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Do institutions affect economic performance? While previous research is broadly consistent in reporting a positive effect of institutional improvements on economic outcomes, extensive heterogeneity exists in the empirical strategies used to explain these influences. This book contributes to the growing institutional literature by reporting a meta-regression investigation, which identifies the sources and consequences of such heterogeneity. It is useful for future researchers to learn how, and why, many studies overemphasize the "authentic" institutional effect in economics. This research is...

We empirically analyze the relationship between ethnic tensions, institutional and economic performance in Bosnia and Herzegovina (BiH), including a qualitative analysis of this issue for BiH and Macedonia. The research is conducted by a mixed methods approach, in which questionnaire surveys of the household and business sectors in BiH are supplemented by semi-structured interviews. We find that the most important factors affecting both individual economic performance and individual ethnic tolerance in BiH are employment status, education and age; they both singly and in combination move...