Knowledge in Economics and Economic Reform. An Analysis of Survey Data from a French Business School
The coexistence of a predominantly poor opinion on free markets and lack of education in economics are two documented features of France. In this paper, we use data collected in December 2009 through an Internet-based survey within the network of a major French Business School to test whether this situation is more than a mere coincidence. An instrumental variable model of opinion on pro-market reforms was estimated, taking into account the endogenous nature of knowledge in economics, while controlling for the characteristics of the respondents. Empirical results indicate that knowledge in economics contributes significantly to explain favorable opinion on pro-market reforms.
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