Did Growth and Reforms Increase Citizens’ Support for the Transition?
AbstractHow did post-communist transformations affect people’s perceptions of their economic and political systems? We model a pseudo-panel with 89 country-year clusters, based on 13 countries observed between 1991 and 2004, to identify the macro and institutional drivers of the public opinion. Our main findings are: (i) When the economy is growing, on average people appreciate more extensive reforms; they dislike unbalanced reforms. (ii) Worsening of income distribution and higher inflation interact with an increasing share of the private sector in aggravating nostalgia for the past regime. (iii) Cross-country differences in the attitudes towards the present and future (both in the economic and political dimensions) are largely explained by differences in the institutional indicators for the rule of law and corruption. (iv) Cross-country differences in the extent of nostalgia towards the past are mainly related to differences in the deterioration of standards of living.
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Bibliographic InfoPaper provided by Dipartimento Scienze Economiche, Universita' di Bologna in its series Working Papers with number wp771.
Date of creation: Jul 2011
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Other versions of this item:
- Golinelli, Roberto & Rovelli, Riccardo, 2011. "Did Growth and Reforms Increase Citizens' Support for the Transition?," IZA Discussion Papers 5836, Institute for the Study of Labor (IZA).
- O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
- O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
- P2 - Economic Systems - - Socialist Systems and Transition Economies
- P36 - Economic Systems - - Socialist Institutions and Their Transitions - - - Consumer Economics; Health; Education and Training; Welfare, Income, Wealth, and Poverty
- P52 - Economic Systems - - Comparative Economic Systems - - - Comparative Studies of Particular Economies
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-07-13 (All new papers)
- NEP-DEV-2011-07-13 (Development)
- NEP-POL-2011-07-13 (Positive Political Economics)
- NEP-TRA-2011-07-13 (Transition Economics)
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