Legal Documents Are a Key to Economic Growth
Economic growth depends on many factors. These key factors include respect for the rule of law and the protection of property and contract rights by a country`s government so that markets can function effectively and efficiently. Laws must be clear, public, fair, enforced, and equally applicable to all members of society. Property rights are the rights of individuals and businesses to own property and use it as they see fit. If you have $100, you have the right to use that money, whether you spend it, lend it or keep it in a jar. It`s your property. The definition of property includes physical property as well as the right to your education and experience, especially since your education determines your livelihood. The use of this property implies the right to enter into contracts with other parties with your property. Individuals or businesses must own the property to enter into a contract. These guidelines require that a regulatory analysis be conducted of all rules considered to have a “significant economic impact” of $100 million or more per year, and that agencies file these significant regulations in a proposed or final form for review by OIRA prior to publication in the Federal Register. 117 The origins of the new institutional economy have their origins in two articles of principle by Richard Coase.
118 The main feature of the new institutional economy was that it focused on the social and legal institutions underlying economic development. 119 According to Douglass North, institutions are “man-made constraints that structure political, economic and social interactions.” 120 In new institutional terms, “constitutions, laws and property rights” represent central formal institutions, defined as “man-made constraints that structure political, economic and social interactions” that make it possible to profit from trade and avoid negative externalities. 121 First, the ENP interpretative documents pay little attention to coherence between EU and Member States` neighbourhood policies and pay even less attention to coherence between EU policies. 183 Second, both the 2008 Commission Communication on the Eastern Partnership and the 2015 ENP Review focus on facilitating bilateral and multilateral cooperation between target countries and EU cooperation with regional organisations, but rarely refer to the EU`s development-oriented partnership with other stakeholders and related coherence issues. 184 It must be noted that such an approach is contrary to the objective of the 2030 Agenda to introduce a concept of policy coherence with several aspects for sustainable development. Thirdly, the 2008 Communication on the Eastern Partnership identifies five independent priorities for EU bilateral cooperation with the EaP countries (including supporting the economic development of partner countries and seeking progress on the rule of law), without mentioning cross-cutting issues or links between objectives.