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Institutions and Human Progress: An Analysis of International Pooled Data

Nathan Ashby

Eastern Economic Journal, 2009, vol. 35, issue 3, 396-414

Abstract: This study investigates the impact of the components of economic freedom (Economic Freedom of the World Index, EFW) on improvements in well-being using pooled data of 105 countries spaced at 5-year intervals between 1990 and 2000. The EFW as well as other control variables are regressed on the log-odds ratios of the Index of Human Progress (IHP), a measurement of progress constructed by the Fraser Institute, and its components. Extreme bound analysis demonstrates that countries with a higher quality of government, well-defined property rights, sound money, limited trade restrictions, and limited regulation experience higher levels of human progress as measured by the IHP. Eastern Economic Journal (2009) 35, 396–414. doi:10.1057/eej.2008.28

Date: 2009
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Handle: RePEc:pal:easeco:v:35:y:2009:i:3:p:396-414