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Prospective NATO or EU Membership and Institutional Change in Transition Countries

  • Belke, Ansgar

    ()

    (University of Duisburg-Essen)

  • Bordon, Ingo

    ()

    (University of Duisburg-Essen)

  • Melnykovska, Inna

    ()

    (University of Kiel)

  • Schweickert, Rainer

    ()

    (Kiel Institute for the World Economy)

This paper quantifies the impact of incentives related to potential membership on institutional change as measured by the World Bank Governance Indicators (WBGI). Based on a panel of 25 transition countries for the period from 1996 to 2008 we show that pre-accession incentives provided by EU and NATO clearly matter for institutional development. In addition, path-dependency determined by cultural norms may be overcome by economic liberalization while foreign aid seems to hamper institutional development.

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File URL: http://ftp.iza.org/dp4483.pdf
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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4483.

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Length: 29 pages
Date of creation: Oct 2009
Date of revision:
Publication status: published in: Economics of Transition, 2011, 19 (4), 667-692
Handle: RePEc:iza:izadps:dp4483
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  1. Markus Brückner & Antonio Ciccone, 2009. "Rain and the Democratic Window of Opportunity," Working Papers 2009-38, FEDEA.
  2. Belke, Ansgar & Spies, Julia, 2008. "Enlarging the EMU to the East: What Effects on Trade?," IZA Discussion Papers 3647, Institute for the Study of Labor (IZA).
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  6. Janos Kornai, 2006. "The Great Transformation Of Central Eastern Europe: Success And Disappointment - First Published," Montenegrin Journal of Economics, Economic Laboratory for Transition Research (ELIT), vol. 2(4), pages 11-38.
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  12. Belke, Ansgar & Göcke, Matthias & Hebler, Martin, 2004. "Institutional Uncertainty and European Social Union: Impacts on Job Creation and Destruction in the CEECs," IZA Discussion Papers 1039, Institute for the Study of Labor (IZA).
  13. Acemoglu, Daron & Johnson, Simon & Robinson, James A. & Yared, Pierre, 2009. "Reevaluating the modernization hypothesis," Journal of Monetary Economics, Elsevier, vol. 56(8), pages 1043-1058, November.
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  25. Vinhas de Souza, Lúcio & Schweickert, Rainer & Movchan, Veronika & Bilan, Olena & Burakovsky, Igor, 2005. "Now so near, and yet still so far: economic relations between Ukraine and the European Union," Kiel Discussion Papers 419, Kiel Institute for the World Economy (IfW).
  26. Thorsten Beck & Luc Laeven, 2006. "Institution building and growth in transition economies," Journal of Economic Growth, Springer, vol. 11(2), pages 157-186, June.
  27. Antonio Ciccone, 2013. "Estimating the Effect of Transitory Economic Shocks on Civil Conflict," Review of Economics and Institutions, Università di Perugia, vol. 4(2).
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  35. Tim Haughton, 2007. "When Does the EU Make a Difference? Conditionality and the Accession Process in Central and Eastern Europe," Political Studies Review, Political Studies Association, vol. 5(2), pages 233-246.
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