This paper investigates the determinants of economic growth emphasizing the role of institutional quality, social fragmentation, and increasing global integration on recent growth experience. Our longitudinal data consists of 103 countries covering the period 1992-2005. We find that democracies...

Legal institutions are critical for the development of market-based economies. This paper defines legal institutions and discusses different indicators to measure their quality and efficiency. It surveys a large historical and empirical literature showing the importance of legal institutions in...

The Ottoman Empire had a profound impact in Europe, the Middle East and North Africa at the apogee of its power, covering the era between 1453 C. E. and 1699 C. E. In this paper, I exploit the empire’s unique culture and institutions to examine the roles of ethnicity and religion in conflict...

Ethnic and religious fractionalization have important effects on economic growth and development, but their role in internal violent conflicts has been found to be negligible and statistically insignificant. These findings have been invoked in refutation of the Huntington hypothesis, according...

Impersonal exchange has been a major driver of economic development. But transactors with no stake in maintaining an ongoing relationship have little incentive to honor deals. Therefore, all economies have developed institutions to support honest trade and realize the gains of impersonal...

In this paper we model the migration decisions of high-skilled women as a function of the benefits associated with moving from an origin with relatively low women's rights to a destination with a relatively high level of women's rights. However, the costs faced by women are decreasing in the...

We introduce a novel approach to modeling the impact of institutional quality on firm performance. Our methodology enables us to estimate the marginal effect of institutional quality on TFP, factor inputs and output of each firm, which gives us within-country distributions of these effects and...

This essay starts, after a short introduction on the importance and dimensions of “inclusive growth”, with a brief empirical sketch on to what extent Europe has already succeeded with respect to this ambitious goal. The result is quite sobering and gives rise to the question: why is it so?...

Higher education contributes to economic innovation. This study measures and compares the extent to which national governments’ policies foster this contribution across Europe. The study stresses the relevance of policies which are ‘empowering’ for higher education institutions, or in...

There exists a persistent disagreement in the literature over the effect of business cycles on economic growth. This paper offers a solution to this disagreement, suggesting that volatility carries a positive direct effect, but also a negative indirect effect, operating through the insurance...