Utilizing a novel data set on American Indian Nations, we investigate how conditions at critical junctures of development can have long-lasting economic effects. We investigate the effect of the party of the US President at the time when American Indian tribes adopt a written constitution for the first time. Our results indicate that there is a persistent effect on economic development, even after controlling for other important characteristics and conducting extensive robustness checks.
Akee, Randall, Miriam Jorgensen, and Uwe Sunde. 2015. "Critical Junctures and Economic Development - Evidence from the Adoption of Constitutions Among American Indian Nations." Journal of Comparative Economics 43 (4):844-861. doi: 10.1016/j.jce.2015.08.004.