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Does Governance Matter? Yes, No or Maybe Some Evidence from Developing Asia

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  • M. G. Quibria

    (SMU)

Abstract

This paper seeks to explore the relationship between economic growth and governance performance in Asian developing economies. This exploration yields some interesting conclusions. First, notwithstanding its tremendous economic achievements, the state of governance in Asia is not stellar by international comparison. Indeed, a majority of these countries seem to suffer from a governance deficit. Second, contrary to our expectation, data do not suggest any strong positive link between governance and growth : paradoxically, countries that exhibit surpluses in governance on average grew much slower than those with deficits. The paper ends with some conjecture about this apparent paradox.

Suggested Citation

  • M. G. Quibria, 2006. "Does Governance Matter? Yes, No or Maybe Some Evidence from Developing Asia," Development Economics Working Papers 22474, East Asian Bureau of Economic Research.
    • Handle: RePEc:eab:develo:22474
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    Keywords

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    JEL classification:

    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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