The model presented in this paper is in between RMSM-X and RMSM-XX in that, unlike RMSM-X, it does incorporate behavioural functions for the main macroeconomic variables, namely private consumption, private investment, money demand, demand for quasi money,export supply, and import demand....

High-quality institutions -- reflected in such factors as rule of law, bureaucratic quality, freedom from government expropriation, and freedom from government repudiation of contracts -- mitigate the adverse economic effects of ethnic fractionalization identified by Easterly and Levine (1997)...

There is systematic contagion across national borders. Favorable or unfavorable growth performance of one's neighbors tends to influence one's own long-run growth rate. Policy choices are also contagious across borders. While improving policies alone boosts growth substantially, the growth...

We provide evidence that increased political influence, arising from CIA interventions during the Cold War, was used to create a larger foreign market for American products. Following CIA interventions, imports from the US increased dramatically, while total exports to the US were unaffected....

The World Development Report (WDR) has become such a fixture that it is easy to forget the circumstances under which it was born and the Bank's motivation for producing such a report at that time. In the first chapter of this essay, the authors provide a brief background on the circumstances of...

This paper describes a simple model of technology adoption which combines the two engines of growth emphasized in the recent growth literature: human capital accumulation and technological progress. Our model economy does not create new technologies, it simply adopts those that have been created...