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Regimes controlled by a rich elite often collapse and make way for democracy amidst widespread social unrest. Such … therefore be forced to choose between repression and the most generous concession, a transition to full democracy. …
Persistent link: https://www.econbiz.de/10005666486
unrest or revolution, and this may force the elite to democratize. Democracy may not consolidate because it is more … redistributive than a nondemocratic regime, and this gives the elite an incentive to mount a coup. Because inequality makes democracy … more costly for the elite, highly unequal societies are less likely to consolidate democracy and may end up oscillating …
Persistent link: https://www.econbiz.de/10005661707
We analyze political selection in a closed list proportional system where parties have strong gate-keeping power, which they use as an instrument to pursue votes. Parties face a trade-off between selecting loyal candidates or experts, who are highly valued by the voters and thus increase the...
Persistent link: https://www.econbiz.de/10011213305
Even relatively poor people oppose high rates of redistribution because of the anticipation that they, or their children, may move up the income ladder. This ‘Prospect of Upward Mobility’ (POUM) hypothesis is commonly advanced to explain why democracies do not engage in large-scale...
Persistent link: https://www.econbiz.de/10005662178
I develop a model of ideologies as collectively sustained (yet individually rational) distortions in beliefs concerning the proper scope of governments versus markets. In processing and interpreting signals of the efficacy of public and market provision of education, health insurance, pensions,...
Persistent link: https://www.econbiz.de/10005662410
partial or captured democracy. We provide as well econometric support showing that even when de facto is modelled as a …
Persistent link: https://www.econbiz.de/10004964420
Conventional wisdom suggests that lobbying is the preferred mean for exerting political influence in rich countries and corruption the preferred one in poor countries. Analyses of their joint effects are understandably rare. This paper provides a theoretical framework that focus on the...
Persistent link: https://www.econbiz.de/10005792187
We study the dynamic support for fiscal decentralization in a political agency model from the perspective of a region. We show that corruption opportunities are lower under centralization at each period of time. However, centralization makes more difficult for citizens to detect corrupt...
Persistent link: https://www.econbiz.de/10008468714
This Paper studies the relationship between political wealth redistribution and the allocation of firm-ownership when production requires an unobservable input. The economy's wealth distribution affects the equilibrium interest rate and the allocation of entrepreneurial rents because wealth...
Persistent link: https://www.econbiz.de/10005123568
How can a non-democratic ruler provide proper incentives for state bureaucracy? In the absence of competitive elections and separation of powers, the ruler has to be well-informed himself, and to gather information he may use either a secret service or the media. The danger of using a secret...
Persistent link: https://www.econbiz.de/10005123655