Political Institutions, Public Policy and Economic Growth

The argument of the Rise and Decline of Nulions (RADON) opens up a new area of important social science research: to understand the social and political setting of economic growth. The paper tests the argument that institutionalization leads fo the decline of nafions slowing down the rate of economic growth. Employing several indicators on economic growth and controlling for a number of factors the finding with regard to the OECD-nations is that the Olson emphasis on institutionalization is confirmed.