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This paper develops a dynamic framework to analyze the political sustainability of economic reforms in developing countries. First, we demonstrate that economic reforms that are proceeding successfully may run into a political impasse, with the reform's initial success having a negative impact...
Persistent link: https://www.econbiz.de/10010333413
This paper develops a dynamic framework to analyze the political sustainability of economic reforms in developing countries. First, we demonstrate that economic reforms that are proceeding successfully may run into a political impasse, with the reform's initial success having a negative impact...
Persistent link: https://www.econbiz.de/10010290452
redistribution and retraining - that arguably characterize many reform packages. We analyse the interaction of compensatory … redistribution and retraining programmes, and demonstrate that the provision of redistributive programmes might distort incentives …. Conversely, it may be possible for an economic reform to win political support in the absence of compensatory redistribution …
Persistent link: https://www.econbiz.de/10011654037
In this paper the political economy of revolutions is revisited, as it has been developed and applied in a number of publications by Acemoglu and Robinson. We criticize the fact that these authors abstract from collective-action problems and focus on inequality of income or wealth instead. In...
Persistent link: https://www.econbiz.de/10010307191
We review the literature on the public choice approach to explaining redistribution policies. The focus is on policies … that are pursued with the sole reason to redistribute initial endowments. Moreover, we restrict ourselves to redistribution … in democracies. In democratic settings, generic redistribution games lack equilibria. Structure-inducing rules that give …
Persistent link: https://www.econbiz.de/10011584888
The economy of Punjab state in India offers an interesting case study. Punjab has been for decades - and remains - one of India's better-off states, and so it tends not be included in the primary focus of national programs meant to reduce poverty or spur economic development. But, Punjab's...
Persistent link: https://www.econbiz.de/10011406345
Countries around the world are facing important challenges to the sustainability of their pension systems. Changing policies, especially those of large scope and financial magnitude, is a political challenge. It takes a combination of willingness, capacity and enough political support to change...
Persistent link: https://www.econbiz.de/10011535719
country whose autocratic regime represents a fertile ground for strategic redistribution. Relying on political economy …
Persistent link: https://www.econbiz.de/10012430339
support high level of redistribution because they hope to be rich in the future). We consider a setting where individuals … gender. We find that the POUM effect could increase or decrease the support for redistribution depending on the parameters of …
Persistent link: https://www.econbiz.de/10010293407
Initially, voting rights were limited to wealthy elites providing political support for stock markets. The franchise expansion induces the median voter to provide political support for banking development as this new electorate has lower financial holdings and benefits less from the uncertainty...
Persistent link: https://www.econbiz.de/10010328724