"The authors use a sample of 147 countries to investigate the link between democracy and reforms. Democracy may be … economic institutions. The results provide robust support for the claim that democracy is good for growth-enhancing reforms …

"The authors use a sample of 147 countries to investigate the link between democracy and reforms. Democracy may be … economic institutions. The results provide robust support for the claim that democracy is good for growth-enhancing reforms …

democracy. In particular, if the foreign aid over GDP that a country receives over a period of five years reaches the 75th … percentile in the sample, then a 10-point index of democracy is reduced between 0.6 and one point, a large effect. For comparison …, we also measure the effect of oil rents on political institutions. The fall in democracy if oil revenues reach the 75th …