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What are the key issues for corporate governance in developing countries? We thought we'd take a mainstream approach. This is a very widespread view in the economics profession, a very simple textbook view?. Income per capita is a function of hours worked and hourly productivity? and the view is, well, what explains higher per capita income in the west, which is about $100 per hour, the difference between the US and a developing country, which is about $2, is that the US has a bigger stock of capital?. You make those observations and you conclude from there that the main problem of development is really a problem of transferring capital from a rich to a poor country? a lack of social capital and trade barriers, and this is really the consensus?...
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