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A growing body of new empirical work has measured different types of cultural traits, showing that culture matters for a variety of economic outcomes. This paper focuses on one specific aspect of t...
A growing body of new empirical work has measured different types of cultural traits, showing that culture matters for a variety of economic outcomes. This paper focuses on one specific aspect of the relevance of culture: its relationship with institutions. Evidence from theoretical, empirical, and historical examples is reviewed to critically asses the presence of a two-way causal effect between culture and institutions.