What are the advantages and disadvantages in economy of parliamentary government?

Answer 1

faster response time to situation in a parliamentary set up as both the legislative and executive branch becomes one. parliamentary government are prone to corruption as it has lesser checks and balance in comparison to presidential form.

Answer 2

Parliamentary Government Advantages

Answer 3

To be honest, it's not the form of government that matters as much to an economy as the powers invested in that government. If an independent Central Bank controls money supply and sets its policy without regard to Parliamentary advice or direction, then parliament is limited to controlling tax policy (which impacts discretionary spending, as well as businesses development) and trade policy.

Institutionally speaking, there is no general way to differentiate a parliamentary government from a bicameral legislature in a constitutional republic from a monarchy. You need to look at the economic institutions and government footprint within them:

* Ability to tax
* Ability to control money supply
* Ability to control interest rate (generally tied with money supply, but can be set by fiat if de facto monetary control is nonexistant)
* Ability to control trade policy (tariffs and quotas)
* Ability to infringe upon and enforce private property