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Do judiciaries matter for development? Evidence from India

  • Chemin, Matthieu

This paper attempts to measure the causal impact of the speed of judiciaries on economic activity by using three novel instrumental variables measuring judicial procedural ambiguity and complexity. First, I find that Indian High Court amendments complicating procedures to treat a case are related to higher trial duration. Second, I find that temporally exogenous conflicting judicial decisions taken in India due to the Code of Civil Procedure's ambiguity lead to higher expected trial duration as judges are required to spend considerable time in choosing between several conflicting views. By using spatial and temporal variations in the occurrence of enactment of amendments and conflicting decisions as instrumental variables, I am able to measure the impact of judicial speed on credit markets, agricultural development, and manufacturing performance. Journal of Comparative Economics 37 (2) (2009) 230-250.

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Article provided by Elsevier in its journal Journal of Comparative Economics.

Volume (Year): 37 (2009)
Issue (Month): 2 (June)
Pages: 230-250

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Handle: RePEc:eee:jcecon:v:37:y:2009:i:2:p:230-250
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/622864

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  1. Mauro, Paolo, 1995. "Corruption and Growth," The Quarterly Journal of Economics, MIT Press, vol. 110(3), pages 681-712, August.
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  9. Shawn A. Cole, 2008. "Fixing Market Failures or Fixing Elections? Agricultural Credit in India," Harvard Business School Working Papers 09-001, Harvard Business School.
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  13. Sujata Visaria, 2006. "Legal Reform and Loan Repayment:The Microeconomic Impact of Debt Recovery Tribunals in India," Boston University - Department of Economics - Working Papers Series WP2006-023, Boston University - Department of Economics.
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  16. Stephen Knack & Philip Keefer, 1995. "Institutions And Economic Performance: Cross-Country Tests Using Alternative Institutional Measures," Economics and Politics, Wiley Blackwell, vol. 7(3), pages 207-227, November.
  17. Armando Castelar Pinneiro & Célia Cabral, 1999. "Credit Markets in Brazil: The Role of Judicial Enforcement and Other Institutions," Research Department Publications 3066, Inter-American Development Bank, Research Department.
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