.x
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Article provided by The European Bank for Reconstruction and Development in its journal Economics of Transition.

Volume (Year): 19 (2011)
Issue (Month): 4 (October)
Pages: 667-692

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Handle: RePEc:bla:etrans:v:19:y:2011:i:4:p:667-692
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