Main Article Content
Abstract
This study aims at finding possible links between the economic performance and institutional quality of provinces and cities in Vietnam by using regression analysis. The economic performance is measured by Net revenue of all firms in each province or city. The institutional quality is representative with Provincial Competitiveness Index (PCI) of respective province or city. For regression models, while the dependent variable is economic performance of provinces, PCI is used as the key independent variable. Labor and capital are main production factors of the economic performance, so they are also included in the regression models. The data of the years 2012 and 2013 collected from sixty-three provinces and cities in Vietnam is used in the study. The study shows a link between the economic performance and the institutional quality of provinces and cities in Vietnam.
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References
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- Bobinaite, V., A. Juozapaviciene, and I. Konstantinaviciute. 2011. Regression analysis of Gross Domestic Product and its factors in Lithuania. Economic and management 16: 116-126.
- Canh, N. T. Phong N. A., and Son T. H. 2011. Factors affecting the Vietnam economic growth. Banking Technology Journal Vol. Jan-Feb: 13-21.
- Dang, D. A. 2013. How foreign direct investment promote institutional quality: Evidence from Vietnam. Journal of Comparative Economics 41: 1054-1072.
- Dong, Z. and Y. Zhang. 2016. Accumulated social capital, institutional quality, and economic performance: Evidence from China. Economic Systems 40: 206-219.
- Hartley, K. 2014. The role of governance innovation in fostering regional competitiveness: Linking market reforms with economic outcomes in Vietnam’s provinces. IPSA 2014.
- Hodgson, J. M. 2006. What are institutions? Journal of Economic Issues Vol. XL, No. 1.
- Jack, K. 1992. Institutions and Social Conflict. Cambridge University Press, Cambridge.
- Le, T.N. and V.T. Nguyen. 2014. Determinants of economic performance of provinces and cities in Vietnam. A paper presented in the 5th International Seminar of Regional Network on Poverty Eradication (RENPER5). Ho Chi Minh city, Vietnam, 22-24 Oct 2014.
- Li, P., Y. Lu, and J. Wang. 2016. Does flattening government improve economic performance? Evidence from China. Journal of Development Economics 123: 18-37.
- Malesky, E. and M. Taussig. 2009. Out of the gray: The impact of provincial institutions on business formalization in Vietnam. Journal of East-Asian Studies 9: 249-290.
- McCulloch, N., E. Malesky, and D.N. Nguyen. 2013. Does better provincial governance boost private investment in Vietnam? Institute of Development Studies - Working Paper, 414.
- Nelson, R.R. and B.N. Sampat. 2001. Making sense of institutions as a factor shaping economic performance. Journal of Economic Behavior and Organization 44: 31-54.
- North, D.C. 1991. Institutions. The Journal of Economic Perspectives 5 (1): 97-112.
- Pan, W.H. and X.T. Ngo. 2016. Endogenous theory growth and regional performance: The moderating effects of special economic zones. Communist and Post-communist Studies 49: 113-122.
- Phan, H.V. 2013. Effects of changes in provincial governance on the economic performance of the business sectors: An empirical study using Vietnam’s provincial competitiveness index. Waseda Business and Economic Studies 49.
- Statistical Year Book of Vietnam 2013. 2014. General Statistics Office (GSO). Statistics Publishing House, Hanoi.
- Stiglits, J., A. Sen, and Fitoussi. 2008. The measurement of economic performance and social progress revisited. Reflections and overview. Commission on the Measurement of Economic Performance and Social Progress, Paris.
- Thai, T.H. and T.V.H. Le. 2012. Identifying the public administration reform performance through the lens of provincial competitiveness index and GDP per capita in Vietnam. Modern Economy 3: 11-15.
- Tolo, W.B.J. 2011. The determinants of economic growth in the Philippines: A new look. IMF working paper.
- Tran, T.B., R.Q. Grafton, and T. Kompas. 2009. Institutions matter: The case of Vietnam. The Journal of SocioEconomics 38: 1-12.
