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Exiting the middle-income trap entails costly improvements in state capacity. That deep economic integration induces powerful actors to support increasing state capacities remain underresearched. Here we ask: Under what conditions can deep economic integration yield increases in state capacity?...
Persistent link: https://www.econbiz.de/10012064709
Poorer countries have a much smaller public sector and correspondingly a smaller tax burden than richer countries, yet, their economic performance has not been necessarily better. Using a simple model, this paper suggests that the growth and welfare effects of taxation are mediated through...
Persistent link: https://www.econbiz.de/10010278302
Entrepreneurship is usually identified as an important determinant of aggregate productivity and long-term growth. The determinants of entrepreneurship, nevertheless, are not entirely understood. A recent literature has linked entrepreneurship to the development of the justice system. This paper...
Persistent link: https://www.econbiz.de/10010278593
Entrepreneurship is usually indentified as an important determinant of aggregate productivity and long-term growth. The determinants of entrepreneurship, nevertheless, are not entirely understood. A recent literature has linked entrepreneurship to the development of the justice system. This...
Persistent link: https://www.econbiz.de/10011807415
European area as far as informal institutions are concerned; moreover, the analysis conducted confirms the existence of a … significant relation between the level of development and the structure of informal arrangements such as: trust level, bribe …
Persistent link: https://www.econbiz.de/10012017111
Policy interest since the early 1980s has focused in different ways on the crea-tion of a large, productive, taxable economy - in which entrepreneurship plays a role for employment, income growth and innovation. The current understanding of various forms of entrepreneurship remains incomplete,...
Persistent link: https://www.econbiz.de/10010271774
computational experiments to study the roles of generalized trust and social control for the stability and efficiency of IVTS …. Previous literature was ambiguous with regard to: (i) how trust and control should be operationalized formally, (ii) which, if … experiments suggest answers to all these questions. We show that both trust and control are necessary, but not sufficient to …
Persistent link: https://www.econbiz.de/10011752637
television in the formation of political consensus in Italy. Based on probit and instrumental variables estimates, we find trust … in television to be the most significant predictor of trust in the Italian prime minister. The latter is also strongly … and negatively correlated with trust in the judicial system and tolerance towards immigrants. …
Persistent link: https://www.econbiz.de/10011496156
Social trust is linked to many desirable economic and social outcomes, but the causality between trust and institutions … institutions and norms (such as corruption perceptions, average trust levels and various aspects of economic freedom) on social … trust. The results suggest that individual trust suffers in countries with high corruption, low trust and low legal quality …
Persistent link: https://www.econbiz.de/10011794598
Does self-governance, a hallmark of democratic societies, foster or erode norms of generalized cooperation? Does this effect persist, and if so, why? I investigate these questions using a natural experiment in Switzerland. In the middle-ages, the absence of an heir resulted in the extinction of...
Persistent link: https://www.econbiz.de/10013272192