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Geography versus Institutions: New Perspectives on the Growth of Africa and the Middle East

  • Olivier Parent
  • Abdallah Zouache

This article examines the growth performance of Africa and the Middle East for the period 1990-2005. It employs a Bayesian model-averaging method that constructs estimates as a weighted average of spatial autoregressive estimates for every possible combination of included variables. One of the results is that the inclusion of spatial dependences has a direct impact on the determinants of growth in Africa and the Middle East. A main contribution of this article is to consider geographical effects in a more flexible way, which allows an enriched comprehension of the role of institutional factors in explaining low economic development.

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File URL: http://www.ingentaconnect.com/content/mohr/jite/2012/00000168/00000003/art00007
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Article provided by Mohr Siebeck, Tübingen in its journal Journal of Institutional and Theoretical Economics.

Volume (Year): 168 (2012)
Issue (Month): 3 (September)
Pages: 488-518

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Handle: RePEc:mhr:jinste:urn:sici:0932-4569(201209)168:3_488:gvinpo_2.0.tx_2-1
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  1. Block, S.A., 1999. "Does Africa Grow Differently?," Equity and Growth through Economic Research 31, EAGER Publication/BHM.
  2. Jan Willem Gunning & Paul Collier, 1999. "Explaining African Economic Performance," Journal of Economic Literature, American Economic Association, vol. 37(1), pages 64-111, March.
  3. Graziella Bertocchi & Fabio Canova, 1996. "Did colonization matter for growth? An empirical exploration into the historical causes of Africa's underdevelopment," Economics Working Papers 202, Department of Economics and Business, Universitat Pompeu Fabra.
  4. Jesús Crespo Cuaresma & Martin Feldkircher, 2010. "Spatial Filtering, Model Uncertainty and the Speed of Income Convergence in Europe," Working Papers 160, Oesterreichische Nationalbank (Austrian Central Bank).
  5. Robert J. Barro, 1989. "Economic Growth in a Cross Section of Countries," NBER Working Papers 3120, National Bureau of Economic Research, Inc.
  6. Daron Acemoglu & Simon Johnson & James A. Robinson, 2001. "The Colonial Origins of Comparative Development: An Empirical Investigation," American Economic Review, American Economic Association, vol. 91(5), pages 1369-1401, December.
  7. Giuseppe Arbia & Michele Battisti & Gianfranco Di Vaio, 2009. "Institutions and geography: Empirical test of spatial growth models for European regions," Working Papers CELEG 0907, Dipartimento di Economia e Finanza, LUISS Guido Carli.
  8. William Easterly & Ross Levine, 1997. "Africa's Growth Tragedy: Policies and Ethnic Divisions," The Quarterly Journal of Economics, Oxford University Press, vol. 112(4), pages 1203-1250.
  9. Durlauf, Steven N., 2001. "Manifesto for a growth econometrics," Journal of Econometrics, Elsevier, vol. 100(1), pages 65-69, January.
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