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Religion, Politics, and Development: Lessons from the Lands of Islam

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  • Jean-Philippe Platteau

    ()
    (Centre for Research in the Economics of Development (CRED), Department of Economics, University of Namur, Belgium)

Abstract

The question as to whether religion can block economic development and institutional change, or is a purely endogenous factor, assumes particular importance today because of the rise of Islamist movements and the disappointing economic performances in the lands of Islam. This paper starts from a critical examination of the thesis of Bernard Lewis according to which the lack of separation between religion and politics creates particular difficulties on the way to modern economic growth in these lands. It will be argued that (1°) Lewis’ thesis conceals the critical fact that, even when political and religious functions appear to be merged, religion is the handmaiden rather than the master of politics; (2°) the influence of religion increases when the state falls into crisis, owing to its impotence or excessive absolutism; (3°) because the Islamic frame of reference provides political rulers with a cheap default option when they are contested, they rarely undertake the much-needed reforms of the country’s institutions; (4°) this way of escape is all the more attractive to contested rulers as Islamist movements, born of the internal situation as well as of the international environment, accuse them of un-Islamic behaviour; (5°) as argued by Timur Kuran, by creating an “institutional trap”, the legacy of the Islamic classical system also makes institutional reforms more difficult to achieve.

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Bibliographic Info

Paper provided by Economic Research Forum in its series Working Papers with number 434.

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Length: 42 pages
Date of creation: Sep 2008
Date of revision: Sep 2008
Publication status: Published by The Economic Research Forum (ERF)
Handle: RePEc:erg:wpaper:434

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References

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  1. La Porta, Rafael, et al, 1997. "Trust in Large Organizations," American Economic Review, American Economic Association, vol. 87(2), pages 333-38, May.
  2. North, Douglass C. & Weingast, Barry R., 1989. "Constitutions and Commitment: The Evolution of Institutions Governing Public Choice in Seventeenth-Century England," The Journal of Economic History, Cambridge University Press, vol. 49(04), pages 803-832, December.
  3. Badawi, Ibrahim El & Makdisi, Samir, 2007. "Explaining the democracy deficit in the Arab world," The Quarterly Review of Economics and Finance, Elsevier, vol. 46(5), pages 813-831, February.
  4. Noland, Marcus, 2005. "Religion and economic performance," World Development, Elsevier, vol. 33(8), pages 1215-1232, August.
  5. Kuran, Timur, 2005. "The logic of financial westernization in the Middle East," Journal of Economic Behavior & Organization, Elsevier, vol. 56(4), pages 593-615, April.
  6. Kuran, Timur, 2003. "The Islamic Commercial Crisis: Institutional Roots of Economic Underdevelopment in the Middle East," The Journal of Economic History, Cambridge University Press, vol. 63(02), pages 414-446, June.
  7. Douglass C. North, 2005. "Introduction to Understanding the Process of Economic Change
    [Understanding the Process of Economic Change]
    ," Introductory Chapters, Princeton University Press.
  8. Timur Kuran, 2004. "Why the Middle East is Economically Underdeveloped: Historical Mechanisms of Institutional Stagnation," Journal of Economic Perspectives, American Economic Association, vol. 18(3), pages 71-90, Summer.
  9. McCleary, Rachel & Barro, Robert, 2003. "Religion and Economic Growth across Countries," Scholarly Articles 3708464, Harvard University Department of Economics.
  10. repec:cup:cbooks:9780521855266 is not listed on IDEAS
  11. Timur Kuran, 1997. "Islam and Underdevelopment: An Old Puzzle Revisited," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 153(1), pages 41-, March.
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Cited by:
  1. S. Michalopoulos & A. Naghavi & G. Prarolo, 2010. "Trade and Geography in the Economic Origins of Islam: Theory and Evidence," Working Papers 700, Dipartimento Scienze Economiche, Universita' di Bologna.
  2. Binzel, Christine & Carvalho, Jean-Paul, 2013. "Education, Social Mobility and Religious Movements: A Theory of the Islamic Revival in Egypt," IZA Discussion Papers 7259, Institute for the Study of Labor (IZA).
  3. Chaara, Imane, 2011. "Pro-Women Legal Reform in Morocco: Is Religion an Obstacle?," Proceedings of the German Development Economics Conference, Berlin 2011 17, Verein für Socialpolitik, Research Committee Development Economics.
  4. Platteau, Jean-Philippe, 2011. "Political Instrumentalization of Islam and the Risk of Obscurantist Deadlock," World Development, Elsevier, vol. 39(2), pages 243-260, February.
  5. Metin M. Cosgel & Thomas J. Miceli & Jared Rubin, 2010. "The Political Economy of Mass Printing: Legitimacy and Technological Change in the Ottoman Empire," Working papers 2010-02, University of Connecticut, Department of Economics, revised Jan 2012.
  6. Platteau, Jean-Philippe, 2009. "Institutional obstacles to African economic development: State, ethnicity, and custom," Journal of Economic Behavior & Organization, Elsevier, vol. 71(3), pages 669-689, September.
  7. Ciaian, Pavel & Pokrivčák, Ján & Kancs, D'Artis, 2012. "The Rise and Fall of Enforcement Institutions: An Example of Religion and Secularism," European Review, Cambridge University Press, vol. 20(02), pages 233-251, May.
  8. Stelios Michalopoulos & Alireza Naghavi & Giovanni Prarolo, 2012. "Trade and Geography in the Origins and Spread of Islam," NBER Working Papers 18438, National Bureau of Economic Research, Inc.
  9. Platteau, Jean-Phillipe & Sekeris, Petros G., 2013. "Seduction of Religious Clerics and Violence in Autocratic Regimes - with special emphasis on Islam," NEPS Working Papers 3/2013, Network of European Peace Scientists.

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