The premise of our analysis is that development requires both institutions and the knowledge how to use the institutions; neither is effective on its own. This suggests that the debate over whether institutions or human capital cause growth (discussed in Glaeser, et al., 2004) may be framed too restrictively. Our other premise – that there are two types of education and both must be considered to account for development – suggests that accounts of development that rely on unidimensional metrics of human capital may leave out an important part of the story.

O modelo, puramente teórico, está aqui. A discussão vai longe. A discussão sobre como surgem instituições e como o desenvolvimento econômico dispara é pano para manga…