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Political Instability and Economic Growth

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  • Alesina, Alberto
  • Özler, Sule
  • Roubini, Nouriel
  • Swagel, Phillip

Abstract

This paper investigates the relationship between political instability and per capita GDP growth in a sample of 113 countries for the period 1950 through 1982. We define political instability as the propensity of a government collapse, and we estimate a model in which such a measure of political instability and economic growth are jointly determined. The main result of this paper is that in countries and time periods with a high propensity of government collapse, growth is significantly lower than otherwise. We also discuss the effects of different types of government changes on growth. Coauthors are Sule Ozler, Nouriel Roubini, and Phillip Swagel. Copyright 1996 by Kluwer Academic Publishers

Suggested Citation

  • Alesina, Alberto & Özler, Sule & Roubini, Nouriel & Swagel, Phillip, 1996. "Political Instability and Economic Growth," Journal of Economic Growth, Springer, vol. 1(2), pages 189-211, June.
  • Handle: RePEc:kap:jecgro:v:1:y:1996:i:2:p:189-211
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    References listed on IDEAS

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    1. Alberto Alesina & Dani Rodrik, 1994. "Distributive Politics and Economic Growth," The Quarterly Journal of Economics, Oxford University Press, vol. 109(2), pages 465-490.
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