Endogenous Institutions, Political Participation And Economic Growth

The study on economic growth has long been the center of economic research,and many economists at home and abroad have put forward their own theoretical views on the source of economic growth and economic growth mechanism.Among them,the neoclassical economics school generally believes that material and human capital and technological progress factors are the ultimate source of economic growth,and this view is dominant.Until the 1960 s new institutional economic school thinks Institutions is the most important factor affecting economic growth.The way on which the Institutions affect the problem of economic growth has led to countless scholars to explore.Douglass North has pointed out that "the very complex internal relationship between politics and economy is something we should consider when we understand any kind of economic performance",and political participation as an important way for ordinary people to participate in political life is carried out under certain institutional arrangements.Institutions for the general public's political participation in the selection of sets and constraints sets,micro-public participation in the general public has a huge impact.The Institutions provide political participation with select sets and constraint sets,The Institutions has a great influence on the general public political participation.Good Institutions optimize the rights of the general publics and improve the level of their political participation.And political participation is not only conducive to the realization of human free development and interests of the demands,but also increased the economic power of the general public.It promotes the general public to give full play to human capital,and actively participate in economic creation,and ultimately promote social and economic growth.Based on this,as a study of effect of Institutions to economic growth,this article puts forward the middle process of political participation and examines the path of institutional-political participation-economic growth.This paper first introduces Economic growth theory and the relationship between Political Participation and Economic Growth,Institutions and Institutional Change and Political Participation.On that basis,I construct the theory of system endogenous,political participation and economic growth,and put forward two propositions of political participation related to economic growth and the Institutions through political participation path to affect economic growth.Then,according the way on which the public carry out political participation,I find some of the indicators.Using the proxy variable of political participation and control variables of the consumption of residents,investment in fixed assets,the buy of government and GDP variable to establish a panel data model,I empirically analyze the relationship between political participation and economic growth.Establishing the state space model of economic growth in which is Institutions internalized,I empirically analyze the relationship Institutions,political participation,and economic relations.The results of the first empirical model found that,in addition to the five provinces of the data is not significant,the political participation of the majority of provinces have a significant impact on economic growth,and the second model found that the system can be affected by political participation in economic growth,which are the main conclusions of this article.At the same time in the theoretical model and empirical model construction,I draw the other three conclusions: First,political participation is an important means of influencing the constraints of public behavior,and high level political participation give the public more freedom and economic rights and promote economic growth;Second,social organizations can bring new economic growth point,and is beneficial to maintaining the market order and creating a stable economic growth environment;Third,the institutional changes in the economically developed regions show stronger inducement,which can bring about rapid economic growth,but backward areas are more mandatory institutional changes which contribute less to economic growth.Finally,according to the conclusion,I put forward to improve the relevant system construction,broaden the channels of political participation,promote the organization,and improve the political participation of relevant laws and other policy recommendations,which can improve the Institutions and the level of public political participation.In order to make the general public enjoy free development,at the same time take more participation in social activities,which can bring further promote economic growth.