TY  - JOUR
AB  - This paper applies the statistical concepts of σ-convergence and unconditional
β-convergence to institutional development within several country groups hierarchized to
the degree of European integration (e.g., euro area). Two sets of indicators are employed
to measure institutional development: first, the Worldwide Governance Indicators, and
second, the product market regulation indicator of the OECD and the Doing Business
distance to frontier indicator of the World Bank. The authors can clearly confirm
institutional β-convergence within the EU and its aspirants, which is mainly driven by the
new Member States and acceding, candidate, and potential candidate countries. However,
euro-area countries converge only in the area of product market and business regulation—
not in the area of governance. In fact, the authors show evidence for β-divergence in rule
of law within the first twelve euro-area members. Concerning σ-convergence, the results
are less clear. Only the EU including the EU-aspirants reduced the cross-country variance
in all aspects of institutional development.
DA  - 2019
DO  - 10.5018/economics-ejournal.ja.2019-3
KW  - Institutional convergence
KW  - governance
KW  - product market regulation
KW  - business regulation
KW  - European integration
LA  - eng
IS  - 3
PY  - 2019
SN  - 1864-6042
T2  - Economics: The Open-Access, Open-Assessment E-Journal
TI  - Institutional convergence in Europe
UR  - https://nbn-resolving.org/urn:nbn:de:0070-pub-29330089
Y2  - 2024-11-22T09:34:11
ER  -