A recently much debated issue is why observed investment and growth rates inpoor countries are lower than traditional … theory predicts. Empirical evidencesuggests that social and political instability is a major reason for thedivergence between … investment rates is notmonotonic but follows a hump-shaped pattern. The empirical evidence shows thatalthough very poor economies …

In this paper we perform a meta-analysis on empirical estimates of the impact between investment and uncertainty. Since … investment research. For example, not including factor prices in investment models may seriously affect the model outco! mes … can explain to a large extent why empirical estimates of the investment-uncertainty relationship differ. …

decreases investment substantially. Theseresults are neither in line with expected utility theory norwith psychologically …This paper experimentally investigates investment behavior.We find that global risk – i.e. risk independent of an agent …’sinvestment decision (like political risk) – substantiallydecreases investment. Also effort to obtain the capital usedfor investment …

penalize poorly performing entrepreneurs by terminating their projects. Based on this tradeoff we develop a theory of financing …

Institutions are strikingly absent from most economic theory, certainly from growth theory.In standard theory it is … environment.Until recently, empirical studies measuring just how important institutions are for growthand investment have been ….In this paper the most important empirical studies on the relationship betweeninstitutions and growth and investment, and the …