Are democratic regimes antithetical to globalization?
Abstract. In this study we have made an attempt to investigate into the relationship between political regime type (that ranges from authoritarian to democratic) and the extent of globalization which of late has been considered as a path to development. We have made use of the Democracy index (and its constituent indicators) provided by the Economist Intelligence Unit and the globalization index (and its constituent indicators) of the KOF. Applying canonical correlation analysis on the data we have made an attempt to look into the response of globalization to the quantitative measures of democratic (versus authoritarian) practices of the governments in 116 countries distributed over Asia, Africa, Australia, Europe and the Americas. We have also tested the Lee thesis in the context of globalization as a path to development. Our findings indicate that the empirical support to Lee’s thesis if extended to globalization as a path to development is superficial and does not withstand critical analysis. Contrary to Lee’s thesis, democracy promotes globalization. In African countries political discordance (at the national as well as international level) is not much favourable while in the Asian countries, political will, irrespective of regime type, is in concordance with globalization. Therefore, it appears that democracies thwart development and by implication, globalization as a means to development.
Keywords. Globalization, Democracy, Authoritarian regime, Lee thesis, Canonical correlation, Asia, Africa, Europe, the Americas, Australia.JEL. F63, O54, O55, O56, O57.
Acemoglu, D., & Robinson, J.A. (2006). Economic backwardness in political perspective. American Political Science Review, 100(1), 115-131. doi. 10.1017/S0003055406062046
Adelman, I., & Morris, C, (1967). Society, Politics and Economic Development. Baltimore, Johns Hopkins University Press.
Arrow, H., Poole, M.S., Henry, K.B., Wheelan, S. & Moreland, R. (2004). Time, change, and development: The temporal perspective on groups. Small Group Research, 35(1), 73-105. doi. 10.1177/1046496403259757
Barr, M.D. (2000). Lee Kuan Yew and the "Asian Values" debate. Asian Studies Review, 24(3), 309-334. doi. 10.1080/10357820008713278
Barr, M.D. (2014). The Ruling Elite of Singapore: Networks of Power and Influence. London, I.B. Tauris.
Barro, R.J. (1997). Determinants of Economic Growth. A Cross-Country Empirical Study. Cambridge, MA, The MIT Press.
Barro, R.J. (1989). A cross-country study of growth, saving, and government. NBER Working Paper No.2855. doi. 10.3386/w2855
Bloom, A. (1968). The Republic of Plato. New York, Basic Books: Harper Collins Publishers.
Boix, C. (2003). Democracy and Redistribution. New York, Cambridge University Press.
Buss, D.M., Haselton, M.G., Shackelford, T.K., Bleske, A.L., & Wakefield, J.C. (1998). Adaptations, Exaptations, and Spandrels. American Psychologist, 53(5), 533-548. doi. 10.1037/0003-066X.53.5.533
Choi, J.Y., Hwang, H., Yamamoto, M., Jung, K. & Woodward, T.S. (2017). A unified approach to functional principal component analysis and functional multiple-set canonical correlation. Psychometrica, 82(2), 427-441. doi. 10.1007/s11336-015-9478-5
Dick, W.G. (1974). Authoritarian versus nonauthoritarian approaches to economic development. Journal of Political Economy, 82(4), 817-27. doi. 10.1086/260236
Dreher, A. (2006). Does globalization affect growth? Evidence from a new index of globalization. Applied Economics, 38(10), 1091-1110. doi. 10.1080/00036840500392078
Dreher, A., Gaston, N., & Martens, P. (2008). Measuring Globalisation: Gauging its Consequences. Springer. New York.
Durkheim, E. (1997). The Division of Labour in Society. (Trans. W. D. Halls, intro. Lewis A. Coser). New York, Free Press.
Gersick, C. (1991). Revolutionary change theories: A multilevel exploration of the punctuated equilibrium paradigm. The Academy of Management Review, 16(1), 10-36. doi. 10.2307/258605
Gould, S.J. (1991). Exaptation: A crucial tool for evolutionary psychology. Journal of Social Issues, 47(3), 43-65. doi. 10.1111/j.1540-4560.1991.tb01822.x
Grier, K.B., & Tullock, G. (1989). An empirical analysis of cross-national economic growth, 1951-80. Journal of Monetary Economics, 24(2), 259-76. doi. 10.1016/0304-3932(89)90006-8
Halperin, M.H., Siegle, J.T. & Weinstein, M.M. (2005). The Democracy Advantage: How Democracies Promote Prosperity and Peace. New York, Routledge.
