A MODEL OF GROWTH AUGMENTED WITH INSTITUTIONS |
| |
| Authors: | José Aixalá , Gema Fabro |
| |
| Affiliation: | University of Zaragoza, Spain |
| |
| Abstract: | This paper shows that the inclusion of institutional indicators in a traditional model of growth substantially improves its explanatory capacity. The results have implications for economic policy, because not all the dimensions of institutional quality influence growth to the same extent. A large sample of 165 countries and estimation methods with instrumental variables are used to solve endogeneity problems. |
| |
| Keywords: | |
|
|
