Political Economy

• contestation and competition
• governemental office is a result of contested elections
• Minimalist view

• The chief executive is elected
• The chief legislative is elected
• There is more than one party competing
• There has been an alternation in power under the same electoral rulse

• Ex ante uncertainty
• Ex Post irreversibility
• Repeatability

Contestation occurs when there is an oppostion that has some chance of winning.

2 scores: Democracy Score - Autocracy Score

Minimalist view

• Competitiveness of executive recruitement
• Openness of executive recruitement
• Executive constraint/decision rules
• Regulation of political participation
• Competitiveness of political participation

• Political rights: richt to vote an compete for office.
• Civil rights: freedom of speach
• substantive view

• Conzeptualization
• Validity
• Reliability
• Replicability

Process of creating mental categories that capture the meaning of events, ideas, objectives

Measure corresponds to the concepts

Candidate/Party with the most votes wins

Individuals vote fore a single candidate in a single member district.

Candidates/Parties win after first round if they get an absolut majority.

If non wins --> Second round.

Quota in multimember districts. Proportional translation of vote into seats.

Democracies have higher economic grwoth since they are caracterized by the rule of law and the protection of property rights. NOT TRUE

Income shift from the rich to the poor. The rich loose

Poors can't save an consume immediatly. Vote for a governement that enhances conspumtion. A dictator coul enforce a saving rate

Dictator doesn't have to statisfy certain groups.

or

Dictator is predatory, elites won't invest

Civic Culture

Information

--> Education as a Proxy for both of them

If country develop economically they are more likely to become democracies and to remain democracies!

Democracies occure more often in rich countries

Transition to dicatroship becomes less likely with growing income (proven by data)

Transition to democracy becomes more likely with increasing income (prooven by data)

Unclear if regime transition becomes more frequent when countries get richer

Modernization theory is supported by Data. Survival story isn't

Developing economy changes from agricultural to service economy.  In a service economy the assets are mobile and the governement depends on the cooperation of the elites, as they have credible threat to leave the country

Revolution provides a public good

If N People and K are needed for a succsesfull revolution. Two equilibria none or k people participating

The larger the difference between K and N the larger the incentive to freeride

Individuals engage in preference falsification. Unclear how many opponents of the governement.

Protest Size at which an individual is willing to participate is Revolutionary Treshhold

The elite uses it's power to influence the desing of political institutions.

When the executive is idependent of the palriament. This ist settlet by the constitution.

Large inequalitiy --> presidental system

Intermediate/low Inequality --> Parliamentary System

Large inequalitiy --> presidental system

Intermediate/low Inequality --> Parliamentary System

The group with the most de facto power (group size and income)

Bad Democracy: People is stronger and enforces it but neither the Elite nor the People belive Property Rights will be enforced.

Good Democracy: Elite offers it, and doesn't predate

Elite only offers Democracy if their income is higher tha if they predate in oligarchy. So a certain level of equality in society is neccesary.

If the Elite is in power the society will develop and become more equal.

If first the threshold is corssed werde the Elite preferes a Democracy a good Democracy arises.

A good democracy arises from big elite a little natural ressources

a Bad democracy arises from high inequality in Ressource ownership and a little Elite

If first the Peopla are stronger and replace the Elite as de facto most powerfull group a bad democracy will arise

Result of the interplay betwwen rational voters and self seeking politicans mediated trough institutions

Monitoring of opportunistic behaviour (hidden action and moral hazard)

Selection of good Politicans

Need for accountability formal (reelections) reel (media)

Politicans are motivated by

self seeking /opportunistic

partisan

Both views see Politicans and Voters as different entities with different incentives

Leaders matter in terms of economig growth especially in autocracys

scientist economists and enterpreneurs a more liberalization orientated

economic Performance under US Presidents is enhanced by eduction and congerssual experiance