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Regulation And Investment

Author

Listed:
  • Alberto Alesina

    (Harvard University and NBER)

  • Silvia Ardagna

    (Harvard University)

  • Giuseppe Nicoletti

    (OECD)

  • Fabio Schiantarelli

    (Boston College and IZA)

Abstract

We use newly assembled data on regulation in several sectors of many OECD countries to provide evidence that regulatory reform of product markets is associated with an increase in investment. A component of reform that plays a very important role is entry liberalization, but privatization also has a substantial effect on investment. Sensitivity analysis suggests that our results are robust. (JEL: E22, L5) Copyright (c) 2005 by the European Economic Association.

Suggested Citation

  • Alberto Alesina & Silvia Ardagna & Giuseppe Nicoletti & Fabio Schiantarelli, 2005. "Regulation And Investment," Journal of the European Economic Association, MIT Press, vol. 3(4), pages 791-825, June.
  • Handle: RePEc:tpr:jeurec:v:3:y:2005:i:4:p:791-825
    as

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    References listed on IDEAS

    as
    1. Alberto Alesina & Silvia Ardagna & Roberto Perotti & Fabio Schiantarelli, 2002. "Fiscal Policy, Profits, and Investment," American Economic Review, American Economic Association, vol. 92(3), pages 571-589, June.
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    4. Abel, Andrew B & Blanchard, Olivier J, 1983. "An Intertemporal Model of Saving and Investment," Econometrica, Econometric Society, vol. 51(3), pages 675-692, May.
    5. Simeon Djankov & Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer, 2002. "The Regulation of Entry," The Quarterly Journal of Economics, Oxford University Press, vol. 117(1), pages 1-37.
    6. Djankov, S. & La Porta, R. & Lopez-de-Silanes, F. & Shleifer, Andrei, 2002. "The Regulation of Entry," Scholarly Articles 30747190, Harvard University Department of Economics.
    7. Giuseppe Nicoletti & Stefano Scarpetta, 2003. "Regulation, productivity and growth: OECD evidence [‘A model of growth through creative destruction’]," Economic Policy, CEPR;CES;MSH, vol. 18(36), pages 9-72.
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    JEL classification:

    • A1 - General Economics and Teaching - - General Economics

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