IDEAS home Printed from https://ideas.repec.org/p/ecm/ausm04/63.html
   My bibliography  Save this paper

Institutions and Economic Growth: A Systems Approach

Author

Listed:
  • Chris Doucouliagos
  • Mehmet Ulubasoglu

Abstract

In a simultaneous equations with error components framework, we analyze the institutions-growth relationship. We address individual heterogeneity in cross-country production functions, and endogeneize factor inputs in order to disentangle the direct and indirect effects of institutions on growth. We find that the effects of political freedom on total factor productivity and human capital are positive and significant, but they are negative and significant on physical capital and labor force growth. Economic freedom, on the other hand, has positive and significant effects on total factor productivity, physical and human capital, and labor force growth. The total effects of both freedoms on growth are positive

Suggested Citation

  • Chris Doucouliagos & Mehmet Ulubasoglu, 2004. "Institutions and Economic Growth: A Systems Approach," Econometric Society 2004 Australasian Meetings 63, Econometric Society.
  • Handle: RePEc:ecm:ausm04:63
    as

    Download full text from publisher

    File URL: http://repec.org/esAUSM04/up.29323.1076501864.pdf
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. repec:eee:iburev:v:26:y:2017:i:5:p:839-854 is not listed on IDEAS
    2. Nolazco Cama, Jose Luis & Bravo-Ortega, Claudio, 2015. "Instituciones, Recursos Naturales Y Sus Efectos En El Crecimiento Economico: Un Sistema De Ecuaciones Simultáneas En Panel De Datos
      [Institutions, Natural Resources And Its Impact On Economic Growt
      ," MPRA Paper 74421, University Library of Munich, Germany.
    3. Mellati, Ali, 2008. "Uncertainty and investment in private sector: An analytical argument and a review of the economy of Iran," MPRA Paper 26655, University Library of Munich, Germany.
    4. Manuela Tvaronavičiene & Virginija Grybaite & Agne Tvaronavičiene, 2009. "If institutional performance matters: Development comparisons of Lithuania, Latvia and Estonia," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 10(3), pages 271-278, June.
    5. repec:jfr:rwe111:v:7:y:2016:i:1:p:107-117 is not listed on IDEAS
    6. Vatcharin Sirimaneetham, 2006. "What drives liberal policies in developing countries?," Bristol Economics Discussion Papers 06/587, Department of Economics, University of Bristol, UK.
    7. Claude Diebolt & Tapas Mishra & Bazoumana Ouattara & Mamata Parhi, 2010. "Does democratic distance matter for cross-country growth interdependence?," Working Papers 10-12, Association Française de Cliométrie (AFC).
    8. repec:eee:tefoso:v:122:y:2017:i:c:p:24-33 is not listed on IDEAS

    More about this item

    Keywords

    Institutions; Growth; Simultaneous Equations; Error Components;

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ecm:ausm04:63. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum) or (Christopher F. Baum). General contact details of provider: http://edirc.repec.org/data/essssea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.