Unbundled institutions, human capital and growth

Sambit Bhattacharyya

Journal of Comparative Economics, 2009, vol. 37, issue 1, pages 106-120

Abstract: We investigate the partial effects of institutions and human capital on growth. We find that cross-country regressions of the log-level of per capita GDP on instrumented measures of institutions and schooling are uninformative about the relative importance of institutions and human capital in the long run because of multicollinearity problems. Using dynamic panel regressions we show that both institutions and human capital have significant effects on growth. Using Rodrik's [Rodrik, D., 2005. Growth strategies. Handbook of Economic Growth 1 (1), 967-1014] four-way partition of institutions, we also unbundle institutions. We show that strong market creating institutions and market stabilising institutions are growth enhancing. Market regulating institutions matter up to a certain extent and market legitimising institutions does not seem to matter. Journal of Comparative Economics 37 (1) (2009) 106-120.

Keywords: Institutions; Human; capital; Growth (search for similar items in EconPapers)
Date: 2009
View citations in EconPapers

Downloads: (external link)
http://www.sciencedirect.com/science/article/B6WHV ... 15c66fcf0654ebc2ef3d
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Unbundled Institutions, Human Capital and Growth (2008)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:eee:jcecon:v:37:y:2009:i:1:p:106-120

Access Statistics for this article

Journal of Comparative Economics is edited by D. Berkowitz and G. Roland

More articles in Journal of Comparative Economics from Elsevier
Series data maintained by Heidi Boesdal ().