Does Institutions effect growth in Pakistan? An Empirical investigation

Siddiqui, Danish Ahmed and Ahmed, Qazi Masood (2009): Does Institutions effect growth in Pakistan? An Empirical investigation.

Abstract

This paper presents an index of institutionalized social technologies for Pakistan, covering its two main dimensions namely Risk reducing technologies and Anti Rent seeking technologies and in turn covers several social, institutional, political and economic aspects. It is also analyzed empirically whether the overall index as well as sub-indexes constructed to measure the single dimensions affects economic growth. The results show that over all, institutions promote growth in long run for Pakistan. . Therefore for a policy implication, success of any policy could be influenced by the soundness of institutions.

• Item Type: MPRA Paper
• Language: English
• Keywords: institutions; social technologies; pakistan; index; GMM; social capital; growth; narmalization; weighting; aggregation; rent seeking; risk
• Subjects: C - Mathematical and Quantitative Methods > C4 - Econometric and Statistical Methods: Special Topics > C43 - Index Numbers and Aggregation; Z - Other Special Topics > Z1 - Cultural Economics ; Economic Sociology ; Economic Anthropology; O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O43 - Institutions and Growth; Z - Other Special Topics > Z1 - Cultural Economics ; Economic Sociology ; Economic Anthropology > Z13 - Economic Sociology ; Economic Anthropology ; Social and Economic Stratification; P - Economic Systems > P4 - Other Economic Systems > P48 - Political Economy ; Legal Institutions ; Property Rights ; Natural Resources ; Energy ; Environment ; Regional Studies; D - Microeconomics > D7 - Analysis of Collective Decision-Making > D72 - Political Processes: Rent-Seeking, Lobbying, Elections, Legislatures, and Voting Behavior

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