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The Economic Consequences of Legal Origins

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2008

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American Economic Association
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La Porta, Rafael, Florencio Lopez-de-Silanes, and Andrei Shleifer. 2008. The economic consequences of legal origins. Journal of Economic Literature 46(2): 285-322.

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In the last decade, economists have produced a considerable body of research suggesting that the historical origin of a country’s laws is highly correlated with a broad range of its legal rules and regulations, as well as with economic outcomes. We summarize this evidence and attempt a unified interpretation. We also address several objections to the empirical claim that legal origins matter. Finally, we assess the implications of this research for economic reform.

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