Yet Another Look at the Modernisation Hypothesis: Evidence from Latin America
AbstractWe investigate in this paper whether the modernisation hypothesis holds in Latin America, and our sample includes nine Latin American countries that re-democratised in the last forty years or so. The data set covers the period between 1970 and 2007, and the results, based on dynamic panel data analysis (we use the Fixed Effects, Fixed Effects with Instrumental Variables, DIF-GMM and SYS-GMM estimators), suggest that the modernisation hypothesis holds in the region, or that income, or development in general, play a positive role on democracy. We also test for the critical junctures hypothesis, or whether particular historical structural changes play any role in contemporaneous democratisation in the region, however we are not able to provide any concrete evidence in favour of it. Essentially, we suggest that a certain level of development is an important condition for democracy to mature and survive, which-- in times of a new democratisation wave taking place in societies with different levels of development-- is a suggestive observation.
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Bibliographic InfoPaper provided by University of Pretoria, Department of Economics in its series Working Papers with number 201205.
Length: 21 pages
Date of creation: Feb 2012
Date of revision:
Modernisation hypothesis; democracy; development; Latin America;
Find related papers by JEL classification:
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
- O54 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean
- P16 - Economic Systems - - Capitalist Systems - - - Political Economy of Capitalism
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-02-20 (All new papers)
- NEP-DEV-2012-02-20 (Development)
- NEP-LAM-2012-02-20 (Central & South America)
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Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Yet Another Look at the Modernisation Hypothesis: Evidence from Latin America
by Maximo Rossi in Wikiprogress América Latina on 2012-02-24 14:27:00
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