Government institutions are important to economic performance. Traditionally, government administrative institutions have been a black box, where political preferences and/or ideology enter and policies result, sometimes as a result of inter-institutional bargaining. In fact, government administrative agencies are made up of human capital that affect the quality of the conversion of inputs to policy outcomes. In my talk, I plan to explain the importance of unpacking government administrative institutions, with a focus on the human capital, to explain the quality of government policy-making and its impact on economic performance.