Instytucje państwa a zawodność państwa – czy istnieje relacja przyczynowo-skutkowa?

In: Optimum: economic studies, Heft 4(118), S. 56-69

Abstract

Purpose – The main aim of this article is to identify, based on economic theory, the causal relationship between state institutions and government failure. The specific objectives include the conceptualization of government failure and state institutions. Research method – The article compares two main methods of identifying causal relationships: those based on quantitative methods and those demonstrating mechanisms (a mechanistic approach) without empirical evidence. Due to the theoretical nature of the article, the second approach is employed. Results – The combined operation of extractive political institutions and extractive economic institutions increases the risk of state failure, primarily due to the strengthening of interest groups and the phenomenon of rent‑seeking. Inclusive institutions reduce this risk. Originality / value / implications / recommendations – State institutions, due to the potential occurrence of the "vicious circle" and the "virtuous circle," are crucial in limiting government failure. Enabling citizen participation in political processes, democratic control, and limitation of power, as well as ensuring equal access to markets, promote faster growth and economic development in the long term.