Jump to ContentJump to Main Navigation
Markets, Governance, and Institutions in the Process of Economic Development$
Users without a subscription are not able to see the full content.

Ajit Mishra and Tridip Ray

Print publication date: 2017

Print ISBN-13: 9780198812555

Published to Oxford Scholarship Online: December 2017

DOI: 10.1093/oso/9780198812555.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (www.oxfordscholarship.com). (c) Copyright Oxford University Press, 2020. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 18 January 2020

On Quality Traps and Economic Development

On Quality Traps and Economic Development

Chapter:
(p.159) 10 On Quality Traps and Economic Development
Source:
Markets, Governance, and Institutions in the Process of Economic Development
Author(s):

Patrick M. Emerson

Publisher:
Oxford University Press
DOI:10.1093/oso/9780198812555.003.0010

This chapter considers the interdependence among the quality levels of government institutions. Citizens of democratic societies are consumers of institutional output and the quality they demand from individual institutions is posited to be a function of the joint quality of all institutional output. Specifically, the quality of institutions is hypothesized to enter into consumers’ preferences in a supermodular fashion. An implication of this is that citizens will tend to desire institutions of the same quality; thus resource constrained democratic governments will tend to match the quality level of their complementary institutions. The Nash equilibrium concept is employed to show that multiple equilibria will result, and that a stable equilibrium exists at a low level of quality.

Keywords:   quality, complementarity, supermodularity, underdevelopment, multiple equilibria

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .