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Democracy and growth in pre-industrial countries

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  • Luiz Carlos Bresser-Pereira

Abstract

This paper distinguishes three types of countries (rich, middle-income, and pre-industrial) and focus on the latter, which, in contrast to the other two, didn’t complete their industrial and capitalist revolutions. Can pre-industrial countries be governed well and under democracy? Today democracy is a universal value, and, so, these countries are under pressure from the West and from its own society to be democratic, even though they do not dispose of mature enough societies in which the economic surplus is appropriated through the market. In fact, no country completed its industrial and capitalist revolution within the framework of even a minimal democracy. Additionally, pre-industrial countries are extremely difficult to govern because they usually don’t have a strong nation and capable states. This double pressure represents a major obstacle to their development. JEL Classification: P01; P16.

Suggested Citation

  • Luiz Carlos Bresser-Pereira, 2017. "Democracy and growth in pre-industrial countries," Brazilian Journal of Political Economy, Center of Political Economy, vol. 37(1), pages 88-107.
    • Handle: RePEc:ekm:repojs:v:37:y:2017:i:1:p:88-107:id:107
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    References listed on IDEAS

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    1. Aart Kraay & David McKenzie, 2014. "Do Poverty Traps Exist? Assessing the Evidence," Journal of Economic Perspectives, American Economic Association, vol. 28(3), pages 127-148, Summer.
    2. Bresser-Pereira, Luiz Carlos, 2011. "Democracy and capitalist revolution," Textos para discussão 277, FGV EESP - Escola de Economia de São Paulo, Fundação Getulio Vargas (Brazil).
    3. Kraay, Aart & McKenzie, David, 2014. "Do poverty traps exist ?," Policy Research Working Paper Series 6835, The World Bank.
    4. Atkinson, Anthony B., 2015. "Inequality: what can be done?," LSE Research Online Documents on Economics 101810, London School of Economics and Political Science, LSE Library.
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    More about this item

    Keywords

    Capitalism; democracy; state; economic development; developing countries; income distribution;
    All these keywords.

    JEL classification:

    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State

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