Judicial Efficiency and Firm Productivity: Evidence from a World Database of Judicial Reforms

A-Tier
Journal: Review of Economics and Statistics
Year: 2020
Volume: 102
Issue: 1
Pages: 49-64

Score contribution per author:

4.036 = (α=2.02 / 1 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

I assemble and classify a database of judicial reforms funded by foreign aid agencies as either comprehensive (targeting all characteristics of quality, speed, access) or limited reform. A triple difference is used to compare firms in countries with or without judicial reforms, before and after reforms, and in sectors more or less reliant on contract enforcement mechanisms, due to their need for relationship-specific investments. I find that externally financed comprehensive judicial reforms improve perceptions of judiciary efficiency (for all firms) and firm productivity (for sectors relying on relationship-specific investments) by 0.15 and 0.09 (22%) standard deviation, respectively.

Technical Details

RePEc Handle
repec:tpr:restat:v:102:y:2020:i:1:p:49-64
Journal Field
General
Author Count
1
Added to Database
2026-01-25