Für einzelne Länder ist es von Interesse zu erfahren, ob ihre institutionellen Regelungen diejenigen Eigenschaften aufweisen, mit denen erfahrungsgemäß ein hohes Wachstum des Pro-Kopf-Einkommens erreicht werden kann. Eine solche Einschätzung kann mit dem vom ifo Institut in Zusammenarbeit...

We investigate country heterogeneity in cross-country growth regressions. In contrast to the previous literature that focuses on low-income countries, this study also highlights growth determinants in high-income (OECD) countries. We introduce Iterative Bayesian Model Averaging (IBMA) to address...

We examine multinationals’ optimal entry modes into foreign markets as a function of market size, FDI fixed costs, tariffs and transport costs. Our results highlight why large countries are more likely to attract acquisition investment, while intermediate-sized countries may be served...

In this paper we examine the effect of tax policy on the relationship between inequality and growth in a two-sector non-scale model. With non-scale models, the longrun equilibrium growth rate is determined by technological parameters and it is independent of macroeconomic policy instruments....

Documenting the long term impact of institutions on economic performance has generated tremendous interest in the development literature. Contemporary or intermediate term effects of institutions over time are difficult to establish, however, since institutions seldom change significantly in the...

The hallmark of the recent development and growth literature is the quest to identify institutions that explain significant portions of the observed differences in living standards. There are two drawbacks to the prominent approaches that focus either on the global sample, or on developing...

Economic growth has been a showcase of model uncertainty, given the many competing theories and candidate regressors that have been proposed to explain growth. Bayesian Model Averaging (BMA) addresses model uncertainty as part of the empirical strategy, but its implementation is subject to the...