The article discusses the phenomenon of interconnected glocal hospitality communities which have recently spread over the world in the context of the internet development and cultural globalization processes. It focuses on a typical community of users of CouchSurfi ng.org, a major social hospitality network in St. Petersburg. The author argues that, in the framework of this web service, there occurs a transformation of virtual groups of users localized in various spots of the globe into actual interconnected glocal communities which shape shared identities, norms, values, and practices among its members.
Institutions affect investment decisions, including investments in human capital. Hence institutions are relevant for the allocation of talent. Good market-supporting institutions attract talent to productive value-creating activities, whereas poor ones raise the appeal of rent-seeking. We propose a theoretical model that predicts that more talented individuals are particularly sensitive in their career choices to the quality of institutions, and test these predictions on a sample of around 95 countries of the world. We find a strong positive association between the quality of institutions and graduation of college and university students in science, and an even stronger negative correlation with graduation in law. Our findings are robust to various specifications of empirical models, including smaller samples of former colonies and transition countries. The quality of human capital makes the distinction between educational choices under strong and weak institutions particularly sharp. We show that the allocation of talent is an important link between institutions and growth.