Hegre, H., & Fjelde, H. (2008). Democracy Depraved: Political Corruption and Institutional Transitions. Paper presented at the Norwegian National Political Science Conference, Tromsø, 28th-30th April, 2008.
Helliwell, J.F. (1992). Empirical linkages between democracy and economic growth. NBER Working Paper No.4066. doi. 10.3386/w4066
Huntington, S.P., & Jorge, I.D. (1975). Political development. In F.I. Greenstein, & N.W. Polsby, (eds). Handbook of Political Science. (pp.1-114), 3. Reading: Boston, Addison-Wesley.
Hwang, H., Jung, K., Takane, Y., & Woodward, T.S. (2013). A unified approach to multiple-set canonical correlation analysis and principal components analysis. British Journal of Mathematical and Statistical Psychology, 66(2), 308-321. doi. 10.1111/j.2044-8317.2012.02052.x
Kangle, R.P. (1969), Kautilya Arthashastra, 3 vols, Delhi, Motilal Banarsidass.
Knutsen, C.H. (2008b). The economic effects of democracy – An empirical analysis. Working Paper, Department of Political Science, Oslo, University of Oslo.
Knutsen, C.H. (2007). Democracy and Property Rights - A theoretical and empirical analysis on the effects of political regime type on property rights arrangements. Master’s Thesis, Department of Economics, Oslo, University of Oslo.
Knutsen, C.H. (2008a). From James Monroe and the Quing Dynasty to George W. Bush and the Communist Party: The historical evidence on how democracy and dictatorship affect economic growth. Working Paper. Department of Political Science, Oslo, University of Oslo.
Knutsen, C.H. (2010). Investigating the Lee-thesis: How bad is democracy for Asian economies? European Political Science Review, 2(3), 451–473. doi. 10.1017/S1755773910000214
KOF [Konjunkturforschungsstelle or Economic Research Centre of ETH Zurich]. (2017). 2017 Index of globalization. [Retrieved from].
Kohli, A. (1986). Democracy and Development. In J.P. Lewis, & V. Kallab, (eds.) Development Strategies Reconsidered. (pp.153-182). New Brunwick, Transaction Books.
Kormendi, R.C., & Meguire, P.G. (1985). Macroeconomic Determinants of Growth: Cross-Country Evidence. Journal of Monetary Economics, 16(2), 141-163.
Lake, D.A., & Baum, M.A. (2001). The invisible hand of democracy: Political control and the provision of public services. Comparative Political Studies, 34(6), 587-621.
Landau, D. (1986). Government and economic growth in the less developed countries: An empirical study for 1960-1980. Economic Development and Cultural Change, 35(1), 35-75. doi. 10.1086/451572
Leblang, D.A. (1997). Political democracy and economic growth: Pooled cross-sectional and times-series evidence. British Journal of Political Science, 27(3), 453-472. doi. 10.1017/S0007123497210215
Lehrman, D.S. (1953). A critique of Konrad Lorenz's theory of instinctive behaviour. The Quarterly Review of Biology, 28(4), 337-363.
Lorenz, K.Z. (1950). The comparative method in studying innate behavior patterns. Symposia of the Society for Experimental Biology, 4, 221-268.
MacDougall-Shackleton, S.A. (2011). The levels of analysis revisited. Philosophical Transactions of the Royal Society B: Biological Sciences. 366(1574), 2076–2085. doi. 10.1098/rstb.2010.0363
Marsh, R.M. (1979). Does democracy hinder economic development in the latecomer developing nations? Comparative Social Research, 2(2), 215-248. doi. 10.2307/421818
Marsh, R.M. (1988). Sociological explanations of economic growth. Studies in Comparative International Development, 23(4), 41-76. doi. 10.1007/BF02686984
Mishra, S.K. (2009). Representation-constrained canonical correlation analysis: a hybridization of canonical correlation and principal component analyses. Journal of Applied Economic Sciences, 4(1), 115-124.
