economic policy, Global/Multiregional, Institutional reforms, institutions, CASE Reports, real convergence, CASE Network Studies and Analyses

Institutions and Convergence (preliminary version)


Institutional variables are the most important factor explaining real convergence. But what are institutions? This paper examines the relationship between institutions and policies, institutions and organisations, and formal and informal institutions. The concept of propelling and stabilizing institutions is introduced and used to explain differences in real convergence.