- Vietnam Chamber of Commerce and Industry (VCCI) and US Agency for International Development (USAID). 2013. Provincial Competitiveness Index of Vietnam 2013 - Profiles of 63 provinces and cities in Vietnam.
- Yildirim, A. and M.F. Gokalp. 2016. Institutions and economic performance: A review on the developing countries. Procedia Economics and Finance 38: 347-359.
References
Barro, R.J. 1999. Determinants of economic growth: Implications of the global evidence for Chile. Cuardenos de Economia 177: 443-478.
Bobinaite, V., A. Juozapaviciene, and I. Konstantinaviciute. 2011. Regression analysis of Gross Domestic Product and its factors in Lithuania. Economic and management 16: 116-126.
Canh, N. T. Phong N. A., and Son T. H. 2011. Factors affecting the Vietnam economic growth. Banking Technology Journal Vol. Jan-Feb: 13-21.
Dang, D. A. 2013. How foreign direct investment promote institutional quality: Evidence from Vietnam. Journal of Comparative Economics 41: 1054-1072.
Dong, Z. and Y. Zhang. 2016. Accumulated social capital, institutional quality, and economic performance: Evidence from China. Economic Systems 40: 206-219.
Hartley, K. 2014. The role of governance innovation in fostering regional competitiveness: Linking market reforms with economic outcomes in Vietnam’s provinces. IPSA 2014.
Hodgson, J. M. 2006. What are institutions? Journal of Economic Issues Vol. XL, No. 1.
Jack, K. 1992. Institutions and Social Conflict. Cambridge University Press, Cambridge.
Le, T.N. and V.T. Nguyen. 2014. Determinants of economic performance of provinces and cities in Vietnam. A paper presented in the 5th International Seminar of Regional Network on Poverty Eradication (RENPER5). Ho Chi Minh city, Vietnam, 22-24 Oct 2014.
Li, P., Y. Lu, and J. Wang. 2016. Does flattening government improve economic performance? Evidence from China. Journal of Development Economics 123: 18-37.
Malesky, E. and M. Taussig. 2009. Out of the gray: The impact of provincial institutions on business formalization in Vietnam. Journal of East-Asian Studies 9: 249-290.
McCulloch, N., E. Malesky, and D.N. Nguyen. 2013. Does better provincial governance boost private investment in Vietnam? Institute of Development Studies - Working Paper, 414.
Nelson, R.R. and B.N. Sampat. 2001. Making sense of institutions as a factor shaping economic performance. Journal of Economic Behavior and Organization 44: 31-54.
North, D.C. 1991. Institutions. The Journal of Economic Perspectives 5 (1): 97-112.
Pan, W.H. and X.T. Ngo. 2016. Endogenous theory growth and regional performance: The moderating effects of special economic zones. Communist and Post-communist Studies 49: 113-122.
Phan, H.V. 2013. Effects of changes in provincial governance on the economic performance of the business sectors: An empirical study using Vietnam’s provincial competitiveness index. Waseda Business and Economic Studies 49.
Statistical Year Book of Vietnam 2013. 2014. General Statistics Office (GSO). Statistics Publishing House, Hanoi.
Stiglits, J., A. Sen, and Fitoussi. 2008. The measurement of economic performance and social progress revisited. Reflections and overview. Commission on the Measurement of Economic Performance and Social Progress, Paris.
Thai, T.H. and T.V.H. Le. 2012. Identifying the public administration reform performance through the lens of provincial competitiveness index and GDP per capita in Vietnam. Modern Economy 3: 11-15.
Tolo, W.B.J. 2011. The determinants of economic growth in the Philippines: A new look. IMF working paper.
Tran, T.B., R.Q. Grafton, and T. Kompas. 2009. Institutions matter: The case of Vietnam. The Journal of SocioEconomics 38: 1-12.
Vietnam Chamber of Commerce and Industry (VCCI) and US Agency for International Development (USAID). 2013. Provincial Competitiveness Index of Vietnam 2013 - Profiles of 63 provinces and cities in Vietnam.
Yildirim, A. and M.F. Gokalp. 2016. Institutions and economic performance: A review on the developing countries. Procedia Economics and Finance 38: 347-359.