Spiegel, Mark M; Benhabib, Jess; Corvalen, Alejandro - Federal Reserve Bank of San Francisco - 2014
We reassess the empirical evidence for a positive relationship between income and democracy, commonly known as the … “modernization hypothesis,” using discrete democracy measures. While discrete measures have been advocated in the literature, they … role for income in democracy, while under the Wooldridge method we obtain much smaller and not always statistically …