Mishra, S.K. (2016). A Note on Construction of a Composite Index by Optimization of Shapley Value Shares of the Constituent Variables. Turkish Economic Review, 3(3), 466-472.
Mishra, S.K. (2017a). Almost Equi-Marginal Principle Based Composite Index of Globalization: China, India and Pakistan. Journal of Economic and Social Thought, 4(3), 335-351.
Mishra, S.K. (1917b). Trends in Globalization of Select Asian Countries. Working Paper, SSRN, [Retrieved from].
Myrdal, G. (1970). The 'Soft State' in Undeveloped Countries. In Streeten, P. (1970), Unfashionable Economics: Essays in Honour of Lord Balogh. London, Weidenfeld and Nicolson.,
Myrdal, G. (1972). Asian Drama: An Inquiry into the Poverty of Nations. (Abridged version by S.S. King of The Twentieth Century Fund Study). New York, Vintage Books.Myrdal, G. (1974). What Is Development? Journal of Economic Issues, 8(4),729-736. doi. 10.1080/00213624.1974.11503225
Pourgerami, A. (1988). The political economy of development: A cross-national causality test of development-democracy-growth hypothesis. Public Choice, 58(2), 123-141. doi. 10.1007/BF00125718
Pourgerami, A. (1991). The political economy of development. An empirical investigation of the wealth theory of democracy. Journal of Theoretical Politics, 3(2), 189-211. doi. 10.1177/0951692891003002005
Przeworski, A. (1966). Party Systems and Economic Development. Ph.D. dissertation: Illinois, North- western University.
Przeworski, A. (2004). Democracy and Economic Development. In Mansfield, E.D. and Sisson, R. (eds.), Political Science and the Public Interest. Columbus, Ohio State University Press.
Przeworski, A., & Limongi, F. (1993). Political Regimes and Economic Growth. The Journal of Economic Perspectives, 7(3), 51-69. doi. 10.1257/jep.7.3.51
Reeve, C.D.C. (1988). Philosopher-Kings: The Argument of Plato's Republic, Princeton, Princeton University Press.
Remmer, K. (1990). Democracy and economic crisis: The Latin American experience. World Politics, 42(3), 315-35. doi. 10.2307/2010414
Rock, M.T. (2009). Has Democracy Slowed Growth in Asia? World Development, 37(5), 941-952. doi. 10.1016/j.worlddev.2008.09.002
Rodrik, D. (1998). Democracies Pay Higher Wages. NBER Working Paper, No. 6364. doi. 10.3386/w6364
Samimi, P. (2011). Globalization measurement: Notes on common globalization indexes. [Retrieved from].
Scully, G.W. (1988). The institutional framework and economic development. Journal of Political Economy, 96(3), 652-62. doi. 10.1086/261555
Scully, G.W. (1992). Constitutional Environments and Economic Growth. Princeton, Princeton University Press.
Sen, A.K. (1997). Human Rights and Asian Values. Sixteenth Annual Morgenthau Memorial Lecture on Ethics and Foreign Policy, May 25, 1997. [Retrieved from].
Sen, A.K. (1999). Development as Freedom. New York, Oxford University Press.
Sloan, J., & Tedin, K.T. (1987). The consequences of regimes type for public-policy outputs. Comparative Political Studies, 20(1), 98-124. doi. 10.1177/0010414087020001005
Takashi, I., & Newman, E. (1997). “Asian Values" and Democracy in Asia. Proceedings of a Conference, Held on 28 March 1997 at Hamamatsu, Shizuoka, Japan, as Part of the First Shizuoka Asia-Pacific Forum: The Future of the Asia-Pacific Region [Retrieved from].
Weede, E. (1983). The Impact of Democracy on Economic Growth: Some Evidence from Cross-National Analysis. Kyklos, 36(1), 21-39. doi. 10.1111/j.1467-6435.1983.tb02659.x
- There are currently no refbacks.
....................................................................................................................................................................................................................................................................................................................................... Journal of Social and Administrative Sciences - J. Adm. Soc. Sci. - JSAS - www.kspjournals.org
Copyright © KSP Library