IDEAS home Printed from https://ideas.repec.org/a/bla/ecpoli/v23y2008ip465-497.html
   My bibliography  Save this article

Investigating capitalism aversion

Author

Listed:
  • Augustin Landier
  • David Thesmar
  • Mathias Thoenig

Abstract

"There are two non-mutually exclusive theories of individual variations in pro-capitalism opinions. The first theory views pro-capitalism opinions as self-serving: Individuals are opposed to market forces when they threaten their economic rents. The second theory views differences in such opinions as reflecting genuine disagreement on the efficiency of various economic systems. Using individual data, we investigate the validity of both theories, focusing on attitudes toward private ownership, private profit and competition. We find evidence that the first theory explains some of the variations in attitudes. However, consistent with the second theory, we also find evidence of individual learning about the comparative virtues of economic systems. The learning is slow, home-biased and path-dependent. Long-run cultural and historical determinants of pro-market attitudes, such as religion and legal origins, explain more than 40% of the cross-country variations in capitalism aversion. Last, we provide tentative evidence that at the country level, pro-market opinions affect the nature of economic institutions. Our results suggest that the feasibility of economic reform does not depend solely on its impact on the distribution of rents; ideological "a-prioris" are likely to be important as well." Copyright (c) CEPR, CES, MSH, 2008.

Suggested Citation

  • Augustin Landier & David Thesmar & Mathias Thoenig, 2008. "Investigating capitalism aversion," Economic Policy, CEPR;CES;MSH, vol. 23, pages 465-497, July.
  • Handle: RePEc:bla:ecpoli:v:23:y:2008:i::p:465-497
    as

    Download full text from publisher

    File URL: http://www.blackwell-synergy.com/doi/abs/10.1111/j.1468-0327.2008.00205.x
    File Function: link to full text
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Grosjean, Pauline & Ricka, Frantisek & Senik, Claudia, 2013. "Learning, political attitudes and crises: Lessons from transition countries," Journal of Comparative Economics, Elsevier, vol. 41(2), pages 490-505.
    2. Philippe Aghion & Yann Algan & Pierre Cahuc & Andrei Shleifer, 2010. "Regulation and Distrust," The Quarterly Journal of Economics, Oxford University Press, vol. 125(3), pages 1015-1049.
    3. repec:spo:wpecon:info:hdl:2441/8883 is not listed on IDEAS
    4. Dimitrova-Grajzl, Valentina & Grajzl, Peter & Guse, A. Joseph, 2012. "Trust, perceptions of corruption, and demand for regulation: Evidence from post-socialist countries," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 41(3), pages 292-303.
    5. Rafael Di Tella & Robert MacCulloch, 2009. "Why Doesn't Capitalism Flow to Poor Countries?," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 40(1 (Spring), pages 285-332.
    6. Francisco J. Buera & Alexander Monge‐Naranjo & Giorgio E. Primiceri, 2011. "Learning the Wealth of Nations," Econometrica, Econometric Society, vol. 79(1), pages 1-45, January.
    7. Golinelli, Roberto & Rovelli, Riccardo, 2013. "Did growth and reforms increase citizens' support for the transition?," European Journal of Political Economy, Elsevier, vol. 30(C), pages 112-137.
    8. Riccardo Rovelli & Anzelika Zaiceva, 2013. "Did support for economic and political reforms increase during the post-communist transition, and if so, why?," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 21(2), pages 193-240, April.
    9. Hans Pitlik & Ludek Kouba, 2015. "Does social distrust always lead to a stronger support for government intervention?," Public Choice, Springer, vol. 163(3), pages 355-377, June.
    10. Maystre, Nicolas & Olivier, Jacques & Thoenig, Mathias & Verdier, Thierry, 2014. "Product-based cultural change: Is the village global?," Journal of International Economics, Elsevier, vol. 92(2), pages 212-230.
    11. repec:eee:jcecon:v:45:y:2017:i:3:p:456-480 is not listed on IDEAS
    12. Kaustia, Markku & Torstila, Sami, 2011. "Stock market aversion? Political preferences and stock market participation," Journal of Financial Economics, Elsevier, vol. 100(1), pages 98-112, April.
    13. Di Tella, Rafael & Galiani, Sebastian & Schargrodsky, Ernesto, 2012. "Reality versus propaganda in the formation of beliefs about privatization," Journal of Public Economics, Elsevier, vol. 96(5), pages 553-567.
    14. Pauline Grosjean & Frantisek Ricka & Claudia Senik, 2011. "Learning, Political Attitudes and the Crisis in Transition Countries," Discussion Papers 2011-16, School of Economics, The University of New South Wales.
    15. Neher, Frank, 2011. "Markets wanted: Expectation overshooting in transition," Discussion Papers 2011/1, Free University Berlin, School of Business & Economics.
    16. Ludek Kouba & Hans Pitlik, 2014. "I wanna live my life: Locus of Control and Support for the Welfare State," MENDELU Working Papers in Business and Economics 2014-46, Mendel University in Brno, Faculty of Business and Economics.
    17. Rovelli, Riccardo & Zaiceva, Anzelika, 2009. "Transition Fatigue? Cross-Country Evidence from Micro Data," IZA Discussion Papers 4224, Institute for the Study of Labor (IZA).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:ecpoli:v:23:y:2008:i::p:465-497. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum). General contact details of provider: http://edirc.repec.org/data/cebruuk.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.