Do Institutions Matter More For Services ?

Recent empirical research has focused on the role of institutions in overall economic performance. This paper examines the impact of institutions on the relative performance of the service sector. Through cross-country level and growth regressions it establishes the following stylized fact: countrie...

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Bibliographic Details
Main Author: Amin, Mohammad
Other Authors: Mattoo, Aaditya
Format: eBook
Language:English
Published: Washington, D.C The World Bank 2006
Subjects:
Online Access:
Collection: World Bank E-Library Archive - Collection details see MPG.ReNa
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653 |a Government 
653 |a Macroeconomics and Economic Growth 
653 |a E-Business 
653 |a Legal Products 
653 |a Governance 
653 |a Judicial Independence 
653 |a Legal Framework 
653 |a Social Protections and Labor 
653 |a Legal Frameworks 
653 |a Law and Development 
653 |a Civil Law 
653 |a Medium 
653 |a Corruption 
653 |a Accountability 
653 |a Children and Youth 
653 |a Private Sector Development 
653 |a Police 
653 |a Laws 
653 |a Finance and Financial Sector Development 
653 |a Economic Theory and Research 
653 |a Gender and Law 
653 |a Labor Policies 
653 |a Bribe 
653 |a Corruption and Anticorruption Law 
653 |a Public Sector Corruption and Anticorruption Measures 
653 |a Bank 
653 |a Gender 
700 1 |a Mattoo, Aaditya 
700 1 |a Amin, Mohammad 
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082 0 |a 330 
520 |a Recent empirical research has focused on the role of institutions in overall economic performance. This paper examines the impact of institutions on the relative performance of the service sector. Through cross-country level and growth regressions it establishes the following stylized fact: countries with better institutions have relatively larger and more dynamic service sectors. It suggests that regulatory and contract enforcing institutions play a key role in the development of service sectors because these sectors enter into a more complex web of transactions with the rest of the economy and are more prone to market failure due to asymmetric information