Inequality, Property Rights, and Economic Growth in Transition Economies: Theory and Russian Evidence
For economies in transition, the issues of property rights protection provided by the state and implications for economic performance are very important. The paper develops an endogenous growth model with incomplete capital markets and the level of public protection of property rights determined by voting (possibly different from the majority voting) and verifies the implications using cross-section data on Russian regions. During transition (since 1992), Russian regions demonstrated enormous differences in growth rates. It is found that these differences may be explained by initial conditions and effectiveness of institutions. Also, positive impact of inequality on the level of public protection of property rights is found and a theoretical explanation for this phenomenon in the framework of the model is provided.
Year of publication: |
2001-04-05
|
---|---|
Authors: | Konstantin, Sonin |
Institutions: | EERC Research Network, Russia and CIS |
Saved in:
freely available
Saved in favorites
Similar items by person
-
Private interest in public tenders: no revenue, no efficiency and no social benefits
Konstantin, Sonin, (2004)
-
The Great Human Capital Reallocation: A Study of Occupational Mobility in Transitional Russiah
Klara, Sabirianova, (2001)
-
Money Substitutes in the Russian Virtual Economy: Sources and Impact on the Economy
Svetlana, Boyarchenko, (2001)
- More ...