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properties of the equilibrium investment behavior. The bilateral external benefits induce an investment multiplier effect. This … how it interacts with other important factors such as the costs of investment and the signaling incentives induced by …
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We present a simple model, illustrating how democracy may improve the quality of the economic institutions. The model further suggests that institutional quality varies more across autocracies than across democracy and that the positive effect of democracies on economic institutional quality...
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