Revue d'économie et de statistique appliquée
Volume 11, Numéro 2, Pages 391-410
2014-12-31

The Effect Of Institutions And Governance On Economic Growth With A Reference To The Case Of Algeria Over The Period 1970-00



Authors : Raad Ali .

Abstract

The objective of this article is to investigate the effect of institutions and governance on per capita GDP growth. A Solow type model augmented by a measure of institutional quality and governance is estimated over the period 1970-00. Our results show that institutions are significantly and positively linked to per capita GDP growth. Their contribution to Algeria’s fitted per capita GDP growth over the period of study is negative. The rest of this work is organized as follows. A brief review of the literature is given in the introduction. Section 2 presents the benchmarking of Algeria in terms of growth and institutions. Section 3 deals with the econometric part of this work. Conclusions and suggestions make the last section of this work.

Keywords

institutions , governance , GDP growth

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