Democracy Does Not Cause Growth: The Importance of Endogeneity Arguments

Abstract

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Squeezing civic space: restrictions on civil society organizations and the linkages with human rights

“…69 Truly reverse transitions are thus as relatively rare as in the past 50 years in general. 70 Second, as noted, part of the pushback against civic space is also occurring in strong democracies, for example, in the fight against terrorism.…”

Global Productivity: Trends, Drivers, and Policies

“…A more recent study finds that democratic transitions could raise productivity by about 20 percent over the subsequent 25 years (Acemoglu et al 2019). However, some other work finds no effect of democracy on growth (Ruiz Pozuelo, Slipowitz, and Vuletin 2016).…”

Yükselen Piyasa Ekonomilerinde Demokratikleşme ve Ekonomik Büyüme

“…However, alimited number of researchers have investigated the interaction between democratization and economic growth in the relevant literature and theyhave reached several findings. Some researchersrevealed that democratization influenced the economic growth affirmatively (Alesina and Perotti, 1996;Acemoglu et al, 2014;Masaki and van de Walle, 2014;and Baum and Lake, 2013), whereas some reserachers discovered that democratization affected the economic growth adversely (Tavares and Wacziarg, 2001;Aisen and Veiga, 2013;Rachdi and Saidi, 2015;Pozuelo et al, 2016). In these studies, democratization has been represented by different indicators such asinstitutionalized autocracy and democracy score, executive recruitment competitiveness, democracy index of Freedom House, and voice and accountability index of World Bank (e.g., see Kaufmann, 2010;Rachdi and Saidi, 2015;Aisen and Veiga, 2013;Peev and Mueller, 2012).…”

“…There have been two main views about the interaction between democratization and economic growth. One view asserts that an authoritarian government is prerequisite for the economic growth especially in the early stages of economic growth and development and support their views with the countries such as Singapore, Taiwan, and Hong Kong, earned abnormal rates of economic growth (e.g., see Tavares and Wacziarg, 2000;Abeyasinghe, 2004;Haggard and Tiede, 2010;Pozuelo et al, 2016). On the other side, some researchers support that a democracy with civil liberties encourages economic growth and development.…”