Recent empirical work has established that 'democracy causes growth'. In this paper, we determine the underlying … institutions which drive this relationship using data from the Varieties of Democracy project. We sketch how incentives and … institutions, as witnessed recently in many countries, may jeopardise the perpetual growth effect of becoming a liberal democracy …

We present a simple model, illustrating how democracy may improve the quality of the economic institutions. The model … further suggests that institutional quality varies more across autocracies than across democracy and that the positive effect …

measurement of democracy. I proceed in two step. In the first part, I describe the classical approach for producing a measure of … democracy and sketch an alternative approach. The second part provides an overview about existing democracy index. …