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Political dynasties and poverty: Resolving the “chicken or the egg” question

Author

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  • Mendoza, Ronald
  • Beja Jr, Edsel
  • Venida, Victor
  • Yap II, David

Abstract

Political dynasties—members of the same family occupying elected positions sequentially for the same position or simultaneously across different positions—have become a common feature in many developing countries with democratic political systems. In the Philippines, for instance, political dynasties are prevalent in poorer regions, which lead to the following query: does poverty bring about political dynasties, or do political dynasties engender poverty? Using an instrumental variable technique to analyze metrics on political dynasties, we find strong evidence that poverty entrenches political dynasties but weak evidence that political dynasties reduce or exacerbate poverty.

Suggested Citation

  • Mendoza, Ronald & Beja Jr, Edsel & Venida, Victor & Yap II, David, 2014. "Political dynasties and poverty: Resolving the “chicken or the egg” question," MPRA Paper 53361, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:53361
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    References listed on IDEAS

    as
    1. Orville Jose C. Solon & Raul V. Fabella & Joseph J. Capuno, 2001. "Is Local Development Good Politics? Local Development Expenditures and the Re-election of Governors in the Philippines for 1992, 1995 and 1998," UP School of Economics Discussion Papers 200104, University of the Philippines School of Economics.
    2. Dani Rodrik, 2007. "Introductiion to One Economics, Many Recipes: Globalization, Institutions, and Economic Growth," Introductory Chapters,in: One Economics, Many Recipes: Globalization, Institutions, and Economic Growth Princeton University Press.
    3. Ernesto Dal Bó & Pedro Dal Bó & Jason Snyder, 2009. "Political Dynasties," Review of Economic Studies, Oxford University Press, vol. 76(1), pages 115-142.
    4. Acemoglu,Daron & Robinson,James A., 2009. "Economic Origins of Dictatorship and Democracy," Cambridge Books, Cambridge University Press, number 9780521671422, March.
    5. Joseph J. Capuno & Stella A. Quimbo & Aleli D. Kraft & Carlos Antonio R. Tan, Jr., 2012. "The effects of term limits and yardstick competition on local government provision of health insurance and other public services : The Philippine case," UP School of Economics Discussion Papers 201201, University of the Philippines School of Economics.
    6. Beja Jr, Edsel & Mendoza, Ronald U. & Venida, Victor S. & Yap, David B., 2012. "Inequality in democracy: Insights from an empirical analysis of political dynasties in the 15th Philippine Congress," MPRA Paper 40104, University Library of Munich, Germany.
    7. Balisacan, Arsenio M. & Fuwa, Nobuhiko, 2004. "Going beyond Crosscountry Averages: Growth, Inequality and Poverty Reduction in the Philippines," World Development, Elsevier, vol. 32(11), pages 1891-1907, November.
    8. Yasushi Asako & Takeshi Iida & Tetsuya Matsubayashi & Michiko Ueda, 2014. " Dynastic Politicians: Theory and Evidence from Japan," Working Papers 1412, Waseda University, Faculty of Political Science and Economics.
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    More about this item

    Keywords

    democracy; political dynasty; inclusive growth; political equality; social inequality;

    JEL classification:

    • D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General
    • I39 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Other
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • P16 - Economic Systems - - Capitalist Systems - - - Political Economy of Capitalism

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