Question

The type of legal system and the level of corruption in a country have been found to be: significant determinants of the rate of economic growth in a country. important topics for political discussion, but not economic explanations of growth. unrelated to the rate of economic growth in a country. important variables explaining the Golden Rule level of capital

Answer 1

Answer:

significant determinants of the rate of economic growth in a country.

Explanation:

A legal system can be defined as the system of principles, regulations and rules established by legislature, that is adopted in a community, society or country to regulate the actions of its citizens, members or employees.

Thus, it is a tool used by the judiciary, lawyers, individuals, organizations, and even government to ensure everybody is well behaved, non-criminal and civil in their actions. Therefore, a legal system creates the foundation for ethical behavior.

In circumstances where there are aberration, the legal system enforces an appropriate law as a punishment and penalty for wrongdoings or misdeeds.

Hence, the type of legal system and the level of corruption in a country have been found to be significant determinants of the rate of economic growth in a country because if the level of corruption is high and the legal system isn't functional by appropriately sentencing corrupt individuals or officials in a country, the economy of such a country would be impacted negatively.