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A missing spatial link in institutional quality

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  • Peter Claeys
  • Fabio Manca

Abstract

History tells that institutions evolve gradually over time, pushing new ideas across borders and cultures. Globalization is argued to accelerate this process. We examine the spatial links of different political institutions across borders. Applying various tests for spatial proximity, we do not find evidence of contemporaneous spatial links. This result is robust to various measures of distance and of cultural proximity across countries. Instead, when we analyse long-run dynamics, diffusion of institutions seems to occur only gradually.

Suggested Citation

  • Peter Claeys & Fabio Manca, 2011. "A missing spatial link in institutional quality," Applied Economics Letters, Taylor & Francis Journals, vol. 18(3), pages 223-227.
  • Handle: RePEc:taf:apeclt:v:18:y:2011:i:3:p:223-227
    DOI: 10.1080/13504850903559542
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