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The Grand Pattern of Development and the Transition of Institutions

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  • Paldam,Martin

Abstract

The culmination of a long-lasting and impressive research program, this book summarizes the relationship between economic development with income on the one hand and the evolution of institutions on the other; the transition of countries from one economic and social system to another. The author considers the transitions of two types of institutions: The first is external; it is legal-administrative systems with staff and buildings. The political system and the economic system are considered. The second consists of traditions and beliefs. Here corruption and religiosity are considered. Contrary to the claim that institutions are causal to development, this book demonstrates that the main direction of causality is from income to institutions. As countries get wealthy, they become secular democracies with low corruption and a mixed economic system. In this impressive coda, Paldam shows that the evolution of institutions is not causal to the economic growth process but rather follows it.

Suggested Citation

  • Paldam,Martin, 2021. "The Grand Pattern of Development and the Transition of Institutions," Cambridge Books, Cambridge University Press, number 9781316515501, January.
    • Handle: RePEc:cup:cbooks:9781316515501
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    Cited by:

    1. Paldam, Martin, 2024. "Income, growth, and democracy looking for the main causal directions in the nexus," European Journal of Political Economy, Elsevier, vol. 83(C).
    2. Niclas Berggren & Christian Bjørnskov, 2022. "Political institutions and academic freedom: evidence from across the world," Public Choice, Springer, vol. 190(1), pages 205-228, January.
    3. Paldam, Martin, 2021. "The transition of corruption institutions and dynamics," European Journal of Political Economy, Elsevier, vol. 67(C).
    4. Janus, Thorsten, 2023. "Short and long run democracy diffusion," European Journal of Political Economy, Elsevier, vol. 78(C).
    5. Martin Paldam, 2021. "Measuring Democracy - Eight indices: Polity, Freedom House and V-Dem," Economics Working Papers 2021-10, Department of Economics and Business Economics, Aarhus University.
    6. Askarov, Zohid & Doucouliagos, Hristos & Paldam, Martin & Stanley, T.D., 2022. "Rewarding good political behavior: US aid, democracy, and human rights," European Journal of Political Economy, Elsevier, vol. 71(C).
    7. Martin Paldam, 2023. "Meta‐mining: The political economy of meta‐analysis," Kyklos, Wiley Blackwell, vol. 76(1), pages 125-140, February.

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