Institutions and Economic Performance in Mexican States

MPRA Paper from University Library of Munich, Germany

Abstract: This paper investigates the relationship between institutional quality and economic performance the 32 Mexican states over the period 2003 -- 2010. Using dynamic panel GMM estimation and the Fraser Institutes index of economic freedom, I find that freedom has an ambiguous impact on economic growth and improvements undermines employment. These results are corroborated with dynamic OLS model and panel fixed and random effects models.

Keywords: Institutions; Economic Performance \& Growth; Mexico; Dynamic Panel (search for similar items in EconPapers)
JEL-codes: E02 O43 O54 (search for similar items in EconPapers)
Date: 2014, Revised 2014-06-15
New Economics Papers: this item is included in nep-fdg, nep-gro and nep-mac
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:58368

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