We argue that a higher degree of de facto independence of the legal system from other government branches as well as strong public trust in the working of the legal system may reduce the average inflation rate of countries through two channels: by lowering transaction costs in the economy and by...

It is argued that an independent judiciary is a necessary condition for both individual liberty and economic prosperity. After having surveyed the literature dealing with how to arrange for an independent judiciary, the authors derive some additional policy implications by drawing on two...

Rational politicians are interested in judicial independence (JI) in order to make their promises credible. But if politicians preferences deviate from the dicta of the judiciary, they also have incentives to renege on judicial independence. These two conflicting aspects are measured by two...

It is argued that an independent judiciary is a necessary condition for both individual liberty and economic prosperity. After having surveyed the literature dealing with how to arrange for an independent judiciary, the authors derive some additional policy implications by drawing on two...

It is argued that an independent judiciary is a necessary condition for both individual liberty and economic prosperity. After having surveyed the literature dealing with how to arrange for an independent judiciary, the authors derive some additional policy implications by drawing on two...

This paper studies correlates and determinants of direct democracy institutions (DDIs), such as referendums and initiatives, based on the premise that constitutions themselves are endogenous. Our sample covers as many as 132 countries from 1950 to 2006. We find that the likelihood that a country...

This paper studies correlates and determinants of direct democracy institutions (DDIs), such as referendums and initiatives, based on the premise that constitutions themselves are endogenous. Our sample covers as many as 132 countries from 1950 to 2006. We find that the likelihood that a country...