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Prospective NATO or EU Membership and Institutional Change in Transition Countries

  • Ansgar Belke

    ()

  • Ingo Bordon
  • Inna Melnykovska
  • Rainer Schweickert

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 NATOclearly 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://repec.rwi-essen.de/files/REP_09_131.pdf
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Paper provided by Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen in its series Ruhr Economic Papers with number 0131.

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Length: 31 pages
Date of creation: Aug 2009
Date of revision:
Handle: RePEc:rwi:repape:0131
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  1. Ansgar Belke & Matthias Göcke & Martin Hebler, 2003. "Institutional Uncertainty and European Social Union: Impacts on Job Creation and Destruction in the CEECs," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 228/2003, Department of Economics, University of Hohenheim, Germany.
  2. Xavier Sala-i-Martin & Arvind Subramanian, 2003. "Addressing the Natural Resource Curse: An Illustration from Nigeria," NBER Working Papers 9804, National Bureau of Economic Research, Inc.
  3. Stock, James H & Wright, Jonathan H & Yogo, Motohiro, 2002. "A Survey of Weak Instruments and Weak Identification in Generalized Method of Moments," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(4), pages 518-29, October.
  4. Acemoglu, Daron & Johnson, Simon & Robinson, James A & Yared, Pierre, 2007. "Reevaluating the Modernization Hypothesis," CEPR Discussion Papers 6430, C.E.P.R. Discussion Papers.
  5. Rainer Thiele & Peter Nunnenkamp & Axel Dreher, 2007. "Do Donors Target Aid in Line with the Millennium Development Goals? A Sector Perspective of Aid Allocation," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 143(4), pages 596-630, December.
  6. Danny Cassimon & Stijn Claessens & Bjorn Van Campenhout, 2007. "Empirical Evidence on the New International Aid Architecture," IMF Working Papers 07/277, International Monetary Fund.
  7. Sandler, Todd & Hartley, Keith, 1999. "The Political Economy of Nato: Past, Present, and into the 21st Century," Staff General Research Papers Archive 1441, Iowa State University, Department of Economics.
  8. Raghuram Rajan & Arvind Subramanian, 2007. "Does Aid Affect Governance?," American Economic Review, American Economic Association, vol. 97(2), pages 322-327, May.
  9. Paldam, Martin, 2002. "The cross-country pattern of corruption: economics, culture and the seesaw dynamics," European Journal of Political Economy, Elsevier, vol. 18(2), pages 215-240, June.
  10. Belke, Ansgar & Spies, Julia, 2007. "Enlarging the EMU to the east: What effects on trade?," Ruhr Economic Papers 21, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
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