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Special-Interest Groups and Growth

  • Bonnie Wilson

    ()

    (Department of Economics, Saint Louis University)

  • Dennis Coates

    ()

    (Department of Economics, University of Maryland Baltimore County)

  • Jac Heckelman

    ()

    (Department of Economics, Wake Forest University)

This paper explores the relationship between special-interest groups and economic growth, using newly assembled data on the number of groups observed across countries. In a sample of 86 countries at two points in time (for a total of 169 observations), we ¯nd support for Mancur Olson's theory that interest group activity reduces economic growth. We also ¯nd evidence that interest groups are negatively associated with both channels to growth - capital stock growth and productivity growth.

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File URL: http://www.slu-econ-wp.com/RePEc/slu/bonnie_wilson/growth.pdf
File Function: Revised version, 2010
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Paper provided by Saint Louis University, Department of Economics in its series Working Papers with number 2007-01.

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Length: 34 pages
Date of creation:
Date of revision:
Publication status: Published in Public Choice, 2011, pages 439-457
Handle: RePEc:slu:wpaper:2007-01
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