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The Determinants Of Institutional Quality. More On The Debate

Listed author(s):
  • José Antonio Alonso
  • Carlos Garcimartín

This paper provides new evidences about the determinants of institutional quality. Given the shortcomings of governance indicators, we first discuss the criteria employed to judge institutional quality. Then, we identify the factors that, according to these criteria, shape the quality of institutions. The results of this empirical research show that the main determinants of the quality of the institutions of a given country are its income per head and its income distribution, the efficiency of its tax system and the educational level of its population. Interestingly, some of the variables identified in previous literature (location, ethnolinguistic fragmentation, the origin of the legal system or colonial origin) either do not have any impact on institutional quality or they impact indirectly through the variables previously mentioned.

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Article provided by John Wiley & Sons, Ltd. in its journal Journal of International Development.

Volume (Year): 25 (2013)
Issue (Month): 2 (03)
Pages: 206-226

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Handle: RePEc:wly:jintdv:v:25:y:2013:i:2:p:206-226
Contact details of provider: Web page: http://www3.interscience.wiley.com/journal/5102/home

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  1. Alesina, Alberto & Devleeschauwer, Arnaud & Easterly, William & Kurlat, Sergio & Wacziarg, Romain, 2003. "Fractionalization," Journal of Economic Growth, Springer, vol. 8(2), pages 155-194, June.
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  7. Bertocchi, Graziella & Canova, Fabio, 2002. "Did colonization matter for growth?: An empirical exploration into the historical causes of Africa's underdevelopment," European Economic Review, Elsevier, vol. 46(10), pages 1851-1871, December.
  8. Easterly, William, 2001. "The Middle Class Consensus and Economic Development," Journal of Economic Growth, Springer, vol. 6(4), pages 317-335, December.
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  10. Stanley L. Engerman & Kenneth Lee Sokoloff, 2002. "Factor Endowments, Inequality, and Paths of Development Among New World Economies," ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, vol. 0(Fall 2002), pages 41-110, August.
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  18. repec:hrv:faseco:30747160 is not listed on IDEAS
  19. John Luke Gallup & Jeffrey D. Sachs & Andrew D. Mellinger, 1998. "Geography and Economic Development," Harvard Institute of Economic Research Working Papers 1856, Harvard - Institute of Economic Research.
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