A new discussion paper by Tamás Vonyó and Alexander Klein, KDPE 1708, April 2017.
The role of institutions features prominently in comparative studies of economic development. Eastern Europe after 1945 provides a textbook case, where relative decline in income per head and productivity has been linked to institutional failure. The inefficiency of central planning compared to the market economy is well established both theoretically and empirically. The socialist system, it has been argued, was relatively successful in mobilizing resources but stifled innovation and entrepreneurship. Planned economies thus achieved ‘a satisfactory productivity performance in the era of mass production, but could not adapt to the requirements of flexible production technology’ (Broadberry and Klein 2011, p. 37).
A new discussion paper by Raquel Campos, Fernanda L. L. de Leon and Ben McQuillin, KDPE 1707, April 2017.
When an academic participates in a large conference, her likelihood of subsequently writing a paper with at least one participant at the conference increases by one-sixth (close to 18%). Moreover, it seems that conferences improve the quality of matching among co-authors, leading to papers that are published in higher-ranked journals.
A new discussion paper by Amrit Amirapu, KDPE 1706, February 2017.
Commerce and manufactures can seldom flourish long in any state which does not enjoy a regular administration of justice, ... in which the faith of contracts is not supported by law... Adam Smith, The Wealth of Nations, Book V, Chapter III
Are well-functioning formal judicial institutions important for growth and development? Some - including Adam Smith - have argued that they are needed to ensure efficient contract enforcement. Others have argued that informal contracting arrangements such as relational contracts, social norms or kinship networks can provide workable substitutes (Acemoglu and Johnson(2005)).
A new discussion paper by Masaru Inaba and Keisuke Otsu, KDPE 1705, March 2017.
The objective of this paper is to construct a dataset of Japanese prefecture level production, income and expenditure data and analyze the Japanese regional growth and business cycle features. The 47 prefectures are analyzed individually and also as 10 regional groups; Hokkaido, Tohoku, Kanto, Chubu, Kinki, Chugoku, Shikoku, Kyushu and Okinawa.