Access to Justice and Economic Development: A Review of Institutional Frameworks, Transmission Channels, and Contemporary Empirical Evidence

This study contextualizes the role of institutional frameworks in global economic transformations by evaluating how access to justice (ATJ)—as a key dimension of the broader rule-of-law environment—and judicial infrastructure shape macro- and microeconomic development, in line with UN SDG 16. The purpose is to bridge the gap between institutional theory and empirical modeling regarding ATJ. Employing a comprehensive thematic and methodological literature review of leading global studies, the paper develops a comparative assessment matrix of major international justice indicators—integrating, for the first time, the World Bank’s new Business Ready (B-READY) framework alongside WJP, WGI, V-Dem, and CEPEJ. It critically analyzes econometric strategies used to address endogeneity, spanning cross-country 2SLS (IV) models, dynamic panel data (Difference GMM), and micro-level quasi-experimental designs. The review systematizes core transmission channels (property rights, contract enforcement, transaction costs, and TFP gains) and suggests the non-linear returns to judicial investments. It highlights that while insufficient access constrains economic activity, unrestricted or un-screened accessibility may induce court congestion and opportunistic litigation. Methodologically, the reviewed evidence indicates that spatial RDD and DDD designs provide superior internal validity for causal identification. In conclusion, the findings offer critical policy insights for institutional design, court digitalization (e-justice), and the integration of alternative dispute resolution (ADR) in developing nations and states undergoing post-war economic reconstruction.