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Beliefs, Institutional Change and Economic Growth: Evidence from Dubai

Harvey, Scott LU (2017) EKHM52 20171
Department of Economic History
Abstract
Abstract: This study develops, presents and evidences a belief model of institutional change. Drawing on a range of theoretical approaches from institutional economics, the model states that institutions change when an environmental factor alters the beliefs of the population or the elites. Further, a society will only be internally stable when the beliefs of these two groups align, and will only remain stable if these aligned beliefs are ‘good’ – i.e. they promote economic growth. The model is applied to the history of Dubai, the United Arab Emirates and the Gulf, and it is demonstrated that without an understanding of beliefs it is extremely difficult to explain the prosperity of the region. The study concludes that a greater... (More)
Abstract: This study develops, presents and evidences a belief model of institutional change. Drawing on a range of theoretical approaches from institutional economics, the model states that institutions change when an environmental factor alters the beliefs of the population or the elites. Further, a society will only be internally stable when the beliefs of these two groups align, and will only remain stable if these aligned beliefs are ‘good’ – i.e. they promote economic growth. The model is applied to the history of Dubai, the United Arab Emirates and the Gulf, and it is demonstrated that without an understanding of beliefs it is extremely difficult to explain the prosperity of the region. The study concludes that a greater appreciation of beliefs can help economic historians to explain anomalous outcomes, and that this is significant in the field of institutions given that such anomalies can produce or destroy civilisations. (Less)
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author
Harvey, Scott LU
supervisor
organization
course
EKHM52 20171
year
type
H2 - Master's Degree (Two Years)
subject
keywords
Institutions, Beliefs, Economic Growth, Dubai
language
English
id
8916872
date added to LUP
2017-06-21 08:46:38
date last changed
2017-06-21 08:46:38
@misc{8916872,
  abstract     = {Abstract: This study develops, presents and evidences a belief model of institutional change. Drawing on a range of theoretical approaches from institutional economics, the model states that institutions change when an environmental factor alters the beliefs of the population or the elites. Further, a society will only be internally stable when the beliefs of these two groups align, and will only remain stable if these aligned beliefs are ‘good’ – i.e. they promote economic growth. The model is applied to the history of Dubai, the United Arab Emirates and the Gulf, and it is demonstrated that without an understanding of beliefs it is extremely difficult to explain the prosperity of the region. The study concludes that a greater appreciation of beliefs can help economic historians to explain anomalous outcomes, and that this is significant in the field of institutions given that such anomalies can produce or destroy civilisations.},
  author       = {Harvey, Scott},
  keyword      = {Institutions,Beliefs,Economic Growth,Dubai},
  language     = {eng},
  note         = {Student Paper},
  title        = {Beliefs, Institutional Change and Economic Growth: Evidence from Dubai},
  year         = {2017},
}