Most studies find that larger government is associated with slower long-run growth. However, which elements of government intervention drive the result and if the conclusion applies to all political regimes remains an open question, which this paper addresses. The findings indicate that...

While previous research documents a negative relationship between government size and economic growth, suggesting an economic cost of big government, a given government size generally affects growth differently in different countries. As a possible explanation of this differential effect, we...

This paper returns to the discussion of how income inequality affects economic growth. The main argument is that economic freedom is likely to affect the association although the relations are theoretically ambiguous. In a panel of 300 observations from five-year periods across the 50 US states,...

High levels of social trust has been linked to both public sector size and long term economic growth, thereby helping to explain how some countries are able to combine high taxes and relatively high levels of economic growth. This paper examines if social trust as a background factor also...