IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/72938.html
   My bibliography  Save this paper

Institutional Change and Economic Growth in Pakistan

Author

Listed:
  • Younis, Fizza

Abstract

This study attempts to isolate causes of institutional change and investigates the role it plays in achieving economic development. Institutional change is vital for sustainable economic growth but literature shows that related empirical evidence is limited. In this paper Multiple Indicators and Multiple Causes Model is employed. The results reveal that in case of Pakistan control of corruption, rule of law, privatization, liberalization, and voice accountability are the most important causes of institutional change. In addition to this export orientation also have a positive effect on institutional change whereas macroeconomic instability has a negative impact. Furthermore, there exists a significant positive relation between institutional change and economic development in Pakistan. The first section of the study provides an introduction, and section two provides relevant literature review. In section three methodology employed by the study is discussed. Section four presents results and discussion. Section five chalks out policy implications and concludes the study.

Suggested Citation

  • Younis, Fizza, 2015. "Institutional Change and Economic Growth in Pakistan," MPRA Paper 72938, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:72938
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/72938/1/MPRA_paper_72938.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. Omar Azfar, 2006. "The New Institutional Economics Approach to Economic Development: A Discussion of Social, Political, Legal, and Economic Institutions," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 45(4), pages 965-980.
    2. Chang, Ha-Joon, 2011. "Institutions and economic development: theory, policy and history," Journal of Institutional Economics, Cambridge University Press, vol. 7(04), pages 473-498, December.
    3. Joachim Ahrens & Philipp Mengeringhaus, 2006. "Institutional Change and Economic Transition: Market-Enhancing Governance, Chinese-Style," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 3(1), pages 75-102, June.
    4. M. Idrees Khawaja & Sajawal Khan, 2009. "Reforming Institutions: Where to Begin?," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 48(3), pages 241-267.
    5. Muhammad Zakaria & Bashir Ahmed Fida, 2009. "Democratic Institutions and Variability of Economic Growth in Pakistan: Some Evidence from the Time-series Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 48(3), pages 269-289.
    6. Chang, Ha-Joon, 2011. "Reply to the comments on ‘Institutions and Economic Development: Theory, Policy and History’," Journal of Institutional Economics, Cambridge University Press, vol. 7(04), pages 595-613, December.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Institutional change; Economic development; Sustainable growth; Pakistan;

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • P35 - Economic Systems - - Socialist Institutions and Their Transitions - - - Public Finance

    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:pra:mprapa:72938. 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: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.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.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with 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.