This paper extends the debate over the effect of institutions on GDP and growth in GDP by arguing that levels of institutional indicators have a `double-whammy' effect by modifying the effects of policy on GDP and growth in GDP and affecting the levels of policy enacted themselves. We test this...

This paper presents an analysis of the interaction of human capital investment and the development of social and political institutions. We find that human capital mattersmdash;for growth through its quality dimension; for distributional conflict by raising political aspirations. But human...