Abstract
Researchers have made many attempts to investigate the interaction between the quality and efficiency of a country’s institutions and its economic performance. Within this framework, the relationship between a country’s legal institutions and its financial system are emphasized as essential factors in creating and enhancing overall economic growth. However, the link between the legal institutions and financial systems remains controversial. This paper reports on a survey administered to 1,362 participants, which targeted investment preferences under different legal and financial institutions. Our results suggest that the performance of a country’s legal institutions affects how willing investors are to invest money in the country and that people of different gender, age, political tradition, and professional experience react differently to these institutions.
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