Economic development and the geography of institutions
发现,除了本国制度质量,邻国的制度质量也影响一国人均GDP,表明相对地理(国家间的空间联系)对经济发展同样重要。
To explain cross-country income differences, research has recently focused on the so-called deep determinants of economic development, notably institutions and geography. This article shows that it is not only absolute geography, in terms of for instance climate or being landlocked, but also relative geography, the spatial linkages between countries, that matters for a country's GDP per capita. More specifically, we analyze the importance of the geography of institutions. We show that apart from its own institutions, the institutional quality in neighboring countries is also important for a country's economic development. This finding is robust to various alternative specifications of relative geography, sample size and the inclusion of additional controls.