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Determinants of institutional quality: an empirical exploration

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  • José Antonio Alonso
  • Carlos Garcimartin
  • Virmantas Kvedaras

Abstract

Recent literature has underlined the role that institutions play in the process of development, making it essential to understand why differences exist in the quality of institutions across countries. The goal of this study is to investigate the determinants of institutional quality. Our results confirm that institutional quality is conditioned by variables that can be modulated by public policy, such as income per capita, international openness, education, taxation, and patterns of income (re)distribution. Our conclusions differ from the pessimistic outlooks of works highlighting deterministic factors, such as colonial or geographical factors, as determinants of institutional quality.

Suggested Citation

  • José Antonio Alonso & Carlos Garcimartin & Virmantas Kvedaras, 2020. "Determinants of institutional quality: an empirical exploration," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 23(2), pages 229-247, July.
    • Handle: RePEc:taf:jpolrf:v:23:y:2020:i:2:p:229-247
    DOI: 10.1080/17487870.2020.1719102
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    Cited by:

    1. Gandjon Fankem, Gislain Stéphane & Feyom, Cédric, 2024. "Does trade openness improve or worsen public governance in sub-Saharan Africa?," International Economics, Elsevier, vol. 178(C).
    2. Cemil Kuzey & Ali Uyar & Amal Hamrouni & Merve Kilic & Rim Boussaada, 2021. "The link between institutional quality, ethical behaviors of firms, and market regulations on stock market developments," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 42(4), pages 998-1021, June.
    3. Hak Yeung & Jürgen Huber, 2022. "Further Evidence on China’s B&R Impact on Host Countries’ Quality of Institutions," Sustainability, MDPI, vol. 14(9), pages 1-17, May.
    4. Sèna Kimm Gnangnon, 2023. "Effect of Aid-for-Trade Flows on Investment-Oriented Remittance Flows," JRFM, MDPI, vol. 16(2), pages 1-36, February.

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