Institutional measurement issues: an integrated approach

Abstract

n recent years social scientists have focused their attention on institutions and their impact on the economic performance of countries. Institutions are considered as one of the major determinants of economic growth and sustainable development. The better the institutional performance at a separately taken country, the better the performance of organizations-market players and the faster sustainable development processes. In order to investigate the role of institutions and their impact to economic growth and development researchers employ a wide range of institutional indicators and use different methods. The aim of the paper is to investigate approaches to the measurement of institutions and to discuss issues related to institutional measurement.