Political Economy and Institutions (ECON442) | GSÜ

Content

Objective

The course aims to examine the application of economic theory to social and political issues through selected articles and to provide an understanding of different approaches in institutional economics using quantitative methods.

Course Content

The course will primarily be structured around articles assigned each week. Following student presentations, the topics will be discussed from conceptual and methodological perspectives and assessed using a comparative approach.

Course Learning Outcomes

Examination and discussion of comparative studies; analysis of theoretical and empirical methods through selected articles.

Teaching and Learning Methods

Article analysis; analysis of quantitative methods.

References

Weeks 1–3 – Institutions and Development
Acemoglu, D., Johnson, S., & Robinson, J. A. (2001). “The Colonial Origins of Comparative Development: An Empirical Investigation.” American Economic Review.

Week 4 – Factor Endowment Hypothesis
Easterly, W. (2007). “Inequality Does Cause Underdevelopment: Insights from a New Instrument.” Journal of Development Economics.

Week 5 – Emergence of Democracy I
Acemoglu, D., & Robinson, J. A. (2005). Economic Origins of Dictatorship and Democracy, Chapters 1–3.

Week 6 – Emergence of Democracy II / Limited Access Orders
Van Bavel, B., Ansink, E., & Van Besouw, B. (2017). “Understanding the Economics of Limited Access Orders.” Journal of Institutional Economics.

Week 7 – Economic Rules vs. Institutions
Acemoglu, D., & Robinson, J. A. (2015). “The Rise and Decline of General Laws of Capitalism.” Journal of Economic Perspectives.

Week 8 – Identity Matters
Greif, A. (1994). “Cultural Beliefs and the Organization of Society.” Journal of Political Economy.

Week 9 – Culture and Its Relevance
Guiso, L., Sapienza, P., & Zingales, L. (2006). “Does Culture Affect Economic Outcomes?” Journal of Economic Perspectives.

Week 10 – Economic Incentives and Endowments
Banerjee, A., & Iyer, L. (2005). “History, Institutions, and Economic Performance: The Legacy of Colonial Land Tenure Systems in India.” American Economic Review.

Week 11 – Middle East and Institutional Heritage
Kuran, T. (2004). “Why the Middle East Is Economically Underdeveloped: Historical Mechanisms of Institutional Stagnation.” Journal of Economic Perspectives.

Week 12 – Trust
Nunn, N., & Wantchekon, L. (2011). “The Slave Trade and the Origins of Mistrust in Africa.” American Economic Review.

Week 13 – Social Structures: Gender Roles and Culture
Alesina, A., Giuliano, P., & Nunn, N. (2013). “On the Origins of Gender Roles: Women and the Plough.” Quarterly Journal of Economics.

Week 14 – Constitutions and Economic Performance
Blume, L., Müller, J., Voigt, S., & Wolf, C. (2009). “The Economic Effects of Constitutions: Replicating and Extending Persson and Tabellini.” Public Choice.

Weekly Contents

Theory Topics
Week	Weekly Contents
1	Concept of Institution and social conflict
2	Economic origins of democracy 1
3	Economic origins of democracy 2
4	Factor endowment hypothesis
5	Economic laws and institutions
6	Cultural beliefs and the organization of society 1
7	Cultural beliefs and the organization of society 2
8	Economic incentives and natural resources
9	Middle East and institutional heritage
10	Trust and growth
11	Social structures
12	Social capital
13	Ideas and instutions
14	Economic effects of constitutions

Assessment System

Contribution to Overall Grade
Activities	Number	Contribution
Contribution of in-term studies to overall grade	2	50
Contribution of final exam to overall grade	1	50
Total	3	100

In-Term Studies
Activities	Number	Contribution
Assignments	6	25
Presentation	1	25
Midterm Examinations (including preparation)	0	0
Project	0	0
Laboratory	0	0
Other Applications	0	0
Quiz	0	0
Term Paper/ Project	0	0
Portfolio Study	0	0
Reports	0	0
Learning Diary	0	0
Thesis/ Project	0	0
Seminar	0	0
Other	0	0
Make-up	0	0
Total	7	50

Relation of Proficiency

No	Program Learning Outcomes	Contribution
No	Program Learning Outcomes	1	2	3	4	5
1	Demonstrate a basic knowledge of different economic theories and main discussions driving current theoretical approaches
2	Demonstrate ability to use basic qualitative and quantitative methods to asses different economic questions of applied fields
3	Show a sound understanding of current economic discussions and problems					X
4	Have an effective and clear communication in written and oral formats in different public and professional contexts.
5	Demonstrate basic knowledge of the world economic history and a sound knowledge of the Turkish economic history
7	Demonstrate knowledge of standard quantitative techniques and empirical models used in economics
8	Show ability to apply basic economic theory to an applied topic
9	Show a basic understanding of analytical methods, both theory- and model-based
10	Show ability to use economic concepts to discuss current economic issues					X
11	Reason logically and work analytically
12	Show awareness on social aspects of the economics in different applied and theoretical fields					X
13	Identify appropriate economic models to analyse problems
16	Show understanding of basic statistical and econometric concepts and ability to apply basic concepts to own empirical work
17	Demonstrate a sound knowledge of the current economic issues in Turkey and a general knowledge of the issues in the world economy				X

ECTS

Activities	Number	Period	Total Workload
Class Hours	14	3	42
Working Hours out of Class	14	3	42
Assignments	6	6	36
Presentation	1	6	6
Midterm Examinations (including preparation)	0	0	0
Project	0	0	0
Laboratory	0	0	0
Other Applications	0	0	0
Final Examinations (including preparation)	0	0	0
Quiz	0	0	0
Term Paper/ Project	1	6	6
Portfolio Study	0	0	0
Reports	1	6	6
Learning Diary	0	0	0
Thesis/ Project	0	0	0
Seminar	0	0	0
Other	0	0	0
Make-up	0	0	0
Yıl Sonu	0	0	0
Hazırlık Yıl Sonu	0	0	0
Hazırlık Bütünleme	0	0	0
Total Workload			138
Total Workload / 25			5.52
Credits ECTS			6