Individualism and Growth

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This comes from Yuriy Gorodnichenko and Gérard Roland, who find a correlation between how individualistic a country’s residents are and that country’s long-term economic growth. After some additional testing, they also claim there’s a causal relationship:

We find a strong causal effect of individualism on income per worker, total factor productivity, and innovation as predicted by our theory. These results hold even when we exclude the Americas and Oceania where settler colonization played an important role. They also hold when controlling for measures of geographic distance, human capital, ethnic fractionalization, and other factors affecting growth….Moreover, even after controlling for measures of institutions which were previously found (e.g., Hall and Jones, 1999, Acemoglu et al., 2001) to affect long-run growth, culture continues to play a statistically significant and quantitatively important role, implying that culture has an effect on economic development that is independent of institutions.

Summary here. I’d be interested in seeing a statistical critique of this result. (Via Free Exchange.)

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Truth #1: The chaos is the point.

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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