TY - RPRT AU - Belke, Ansgar H. AU - Bordon, Ingo AU - Melnykovska, Inna AU - Schweickert, Rainer TI - Prospective NATO or EU Membership and Institutional Change in Transition Countries PY - 2009/Oct/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 4483 UR - https://www.iza.org/publications/dp4483 AB - This paper quantifies the impact of incentives related to potential membership on institutional change as measured by the World Bank Governance Indicators (WBGI). Based on a panel of 25 transition countries for the period from 1996 to 2008 we show that pre-accession incentives provided by EU and NATO clearly matter for institutional development. In addition, path-dependency determined by cultural norms may be overcome by economic liberalization while foreign aid seems to hamper institutional development. KW - institutional change KW - transition economies KW - NATO KW - EU KW - governance ER -