Economics of Macro Issues 7th Edition by Roger LeRoy Miller,Daniel Benjamin

Exercise 6

Louisiana and Quebec both have systems of local law (state and provincial, respectively) that are heavily influenced by their common French heritage, which includes civil law. What do you predict is true about per capita income in Louisiana compared to the other U.S. states, and per capita income in Quebec, compared to the other Canadian provinces? Is this prediction confirmed by the facts (which can be readily ascertained with a few quick Web searches)? Identify at least two other factors that you think are important to take into account when assessing whether the differences you observe are likely due to the influence of civil law institutions.