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Openness and Democracy: Some Evidence from Pakistan

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  • Eatzaz Ahmad
  • Muhammad Zakaria

Abstract

The paper empirically examines the relationship between trade openness and the level of democracy in Pakistan using annual time-series data for the period 1947-2009. The analysis shows that trade openness positively affects democracy in Pakistan. The results are robust to controlling for other democracy determining variables and various model specifications. The results also show that the effect of trade openness on democracy increases with the increase of the economic development. Other control variables, i.e. political constraints, human capital, government expenditures, physical capital, inflation and urbanization significantly affect democracy in the theoretically expected directions.

Suggested Citation

  • Eatzaz Ahmad & Muhammad Zakaria, 2011. "Openness and Democracy: Some Evidence from Pakistan," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 1, pages 175-185.
  • Handle: RePEc:bas:econst:y:2011:i:1:p:175-185
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    References listed on IDEAS

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    1. Dawson, John W., 2003. "Causality in the freedom-growth relationship," European Journal of Political Economy, Elsevier, vol. 19(3), pages 479-495, September.
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    More about this item

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government

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