Abstract: | Economic development has become a prominent issue for stategovernments. Nevertheless, states vary in the economic policiesthey choose. Two general approaches to the issue are discussed:the maintenance/attraction strategy and the creation strategy.Factor analysis allows us to gauge state effort on these twocriteria. Regression analysis shows that political culture isan important factor in predicting which approach a state chooses,with traditionalistic states favoring the maintenance/attractionstrategy, and moralistic states favoring the creation alternative.Other predictors of state policy choices include the conditionof the economy and the diffusion of innovations. Also discussedis the interaction of political culture with other relevantvariables in shaping state policies. |